HomeMy WebLinkAbout2017-06-07 Council Packet
KENAI CITY COUNCIL – REGULAR MEETING
JUNE 7, 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)
C. UNSCHEDULED PUBLIC COMMENTS (Public comment limited to three (3)
minutes per speaker; thirty (30) minutes aggregated)
D. PUBLIC HEARINGS
1. Ordinance No. 2960-2017 – Amending Kenai Municipal Code 14.25.015-
Landscaping/Site Plan for Land Clearing, and Kenai Municipal Code
14.25.020-Application, to Prohibit Land Clearing of More Than Twenty Percent
of a Parcel Without an Approved Landscaping/Site Plan. ....................... Pg. 5
2. Ordinance No. 2961-2017 – Adopting the Annual Budget for the Fiscal Year
Commencing July 1, 2017 and Ending June 30, 2018 and Committing
$1,000,000 of General Fund, Fund Balance for Capital Improvements. .. Pg. 8
3. Ordinance No. 2962-2017 – Amending the Kenai Municipal Code, Title 23,
“Personnel Regulations,” Chapter 23.55 Fiscal Year 2018 Operating Budget
Salary Schedule. ................................................................................... Pg. 28
4. Ordinance No. 2963-2017 – Authorizing Budget Adjustments and Increasing
General Fund Estimated Revenues and Appropriations for Costs in Excess of
Budgeted Amounts. ............................................................................... Pg. 31
5. Ordinance No. 2964-2017 – Repealing Kenai Municipal Code Chapter 5.15-
Private Detective Agencies, Removing Specific Local Regulation of Detective
Agencies. ............................................................................................... Pg. 40
Kenai City Council Meeting Page 2 of 4
June 7, 2017
6. Resolution No. 2017-25 – Authorizing the Purchase of Real Property
Described as U.S. Survey 257, Located within Section 5, Township 5 North,
Range 11 West, Seward Meridian, from Russell Clark, for the Public Purpose
of Including the Property in the Bluff Erosion Restoration Project and
Determining that the Public Interest will Not be Served by an Appraisal.
.............................................................................................................. Pg. 46
7. Resolution No. 2017-26 – Awarding an Agreement for Engineering of Kenai
Recreation Center Mechanical Improvements. ...................................... Pg. 55
8. Resolution No. 2017-27 – Fixing the Rate of Levy of Property Tax for the
Fiscal Year Commencing July 1, 2017 and Ending June 30, 2018. ........ Pg. 57
9. Resolution No. 2017-28 – Amending its Comprehensive Schedule of Rates,
Charges, and Fees to Incorporate Changes to be Adopted in the FY2018
Budget Process to Include Adjusting Monthly Rental Rates at Vintage Pointe,
Increasing Fees at the Kenai Municipal Airport, Increasing Fees for Water and
Sewer Service, and Increasing Fees at the Kenai Multipurpose Facility.
.............................................................................................................. Pg. 59
10. Resolution No. 2017-29 – Authorizing the City Manager to Enter into a
Contract with Premera Blue Cross Blue Shield Of Alaska to Provide Employee
Health Care to City Employees Effective July 1, 2017. .......................... Pg. 70
11. Resolution No. 2017-30 – Authorizing the City Manager to Renew the City’s
Insurance Coverage with Alaska Public Entity Insurance (APEI) for July 1,
2017 through June 30, 2018. ................................................................. Pg. 73
E. MINUTES
1.*Work Session of May 15, 2017 ................................................................ Pg. 77
2.*Regular Meeting of May 17, 2017 ........................................................... Pg. 80
F. UNFINISHED BUSINESS
1. Resolution No. 2017-24 – Amending Policy No. 2016-01, Procedures for
Commissions, Committees and Council on Aging – To Provide Procedures for
Council Involvement in Commissions, Committees and Council on Aging
Meetings. ............................................................................................... Pg. 97
G. NEW BUSINESS
1. *Action/Approval – Bills to be Ratified. ............................................. Pg. 103
2. *Ordinance No. 2965-2017 – Amending Kenai Municipal Code 4.32.015 –
Local Amendments to the 2012 International Residential Code, to Facilitate
Fee Schedule Changes for Building Permits and Plan Reviews. ......... Pg. 104
3. *Ordinance No. 2966-2017 – Increasing General Fund Estimated Revenues
and Appropriations for Costs in Excess of Budgeted Amounts. .......... Pg. 108
Kenai City Council Meeting Page 3 of 4
June 7, 2017
4. *Ordinance No. 2967-2017 – Appropriating Transfers for FY2018 Budgeted
Capital Projects in the Public Safety Capital Project Fund, the Kenai Animal
Shelter Improvements Capital Project Fund, the Municipal Roadway
Improvements Capital Project Fund, the City Shop Improvements Capital
Project Fund, and the Cemetery Improvements Capital Project Fund.
........................................................................................................... Pg. 111
5. *Ordinance No. 2968-2017 – Appropriating General Fund Balance Funds into
General Fund Land Administration-Lands Fund for the Purchase by the City of
Kenai’s General Fund of Airport Property Outside the Airport Reserve
Constituting Approximately 16.49 Acres of Real Property Described as S1/2
S1/2 SW1/4, Section 33,T6N, R11W, Seward Meridian, Commonly Referred
to as ‘Lawton Acres’ and Deed Restricting the Future Use Of the Property to
Parks and Recreational Uses to be Retained by the City for a Public Purpose.
........................................................................................................... Pg. 115
6. Action/Approval – Approving Notification to the Kenai Peninsula Borough that
the City of Kenai will not be Utilizing Consolidated Public Safety Dispatching.
........................................................................................................... Pg. 120
7. Action/Approval – Special Use Permit to Crowley Petroleum Distribution
Alaska, LLC for Fueling on the Apron at the Kenai Municipal Airport. . Pg. 122
8. Action/Approval – Special Use Permit to Evert’s Air Fuel, Inc. for Aircraft
Taking Delivery of Bulk Fuel on the Apron at the Kenai Municipal Airport.
........................................................................................................... Pg. 132
9. Action/Approval – Special Use Permit to Evert’s Air Fuel, Inc. for Aircraft
Loading and Parking on the Apron at the Kenai Municipal Airport. ...... Pg. 143
10. Action/Approval – Special Use Permit to Pacific Star Seafoods, Inc. for On
Loading and Offloading Fish at the Kenai Municipal Airport. ............... Pg. 153
11. Action/Approval – Mayoral Nomination and Council Confirmation of Jennifer
Joanis to the Parks and Recreation Commission. ............................... Pg. 163
12. Action/Approval – Approving a Hiring Process for the City Clerk Position.
........................................................................................................... Pg. 164
H. COMMISSION/COMMITTEE REPORTS
1. Council on Aging
2. Airport Commission ............................................................................ Pg. 169
3. Harbor Commission ............................................................................ Pg. 172
4. Parks and Recreation Commission ..................................................... Pg. 174
5. Planning and Zoning Commission ...................................................... Pg. 176
6. Beautification Committee .................................................................... Pg. 187
7. Mini-Grant Steering Committee
I. REPORT OF THE MAYOR
Kenai City Council Meeting Page 4 of 4
June 7, 2017
J. ADMINISTRATION REPORTS
1. City Manager ...................................................................................... Pg. 189
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.
M. PENDING ITEMS – None.
N. ADJOURNMENT
****************************************************************************************************
INFORMATION ITEMS
1. Purchase Orders between $2,500 and $15,000 for Council Review.
2. Notification of Selection of Brittany Gilman as Student Representative.
3. Alaska LNG Update.
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.
New Text Underlined; [DELETED TEXT BRACKETED]
Sponsored by: Council Member’s
Knackstedt and Glendening
CITY OF KENAI
ORDINANCE NO. 2960-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KENAI
MUNICIPAL CODE 14.25.015-LANDSCAPING/SITE PLAN FOR LAND CLEARING, AND KENAI
MUNICIPAL CODE 14.25.020-APPLICATION, TO PROHIBIT LAND CLEARING OF MORE
THAN TWENTY PERCENT OF A PARCEL WITHOUT AN APPROVED LANDSCAPING/SITE
PLAN.
WHEREAS, Kenai Municipal Code Chapter 14.25–Landscaping/Site Plan Regulations, regulates
landscaping and site plan requirements in the City; and,
WHEREAS, landscaping plans provide for landscaping and/or the retention of natural vegetation
for commercial, industrial and multifamily development, to enhance the community environment
and visual character, and to provide attractive and functional separation, providing visual and
sound screening between uses, and reducing erosion and storm runoff; and,
WHEREAS, site plans provide for orderly and safe development of the City commensurate with
protecting the health, safety and welfare of its citizens, and support the establishment of adequate
and convenient open spaces, light and air, in order to avoid congestion of commercial and
industrial areas; and,
WHEREAS, amendments to KMC Chapter 14.25 are needed to ensure that landscaping and site
plans are approved prior to land clearing that will result in removal of more than 20% of existing
trees, shrubs or natural vegetation even when no building permit is requested or required, in order
to prohibit land clearing in a manner that conflicts with the purpose and intent of landscaping and
site plans; and,
WHEREAS, while a more comprehensive review of KMC Chapter 14.25 is being conducted by
the Planning and Zoning Commission, as well as other City commissions, this Ordinance is
needed at this time to prohibit land clearing without a landscape/site plan during this construction
season.
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 14.25.015 of the Kenai Municipal Code: That Kenai
Municipal Code, Section 14.25.015 – Landscaping/site plan for land clearing, is hereby amended
as follows:
14.25.015 Landscaping/[S]Site [P]Plan for [L]Land [C]Clearing.
For property covered under this chapter, submittal of a preliminary landscaping/site plan and
approval by the administrative official is required prior to any land clearing and/or tree cutting
where such land clearing and/or tree cutting [REMOVAL] will result in removal of [LESS] more
Page 5 of 200
Ordinance No. *-2017
Page 2 of 2
New Text Underlined; [DELETED TEXT BRACKETED]
than [TWENTY-FIVE PERCENT (25%)] twenty percent of the lot’s [AREA HAVING] existing trees,
shrubs, or natural vegetation cover as determined by the administrative official.
Section 3. Amendment of Section 14.25.020 of the Kenai Municipal Code: That Kenai
Municipal Code, Section 14.25.020 – Application, is hereby amended as follows:
14.25.020 Application.
This chapter shall apply to all retention basins and commercial, industrial and multifamily
development within the City of Kenai and shall apply to both the landscaping and site plans.
“Commercial, industrial and multifamily development” and “all development” shall be defined as
any land clearing and/or tree cutting resulting in removal of more than twenty percent of the lot’s
existing trees, shrubs, or natural vegetation cover as determined by the administrative official or
improvements requiring a building permit for new construction or any improvements of twenty
thousand dollars ($20,000.00) or more, which adds square footage, and is: (1) located on
properties within the Central Commercial (CC), General Commercial (CG), Limited Commercial
(CL), Heavy Industrial (IH), Townsite Historic (TSH), Light Industrial (IL) and Education (ED)
zoning districts; or (2) a multifamily development in any zone; or (3) a change of use as required
in KMC 14.20.250(a). It is unlawful for any person to construct, erect or maintain any structure,
building, fence or improvement, including landscaping, parking and other facilities on property
requiring a landscape/site plan unless such improvements are constructed or reconstructed in a
manner consistent with the approved plan.
Properties zoned residential (except multifamily dwellings) are exempt from this chapter
with the following exception: (1) structures identified as a commercial occupancy in Title 4 of the
Kenai Municipal Code located in residential or mixed use zones requiring a building permit for
new construction or any improvements of twenty thousand dollars ($20,000.00) or more, which
adds square footage or a change of use as required in KMC 14.20.250(a).
Section 4. 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 5. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 7th day of June, 2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
Sandra Modigh, City Clerk
Introduced: May 17, 2017
Enacted: June 7, 2017
Effective: July 7, 2017
Page 6 of 200
Page 7 of 200
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2961-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA ADOPTING THE
ANNUAL BUDGET FOR THE FISCAL YEAR COMMENCING JULY 1, 2017 AND ENDING JUNE
30, 2018 AND COMMITTING $1,000 ,000 OF GENERAL FUND, FUND BALANCE FOR CAPITAL
IMPROVEMENTS.
WHEREAS, it is a requirement of the Code of the City of Kenai , Alaska , that the City Council, not
later than the tenth day of June, adopt a budget for the following fiscal year and make
appropriation of the monies needed; and,
WHEREAS , committed fund balance represents resources whose use is constrained by
limitations that Council imposes upon itself at its highest level of decision making , an Ordinance ,
and that remain binding unless removed in the same manner; and,
WHEREAS , in recognition of deferred and ongoing maintenance needs of City facilities, Council
commits $1,000,000 for future renovation and improvements to City facilities.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows :
Section 1. Form : That this is a non-code ordinance .
Section 2 . That certain document entitled "City of Kenai Fiscal Year 2018 Annual Budget"
which is available for examination by the public in the Office of the City Clerk, the City's website
and is in corporated herein by reference is hereby adopted as the budget for the City of Kenai for
the fiscal year commencing July 1 , 2017 and ending June 30, 2018.
Section 3. The following sums of money are hereby appropriated for the operations of the
City of Kenai for the fiscal year commencing on the first day of July, 2017, and ending the 30th
day of June , 20 18, to be expended consistent with and subject to the restrictions , procedures,
and purposes set forth in the Code of the City of Kenai and to be expended substantially by line
item in the manner shown in the budget adopted by Section 1 hereof:
General Fund
Enterprise/Internal Service Funds:
Congregate Housing Fund
Employee Health Care Fund
Total Enterprise/Internal Service Funds
Special Revenue Funds:
Personal Use Fishery Fund
Water & Sewer Fund
$15,536,722
452 , 133
2, 143.283
2,595,416
512,127
2,453,479
New Text Und erlin ed ; [DELETED T EXT BRACKETED]
Page 8 of 200
Ordinance No. 2961-2017
Page 2 of 2
Airport Fund
Senior Citizen Fund
Airport Land Sale Permanent Fund
General Land Sale Permanent Fund
Total Special Revenue Funds
Debt Service Fund -Library Expansion Bonds
Total All Funds
2 ,885 ,3 99
959 ,554
1,191,711
150.993
8, 153,263
176,998
$26.462.399
Section 4. Council herby commits $1,000,000 of Unassigned General Fund, Fund Balance
for future renovation and improvements to City facilities.
Section 5. 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 th is ordinance even
without such part, provision, or application.
Section 6. Effective Date: That pursuant to KMC 1. 15 .070(f), this ordinance shall take effect
July 1, 2017.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 7th day of June , 2017 .
ATTEST:
Sandra Modigh , City Clerk
Approved by Finance : ~
BRIAN GABRIEL SR., MAYOR
Introduced : May 17, 2017
Enacted : June 7, 2017
Effective : July 1, 2017
New Text Underlined; [DELETED TEXT BRACKETED)
Page 9 of 200
'Vtfl~ «1/t!fl a Pa&'~ Ot'tf «11'tli a Fat~ "
210 FidalgoAve, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager '?·O ·
Terry Eubank, Finance Director 1 /
May 10 , 2017
Ordinance 2961-2017 to adopt the FY18 Budget
The purpose of this memo is to summarize the changes that have been proposed to the FY18
Budget since disbursement of the draft document on April 2nd, and to communicate the result of
these changes on each of the City's operating funds. The following are the Administration's
recommended changes that have been incorporated into the draft budget and appropriating
ordinance. New summary pages for the all funds, after incorporating the changes, are attached
for your review.
Revenues:
Administration Recommended Amendments:
General Fund -PERS On-behalf funding resulting
from Airport/Street Operator staffing changes
Personal Use Fishery Fund -PERS On-behalf funding resulting
from Airport/Street Operator staffing changes
Airport Fund -PERS On-behalf funding resulting
from Airport/Street Operator staffing changes
Senior Citizen Fund -Transfer from General Fund
resulting from increase in insurance renewal premiums
($632)
($18)
$542
$1,668
Page 10 of 200
Page 2 of 5
Ordinance 2961-2017
Expenditure Changes:
Administration Recommended Amendments:
1 . Decrease Street Department staffing by one Equipment Operator, eliminate the annual five
month transfer to the Airport of two Equipment Operator's , and increase the Airport staffing
by one Fulltime equipment Operator.
General Fund:
Non-Departmental -PERS
Streets -Salaries
Streets -Overtime
Streets -Leave
Streets -Medicare
Streets -PERS
Streets -Unemployment Insurance
Streets -Workers ' Compensation
Streets -Health & Life Insurance
Streets -Supplemental Retirement
Personal Use Fishery Fund:
Streets -Salaries
Streets -Overtime
Streets -Leave
Streets -Medicare
Streets -PERS
Streets -Unemployment Insurance
Streets -Workers ' Compensation
Dock -Salaries
Dock -Overtime
Dock -Leave
Dock -Medicare
Dock-PERS
Dock -Unemployment Insurance
Dock -Workers' Compensation
Airport Fund:
Airfield -Salaries
Airfield -Overtime
Airfield -Leave
Airfield -Medicare
Airfield -PERS
Airfield -Unemployment Insurance
Airfield -Workers ' Compensation
Airfield -Health & Life Insurance
Airfield -Supplemental Retirement
$ (632)
(16,468)
(4,496)
(1,509)
(326)
(4,612)
(112)
(885)
(3,575)
{192)
$(32.807)
(171)
(54)
(48)
(4)
(60)
( 1 )
( 12 )
(249)
(108)
(71)
(7)
(94)
(3)
-11fil
$~)
17,393
625
1,629
285
4 ,506
98
602
3,574
300
$29 .012
Page 11 of 200
Page 3 of 5
Ordinance 2961-2017
Net of projected lapse and the change in PERS On-behalf funding in each fund , the increase
(decrease) in each fund's projected surplus (deficit) for this staffing change is as follows:
General Fund
Personal Use Fishery Fund
Airport Fund
$30,535
843
(26,729)
$ 4 .649
2 . City General Liability, Property, Auto, and Equipment coverage renewal amounts in excess of
budgeted amounts. The City signed a three year commitment with its insurance carrier,
Alaska Public Entity Insurance (APEi), for policy years commencing July 1 , 2016 and ending
June 30, 2019 in e x change for an annual premium discount of 5%. The agreement would
terminate should the renewal premium increase by more than 10% over the preceding year's
premium . This year's renewal is an increase of 7% of the FY17 premium and is a result of
negative pool liability and property claims experience . APEi is an insurance pool with many
members besides the City and while the benefits of pooling is the sharing of risk, sometimes
the claims of other pool members can negatively impact other members. The administration
will monitor the City's participation in the pool and make sure continued participation is in the
City's best interest.
General Fund:
Non-Departmental -Insurance
Non-Departmental -Transfer to Senior Citizen Fund
Personal Use Fishery Fund:
Public Safety-Insurance
Streets -Insurance
Parks, Recreation & Beautification -Insurance
Dock -Insurance
Airport Fund:
Terminal -Insurance
Airfield -Insurance
Administration -Insurance
Congregate Housing Fund -Insurance
Water & Sewer Fund:
Water -Insurance
Sewer -Insurance
Waste Water Treatment Plant -Insurance
$21,369
1,668
$23.037
$230
20
142
48
$440
$1 ,372
3,919
248
$5.539
$2 ,211
$1,981
320
2,777
$5,078
Page 12 of 200
Page 4 of 5
Ordinance 2961-2017
Senior Citizen Fund:
Senior Access -Insurance
Congregate Meals -Insurance
Home Meals -Insurance
Transportation -Insurance
Choice Waiver -Insurance
$ 263
275
97
691
394
$1 .720
Net of projected lapse in each fund , the (decrease) in each fund's projected surplus (deficit)
for the increase in insurance costs is as follows :
General Fund
Personal Use Fishery Fund
Airport Fund
Congregate Housing Fund
Water & Sewer Fund
Senior Citizen Fund (Includes $1 ,668 in additional funding
from the City 's General Fund)
$(21 ,969)
(424)
(5 ,207)
(2,211)
(4,773)
$(34.584)
The total change in projected surplus (deficit) from these changes is as follows :
General Fund
Budget Draft Projected Deficit
Street/Airport Equipment Operator staffing change
Insurance renewal increase
Projected FY2018 Deficit
Personal Use Fishery Fund
Budget Draft Projected Surplus
Street/Airport Equipment Operator staffing change
Insurance renewal increase
Projected FY2018 Deficit
Airport Fund
Budget Draft Projected Surplus
Street/Airport Equipment Operator staffing change
Insurance renewal increase
Projected FY2018 Deficit
Congregate Housing Fund
Budget Draft Projected Loss
Insurance renewal increase
Proj ected FY2018 Deficit
Water & Sewer Fund
Budget Draft P rojected Surplus
Insurance renewal increase
Projected FY20 18 Deficit
$(125 ,603)
30 ,535
(21,969)
$(1 17.037)
$83,997
843
(424)
$84.416
$445,580
(26,729)
(5,207)
$41 3,644
$(56 ,385)
(2,211)
$(58 ,596)
$620,485
(4,773)
$6 15,7 12
Page 13 of 200
Page 5 of 5
Ordinance 2961-2017
Senior Citizen Fund
Budget Draft Projected Surplus
Insurance renewal increase
Projected FY2018 Deficit
$ -
$ -
These are the only two proposed amendments to the April 2, 2017 Draft City Budget which have
been included in proposed budget adoption ordinance. Your support for passage of the budget
adoption ordinance is respectfully requested.
attachments
Page 14 of 200
Ci ty of Kenai
Fiscal Year 2018 Op erat ing Budget
Ge nera l Fund
Budg et Project ion
Ori ginal
Actual A ctual Budget Projectio n Pro posed Pr oject i on Projection
FY2015 FY2016 FY2017 FY2017 F Y2018 FY2019 FY2020
TAXABLE VALUES (OOO'S ) $ 828,385 $ 851,638 $ 866,235 $ 868 ,724 $ 876,530 $ 899, 157 $ 922,646
MILL RATE 4 .35 4 .35 4 .35 4 .35 4 .35 4.35 4 .35
REVENUES
Property & Sales Taxes
Property Tax 3,656,927 3,782,539 3,810,759 3,902,208 3 ,874,650 3 ,983 , 106 4 ,083,240
Sales Tax 7,257,451 7 ,247 ,938 7 ,329,099 6 ,936,040 6,934,917 7 ,038 ,9 41 7 ,214 ,720
Total Property & Sales Taxes 10,914,378 11,030,477 11 ,139,858 10 ,838,248 10,809,567 11 ,022,047 11 ,297,960
State/Federal Revenue :
P E RS Funding 2 ,977 ,564 379,467 281 ,404 282,952 204,235 210,362 216,673
Community Ass istance 441 ,046 415,798 277 ,930 278,232 170,598 129,651 63,946
Fish Tax 292 ,718 198,649 200,000 165,000 165,000 169,950 175,049
Other 81 058 155,849 58,000 66 150 58,000 60,900 63 945
Total State/Federal Revenue 3 .792,386 1, 149, 763 817 334 792 .334 597 833 570 863 519613
Other Revenue
Licenses and Permits 71,973 62,629 76,500 63,000 63,500 65 ,405 67,367
Ambulance Fees 412 ,509 408,558 400,000 425,000 425 ,000 437,750 450,883
Interest 56,992 76,212 75,000 90,000 100,000 151 ,477 291 ,986
Other 636 453 587,224 644 805 626 374 605,895 513 347 528 747
Total Other Revenue 1 177 927 1, 134,623 1, 196,305 1 204 37 4 1, 194,395 1, 167,979 1,338,983
Total Rev e nues 15 ,884 ,691 13,314,863 13, 153,497 12,834 ,956 12,601,795 12,760,88 9 13,156,556
Transfer From Other Funds
Charges to other funds 1,505,886 1,458,900 1,494 ,200 1,494,200 1,492,400 1,537 , 172 1,583,287
Capital Projects I Special Revenue 11 124,303
Enterprise 36 ,900 38,300 34,000 34,000 439,000 40 ,170 41 ,375
Trust Fund 147 093 148 009 149 802 150 993 150,993 150,9 93
Total Transfers 1,689.890 1,497,200 1,676,209 1,802,305 2 ,082,393 1,728,335 1,775,655
Tota l Rev e nues and Transf er s 17 ,574 ,581 14,812,063 14,829,706 14,637,261 14,684,188 14,489,224 14,932,211
EX PENDITURES/ APPROPRIATIONS
General Government 5 ,357 ,342 2,865,713 3,013,609 3 ,113,122 2 ,909,709 2,969 ,945 3,029,344
Public Safety 6 ,876,330 6 ,987 ,609 7,284,438 7 ,288,580 7 ,299,722 7,445 ,716 7,6 16 ,967
Public Works 2,269,516 2,251,812 2,381,685 2,395,685 2,375,314 2,422,820 2,471,276
Parks, Recreat ion & Cultural 1911792 1,993,809 2 156 949 2,172,679 2 .125, 189 2, 167 ,693 2,211,047
Tota l Ope rating Expe nditures 16,414,980 14 ,098,943 14,836,681 14,970,066 14,709,934 15 ,006 ,174 15,328 ,634
T ransfers or Non-Operating 670 394 686,253 583 ,299 618 299 826 788 598 ,952 609 421
Total Expend itures/Appropriations 17 ,08 5 ,37 4 14 ,785, 196 15,419,980 15,588,365 15,536,722 15,605 ,126 15 ,938 ,055
Total Surplus (Deficit) 489,207 26 ,867 (590,274) (951 ,104) (852,534) ( 1, 115 , 902) (1,005,844)
Projected Lapse -5% 741 834 748 503 735 497 750,309 766.432
Adj usted Surplus (Deficit) 489,207 26,867 151 ,560 (202,601) (117,037) (365 ,593) (239,412)
Beginning Fund Balance 9 .902 ,026 10,391,233 9,830,242 10,418.100 10,215,499 10,098,462 9 .732.869
Endi ng Fund Balance 10,391,233 10,418,100 9 ,981 ,802 10,215,499 10,098,462 9,732,869 9 ,493 ,457
Restricted (546,706) (588,937) (6 18,706) (618,706) (624 ,937) (660 ,937) (696,937)
C ommitted (409,746) (409,746) (509,746) (6 ,651,471) (6 ,850,913) (6,886,067) (6,632,045)
Assigned (1 .497,756) (1,409,610) (1,776,805) (2,3 70, 141) (2,378,978) (2, 185,865) (2 ,164 ,475)
Unassigned Fund Balance $ 7,937,025 $ 8,009,807 $ 7 ,076,545 $ 575,181 $ 243,634 $ $
Page 15 of 200
City of Kenai
Fiscal Year 2018 Operating Budget
Budget Projection
Fund: 006 -Personal Use Fishery Fund
Original Ma nager
Actual Actual Budget Projection Proposed
FY2015 FY2016 FY2017 FY2017 FY2018
Revenues
PERS Grant $ 17,437 $ 2,167 $ 1 ,986 $ 3,020 $ 2 ,312
Usage Fees
Beach Parking 219 ,705 182,7 39 180,350 182 ,8 54 183,000
Beach Camping 199,203 230,729 227,650 238,752 239,000
Dock Laun ch & Park 100,970 133 ,181 13 1 ,700 128,388 130,000
Dock Parking Only 15,868 15,238 15,000 14,807 15,000
Participant Drop-off Fee 28 ,950 10,717 11 ,000
Total Usage Fees 535,746 561 ,887 583,650 575,518 578,000
Miscell an eous Revenues
In vestment earnings 680 1,580 750 750 750
Other (3 ,235) (6 ,888) (3,500) (4 ,500) (4 ,500)
Total Miscellaneous Revenues (2 ,555) (5,308) (2 ,750) (3 ,750) (3 ,750)
Total Revenu e 550 ,628 558,746 582 ,886 574 ,788 576 ,562
E xpe nditures
Public Safety 122,473 113,943 111 ,599 128,999 109,195
Streets 54,632 34 ,116 4 9 ,258 4 8,013 51 ,506
Boating Facility 90,410 71,417 72,417 79,718 72,347
Parks, Recreation & Beautification 244,514 266 ,996 346,935 332,531 279,079
Tota l Expenditures 5 12 ,029 486 ,472 580,209 589,261 5 12 ,127
Contribution To/(From) Fund Balance: 38,599 72 ,274 2,677 (14,473) 6 4 ,435
Projected Lapse 23 , 150 23 ,603 19,981
Adj usted (Deficit)/Surplus 38 ,599 72,274 25,827 9 ,130 84,416
Beginning Fund Balan c e 29,063 67,662 124 ,188 139,936 149,066
Ending Fund Balance $ 67 ,662 $ 139,936 $ 150 ,0 15 $ 149,066 $ 233,482
Page 16 of 200
City of Kenai
Fi scal Year 2018 Operating Budget
Budget Projection
Fund: 008 -A i rport Fund
Original Manager
Actual Actual Budget Projection Proposed
FY2015 FY2 016 FY2017 FY2017 FY2018
Revenues
State & Federal Grants $ 225,082 $ 30,048 $ 30,961 $ 28,461 $ 23 ,552
Usage Fees
Fuel Sales 9,300 1 ,3 72 10,000 10,000 10,000
Fuel Flowa ge 37,546 27 ,772 35,000 35,000 35,000
Float Plane 1 ,33 1 812 1 ,500 1 ,500 1 ,500
Tie Down 7,602 5,576 10,000 7,500 7 ,500
Landing 369,824 418,644 375,000 475 ,000 375,000
Plane Parking 5,128 5 ,526 5 ,000 5,000 5,000
Total Usage Fees 430,731 459,702 436 ,500 534,000 434 ,000
Rents and Leases
Land 674,609 687,256 698,755 698,755 650,117
Total Rents and Leases 674,609 687,256 698,755 698,755 650,117
Miscellaneous
Penalty and Interest 18,378 5 ,886 15,000 15,000 5,000
Interest on Investments 22,445 33 ,213 25 ,000 25 ,000 25 ,000
Other 40,042 9,627 25 ,000 26,200 25,000
Tota l Miscellaneous 80 ,865 48,726 65,000 66 ,200 55 ,000
Terminal Revenue
Parking Fees 272,698 261,036 300,000 300 ,000 300,000
Rents and Leases 300,807 283 ,5 25 310,127 310,127 317,723
Penalty and Interest 3,058 1 ,957 4 ,500 4,500 4 ,500
Car Rental Commissions 193,011 226 , 130 195,000 195,000 195,000
Advertising Commissions 4 ,852 10,315 6,000 9,000 9,000
Miscellaneous 3,468 608 1,500 1 ,500 1 ,500
T otal Terminal Rev enue 777,894 783,571 817, 127 820, 127 827,723
Transfers In
Airport Land Trust Fund 1,135,3 13 1 , 142,714 1 , 184,356 1 ,175,414 1,191 ,711
Total Transfers In 1 ,135,313 1,142,714 1, 184,3 56 1,175,414 1,191 ,711
Total Revenues 3 ,324,494 3,152,017 3,232,699 3,322,957 3,182,103
Expenditures
Airport Terminal 623,320 548,308 630,953 628, 150 645,425
Airport Airfield 1,705,814 1,522 ,298 1,710,321 1,708,674 1,697,523
A irport Administration 348 ,841 287 ,087 315,259 431 ,210 336,914
Airport Other Bui ldings and Areas 388,777 313 ,741 169,654 241,380 167,211
Airport T raini ng Faci lity 34,011 32,620 36 ,768 42 ,017 38,326
Total Expenditures 3 ,100,763 2,704,054 2 ,862 ,9 55 3,051,431 2,885,399
Contribution To/(Fro m) Fund Balance : 223,731 447,963 369 ,744 271,526 296,704
Projected Lapse (6%) 115,347 119,455 116,940
Page 17 of 200
City of Kenai
Fiscal Year 2018 Operating Budget
Budget Projection
Fund: 008 -Airport Fund
Original Manager
Actual Actual Budget Projection Proposed
FY2015 FY2016 FY2017 FY2017 FY 201 8
Adjusted (Deficit)/Su rp lus 4 85,091 390,98 1 41 3 ,644
Beginning Fund Ba lance 4 ,010,808 4 ,234 ,539 4,558 ,150 4 ,682 ,502 5,073,483
Ending Fund Bala nce $ 4 ,234 ,539 $ 4,682 ,502 $ 5,043,24 1 $ 5 ,073,483 $ 5,4 8 7,127
Page 18 of 200
Re ve nu e s
PERS Grant
Rents and Leases
Interest on I nvestments
Transfer from General Fund
M iscellaneous
Total Rev enues
E x pe ns es
Net Income (loss)
Beg inning Reta ined Earnings
Capital Asset Acquistions
Allocated to Capital Projects
Cr edit for Depreciation
Available Retained Earnings
City of Kenai
Fiscal Year 2018 Operating Budget
Budget Projection
Fund : 009 -Cong regate Hous ing Fund
Or igin al
Actual Actu al Bud get
FY2015 F Y 2016 FY2017
$ 16,482 $ 2 ,077 $ 1,627
365,430 382,253 382,414
2,533 3,880 3,000
20 77
384,465 388,287 387 ,041
454,429 425,986 460,619
(69,964) (37,699) (73,578)
469,418 418,765 417,601
(116,826 ) (46,666 )
136,137 139 ,857 136,137
$ 418 ,765 $ 474,257 $ 480 , 160
Ma nager
Projection Proposed
F Y 2017 FY2018
$ 1,627 $ 1, 192
393,414 388 ,345
3,000 4,000
398,041 393 ,537
511 ,993 452, 133
(113,952) (58,596)
474,257 496,442
136, 137 139 ,85 7
$ 496 ,442 $ 577 , 703
Page 19 of 200
City of Kenai
Fiscal Year 2018 Operating Budget
Budget Projection
Fund : 010 -Wate r and Sewer Fund
Original Manager
Actual Actual Budget Projection Proposed
FY2015 FY2016 FY2017 FY2017 FY2018
Reve nues
PERS Grant $ 255,777 $ 30,836 $ 24,255 $ 24 ,255 $ 17,228
Usa ge Fees
Se rvice Hook-up 9,82 7 4 ,001 8 ,630 3,927 3,929
Residential Water 654,383 716,095 764 ,901 797 ,286 832,278
Comm ercial Water 256 ,492 283,168 335,420 335,420 350,14 1
Residential Sewer 1,109,172 1 ,136,029 1 ,154 ,566 1 ,178 ,610 1,182 ,298
Commercial Sewer 411,520 430,949 493 ,264 493 ,264 494 ,807
T otal Usage Fees 2 ,44 1,394 2 ,570 ,242 2 ,756 ,781 2,808,507 2 ,863,453
Miscellaneo us Revenues
Penalty and Interest 41 ,987 39 ,679 4 0,000 4 3,235 4 3,250
Interest Earnings 8 ,391 10 ,896 12,000 12,000 16,000
Ot her 2 ,207 2 ,812 3,000 3 ,000 3,000
Total Miscellaneous Revenues 52 ,585 53,387 55,000 58 ,235 62,250
Total Revenues 2 ,749,756 2 ,654 ,465 2,836,036 2 ,890,997 2 ,942,931
Expe nditures
Water Department 1, 157 ,685 829,080 880 ,772 900,427 864 ,277
Sewer De partm ent 478 ,031 384,963 450 ,651 805,388 513 ,830
Wastewater Trea tm ent Plant Department 1,074,016 923,883 1 ,121,757 1 ,121,757 1,075 ,372
Total Expend itures 2 ,709,732 2 ,137,926 2,453 ,180 2 ,827 ,5 72 2,4 53,479
Contribution To/(From) Fund Balance : 40,024 516 ,539 382 ,856 63,425 4 89,452
Projected Lapse (6%) 12 9,479 130,715 126,260
Adjusted (Deficit)/Surpl us 512,335 194, 140 615,712
Begin nin g Fund Balance 1,148,989 1,189,013 1,614,533 1,705 ,552 1,899,692
Ending Fund Balance $ 1,189 ,013 $ 1 ,705 ,552 $ 2 ,126 ,868 $ 1,899,692 $ 2,515,404
Page 20 of 200
City of Ken a i
Fisc al Year 2018 Operating Budget
Budget Projection
Fund: 019 ·Senior Citizen Fund
Orig i nal Manag er
Actual Actual Budget Projection Propo sed
FY2015 FY2 016 FY2017 FY20 17 FY2018
Rev enues
State Gran ts $ 295,773 $ 196,978 $ 192 ,9 39 $ 200,939 $ 198 ,299
USDA Grant 13,949 15 ,780 13,000 15 ,000 15,000
Choice Waiver 322 ,8 26 252,604 275 ,000 225 ,0 00 225,000
KP B Grant 126,207 126,207 126,207 126 ,207 126,207
Uni ted Way 8 ,762 9,582 9 ,582 5,977 5,977
Rents and Leases 5 ,660 12 ,971 13 ,000 13,000 13 ,000
Donations 33 ,323 23,497 31 ,000 30 ,000 80 ,000
Meal Donations 54,428 61 ,066 66 ,500 75,000 75 ,000
Transfer from General Fund 88 ,339 15 1,385 205,160 196,730
Ot her 3 16 {621) 300 300 300
Tota l Revenue 86 1,2 44 786,4 03 878 ,9 13 896,583 935,513
Expenditures
Senior Citizen Access 207 ,975 175,262 163,881 164 ,631 166,319
Congregate Meals 192 ,265 179,434 223 ,133 228,533 236 ,396
Home Meals 163,31 4 14 8,048 175,274 179,374 195,103
Senior Transportation 64 ,289 108,562 67,689 68,4 39 80 ,523
Choice Wa iver 336 ,444 33 1,888 27 1,74 9 279,249 281,213
Tota l Expenditures 964 ,2 87 943 , 194 90 1,726 920 ,226 959,554
Contribution To/(From ) Fund Balance : (103 ,043) (156, 791) (2 2 ,813) (23,643) (24,041)
Projected Lapse (3%) 22 ,813 23 ,368 24,04 1
Adjusted (Deficit)/S urplus (103 ,0 4 3) (156 ,79 1) (2 75)
Beginning Fund Balance 260 , 109 157,066 275
Ending Fund Balance $ 157 ,066 $ 275 $ . $ -$
Page 21 of 200
'Vtfl'ap «1/t/z, a Pa.J't, e'tt «1/t/z, a Fat~ JI
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager
Terry Eubank, Finance Director 1/.
May 9, 2017
SUBJECT: FY2018 Budget Request for Information -Fulltime Deputy Clerk
The purpose of this memo is to respond to Council's request for the fiscal impact of increasing
the City's Deputy Clerk position to fulltime status from its current 24-hour per week part-time
schedule.
The fiscal impact by account would be as follows :
Expenditure Increases:
City Clerk -Salaries
City Clerk -Leave
City Clerk -Medicare
City Clerk -PERS
City Clerk -Unemployment Insurance
City Clerk -Workers ' Compensation
City Clerk -Health Insurance
Non-Departmental -PERS
Total Expenditure Increases
Revenue Increases -
PERS On-behalf Funding
FY2018 Budgetary Impact
$20, 100
523
299
4,422
103
78
8,937
605
$35,067
$ 605
$34.462
If the Deputy Clerk was increased to a fulltime position, projections show the FY2020 use of fund
balance to be $36,699 after elimination of proposed $250,000 one-time capital expenditures. The
policy limits the use of fund balance for operational expenditures to a period of not more than two
years with the third budget year showing sufficient revenues to support operational expenditures.
This scenario will require identification of a supplemental revenues source or elimination of other
operational expenditures to comply with the City's fund balance policy.
Page 22 of 200
'Vttt~ tt1/th a. Pa.irt, e~ tt11'th a. Fat~"
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
FROM :
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Council Members Molloy and Pettey
May 31, 2017
Ordinance No. 2961-2017, Adopting the Annual Budget for the Fiscal
Year Commencing July 1, 2017 and Ending June 30, 20 18 and
Committing $1,000,000 of General Fund, Fund Balance for Capital
Improvements.
After public hearing on Ordinance No. 2961-2017, we intend to put on the table a series of budget
document amendments and an amendment to the budget adoption ordinance , for Council 's
consideration and action, that will provide the needed appropriations to increase the
Administrative Assistant II position in the Clerk's Office from 24 to 40 hours per week, if approved
by Council.
The City Clerk's office is a major point of contact and interaction of the public with their city
government. The volume of business handled and services performed in the City Clerk's office
has increased significantly in the past several budget years, but the City Clerk has only 24 hours
support by the Deputy Clerk position. A full time Deputy Clerk position will better support the
Clerk 's Office in processing its work flow more timely , which is in the best interest of the City and
the public served by the Clerk's Office .
Finance Director Eubank's FY2018 Budget Amendment Memorandum sets out the financial
impact of the amendments , for Council's consideration . The expenditure increase associated
with this change to the FY 2018 budget is $35,067 . In the Finance Director's opinion , the
proposed FY2018 budget, after inclusion of this amendment, will be compliant with the City's Fund
Balance Policy and ordinances .
The amount for FY2018 is based on the position remaining an Administrative Assistant II. The
Finance Director advises that once a new job description is completed the position will be
reviewed and classified using the City's classification matrix to assure accurate placement on the
City's salary schedule.
Council's support of the amendments is respectfully requested, to increase the Administrative
Assistant 11 position in the Clerk's Office from 24 to 40 hours per week.
Page 23 of 200
'lltff~ «1/th a Pa6'~ Ct'tf «1/th a Fat~"
210 Fidalgo Ave , Kenai , Alaska 99611-7794
Telephone: (907) 283-7535 I Fax : (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Council Members Molloy and Pettey
Paul Ostrander, City Manager 'f. 0 ·
Terry Eubank, Finance Director 1f
May 30, 2017
FY2018 Budget amendment for increasing the Clerk Department
Administrative Assistant II position to fulltime .
The purpose of this memo is to provide amendment language for increasing the Administrative
Assistant II position in the Clerk's Office from a 24 hour per week position to a fulltime 40 hour
per week position. Three sections of the proposed budget document will require amendment as
will Ordinance 2961-2017, the budget adoption ordinance . Financial projections , after
incorporation of this change, show no use of fund balance for recurring expenditures in FY2018 ,
an $119,721 use of fund balance for recurring e xpenditures in FY2019, and no use of fund
balance for recurring expenditures in FY2020 . The City's Fund Balance Policy limits the use of
fund balance for operational expenditures to a period of not more than two years with the third
budget year showing sufficient revenues to support operational expenditures. The proposed
budget, after inclusion of this change , will be compliant with the City's Fund Balance Policy.
Budget Document Amendments:
Revenues:
1. PERS On-behalf funding will increase by $605 with this proposed change.
Amendment Language:
Amend PERS Funding on page 16 of the Annual Budget for the City of Kenai , Alaska July
1, 2017 -June 30, 2018 to $204,840 in FY2018, to $210,985 in FY2019, and to $217 ,315
in FY2020.
Expenditures:
The expenditure increase associated with the change is $35,067 . The City Clerk Department
must be amended by $34,462 and Non-departmental will increase $605.
Page 24 of 200
Page 2 of 2
Requested Budget Amendment Language
Amendment Language:
1. Amend amounts in the Council Adopted Column of the City Clerk Department, page
26 of the Annual Budget for the City of Kenai, Alaska July1, 2017 -June 30, 2018 for
the following accounts:
0100 Salaries $145, 143
0300 Leave 4 ,833
0400 Medicare 2,174
0500 PERS 31,931
0600 Unemployment Insurance 750
0700 Workers Compensation 566
0800 Health & Life Insurance 35 ,748
2. Amend amounts in the Council Adopted Column of the Non-Departmental
Department, page 4 7 of the Annual Budget for the City of Kenai , Alaska July1, 2017 -
June 30, 2018 for the following accounts :
0500 PERS $204,840
Ordinance 2961-2017 Amendment
Amendment Language:
Amend the "General Fund " amount of Section 3 to $15 ,571 ,789 and the "Total All Funds"
of Section 3 to $26,497,466.
These amendments will provide the needed appropriations to increase the Administrative
Assistant 11 position in the Clerk's Office from 24 to 40 hours per week . These amounts are based
on the position remaining an Administrative Assistant 11. Once a new job description is completed
the position will be reviewed and classified using the City's classification matrix to assure accurate
placement on the City's salary schedule.
Page 25 of 200
'Vtfl~ «1/th a Po.6'~ Ct'tf «1/th a Fat~ "
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone : (907) 283-75351 Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO:
THROUGH:
FROM :
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ? o .
Terry Eubank , Finance Director }/
May 31 , 2017
FY2018 Budgeted Revenue Update
The purpose of this memo is to provide Council the latest update to FY2018 projected revenues
and the implications to the FY2018 Budget. On May 19th I received first calendar quarter 2017
sales tax data from the Kenai Peninsula Borough. Projections for this quarter were a one-percent
decline in taxable sales compared to the same quarter of 2016 . Taxable sales for this period
actually grew by 0.88%. Year over year ta xable sales have been negative for the previous 5
calendar quarters, a trend that was projected to continue through the calendar quarter ending
June 30 , 2017.
Incorporating this new data into the FY2018 Budget slows the use of General Fund , Fund Balance
over the next few years . Compliance with the City's Fund Balance Policy, after update proj ections ,
was confirmed . Attached is an updated General Fund Project ion .
While not an absolute indication the slowdown in the local economy has ended, this is a positive
indication . Sales ta x projections include the following assumptions :
1. Taxable sales for the second calendar quarter 2017 will decrease 1 % compared to the
same calendar quarter of 2016 .
2. Ta xable sales for each calendar quarter of FY2018 will increase by 1 % year over year.
3. Ta xable sales for each calendar quarter of FY2019 wi ll increase by 1.5 % year over year.
4. Taxable sales for each calendar quarter of FY2020 will increase by 2 .5 % year over year.
attachm ent Page 26 of 200
City of Kenai
Fiscal Year 2018 Operating Budget
General Fund
Budget Projection
Original
Actual Actual Budget Projection Proposed Projection Projection
F Y20 15 FY2016 FY2017 FY2017 FY2018 FY2019 FY2020
TAXAB LE VALUES (OOO'S) $ 828,385 $ 851 ,638 $ 866,235 $ 868,724 $ 876,530 $ 899, 157 $ 922 ,646
MI LL RATE 4 .35 4.35 4.35 4 .35 4 .35 4.35 4 .35
REVENUES
Property & Sales T axes
Property Tax 3,656,927 3,782,539 3,810,759 3 ,902,208 3,874,650 3,983, 106 4 ,083 ,240
Sales Tax 7 ,257,451 7 ,247,938 7,329,099 6 ,936,040 6,962,613 7,067,052 7,243,535
Total Property & Sales T axes 10,914 ,378 11,030,477 11,139,858 10,838,248 10,837,263 11,050, 158 11,326,775
State/Federal Revenue :
PERS Funding 2 ,977,564 379,467 281,404 282,952 204,235 2 10,362 216,673
Community Assistance 441 ,046 415,798 277,930 278,232 170,598 129,651 63,946
Fish Tax 292,7 18 198,649 200,000 165,000 165,000 169,950 175,049
Other 81 058 155 849 58 000 66, 150 58,000 60,900 63 945
Total State/Federal Revenue 3,792,386 1 149 763 817 334 792 334 597 .833 570,863 519 613
Other Revenue
Licenses and Permits 71,973 62,629 76,500 63,000 63,500 65,405 67 ,367
Ambulance Fees 412 ,509 4 08 ,558 400,000 425,000 425,000 437,750 450,883
I nterest 56,992 76,212 75,000 90,000 100,000 151 ,892 293,709
Other 636,453 587,224 644 805 626,374 605,895 513 347 528 747
Total Other Revenue 1 177 927 1, 134 ,623 1, 196,305 1 204 374 1,194,395 1, 168,394 1,340,706
Total Revenues 15,884 ,691 13,314,863 13, 153,497 12,834,956 12,629,491 12,789,415 13 187 094
Transfer From Other Funds
Charges to other funds 1,505,886 1,458,900 1,494,200 1,494,200 1,492,400 1,537 , 172 1,583,287
Capital Projects I Specia l Revenue 11 124,303
Enterprise 36 ,900 38,300 34 ,000 34 ,000 439 ,000 40, 170 41 ,375
Trust Fund 147 093 148 009 149,802 150,993 152 193 153 403
Tota l Transfers 1,689,890 1,497,200 1,676,209 1,802,305 2,082,393 1,729,535 1 778.065
Total Revenues and Transfers 17 574 581 14,812 ,063 14,829,706 14,637,261 14 711 884 14 ,518,950 14,965,159
EXPENDITURES/APPROPRIATIONS
General Government 5,357 ,342 2 ,865,713 3 ,013 ,609 3,1 13,122 2,909,709 2 ,969,945 3,029,344
Public Safety 6,876,330 6,987,609 7,284,438 7,288,580 7,299,722 7,445,716 7,594,630
Public Works 2 ,269,516 2,25 1,8 12 2,381,685 2,395,685 2,375,314 2,422,820 2,471 ,276
Parks , Recreation & Cultural 1911792 1,993,809 2,156,949 2, 172 ,679 2, 125, 189 2, 167,693 2 211 047
Total Operating Ex penditures 16,414,980 14 ,098 ,943 14 ,836,681 14,970,066 14,709,934 15,006,174 15,306,297
Transfers or Non-Operating 670 394 686,253 583 299 618,299 826,788 598,952 609.421
Tota l Expendi tu res /Appropriations 17 ,085 ,374 14 ,785,196 15 ,419,980 15 ,588,365 15,536,722 15,605, 126 15,915,718
Tota l Su rplus (Deficit) 489,207 26,867 (590,27 4 ) (951, 104) (824 ,838) (1,086 , 176) (950 ,559 )
Projected Lapse -5% 741 834 748 503 735 497 750,309 765 315
Adjusted Surplus (Deficit) 489,207 26,867 151,560 (202,601) (89 ,34 1) (335,867) (185,244 )
Beginning Fund Balan ce 9,902,026 10,391,233 9,830.242 10,418,100 10,215,499 10,126,158 9,790.291
Ending F un d Balance 10,391 ,233 10,418, 100 9,981,802 10,215,499 10,126,158 9 ,790,29 1 9,605,047
Restricted (546,706) (588,937 ) (618,706) (6 18,706) (624,937) (660,937) (696 ,937 )
Committed (409,746) (409 ,746) (509,746) (6,651,471) (6 ,823,217) (6,856 ,341) (6 ,569 ,646)
Assig ned (1 ,497,756) (1,409 ,610) (1 ,776,805) (2,370, 141 ) (2,378 ,978) (2,273,0 13) (2 ,338,464 )
Unassigned Fund Balance $ 7 ,937 ,025 $8 ,009,807 $ 7,076,545 $ 575,181 $ 299 ,026 $ $
Page 27 of 200
Sponsored by : Administration
CITY OF KENAI
ORDINANCE NO. 2962-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, AMENDING THE
KENAI MUNICIPAL CODE , TITLE 23, "PERSONNEL REGULATIONS," CHAPTER 23.55
FISCAL YEAR 2018 OPERATING BUDGET SALARY SCHEDULE .
WHEREAS , the FY2018 Budget includes a 0 .80% increase to the City 's Salary Schedule ; and ,
WHEREAS , the 0.80 % increase is the combined changed in the Anchorage Consumer Price
Index, second half over second half, for 2015 and 2016; and ,
WHEREAS , the pay increase will go into effect beginn ing July 1, 2017, corresponding to the start
of FY2018 .
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 23 .55 of the Kenai MuniciQal Code entitled Fiscal Year
2017 OQerating Budget Salary Schedule: The Kenai Municipal Code, Section 23.55 Fiscal Year
2017 Ope rating Budget Salary Schedule is hereby amended as follows :
FISCAL YEAR 2018 OPERATING BUDGET PAY SCHEDULE FOR ALL CLASSIFIED
EMPLOYEES EXCLUDING THOSE ENGAGED IN FIRE PROTECTION ACTIVITIES
R ange A B c D E F AA BB cc
Step
10 .27 10 .53 10 .78 11 .04 11 .3 0 11 .55 11.81 12 .07 12 .32
1 .1 10 .78 11 .05 11.32 11 .59 11.86 12.13 12.40 12.67 12.94
2 11.47 11 .76 12.04 12.33 12.62 12 .90 13.19 13.48 13.76
2.1 12.08 12.38 12.68 12 .9 9 13.29 13 .59 13.89 14.19 14.5 0
2 .2 12.76 13.08 13 .40 13.7 2 14 .04 14.36 14 .67 14.99 15.31
2.3 13.41 13.75 14.08 14.42 14 .75 15.09 15.42 15.76 16.09
2.4 15.66 16.05 16.44 16.83 17 .23 17.62 18.01 18.40 18.79
2 .5 17.74 18.18 18.63 19.07 19 .51 19.96 20.40 20.84 2 1 .29
3 17 .85 18.30 18.74 19 .19 19.64 20 .08 20.53 20.97 2 1.42
4 18.75 19.22 19.69 20.16 20.63 2 1 .0 9 2 1 .56 22 .03 22 .50
5 19.69 20 .18 20.67 21 .17 2 1.66 22.1 5 22 .64 23.1 4 23 .63
6 20 .66 21.18 2 1.69 22.21 22.73 23.24 23.76 24 .28 2 4 .79
7 21 .71 22 .25 22.80 23.34 23.88 24.42 24.97 25.51 26.05
8 22 .80 23.37 23.9 4 24.51 25.08 25 .65 26 .22 26.79 27.36
9 23.94 2 4 .54 25.14 25 .74 26 .33 26 .93 27 .53 28.13 28.73
10 25.12 25.75 26.38 27 .00 27 .63 28.26 28 .89 29.52 3 0 .1 4
11 26.38 27.04 27.70 28.36 29.02 29.68 30 .34 3 1.00 3 1.66
12 27.72 28.41 29.11 29 .80 30.49 3 1 .19 31 .88 32.57 33.26
New Text Underl ined ; [DELETED TEXT BRACKETED]
Page 28 of 200
Ordinance No. 2962-2017
Page 2 of 2
13 29.08 29.81 30.53 31.26 31.99 32.72 33.44 34.17 34.90
14 30.55 31.31 32.08 32.84 33.61 34.37 35.13 35.90 36.66
15 32.07 32.87 33.67 34.48 35.28 36.08 36.88 37.68 38.48
16 33.67 34.51 35.35 36.20 "37.04 37.88 38.72 39.56 40.40
17 35.35 36.23 37.12 38.00+ 38.89 39.77 40 .65 41 .54 42.42
18 37.12 38.05 38.98 39.90 40.83 41 .76 42.69 43.62 44.54
19 38.97 39.94 40.92 41 .89 42 .87 43.84 44.82 45.79 46.76
20 40.93 41.95 42.98 44.00 45.02 46 .05 47.07 48.09 49.12
21 42 .99 44.06 45.14 46.21 47.29 48.36 49.44 50.51 51.59
22 45 .11 46.24 47 .37 48.49 49.62 50.75 51.88 53.00 54.13
23 47.38 48.56 49.75 50.93 52.12 53.30 54.49 55.67 56.86
24 49.81 51.06 52.30 53.55 54.79 56.04 57.28 58.53 59.77
FISCAL YEAR2018 OPERATING BUDGET PAY SCHEDULE FOR CLASSIFIED EMPLOYEES
ENGAGED IN FIRE PROTECTION ACTIVITIES
Range A B c D E F AA BB cc
Step
13 20 .77 21.29 21 .81 22.33 22.85 23.37 23.89 24.40 24 .92
14 21 .82 22.37 22.91 23.46 24 .00 24.55 25 .09 25.64 26.18
15 22.91 23.48 24.06 24.63 25 .20 25.77 26.35 26 .92 27.49
16 24.06 24.66 25.26 25.86 26.47 27.07 27.67 28.27 28.87
17 25.26 25.89 26 .52 27 .15 27.79 28.42 29.05 29.68 30.31
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 jurisd iction , 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 wo uld have enacted the remainder of this ordinance even
without such part, provision, or application.
Section 4. Effective Date : That pursuant to KMC 1.15.0?0(f), this ordinance shall take effect
30 days after adoption, but shall apply to all ho urs worked beginning July 1, 2017.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, thi s 7th day of June , 2017 .
BRIAN GABRIEL SR., MAYOR
ATTEST:
Sandra Modigh, City Clerk
Approved by Finance :
Contingent on passage of Ordinance 2961-2017
New Text Underlined ; [DELETED TEXT BRACKETE D)
Introduced: May 17, 2017
Ena cted: June 7, 2017
Effective: July 6, 2017
Page 29 of 200
'lftff ~ U1/th a Pa.ft, Ot'tf U1/th a Fat~ "
210 Fidalgo Ave , Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager '(.0J ·
Terry Eubank , Finance Director 1 ~.
May10,2017
Ordinance 2962-2017
The purpose of this memo is to respectfully request adoption of Ordinance 2962-2017 . Ordinance
2962-2017 codifies the changes to the personnel section of the Kenai Municipal Code that will
adopted with the passage of the FY18 City of Kenai Budget. Changes are required with the
adoption of the FY 18 Pay Schedule that incorporated a 0.8% Cost of Living Allowance (COLA)
increase . The COLA increase has an estimated FY18 salary and benefit cost to the City of
$86 ,959 for all funds , comprised of $61, 779 in employee pay increases and $25 , 180 in associated
employee benefits.
Page 30 of 200
Suggested by: Administration
CITY OF KENAI
ORDINANCE NO. 2963-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AUTHORIZING
BUDGET ADJUSTMENTS AND INCREASING GENERAL FUND ESTIMATED REVENUES AND
APPROPRIATIONS FOR COSTS IN EXCESS OF BUDGETED AMOUNTS .
WHEREAS, the General Fund Finance , Planning and Zoning , and Parks , Recreation &
Beautification Departments project a shortfall in budgeted amounts for employee health insurance
because of changes in employee coverage elections ; and,
WHEREAS , due to employee vacancies, the police department has excess funds in its health
insurance budget to cover the shortfall of these departments; and ,
WHEREAS, the Fire Department's overtime budget is currently 93.3% expended with two months
of the fiscal year to go; and,
WHEREAS, higher than budgeted use of overtime is related to excess shift coverage for
employees on medical leave and an increase in call volumes; and ,
WHEREAS , the Fire Department estimates the need for an additional $19 ,835 in overtime and
benefits for the completion of FY2017; and,
WHEREAS , excess budget exist in the Fire Department's Professional Services Account for
transfer to cover the additional overtime; and ,
WHEREAS, the FY2017 Budget forecasted the vacation of portions of the Old City Shop with the
completion of the new Warm Storage Facility ; and ,
WHEREAS, vacation was delayed until construction of the new Warm Storage Facility was
complete ; and ,
WHEREAS, due to extended occupancy, budgeted amounts for land lease and utilities are not
sufficient requiring supplemental funding of $36 ,325; and,
WHEREAS , Public Works Departments of the City have identified sufficient funds in other budget
categories which are available for transfer to cover the shortfall in the land lease and utilities
accounts ; and,
WHEREAS , the Parks, Recreation & Beautification Department projects a shortfall in its leave
budget due to leave employee leave cash-outs in e xcess of budgeted amounts; and,
WHEREAS, annual department budget estimates for leave cash-outs include each employee
cashing-out two weeks of leave; and ,
New Text Und e rlined ; [DELETED TEXT BRACKETED ]
Page 31 of 200
Ordinance No. 2963-2017
Page 2 of 4
WHEREAS, when employees cash in more than this estimated amount, budget deficits are created
and budget adjustments are needed to cover the deficit; and,
WHEREAS , the Parks, Recreation & Beautification Department has cancelled the budgeted
replacement of a 72" mower in FY2017 providing sufficient budget for coverage of the deficit in its
leave budget; and,
WHEREAS, the number of eligible Choice Waiver meals being provided by the Kenai Senior
Center is less than originally budgeted creating a $57 ,000 deficit in the funds projected FY2017
revenues; and,
WHEREAS, as a result of the revenue deficit, the General Fund will need to provide supplementa l
funding for the remainder of FY2017 in the amount of $57,000 .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA:
Section 1: Form : That this is a non-code ordinance.
Section 2: That following budget adjustment is authorized:
General Fund
In crease:
Finance -Health & Life Insurance
Planning & Zoning -Health & Life Insurance
Parks, Recreation & Beautification -Health & Life Insurance
Decrease -
Police -Health & Life Insurance
Section 3: That following budget adjustment is authorized :
General Fund
In crease:
Fire -Overtime
Fire-PERS
Fire -Medicare
Fire -Workers' Compensation
Decrease:
Fire -Professional Services
New Text Underlined; [DELETED TEXT BRACKETED)
$14,513
13,992
13.460
$41.965
$41,965
$15,475
3,400
225
735
$19,835
$19,835
Page 32 of 200
Ordinance No. 2963-2017
Page 3 of 4
Section 4: That following budget adjustment is authorized:
General Fund
Increase :
Non-Departmental -Rentals
Shop -Utilities
Streets -Utilities
Decrease:
Section 5:
Streets -Repair & Maintenance
Streets -Rentals
Streets -Operating & Repair Supplies
Shop-Small Tools & Minor Equipment
Shop -Dues & Publications
Shop -Office Supplies
Shop -Rentals
Buildings -Operating & Repair Supplies
That following budget adjustment is authorized:
General Fund
In crease :
Parks , Recreation & Beautification -Leave
Decrease :
Parks , Recreation & Beautification -Machinery & Equipment
$ 8 ,825
24 ,000
3,500
$36,325
$15,025
7,200
6 ,100
2 ,000
2,000
600
400
3,000
$36,325
$M.QQ
$M.QQ
Section 6: That estimated revenues and appropriations be increased as follows:
General Fund
Increase Estimated Revenues -
Appropriation of Fund Balance
In crease Appropriations :
Non-Departmental -Transfer to Senior Citizen Fund
$57,000
$57,000
Section 7. Severabil ity : 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 , suc h
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 appli catio n .
New Text Underlined; [DELETED TEXT BRACKETED]
Page 33 of 200
Ordinance No. 2963-2017
Page 4 of 4
Section 8. Effective Date: "That pursuant to KMC 1.15.0?0(f), this ordinance shall take effect
upon enactment.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 7th day of June, 2017.
ATTEST:
Sandra Modigh , City Clerk
Approved by Finance ~
BRIAN GABRIEL SR., MAYOR
Introduced: May 17, 2017
Enacted: June 7, 2017
Effective : June 7, 2017
New Text Underlin e d ; [DELETED TEXT BRACKETED]
Page 34 of 200
'Vtfl'~ t<J/th Q Pacf~ e~ t<J/th Q h.tar-e JI
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ?-&·
Terry Eubank, Finance Director 1?'.
May 10, 2017
Ordinance 2963-2017
The purpose of this memo is to respectfully request adoption of Ordinance 2963-2017. Ordinance
2963-2017 authorizes budget transfers within numerous General Fund Departments and
authorizes a supplemental appropriation to provide additional funding for operations of the Kenai
Senior Center in FY2017. The remainder of this memo will provide justification for the requested
adjustment to Health & Life Insurance budgets . Memos in support of other requested budget
revisions and the supplemental appropriation have been provided seperately by the impacted
departments.
Budget adjustments are needed in the Finance, Planning & Zoning , and Parks , Recreation &
Beautification Departments for employee health and life insurnance amounts. The FY2017 City
budget allocated employee health care costs based on the projected coverage of employees in
each department. In each of these departments the actual coverage election by employees
differed from what was budgeted creating shortfalls. Funding for the needed budget transfer is
available in the Police Department's employee health and life insurance account. Vacancies in
the Police Department during FY2017 resulted in the available budget.
The change in allocation method incorporated in the FY2018 Budget should eliminate the needed
for similar budget revision in subsequent fiscal years.
Page 35 of 200
'Utt~ (,(/;tit-a Pai!~ e~ (,(/;tit-a Fu.t~"
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone: (907) 283-75351 Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ~ ,C) ·
Rachael S. Craig K_R._~l!fl-.
05-07-17
Senior Citizen Fund Supplemental Funding
This memo is in reference Ordinance 2963-2017.
This memo is requesting a transfer of $57,000 from the General Fund to provide supplemental
funding for the Senior Citizen Fund . Due to continual denials of Choice Waiver Client's Care
Plans by the State of Alaska, the fund continues to see a decline in Choice Waiver Revenue.
When a client, who is 60 years and older, is refused service under the Choice Waiver Program,
they are likely to continue receiving services under the center's NTS (Nutrition, Transportation
and Services) Grant. The Choice Waiver Program is a fee for service and is paid through a
reimbursement per meal. The client is approved for a certain number of meals through the
individual's annual plan of care. Currently, the Choice Waiver reimbursement rate is $21.47 per
meal.
The NTS grant, through the Older American's Act of 1964, states a suggested donation may be
requested but a person is not required to make a donation. There is no means test that can be
used for the suggested donation. Last fiscal year, the suggested donation was $6.00. As of May
1, 2017, the suggested NTS donation has been increased to $7 .00. The cost to produce a meal
at the senior center is approximately $15.00.
Comparing November 2016 through April 2017 to the 2015 -2016, we have seen a 12.4% loss
in the number of Choice Waiver Clients as well as a 14% decrease in the number of meals
provided.
I request that you support an increase of $57,000 from the general fund to the Choice Waiver
Revenue to cover the loss.
Page 36 of 200
MEMORANDUM
'Vtff ~ «1/th a Pacf'~ Ct'tj «11'th a Fatfd'e, "
210 FidalgoAve, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www. kenai.city
TO:
THROUGH:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ?,<..:?·
FROM: Jeff Tucker, Fire Chief
DATE: May 8, 2017
SUBJECT: End of Fiscal Year Overtime Budget Transfer
As we approach the end of FY 17 the Fire Department is in need of transfering funds to cover
unanticipated overtime expenses. The need is percipitated by an increase in calls for service
and the need to cover for staff who have suffered off-duty injuries.
Our anticipated budget shortfall is estimated to be $19,835.00 which includes $15,475 in
overtime , $3 ,400 in PERS , $225 in Medicare , and $735 in Workers ' Compensation Insurance.
We have identified the following internal funding sources to cover the budget transfers.
4531 -Professional Services
• Employee Physicals
• Posichek Calibration Servicing
• Shredding Services
• Ambulance Billing Services
$10,000.00
$1,200 .00
$200 .00
$8,435.00
Page 37 of 200
'V/fl~ a1/t~ a Pa~~ tt'tj a1/t~ a Fu.tan
11
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kena i.city
MEMORANDUM
TO:
THROU ~
FROM:l\fi)
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager <;>, CJ ·
Robert J. Frates, Parks & Recreation Director
May 10, 2017
Leave Account -Shortage FY17
The Parks & Recreation Department experienced a deficit in its FY17 Leave Account
(001 -445-0300). The deficit of $6,000 is primarily a result of the Director cashing in available
hours .
To cover this shortfall , funds can be used from the department's Machinery & Equipment account
(001-445-8064) in the amount of $6,000 . The reason funds exist is because we will not be
purchasing a mower.
Page 38 of 200
"tl/tltlfe tfl/th a PaJ'~ tt'tt tfl/th a Fat~ "
210 Fidalgo Ave, Kenai , A laska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ?, 0 ·
Sean Wedemeyer, Public Works Director/Capital Projects Manager S ,All tJ
May 11 , 2017
Ordinance No. 2963-2017
This purpose of this memo is to recommend adoption of ordinance 2963-2017.
During the fiscal year 2017 budget process in late 2015 and early 2016, it was
anticipated that the new warm storage and subsequent Streets/Buildings offices and
work areas would be constructed in time for these departments to move out of the
Airport owned property at 332 Airport Way by July 1, 2016. At that time it was
envisioned that the office/work area would be constructed with wood framing. It was
later determined that fire and building codes required we construct with non-
combustible materials, e .g . steel framing . The time it required to complete design and
procure the materials increased significantly. Therefore budgeted amounts for land
lease and utilities at this location are not sufficient.
I tasked my foremen with assisting me in identifying budgeted purchases that can be
postponed to FY 18 without a significant impact to operations and services. They
diligently provided me with a list to choose from. In order to fund the budget shortfall I
propose to postpone crack sealing streets, renting equipment to restore ditches to
proper profile , and the purchase of various items e .g. small tools and a Volvo
diagnost ic subscription.
Thank you for your consideration .
Page 39 of 200
New Text Underlined; [DELETED TEXT BRACKETED]
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2964-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, REPEALING KENAI
MUNICIPAL CODE CHAPTER 5.15-PRIVATE DETECTIVE AGENCIES, REMOVING SPECIFIC
LOCAL REGULATION OF DETECTIVE AGENCIES.
WHEREAS, Kenai Municipal Code Chapter 5.15 provides for the regulation of detective agencies;
and,
WHEREAS, the last license issued to a detective agency was in July 2011; and,
WHEREAS, the State does not license private detective and rejected legislation to do so as
recently as 2015; and,
WHEREAS, few, if any municipalities of a similar size in the State regulate private detectives; and
WHEREAS, the Police Chief and City Clerk recommend a repeal of the Chapter because it is not
utilized, is outdated making it difficult to administer, and carries an administrative burdening of
updating associated fees each year as a part of the City’s Fee Schedule; and,
WHEREAS, issuing City licenses may allow private investigators to use the license as a credential
to access certain data bases which is not an intent of the City’s regulations.
WHEREAS, it is in the best interest of the City to repeal KMC Chapter 5.15 rather than leave it on
the books, as the burden and potential for misuse outweighs any benefit.
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 of Chapter 5.15 of the Kenai Municipal Code: That Kenai Municipal Code,
Chapter 5.15-Private Detective Agencies, is hereby Repealed in its entirety:
[Chapter 5.15
PRIVATE DETECTIVE AGENCIES
SECTIONS:
5.15.010 DEFINITIONS.
5.15.020 DETECTIVE AGENCY LICENSE FEE.
5.15.030 DETECTIVE AGENCY APPLICATION—BOND.
Page 40 of 200
Ordinance No. 2964-2017
Page 2 of 5
New Text Underlined; [DELETED TEXT BRACKETED]
5.15.040 PRIVATE DETECTIVE LICENSE—FEE.
5.15.050 PRIVATE DETECTIVE LICENSE—APPLICATION.
5.15.060 PENALTY.
5.15.070 GROUNDS FOR DENIAL OF LICENSE.
5.15.080 UNLAWFUL ACTS.
5.15.010 DEFINITIONS.
THE WORDS AND PHRASES USED HEREIN, UNLESS THE CONTEXT OTHERWISE
INDICATES, SHALL HAVE THE FOLLOWING MEANINGS:
(A) “PRIVATE DETECTIVE BUSINESS” MEANS AND INCLUDES THE BUSINESS OF OR
THE REPRESENTATION OF BEING ENGAGED IN THE BUSINESS OF, MAKING FOR
HIRE, OR REWARD INVESTIGATION, OR INVESTIGATIONS WITH REFERENCE TO
ANY OF THE FOLLOWING MATTERS:
(1) DETECTING, DISCOVERING, OR REVEALING CRIME OR CRIMINALS OR
SECURING SECRET INFORMATION OR EVIDENCE RELATING THERETO;
(2) DISCOVERING OR REVEALING THE IDENTITY, WHEREABOUTS,
CHARACTER, OR ACTIONS OF ANY PERSON OR PERSONS, THING OR
THINGS;
(3) THE HABITS, CONDUCT, MOVEMENTS, WHEREABOUTS, ASSOCIATIONS,
TRANSACTIONS, REPUTATION, OR CHARACTER OF ANY PERSON, FIRM,
OR CORPORATION;
(4) THE CREDIBILITY OF WITNESSES OR OTHER PERSONS;
(5) THE LOCATION OR RECOVERY OF LOST OR STOLEN PROPERTY;
(6) THE CAUSES, ORIGIN, OR RESPONSIBILITY FOR FIRES, ACCIDENTS, OR
INJURIES TO REAL OR PERSONAL PROPERTY;
(7) THE AFFILIATION, CONNECTION, OR RELATION OF ANY PERSON, FIRM, OR
CORPORATION WITH ANY UNION OR NON-UNION ORGANIZATION, WITH
ANY OFFICIAL MEMBER OR REPRESENTATIVE THEREOF, OR WITH ANY
PERSON OR PERSONS SEEKING EMPLOYMENT IN THE PLACE OF ANY
PERSON OR PERSONS WHO HAVE QUIT WORK BY REASON OF STRIKE;
(8) THE TRUTH OR FALSITY OF ANY STATEMENT OR REPRESENTATION;
(9) THE BUSINESS OF SECURING FOR HIRE OR REWARD EVIDENCE TO BE
USED BEFORE AUTHORIZED INVESTIGATION COMMITTEES, BOARDS OF
AWARD OR ARBITRATION, OR IN THE TRIAL OF CIVIL OR CRIMINAL CASES.
(B) “MERCHANT PATROL SYSTEM” MEANS AND INCLUDES THE BUSINESS OF
FURNISHING FOR HIRE OR REWARD GUARDS OR OTHER PERSONS TO PROTECT
PERSONS OR PROPERTY, PREVENT THEFT OR UNLAWFUL TAKING OF GOODS,
WARES, AND MERCHANDISE, OR THE MISAPPROPRIATION OR CONCEALMENT
OF GOODS, WARES, AND MERCHANDISE, MONEY, BONDS, STOCKS, CASES IN
ACTION, NOTES, OR OTHER VALUABLE DOCUMENTS OR PAPERS; OR THE
BUSINESS OF PERFORMING THE SERVICE OF SUCH GUARD OR OTHER PERSON
FOR ANY OF SAID PURPOSES.
(C) NOTHING IN THIS CHAPTER SHALL APPLY TO ANY OFFICER OR EMPLOYEE OF
THE UNITED STATES OF AMERICA, THE STATE OF ALASKA, OR POLITICAL
SUBDIVISION OF THE STATE OF ALASKA, APPOINTED OR ELECTED BY DUE
AUTHORITY OF LAW; TO ANY PERSON, FIRM, OR CORPORATION WHOSE
BUSINESS IS THE FURNISHING INFORMATION AS TO THE BUSINESS, FINANCIAL
STANDINGS, CREDITS OF FIRMS, OR CORPORATIONS; NOR TO ANY PERSON,
FIRM, OR CORPORATION INQUIRING AS TO THE PERSONAL HABITS AND
Page 41 of 200
Ordinance No. 2964-2017
Page 3 of 5
New Text Underlined; [DELETED TEXT BRACKETED]
FINANCIAL RESPONSIBILITY OF APPLICANTS FOR INSURANCE, INDEMNITY,
BONDS, OR COMMERCIAL CREDIT, OR OF CLAIMANTS UNDER INSURANCE
POLICIES.
5.15.020 DETECTIVE AGENCY LICENSE FEE.
IT IS UNLAWFUL FOR ANY PERSON TO ENGAGE IN BUSINESS AS A DETECTIVE
AGENCY WITHOUT HAVING FIRST OBTAINED A CITY LICENSE SO TO DO, TO BE KNOWN
AS A “DETECTIVE AGENCY LICENSE.” THE FEE FOR SAID LICENSE SHALL BE AN ANNUAL
FEE AS SET FORTH IN THE CITY’S SCHEDULE OF FEES ADOPTED BY THE CITY COUNCIL.
IF THE APPLICANT IS AN ASSOCIATION, FIRM, OR CO-PARTNERSHIP, SUCH
APPLICATION SHALL BE SIGNED PERSONALLY BY EACH PERSON COMPOSING OR
INTENDING TO COMPOSE SUCH ASSOCIATION, FIRM, OR CO-PARTNERSHIP. IF THE
APPLICANT IS A CORPORATION, SUCH APPLICATION SHALL BE SIGNED BY THE
OFFICER OF THE CORPORATION AUTHORIZED TO SIGN SUCH DOCUMENTS IN THE
STATE OF ALASKA. SUCH APPLICATION SHALL BE SWORN TO BY ALL PERSONS
SIGNING THE SAME BEFORE SOME PERSON AUTHORIZED TO ADMINISTER OATHS.
5.15.030 DETECTIVE AGENCY APPLICATION – BOND.
(A) APPLICATION FOR A DETECTIVE AGENCY LICENSE SHALL BE MADE TO THE
KENAI POLICE DEPARTMENT ON FORMS TO BE FURNISHED BY THEM FOR THAT
PURPOSE AND EACH PERSON SIGNING THE APPLICATION MUST STATE HIS OR
HER FULL NAME, AGE, RESIDENCE, PRESENT AND PREVIOUS OCCUPATIONS OF
HIS OR HER PRESENT OR FORMER EMPLOYERS, AND SHALL GIVE PERMISSION
FOR A COMPLETE INVESTIGATION OF THE APPLICANT.
(B) EACH PERSON SIGNING THE APPLICATION MUST HAVE ALREADY OBTAINED OR
HAVE CONTINGENT APPROVAL FOR A PRIVATE DETECTIVE LICENSE AS
PROVIDED FOR BY THIS CHAPTER, AND SAID APPLICATION SHALL BE
ACCOMPANIED BY A SURETY BOND COMPANY AUTHORIZED TO DO BUSINESS IN
THE STATE IN THE PRINCIPAL SUM OF FIVE THOUSAND DOLLARS ($5,000.00),
CONDITIONED THAT THE LICENSEE SHALL, AND ALL HIS OR HER EMPLOYEES
WILL, COMPLY WITH ALL THE REQUIREMENTS OF THIS CHAPTER INSOFAR AS
THEY RELATE TO THE BUSINESS OF PRIVATE DETECTIVE OR DETECTIVE
AGENCIES.
5.15.040 PRIVATE DETECTIVE LICENSE – FEE.
IT IS UNLAWFUL FOR ANY PERSON, WHETHER LICENSED AS A DETECTIVE
AGENCY OR NOT, TO ENGAGE IN THE PRIVATE DETECTIVE BUSINESS OR TO ACT OR
ENGAGE IN BUSINESS AS A PRIVATE DETECTIVE WITHOUT HAVING FIRST OBTAINED A
CITY LICENSE SO TO DO, TO BE KNOWN AS A “PRIVATE DETECTIVE LICENSE.” THE FEE
FOR SAID LICENSE SHALL BE AN ANNUAL FEE AS SET FORTH IN THE CITY’S SCHEDULE
OF FEES ADOPTED BY THE CITY COUNCIL. SUCH PRIVATE DETECTIVE LICENSE SHALL
CARRY THE NAME OF THE DETECTIVE AGENCY BY REASON OF WHICH THE PRIVATE
DETECTIVE LICENSE IS ISSUED, AND SUCH LICENSE SHALL BE IN FORCE AND EFFECT
ONLY AS LONG AS SUCH PERSON IS POSSESSED OF, OR IS A MEMBER OF A
PARTNERSHIP OR OFFICER OF A CORPORATION HOLDING, OR IS EMPLOYED BY THE
HOLDER OF SUCH DETECTIVE AGENCY LICENSE.
Page 42 of 200
Ordinance No. 2964-2017
Page 4 of 5
New Text Underlined; [DELETED TEXT BRACKETED]
5.15.050 PRIVATE DETECTIVE LICENSE – APPLICATION.
APPLICATION FOR A PRIVATE DETECTIVE LICENSE SHALL BE MADE TO THE
KENAI POLICE DEPARTMENT ON FORMS TO BE FURNISHED BY THEM FOR THAT
PURPOSE; SHALL BE SIGNED BY THE APPLICANT AND SHALL STATE HIS OR HER FULL
NAME, AGE, RESIDENCE, HIS OR HER PRESENT AND FORMER EMPLOYERS AND SHALL
GIVE PERMISSION FOR A COMPLETE INVESTIGATION OF THE APPLICANT. SUCH
APPLICATION MUST BE ACCOMPANIED BY A COMPLETE SET OF FINGERPRINTS AND A
PHOTOGRAPH. NO APPLICATION SHALL BE APPROVED BY THE KENAI POLICE
DEPARTMENT UNLESS THE APPLICANT IS TWENTY-ONE (21) YEARS OF AGE OR OLDER,
A CITIZEN OF THESE UNITED STATES, AND OF GOOD MORAL CHARACTER AND
REPUTATION; NOR SHALL THE KENAI POLICE DEPARTMENT BE AUTHORIZED TO ISSUE
A LICENSE TO ANYONE WHO IS ADDICTED TO THE USE OF INTOXICANTS OR
NARCOTICS; HAS BEEN CONVICTED OF A FELONY WITHIN TEN (10) YEARS PREVIOUS
TO THE DATE OF APPLICATION, OR HAS BEEN CONVICTED AT ANY TIME OF A FELONY
OR MISDEMEANOR INVOLVING MORAL TURPITUDE OR ASSAULT WITH A DEADLY
WEAPON OR THE USE OF OR TRAFFIC IN NARCOTIC DRUGS OR TRAFFIC IN WOMEN
FOR IMMORAL PURPOSES.
5.15.060 PENALTY.
ANY PERSON FAILING TO COMPLY WITH, OR VIOLATE ANY PROVISION OF THIS
CHAPTER SHALL BE GUILTY OF A VIOLATION, AND UPON CONVICTION SHALL BE FINED
AS PROVIDED FOR VIOLATIONS IN KMC 13.05.010. EVERY DAY UPON WHICH A
VIOLATION SHALL CONTINUE SHALL CONSTITUTE A SEPARATE OFFENSE.
5.15.070 GROUNDS FOR DENIAL OF LICENSE.
IF, IN THE OPINION OF THE KENAI POLICE DEPARTMENT, THE APPLICANT DOES
NOT MEET THE REQUIREMENTS AND QUALIFICATIONS ESTABLISHED BY THIS
CHAPTER, HE OR SHE MAY DENY THE ISSUANCE OF EITHER A TEMPORARY OR A
PERMANENT LICENSE. WHEN THE KENAI POLICE DEPARTMENT SHALL REFUSE TO
ISSUE EITHER A TEMPORARY OR PERMANENT LICENSE, IT SHALL BE DONE IN WRITING,
STATING BRIEFLY AND CONCISELY THE REASONS FOR SUCH DECISION.
5.15.080 UNLAWFUL ACTS.
IT IS UNLAWFUL FOR ANY PERSON, UNLESS DULY LICENSED SO TO DO
PURSUANT TO THIS CHAPTER, TO ENGAGE IN, ADVERTISE, OR TO HOLD HIM OR
HERSELF OUT AS A PRIVATE DETECTIVE OR REPRESENT HIM OR HERSELF AS BEING
ENGAGED IN THE PRIVATE DETECTIVE BUSINESS. IT IS UNLAWFUL FOR ANY LICENSEE
UNDER THIS CHAPTER TO ASSUME TO ACT AS ANY OFFICER OF THE LAW WITHOUT
PROPER AUTHORITY.]
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 43 of 200
Ordinance No. 2964-2017
Page 5 of 5
New Text Underlined; [DELETED TEXT BRACKETED]
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 7th day of June, 2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
City Clerk
Introduced: May 17, 2017
Enacted: June 7, 2017
Effective: July 7, 2017
Page 44 of 200
Page 45 of 200
Sponsored by: Administration
CITY OF KENAI
RESOLUTION NO. 2017-25
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AUTHORIZING THE
PURCHASE OF REAL PROPERTY DESCRIBED AS US SURVEY 257, LOCATED WITHIN
SECTION 5, TOWNSHIP 5 NORTH, RANGE 11 WEST, SEWARD MERIDIAN , FROM RUSSELL
CLARK, FOR THE PUBLIC PURPOSE OF INCLUDING THE PROPERTY IN THE BLUFF
EROSION RESTORATION PROJECT AND DETERMINING THAT THE PUBLIC INTEREST
WILL NOT BE SERVED BY AN APPRAISAL.
WHEREAS, the subject real property is described as : US Survey 257 , located in Section 5 ,
Township 5 North, Range 11 West, Seward Meridian, Kenai Recording District , Third Judicial
District, State of Alaska; and,
WHEREAS, the total purchase price for the subject parcel containing 2.78 acres is $5,000, plus
estimated closing costs of $51 O; and ,
WHEREAS , pursuant to Kenai Municipal Code 22.05.135(a) the City may acquire property
needed for a public use on such terms and conditions as the Council shall determine; however,
no purchase shall be made until a qualified appraiser has appraised the property and given the
Council and independent opinion as to the full and true value thereof unless the Council, upon
resolution so finding , determines that the public interest will not be served by an appraisal ; and,
WHEREAS, the City Council has authorized the City Manager to enter into negotiations with
property owners who's parcels have been identified by the Department of the Army, Corps of
Engineers as being needed for the construction of erosion-control structures or to provide
permanent access to support the bluff stabilization project ; and,
WHEREAS , the Lower Kenai River has eroded the Kenai River Bluff through the original town
site of Kenai at an estimated rate of three feet per year, causing the loss of public and priva te
infrastructure , buildings , and lands ; and ,
WHEREAS , the subject parcel will be included in the project to stabil ize the erosion of the bluff at
the mouth of Kenai River; and ,
WHEREAS, funds are available for the subject parcel purchase through Legislative Grant 12-DC-
377.
NOW , THEREFORE , BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA:
Section 1. That the Kenai City Council hereby authorizes the City Manager to purchase the
real property known as US Survey 257 located in Section 5 , Township 5 North ,
Range 11 West, Seward Meridian, Kenai Recording Dist rict, Third Judicial District,
State of Alaska for the total purchase price of $5 ,000 plus estimated closi ng costs
of $510, on a form approved by the City Attorney, to be reta ined by the City for
public use.
Section 2. That the Kenai City Council further finds the acquisition of the s ubject parcel to be
in the best interests of the citizens of the City of Kenai and that the pub lic interest
shall be served by its acquisition for the tota l purchase price of $5 ,000 plus
estimated closing costs of $510, in accordance with the recitals above which are
incorporated herein.
Page 46 of 200
Resolution No . 2 017-25
Page 2 of 2
Section 3. That this resolution takes effect immediately upon passage .
PASSED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 7 th day of June , 2017.
BRIAN GABRIEL SR., MAYOR
AITEST:
Jamie Heinz , Acting City Clerk
Approved by Finance : __ f:.,..__.-~--=-----
Page 47 of 200
'Vtff qp-e «1/t/i a Paif~ Ct'tj «1/ti a Fat~ 11
210 Fidalgo Ave , Kenai , Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager .::p. 0 -
Matt Kelley, City Planner A t:_
May 31 , 2017
Resolution No. 2017-25
The purpose of this communication is to provide additional information in support of Resolution
No. 2017-25. The proposed Resolution, would appropriate funding for the purchase of real
property described as US Survey 257, located in Section 5, Township 5 North , Range 11 West,
Seward Meridian , Kenai Recording District, Third Judicial District , State of Alaska , consist ing of
approximately 2. 78 acres.
The subject parcel is located within the Kenai River and has been completed eroded away due to
erosion of the Kenai River Bluff. The subject parcel has been identified by the Department of the
Army , Corps of Engineers as being needed for the construction of erosion-control structures or to
provide permeant access to support the bluff stabilization project.
The agreed upon purchase price as negotiated with Mr. Clark , as authorized by the City Council
is $5,000 plus estimated closing costs of $510.
Funding for the purchase will be provided through Legislative Grant 12-DC-3 77 .
Attached , please find an aerial photograph identify the subject parcel.
Thank you for your consideration.
Page 48 of 200
Zoning: Central Commercial
KPB Parcel No: 047-103-11
Owner: Russell S. Clark
Acreage: 2.78
Legal: US Survery 257, T5N, R11W, Section 5, Seward Meridian ~ KBW~A
0 165 330 66 0 ---====i _____ Feet
Page 49 of 200
EARNEST MONEY RECEIPT AND AGREEMENT
Received from C itv of Kenai hereinafter call ed PURCHASER, the sum of $0.00, in the fonn of a check payable
to Professional Escrow Services, Inc ., in trust for Russell S . C lark hereinafter call ed SELLER, as Earnest Money on
NIA (date), in part payment of the purchase price of the following described real property:
Legal Description:
US Survey 257 (KPB Parcel No. 04 710311) In the Kenai Recording District, Third Judicial Di strict, State of
Alaska.
The total purchase price is $5,000.00, payable as follows: $ ___ earnest money
r81balance due at closing OR OBank loan with OR
O Owner Finance $ __ payable at $ __ or more per __ . Including/Plus interest at
__ %. Interest accrues from __ . First payment due __ . Amortized years __ .
ODue on Sale Clause Late fee of$ __ for _past due.
OFull Coverage Insurance Required. Co ll ect at __ . Other terms: __ .
THE CLOSING COSTS are to be paid between Seller and Purchaser as follows:
Indicate: (S) = Seller; (P) =Purchaser; (50150) = Split equally between Seller and Purchaser
_P __ Owners Title insurance
Lenders Insurance
f Escrow Settlement/Clos in g Fee
f Recording Fee
__ Escrow Set Up Fee
Escrow Annual Fee
__ Attorney Doc Prep Fees
__ Delinquent Property Taxes
__ Pending/Levied Assessments
__ C lear Existing Liens
__ As-Built Survey Fee
__ Appraisal
__ Final Inspection on Appraisal
Other Co sts __
__ Origination Fee
Commitment Fee
Discount Points
__ Tax Registration Fee
Flood Certificati on
__ Credit Report
__ Document Preparation Fee
MIP/PMI
__ V.A. Funding Fee
__ Establish/Replace Reserves on New Loan
__ Interest to Closing Date New Loan
__ Well/Septic Testing (if required by lender)
__ Home In spection Fee
Smoke D etectors
w ARNING: IT rs PURCHASER'S AND SELLER'S RESPONSIBILITY TO SEEK AND
CONSULT WITH OWN INDEPENDENT LEGAL ADVISOR, TAX ADVISOR, BUILDING
& SOIL INSPECTOR, LAND SURVEYOR, WATER & SEWER ENGINEER, OR OTHER
APPROPRIATE ADVISOR FOR THIS TRANSACTION AND AT THE SOLE COST TO THE
PARTY REQUESTING SUCH SERVICE(S) UNLESS OTHERWISE STATED ABOVE.
SUCH SERVICE OR DILIGENT INQUIRY SHALL BE COMPLETED WITHIN 10 DAYS
OF SELLER'S SIGNATURE HEREON OR ANY OTHER TIME FRAME AND MUTUALLY
AGREED TO IN WRITING BETWEEN SELLER AND PURCHASER.
J. The title is to vest and read: City of Kenai (ohusband and wife, o married , o
unmarried ,)
Page 50 of 200
Purchase and Sales Agreement
City of Kenai and Clark S. Russell
Kenai Peninsula Borough Parcel Number: 04 710311
2. Seller agrees to furnish and deliver to Purchaser as soon as procurable a purchaser's
policy ohitle insurance to be issued by Title Company. If the title cannot be made clear
as aforesaid within 20 days from the issuance of a preliminary title report, Purchaser may
cancel this agreement and Seller must refund the earnest money. It is also agreed that the
Purchaser may waive defects or require the price to be renegotiated to cover any defects
or encumbrances at the Purchaser 's sole dis cretion without loss of the earnest money
refund.
3 . If title is made good on or before closing and the Purchaser neglects or refuses to
complete the purchase, the earnest money may, at Seller's sole option, be forfeited as
liquidated damages, which shall not preclude any other remedy available at law or in
equity, if any.
4. The property shall be conveyed by WARRANTY DEED free of encumbrances except for
rights reserved in federal patents or state deeds, building or use restrictions general to the
district, and building or zoning regulations and provisions shall not be deemed defects
nor encumbrances. Any defects or encumbrances may be discharged at closing out of the
purchase money.
5. Taxes for the current year , rents, interest, mortgage reserves, will b e prorated as of the
date of closi ng.
6. Possession will occur on recording.
7. Purchaser offers to purchase the prope1ty on the tenns noted in its present condition and
this agreement is issued s ubject to:
a. Subject to approval of the Council of the City of Kenai
b.
c.
d.
e .
8 . The sale shall be closed in the offices of Professional Escrow Services with an escrow or
closing agent on or before 30-Days after approv al of the Resolution or Ordinance
approving the purchase by the Coun cil of the City of Kenai. "Closed" shall mean the day
the deed of contact is recorded and funds are to be disbursed.
9. Purchaser and the Seller w ill, on demand of either, deposit in escrow with the closing
agent all instruments and monies necessary to complete t he purchase.
Jo. There are no verbal or other agreements which modify or affect this agreement. Tim e i s
of the essence of this agreement.
WHEREFORE the Seller and purchaser being in accord do bind themselves hereto by their
signatures hereunder:
2
Page 51 of 200
Purchase a nd Sales Agreement
City of Kenai and Clark S. Russell
Kenai Peninsula Borough Parcel Numb er: 04710311
PURCHASER:
Date:
(sign name)
City of Kenai,
Paul Ostrander, City Manager
(print name)
Telephone: (907) 283-8222
Fax :
email:· postrander@keni.city
Address: 210 Fidalgo Avenue
Kenai, AK 99611
Date:
(sign name)
(print name)
T elephone :
Fax :
email :
Address:
-
SE LLER: ~//_14 d_ Date: 11.ML J . -
(Sign name) I./" • { 7
Russell S. Clark
(print name)
Telephone: (918) 774-4561
Fax:
email: clarkfarm@windstrem.net
Address: 27067 Reichert Summerfield Rd
Heavener, OK 74937
Date:
(sign name)
(print name)
Telephone :
Fax:
emai l:
Address:
Existina Lien Pavoff I Assumotion Information :
1. Lend e r :
Loan#:
te lephone #:
1. Lender:
Loan#:
telephone #:
3
Page 52 of 200
Fi le for Record at the Request of:
Professional Escrow Services, Jnc. (PESJ)
AFTER RECORDING PLEASE MAIL TO:
C ity o f Kenai
2 10 Fidal go A ve.
Kenai , AK 996 11
Fi le Ref. o. 17 1896305
STATUTORY W~Y DEED
The Grantor(s), RUSSELL S. C LARK, w hose address I 27067
OK 74937, fo r and in consideration of th e sum of TEN DOLL ($10.00) a nd other good and val uable
co nside ration to him in hand paid , re ce ipt fo r wli"c h is he reby acknowledge , d oes hereb y convey a nd warrant to th e
Gra ntee(s), CITY OF KENAI , whose address 2 I F ida lgo AYe. -Kenai, A 99611, all ri g ht, titl e and interest in
and to that ce11ain real property , s itu ated in th e Kenai Reco rdin g Di strict, Third udi c ial Di strict, State of A laska, to-
w it :
US SURVE Y 257, acco rding to the officia l plat thereof, filed in the r ecord s of the Kenai
Recording District, hird J udicia l District, S tate f A laska.
(KPB Tax Par
susfuc ;ro taxes and assessm~nts for th e year 201 7 and subseque nt years, reservati ons, rest ri ctions , co ndi tions,
covena nts , easements, ri g ht s of wa) of record , and any set of fac ts an acc urate s urvey o r physical in spectio n wou ld
reveal.
TOGETHER WITH , A LL A D SINGULAR , the ten e me nts, h ereditam ents, appui1enances a nd p ri v il eges the reto
inc id ent , unto said Grantee(s) a nd to hi s he irs, executo rs, admini strato rs and assign s, FOREVER .
---------Be low This Lin e Rrse rved For O ffi cia l Us e Only----------
Page 53 of 200
SIGNED, SEALED AND DELIVERED this ____ day of ________ .2017.
RUSSELLS. CLARK
STATE OF ___ _
Cou nty of _____ _
On thi s ____ day of , 2017 , be fore me the unders igned Notary Public in and fo r the State of
________ , personally appeared RUSS lJ S. CLARK, w ho ac k:nowle dged to me th at he executed th e within
Page 2 of2
---------Below This Line Reserved For Official Use Only----------
Page 54 of 200
Sponsored by: Administration
CITY OF KENAI
RESOLUTION NO. 2017-26
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AWARDING AN
AGREEMENT FOR ENGINEERING OF KENAI RECREATION CENTER MECHANICAL
IMPROVEMENTS
WHEREAS, on May 12, 2017 proposals were received from AMC Engineers , Jernstrom
Engineering , MBA Consulting Engineers, CRW Engineering Group , RSA Eng ineering , and PDC
Engineers; and,
WHEREAS , the proposals were scored based on the criteria set forth in the Request For
Proposals (RFP); and ,
WHEREAS, based on the scoring of the proposal review committee Jernstrom Engineering is
the highest ranked proposer; and,
WHEREAS, award of an agreement to Jernstrom Engineering LLC would be in the best interest
of the city; and,
WHEREAS, the recommendation from City Administration is to award the agreement to
Jernstrom Engineering LLC for the total approximate cost of $39,010.00 ; and ,
WHEREAS , sufficient monies are appropriated .
NOW , THEREFORE , BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI ,
ALASKA:
Section 1. That the City Manager is authorized to award an agreement for the project
entitled "MECHANICAL AND ELECTRICAL ENGINEERING OF KENAI
RECREATION CENTER MECHANICAL IMPROVEMENTS" to Jernstrom
Engineering LLC for the amount of $39 ,010.00
Section 2. That this resolution takes effect immediately upon passage .
PASSED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 7th day of June , 2017 .
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz, Acting City Clerk
Page 55 of 200
'llttlQ/e «1/th a Pa~~ Ct'tj «11'th a ratfV'e "
210 Fidalgo Ave , Kenai , A laska 99611-7794
Telephone: (907) 283-7535 I Fax: (907 ) 283-3014
www.kenai .city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager 'V .0 ·
Sean Wedemeyer, Public Works Director/Capital Projects Manager
May 31 , 2017
Awarding an agreement to design mechanica l improvements
The purpose of this memo is to recommend adoption of a resolution awarding an agreement to
perform the mechanical and electrical engineering for the Kenai recreation center mechanical
improvements project.
On May 12, 2017 proposals were received from AMC Engineers , Jernstrom Engineering , MBA
Consulting Engineers , CRW Engineering Group, RSA Engineeri ng , and PDC Engineers . The
review committee scored the proposals based on the criteria outlined in the Request For
Proposals (RFP.) Jernstrom Engineering is the highest ranked proposer.
The scope of work includes providing bid documents for the fo ll owing improvements .
Demolition and replacement of the six existing gas fired packaged rooftop units .
New volume dampers, supply air diffusers, return air grilles, and performa nce specify cleaning
of the existing ducted systems .
General exhaust in the weight room and cardio rooms .
Central exhaust fan to accommodate exhaust for the existing restrooms , locker rooms , and
demolish the existing ceiling mounted cabinet local exhaust fans.
Replacement of the existing domestic water heaters with one centra l sy stem utilizing high
efficiency gas fired water heaters, possibly with hot water recircu lati on.
Thank you for your consideration .
Page 56 of 200
lhec/~ef,
KENAI, ALASKA
"V"
CITY OF KENAI
RESOLUTION NO. 2017-27
Sponsored by : Administration
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA FIXING THE RATE OF
LEVY OF PROPERTY TAX FOR THE FISCAL YEAR COMMENCING JULY 1, 2017 AND
ENDING JUNE 30, 2018.
WHEREAS, the Code of the City of Kenai requires that the rate of levy of property tax be set
annually not later than the tenth day of June; and,
WHEREAS, the Council has adopted the "City of Kenai 2018 Annual Budget," which estimates
property tax revenue based upon a tax rate of 4 .35 mills.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA:
Secti on 1. That the rate of levy of property tax for the fiscal year commencing July 1, 2017
and ending June 30, 2018 be fixed at 4 .35 mills.
Section 2. That this resolution takes effect immediately upon passage.
PASSED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 7th day of June , 2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz, Acting City Clerk
Page 57 of 200
'Vtfl'~ «1/t/t, a PaJ'~ Ct~ «1/t/t, a Fat~"
210 FidalgoAve, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai .city
MEMORANDUM
TO:
THROUGH :
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manage(X. 0-
Terry Eubank, Finance Director 1 /.
May 31 , 2017
Resolution 2017-27 Establishing the City of Kenai FY2018 Property Tax
Mill Rate
Resolution 2017-27 will establish the rate of levy of property tax for FY2018, tax year 2017 . The
proposed rate of levy is 4.35 and will result in $435 in taxes being paid for each $100 ,000 of
assessed property value . The rate is unchanged and will generate the necessary property taxes
to support the adopted FY18 budget. The last mill rate change for the City was in FY2015.
Your support is respectfully requested.
Page 58 of 200
Sponsored by: Administration
CITY OF KENAI
RESOLUTION NO. 2017-28
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING ITS
COMPREHENSIVE SCHEDULE OF RATES, CHARGES, AND FEES TO INCORPORATE
CHANGES TO BE ADOPTED IN THE FY2018 BUDGET PROCESS TO INCLUDE ADJUSTING
MONTHLY RENTAL RATES AT VINTAGE POINTE , INCREASING FEES AT THE KENAI
MUNICIPAL AIRPORT, INCREASING FEES FOR WATER AND SEWER SERVICE, AND
INCREASING FEES AT THE KENAI MULTIPURPOSE FACILITY.
WHEREAS, below market monthly rental rates at Vintage Pointe , the City's senior housing facility ,
are budgeted to increase in FY2018 in an effort to bring the rental rates closer to market rate rents
as determined by the 2015 market rent study by Derry and Associates; and,
WHEREAS, charging market rates will assist in providing adequate funds for ongoing and long-
term maintenance of the facility; and,
WHEREAS , the Administration has determined the rental rates for apron space on the Kenai
Airport are significantly undervalued taking into account land values , construction cost of
improvements, and maintenance costs; and,
WHEREAS, undervalued rental rates for apron space is a significant deterrent to development of
airport lease lots; and,
WHEREAS, the proposed increase is part of the administration 's si x year plan to increase apron
rental rates to market value with FY18 being the third year of this plan; and,
WHEREAS , in 2011 the City commissioned a Water and Sewer Rate Study to study the City 's
water & sewer rate structure and to determine and recommend any changes to that structure to
ensure the utility can continue to operate and provide the necessary funding to maintain its
infrastructure; and ,
WHEREAS, the Water and Sewer Rate Study recommended annual increases in water and sewer
rates to provide funding for infrastructure maintenance and expansion and to ensure the financial
stability of the fund; and ,
WHEREAS , the FY2018 increase to water rates is proposed to be 5.0%, future water rate
increases are projected to be equal to the change in the Anchorage Consumer Price Index; and ,
WHEREAS , the FY2018 increase to sewer rates is proposed to be 0.90%, the 2016 change in
Anchorage 's Consumer Price Index; and ,
WHEREAS, increased utility and operating costs at the Kenai Multipurpose facility necessitate an
increase in the hourly rate for ice rental from $135.00 per hour to $145 .00 per hour.
New Text Un derlined ; [DELETED TEXT BRACKETED]
Page 59 of 200
Resolution No. 2017-28
Page 2 of 9
NOW , THEREFORE , BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA:
Section 1. The Vintage Pointe Rents section of the City's Comprehensive Schedule of Rates,
Charges and Fees be amended as follows:
FOR UNITS WITH RENTAL AGREEMENTS GRANDFATHERED PER THE CITY'S
POLICY BEFORE JUNE 30, 201 [6]Z:
2-A apartment=826 Sq. Ft. Ocean Side (3)
2-B apartment=876 Sq. Ft. Ocean Side (2)
[2-B APARTMENT=876 SQ. FT . STREET SIDE (2)
Monthly Automatic ACH Payment Fee
[$ 942.44)
[$ 954.68)
Note: All Vintage Pointe Rents are subject to a 2% discount for payment by
means other than credit card.
FOR UNITS WITH MARKET RATE RENTAL AGREEMENTS
1-A apartment=586 Sq. Ft. Ocean Side (8)
1-A apartment=586 Sq. Ft. Street Side (5)
1-B apartment=637 Sq. Ft. Ocean Side (4)
1-B apartment=637 Sq . Ft. Street Side (6)
1-C apartment=682 Sq. Ft. Ocean Side (4)
1-C apartment=682 Sq. Ft. Street Side (4)
2-A apartment=826 Sq. Ft. Ocean Side (3)
2-A apartment=826 Sq. Ft. Street Side (1)
2-B apartment=876 Sq. Ft. Ocean Side (2)
2-B apartment=876 Sq . Ft. Street Side (2)
2-C apartment=789 Sq. Ft. Ocean Side (1)
Monthly Automatic ACH Payment Fee
[$ 864 .14)
[$ 814 .19)
[$ 879.12)
[$ 829.17)
[$ 879.12)
[$ 829.17)
[$ 994.01)
[$ 939 .06)
[$ 994 .01)
[$ 939 .06)
[$ 979.02)
Note: All Vintage Pointe Rents are subject to a 2% discount for payment by
means other than credit card.
$ 977.44
$ 989.68
$ 917.96]
$-
$ 871 .92
$ 821.52
$ 887.03
$ 836.63
$ 887.03
$ 836 .63
$ 1,002 .96
$ 947.51
$ 1,002.96
$ 947.51
$ 987.83
$-
Section 2. The Airport Fees section of the City 's Comprehensive Schedule of Rates, Charges
and Fees be amended as follows :
21.05 .085
APX -Airport
Regulations
6.05.070 (c)
14.05.010
Fuel Flowage Fee per gallon
Aircraft Parking Fees
-transient, under 4,000 lbs . 0 -4 hrs.
-transient, under 4,000 lbs . over 4 hrs
-transient, 4,001 -25,000 lbs per day
-transient, 12,501 -100 ,000 lbs [OVER 4
HRS] per day
-transient, 100 ,001 lbs and over [AND OVER 4
HRS] per day
Landing Fees
(a)(2) Signatory per thousand pounds
14.05 .010
(b )(2) Non-signatory per thousand pounds
New Text Underlined; [DELETE D TEXT BRACK ETED]
[$ 1.60)
[$ 2.10 )
$ 0.02
FREE
$ 5.00
$ 50.00
$ 100.00
$ 250.00
Page 60 of 200
Resolution No. 2017-28
Page 3of9
exempt --float planes, test landings due to mechanical or
weather, government aircraft
Tie-down Fees, General Aviation
Paved Areas
-wheels , per month
-wheels, per year
-wheels, w/electric per month
-wheels, w/electric per year
Gravel Area
-wheels/skis, per month
-wheels/skis, per year
Float Plane Basin, Private
-daily
-monthly
-season --May to October
-floats/wheels per year
-floats/wheels/skis per year
-floats/wheels w/electric per year
Float Plane Basin, Commercial
-daily
-monthly
-season --May to October
-floats/skis/wheels
-monthly w/electric
-season w/electric
Terminal Building Rent --Exclusive Space
-signatory -per square foot per year
-signatory --arriva l hallway, departure hallway,
passenger hold room & baggage claim area
(per square foot per year)
Terminal Building Rent --Joint Use Space
-signatory --baggage make up area (per
square foot per year)
-signatory --baggage break down area (per
square foot per year)
-non-signatory terminal rates 30% higher
Vehicle Parking Fees at Terminal
-short term 0 -2 hours
-24 hours
-annual permit
-annual parking permit w/electric
Vehicle Parking Fees [at GA Lot] Greater
Than % Mile From Terminal Building
-calendar day
-annual permit
Business Activity & Airport Access Permit
-mechanic access (per each)
-fueling access (annual)
-dispensing fee (per gallon)
New Text Underlined ; [DE LETED TEXT BRACKETED]
[$ 31.95]
[$ 31.95]
[$ 19.36]
[$ 19.36]
$ 40 .00
$ 360.00
$ 60 .00
$ 420.00
$ 40.00
$ 360.00
$ 5.00
$ 40.00
$ 250.00
$ 360.00
$ 360.00
$ 420.00
$ 10.00
$ 50.00
$ 300.00
$ 450 .00
$ 75.00
$ 550.00
$ 32.24
$ 32.24
$ 19.53
$ 19.53
FREE
$ 7.00
$ 700 .00
$ 1,000.00
$ 3.00
$ 420.00
$ 50.00
$ 100.00
$ 0.02
Page 61 of 200
Resolution No. 20 17 -28
Page 4of9
-water extraction access (annual)
-non-tenant use of basin parking apron
-float plane parking apron (annual)
-Deposit/replacement proximity card fee
(each)
-Catering/mobile food service
Commercial Turn Fees
-turn fee (narrow body-(1 aisle)
-turn fee (regional 50 -99 seats)
-turn fee (commuter-fewer than 50 seats)
Helicopter Landing Fees
-Per landing
Other Fees
-Taxi cab (per vehicle per pickup
-Terminal building key replacement (per key )
-Airport apron rental rate per square foot [$ 0.528]
$ 100.00
$ 75 .00
$ 25.00
$ 100.00
$ 50.00
$ 200.00
$ 150.00
$ 100.00
$ 25.00
$ 1.00
$ 10.00
$ 0.699
Section 3. The Water Fees section of the City 's Comprehensive Schedule of Rates, Charges
and Fees be amended as follows:
APX • Public Utility Regulations and Rates
1. Schedule A -
General Domestic Service Rates (non-metered)
-one or two family residence , per family unit
-single or double unit apartment, per family unit
-apartment, 3 or more units on a single parcel, per family
unit
-si ngle bill assumed by owner
-separate bill
-trailers, one or two on single lot, each
-trailer, 3 or more on single lot
-single billing
-separate billing
-boarding houses, per available room
2. Schedule B -
Commercial service (non-metered)
-demand
-1.00 inch service
-1 .25 inch service
-1.50 inch service
-2 .00 inch service
-3.00 inch service
-larger than 3.00 inch service
-use charge
-bakery
New Text Underlined; [DE LE TED TEXT BRACKETED]
[$33.96] ~35 .66
[$33.96] $35 .66
[$25.58] ~26.86
[$33.96] ~35.66
[$33.96] $35.66
[$25.58] ~26.86
[$33 .96] ~35.66
[$9 .04] $9.49
[$34.44] ~36.16
[$52.47] ~55.09
[$86.89 ] ~91.23
[$131 .14] ~137.70
[$196.74] ~206.58
[$295 .0 9] $309.84
[$99 .99] ~104.99
Page 62 of 200
Resolution No. 2017-28
Page 5of9
-bath house, tub or shower, each
-bottling works, per bottling machine
-bowling alleys, amusement parks, doctor
-car lot, with car wash facilities
-car wash, automatic, per facility
-car wash, self-service, per stall
-churches, lodges, clubs, banquet rooms , per seat
-cleaners and commercial laundries, per facility
-dairies , installation of water meter required
-day ca re center/preschool, per child, maximum capacity
-doctor and dentist offices, per room or chair
-ga rage , service stations
-recreational vehicle dump facility (May -September)
-hangar, airplane repair
-with washing facilities
-hospital , per bed
-hotel , motel , resort , per room
-laundry, self-service , per machine
-markets, meat
-office building single bill assumed by owner, per business
-offi ce building, tenants are billed , per business
-restaurants , cafes, taverns, bars, per seat
-public office building, per restroom
-recreation facility, per restroom, sauna, shower
-rv/camper park , per space
-schools, per seating capacity
-shopping center
-shops , beauty , per station or chair
-shops , misc. (in cludes barber), per shop
-sl eeping room, per room
-studio, photo or photo lab
-supermarket
-theater, indoor, per seat
-theater, outdoor, per seat
-taverns, lounges, bars (without kitchens), per seat
-x-ray or lab office
3. Schedule C -
Industrial Service (non-metered)
-concrete mi xing plant
-concrete products
-confectioner
-greenhouse, commercia l
New Text Underlined; [DE LETED TEXT BRACKETED)
[$22.98]
[$790.16]
[$95.07]
[$47.55]
[$426.21]
[$63.92]
[$0.36]
[$2 73.77 ]
[$1.36]
[$20.49]
[$40.99]
[$47.55]
[$40 .99]
[$47 .53]
[$27.07]
[$21 .30]
[$38.56 ]
[$52.47]
[$45 .88]
[$52 .47]
[$2.95]
[$11 .81]
[$22.98]
[$22.98]
[$1 .36]
[$23 .80]
[$23 .80]
[$23.80]
[$9.04]
[$112.30]
[$269.69]
[$0 .15]
[$0 .15]
[$2 .8 1]
[$67.23]
[$432 .76]
[$216.41]
[$144 .24]
[$144.24]
~24.13
~829.67
~99 .82
~49 .93
~447 .52
~67.12
$0.38
$287.46
$1.43
~21.51
~43.04
~49.93
~43.04
~49 .91
~28.42
~22 .37
~40.49
~55.09
~48.17
~55.09
$3 .10
~12.40
~24.13
~24.13
$1.43
~24.99
~24.99
~24 .9 9
$9.49
~117.92
~283 .17
$0.16
$0.16
$2.95
~70.59
$454.40
$227.23
$151.45
$151.45
Page 63 of 200
Resolution No. 2017-28
Page 6 of 9
-ice cream plant
-cold storage plant or locker
-hydrant use (per day)
4. Schedule D -
Fire Protection
5. Schedule E -
Metered Service
-general usage, per thousand gallons
-hydrant use, per thousand gallons
-minimum monthly charge, general usage
6. Schedule F -
Water Connection Permit fee
Hydrant Permit deposit
[$216.41)
[$101 .65)
[$88.00]
[$3 .28)
[$4.93)
[$49.20)
[$204.00]
$227.23
$106 .73
$92.40
None
$3.44
$5 .18
$51.66
$214.20
$200.00
Note : All Water Fees are subject to a 2% discount for payment by means other than credit card.
Section 4. The Sewer Fees section of the City's Comprehensive Schedule of Rates , Charges
and Fees be amended as follows :
APX -Public Utility Regulations and Rates
1. Schedule A -
General Domestic Service Rates (non-metered)
-one or two family residence, per family unit
-single or double unit apartment, per family unit
-apartment, 3 or more units on a single parcel, per
family unit
-single bill assumed by owner
-separate bill
-trailers , one or two on single lot, each
-trailer, 3 or more on s ingle lot
-single billing
-separate billing
-boarding houses , per available room
2. Schedule B -
Commercial service (non-metered)
-demand
-1.00 inch service
-1 .25 inch service
-1.50 inch service
New Tex t Underl in ed; [DELETED TEXT BRACKETED]
[$50 .96]
[$50 .96]
[$38.32)
[$50.96)
[$50.96]
[$38.32]
[$50 .96]
[$1 3.76)
[$51.44)
[$76.28)
[$129 .51]
~51.42
$51.42
~38.66
~51.42
$51.42
~38.66
~51.42
~13.88
$51 .90
$76 .97
$130 .68
Page 64 of 200
Resolution No. 20 17-28
Page 7 of 9
-2.00 inch service
-3 .00 inch service
-larger than 3.00 inch service
-use charge
-bakery
-bath house, tub or shower, each
-bottling works, per bottling machine
-bowling alleys , amusement parks , doctor
-car lot, with car wash facilities
-car was h, automatic, per facility
-car wash, self-service, per stall
-churches, lodges, clubs, banquet rooms, per seat
-cleaners and commercia l laundries, per facility
-d airies, installation of water meter required
-day care center/preschool, per child, maximum
capacity
-doctor and dentist offices, per room or chair
-garage, service stations
-recreational vehicle dump facility (May-September)
-hangar, airplane repair
-with washing facilities
-hospital , per bed
-hotel , motel, resort , per room
-laundry, self-service , per machine
-markets, meat
-office building single bill assumed by owner, per
business
-office building, tenants are billed , per business
-restaurants, cafes , taverns, bars, per seat
-publ ic office building , per restroom
-recreation facility, per restroom, sauna, shower
-rv/camper park , per space
-schools, per seating capacity
-shopping center
-shops, beauty, per station or chair
-shops, misc. (includes barber), per shop
-sleeping room, per room
-studio , photo or photo lab
-superma rket
-theater, indoor, per seat
-theater, outdoor, per seat
-taverns, lounges, bars (without kitchens), per seat
-x-ray or lab office
New Text Underlined ; [DELETED TEXT BRACKETED ]
[$193.38] ~195.12
[$292.75] ~295.38
[$440.00] $443.96
[$149 .0 2] ~150.36
[$33.70] ~34.00
[$1, 181.59] ~1, 192.22
[$142.83] ~144.12
[$70.97] ~71.61
[$635.15] ~640.87
[$94.91 ] ~95.76
[$0 .54] $0.54
[$408.06] $411.73
[$2.05] $2 .0 7
[$30 .61] ~30.89
[$62.1 O] ~62.66
[$70.97] ~71.61
[$61.65] ~62.20
[$70.97] ~71.61
[$40 .81] ~41.18
[$31.49] ~31.77
[$57 .23] ~57.75
[$78.07] ~78.77
[$67.43] ~68.04
[$78.07] ~78.77
[$4.53] $4.57
[$17.74] ~17.90
[$34.15] ~34.46
[$34.15] ~34.46
[$2 .05] $2.07
[$35.48] ~35.80
[$35.48] ~35.80
[$35.48] ~35.80
[$13.76] ~13.88
[$168.55] ~170.07
[$402.74] ~406.36
[$0.25] $0.25
[$0 .25] $0.25
[$4.25] $4.29
[$100.24] ~101.14
Page 65 of 200
Resolution No. 2017-28
Page 8of9
3. Schedule C -
Industrial Service (non-metered)
-concrete mixing plant
-concrete products
-confectioner
-greenhouse, commercial
-ice cream plant
-cold storage plant or locker
4. Schedule D -
Fire Protection
5. Schedule E -
Metered Service
-general usage, per thousand gallons
-hydrant use, per thousand gallons
-minimum monthly charge , general usage
6. Schedule F -
Sewer Connection Permit fee
[$647 .58] ~653.41
[$322.91] ~325.82
[$214.67] ~216 .60
[$214.67] ~216.60
[$3 22 .91] ~325.82
[$150.80] ~152.16
None
[ $ 5.05]
[ $ 75.80] $76.48
[$200.00] $20 5.84
Note: All Sewer Fees are subject to a 2% discount for payment by means other th a n credit card .
Section 5. The Parks and Recreation Fees section of the Ci ty 's Comprehensive Schedule of
Rates , Charges and Fees be amended as follow s :
PARKS AND RECREATION FEES
Multipurpose Facility
-hourly rate (reservation)
Ice Rink Pass
-Family pass
-Adult pass
-You th pass
Public Skate
Picnic Shelter/Gazebo Rese rv atio n
-Picnic Shelter (Refundable deposit $50 .00)
-Gazebo (Refundable deposit $200.00)
Community Garden Plot (each)
Adopt-A-Bench (Includes bench , shi pping , installation and
maintenance.)
Pe rsonal Use Fishery Da y Use Parki ng
-5 am to Midnight (vehicle or up to two atv's)
Persona l Use Fishery O vernight Park in g
-Before noon of the first day to noon of the second day (veh icle
New Text Underl ined ; [DELETED TEXT BRACKETED]
[$135.00] $145.00
$45.00
$30.00
$20.00
$1.00
$15 .00
$20 .00
$20.00
$450.00
$20.00
Page 66 of 200
Resolution No. 2017-28
P age 9of9
or up to two atv's and one tent)
-After noon of the first day to noon of the second day (vehicle
or up to two atv's and one tent)
Personal Use Fishery Camping (one tent)
Personal Use Fishery Vehicle Drop Off (vehicle or up to two atv's
per day)
Section 6. That this resolution takes effect July 1, 2017.
PASSED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 7th day of June, 2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz, Acting City Clerk
New Text Underlined ; [DELETED TEXT BRACKETED]
$55.00
$45.00
$2 5.00
$10.00
Page 67 of 200
''{!;ti~ «1/t~ a Pa~~ e'tf «1/t~ a Fat~ II
210 F idalgo Ave, Kenai, 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::?. c:;;> ·
Terry Eubank , Finance Director fr.{.
May 31, 2017
FY2018 Budgeted Fee Schedule Changes
The purpose of the memo is to recommend passage of Resolution 2017-28 that amend the City's
Comprehensive Schedule of Rates, Charges and Fees for changes proposed in the FY2018
Budget.
Vintage Point Rents
Vintage Pointe Manor was built with the intention of being an independent senior house facility
with rents to be based upon market rates. In 2015 the City commissioned a market rate study
that was performed by Derry & Associates. That study determined that rents were below market
rate. The City instituted a plan to increase rents to market rates by increasing rents annually by
a maximum of $35.00 until market rate was reached and then annually by the change in the
Anchorage Consumer Price Index. Any new tenants would immediately be charged market rates.
The FY2018 Budget includes a continuation of this plan with 34 units increas ing 0 .90 %, the
increase in the Anchorage Consumer Price Index and six units increase the maximum of $35.00
per month. The next schedu led market rent study will be performed in FY2019 for implementation
in FY2020 .
Airport Fees
The Airport's Airline Operating Agreement ca ll s for increase in landing fees and terminal rents
based on the change in the Anchorage Consumer Price Index. The proposed FY20 18 increase
to these fees is 0.90%.
The rate for apron rental is in the third -year of a six-year plan to achieve market rate for the space.
The FY2018 Budget includes an increase of $0.171 per square foot per month from $0.528 to
$0.699.
Water and Sewer Utility Rates
The City's consultant , CH2M Hill completed a water and sewer rate study for t he City in 2011 . The
study concluded a schedule of rate increases is needed that based upon current opera ting costs
Page 68 of 200
Page 2 of 2
FY2018 Budgeted Fee Schedule Changes
and capital needs of the Water and Sewer Fund. The FY2018 Budget includes the year six
recommended increase for the fund . Water rates will increase by 5%, the last scheduled increase
in excess of the change i n the Anchorage Consumer Price Index and se wer rates w ill increase
0.90 %, the change in the Anchorage Consumer Price Inde x. Futu re water a nd sew e r rate s w ill
increase or decrease based on the change in the Anchorage Co nsume r Pric e Index.
Increasing rates w ill ensure the City has operating rese rves suffic ie nt to maintain and operate the
uti lity for its customers as well as prov ide matching funds for rep laceme nt and upgrades to the
ut ilities infrastructure. T he combined rate for single fami ly water and sew er service wi ll increase
from $84 .92 to $87 .08 , not including sales ta x, for customers pa ying by means other than credit
card .
Kenai Multipurpose Rental Fee
Hourly ice rental fees at the Kenai Multipurpose Facility have not in crea sed since 20 13 desp ite
increases in uti lities and operating expenses of the faci lity. The proposed $10 .00 per ho ur
increase is commensurate with the increase in the Anchorage Con s umer Price Inde x for th e same
period of time .
Your support for Reso lution 2017-28 is respectfull y requested .
Page 69 of 200
Sponsored by: Administration
CITY OF KENAI
RESOLUTION NO. 2017-29
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AUTHORIZING THE
CITY MANAGER TO ENTER INTO A CONTRACT WITH PREMERA BLUE CROSS BLUE
SHIELD OF ALASKA TO PROVID E EMPLOYEE HEAL TH CARE TO CITY EMPLOYEES
EFFECTIVE JULY 1, 2017.
WHEREAS, Pursuant to KMC 23.40.120 the City provides major medical , dental , and vision
insurance to its employees; and ,
WHEREAS , the City's current provider for this insurance, PRE MERA Blue Cross Blue Shield of
Alaska; and ,
WHEREAS , PREMERA Blue Cross Blue Shield of Alaska has prov ided a no-shop renewal quote
for continuing coverage at a premium increase of 12.0%; and,
WHEREAS, providing quality health care is a component of a comprehensive compensation
package which allows the City to recruit and retain quality employees to provide the services of
the City for its residents.
NOW, THEREFORE , BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA:
Section 1. That the City Council authorizes the City manager to execute a contract with
PREMERA Blue Cross Blue Shield of Alaska to provide group medical, dental and vision benefits
to the employees of the City of Kenai effective July 1, 2017.
PASSED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 7 th day of June, 2017 .
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz, Acting City Clerk
Approved by Finance 1~contingent upon passage of Ordina nce 2961-2017 )
Page 70 of 200
MEMORANDUM
'Z!/tl~ t11/t~ a Pa~~ e~ t11lt~ a Fat~ "
210 FidalgoAve, Kenai, Alaska 99611-7794
Telephone: (907) 283-75351 Fax: (907) 283-3014
www.kenai.city
TO:
THROUGH:
FROM:
DATE:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager Y D '
Terry Eubank, Finance Director 14.
May 31 , 2017
SUBJECT: Employee Health Insurance Renewal
The purpose of the memo is to recommend passage of Reso lution 2017-29 that will authorize
renewal of the City's employee health care plan with PREMERA Blue Cross Blue Shield of Alaska .
KMC 23.40 .120 requires the City to provide medical, dental and v ision coverage to its employees .
This coverage has been provided by PREMERA Blue Cross Blue Shield of Alaska since July
2014.
The City received a no bid renewal quote from PREMERA Blue Cross Blue Shie ld of Alaska to
renew its current insurance , PREMERA's Plus Envoy Plan , at a 15.0 % increase o ver FY17 rates .
Through negotiations the increase was reduced to a no bid offer of 12.0%. Acceptance of a no
bid quote or offer precludes the City from soliciting quotes from oth e r providers . Quoted premiu ms
were compared to the premiums of the State of Alaska Political Subdivision Health Insurance
Plan , which the City participated in , to assure competiveness . PREMERA's quote, despite the
12 .0°io increase , is still lower than the State 's plan .
The following is a financial comparison of the City's current plan and the proposed plan .
Health Care Premium
City Self-Insured Deductible
FSA/HRA Administration
Employee Life Insurance
Broker Fee
Employee Wellness Program
Total Cost of Health Care
City Funded Portion
Employee Funded Portion
Total
FY17 PREMERA
$1 ,675,422
159,656
4,022
16,800
25,000
20,000
$1 ,900.900
$1 ,728,433 90 .93%
172.467 9 .07%
$1 .900.900 100,00%
FY18 PREMERA
$1,912,468
164,775
4 ,200
16,800
25 ,000
20 ,000
$2.143.2 43
Difference
$237,046
5 , 11 9
178
-0-
-0-
-0-
$2 42,3 4 3
$1 ,916,947 89.44% 188 ,514
226,296 10.56% 5 3,829
$2.143 .243 100.00% $242.3 4 3
Page 71 of 200
Page 2 of 2
Employee Health Insuran ce Renewal
A comparison of employee monthly health care premiums is as follows :
Employee
Employee/Child( ren)
Employee/Spouse
Employee/Fa mily
Part time Employee
FY17 PREMERA
$ 71 .00
128 .00
140.00
191.00
369.00
Monthly Premium
FY18 PREMERA
$ 92.00
166 .00
182.00
249 .00
420.00
Difference
$ 21 .00
38.00
41 .00
58.00
51 .00
I recommend renewal with PREMERA Blue Cross Blue Shield of Alaska and believe it is in the
best interest of the City and its employees .
Page 72 of 200
Sponsored by: Administration
CITY OF KENAI
RESOLUTION NO. 2017-30
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AUTHORIZING THE
CITY MANAGER TO RENEW THE CITY'S INSURANCE COVERAGE WITH ALASKA PUBLIC
ENTITY INSURANCE (APEi ) FOR JULY 1, 2017 THROUGH JUNE 30 , 2018 .
WHEREAS, the City has been a member of APEi since July 1, 2000 receiving competitive rates
and quality insurance coverage for the City; and ,
WHEREAS, the City has entered into a three yea r commitment with APEi for insurance coverage
for the period of Jul y 1, 2016 through June 30, 2019; and,
WHEREAS, the three-year commitment allows the City to terminate the agreement should the
City's net premium increase by more than 10% in any single year; and ,
WHEREAS, the FY18 increase in insurance premiums is $34,356 .36 or 7.01%; and ,
WHEREAS, the three year commitment with APEi entitles the City to a 5% annual discount ,
$27 ,594 for FY18 , on renewal premiums ; and,
WHEREAS, as a long-term member of APEi the City receives annual premium renewal credits
based upon APE l 's prescribed member dividend program . The City 's FY18 member dividend is
$33 ,731 .07 and is based upon the City's longev ity with APEi and the C ity's insurance loss history ;
and ,
WHEREAS, in addition to receiving a member dividend the City will also receive a premi um credit
of $52 , 146.56 for its loss control programs; and,
WH EREAS , coverage for FY2018 will include flood and insurance co verage for City facilities at a
cost of $22, 185.00. Earthq uake and flood coverage was added in FY16 and was decl ined prior
to that; and,
W HEREAS , based upon the high quality coverage , competitive premiums and credits totaling
$113,471 .63 for FY18 it is in the City 's best interest to retain coverage with APEi for the City's
insurance needs.
NOW , THEREFORE , BE IT RESOLVED BY THE COUNCIL OF THE CITY OF K ENAI , ALASKA:
Section 1.
APEi.
The Council authorizes the City Manager to renew its coverage for FY2018 w ith
Page 73 of 200
Resolution No . 2017-30
Page 2 of 2
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 7th day of June, 2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz, Acting City Clerk
Approved by Finance t( (Contingent upon passage of Ordi nance 2961-2017 )
Page 74 of 200
'Vtff ar «J/t~ a Pa~~ °''tt «J/t~ a Fat(IH; II
210 FidalgoAve, Kenai , Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager? o ·
Terry Eubank, Finance Director//
May 30 , 2017
Resolution No. 2017-30 Annual Property , Liability , Workers'
Compensation , Airport, and Marine Insurance Renewal.
Each year the City goes through a process of renewing its insurance coverages. The City has
purchased its coverage from Alaska Public Entity Insurance (APEi) since July 1, 2000 and has
always received quality insurance at competitive rates.
As an insurance pool , APEi provides insurance coverage to its members . APEi has implemented
a premium credit program to return excess equity to its members . Excess equity is created when
insurance premiums are in excess of actual claims and reinsurance costs . APEi has determined
its retained earnings are in excess of its needs and has instituted a rebate program to its
members. The program rewards members for longevi ty with APEi and for a positive loss history.
The credit is only available to entities that renew their coverage with APEi. The FY18 City credit
will be $33 , 731 .07 upon renewal.
APEi provides a premium credit for active safety programs of its insured . The credit is for up to
a 4% of the City 's property insurance premium , 15% of the City 's liab ilit y insurance premium , and
15% of the City 's workers compensation premium , all credits are net of APEl's premiums for
reinsurance. Reinsurance is coverage provided by other insurance companies for liability in
excess of APEi self-retention . The City will receive the maximum for each insurance type in FY18
totaling $52 , 146.56. The loss control credit requires the City to establish and operate a safety
committee and provide safety training for its employees .
APEi also provides a 5% longevity premium credit to members who e nter into a three yea r
commitment for coverage with APEi. The FY18 longevity credit offered to the City is $22, 185.00.
The three-year agreement required to receive the credit allows the City to terminate the
agreement at any time should the net premium for coverage increase by more than 10 % from one
fiscal year to the ne xt. Exclusion to this limit are increases in declared p roperty values, vehicle
counts or covered payroll . The FY18 premium increase is 7.01 %.
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Page 2 of 2
Based upon the quality coverage , competitive rates , excellent service , and $113,471.63 in credits
offered to the City for renewing it coverage , I recommend renewing coverage with APEi.
Page 76 of 200
KENAI CITY COUNCIL JOINT WORK SESSION
LAWTON ACRES
MAY 15, 2017 – 6:00 P.M.
KENAI CITY COUNCIL CHAMBERS
MAYOR GABRIEL, PRESIDING
NOTES
Council present: R. Molloy, M. Boyle, B. Gabriel, H. Knackstedt, T. Navarre, G. Pettey, J.
Glendening
Others present: City Manager P. Ostrander, Acting City Clerk J. Heinz, City Attorney S.
Bloom, M. Kelley, M. Bondurant
Mayor Gabriel began the work session at approximately 6:00 p.m. advising the work session was
called to discuss the Administration’s report to City Council regarding Lawton Acres.
Greg Daniels noted he was against development of Lawton Acres due to light and noise pollution
and long-term negative effects; suggested that most residents didn’t know Council was
considering Commercial development; pointed out that the City didn’t benefit from selling the
property until the properties were sold; also pointed out that the property was zoned as
conservation in the Comprehensive Plan.
Roy Wells noted he recognized there was no resolution in deferring and that the land was there
to be sold or leased at market value to support the airport; suggested a land swap noting the
buffer was reasonable due to the narrow parcels.
Wanda Carlson spoke against development noting she was not in favor of the additional traffic it
brought; had her home built when the subdivision was smaller and since it’s grown the noise was
too loud to take a nap.
Bruce Steiner noted he lived on Lawton Drive and enjoyed the quiet nature of where he lived;
didn’t understand the push to sell the property as there were vacant buildings around town;
suggested offering tax breaks for businesses moving into vacant buildings.
Scott Romain suggested land sales be left to private industry; noted several lots in town that were
vacant and for sale; pointed out the buffer zone for Aspen Hotel was 100-feet and asked that the
City find a way to keep the buffer zone for the residents.
Ed Steiner suggested the derelict buildings around town be improved.
Melissa Frates noted publicly owned property was less expensive; suggested preserving the
green space and revitalizing the derelict properties.
Mike Beck noted the flowers were across the street from him and there was not buffer; explained
it felt like he was in the Walmart parking lot when in his back yard.
Mike Christian pointed out bigger cities build walls to push the noise up and buffer noise;
suggested leaving the trees so that it wasn’t necessary to build expensive walls. Also pointed out
that the same group of people had been speaking against development over the years and
suggested putting the topic on a ballot.
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Kenai City Council Work Session
May 15, 2017
Page 2
Patty See noted that there were many areas in Kenai that had vacant buildings if commercial
space was needed.
Sheila Henks spoke in favor of retaining the buffer as her property was across from Lawton Acres
and the trees made it feel like it wasn’t in town even though it was.
Barb Christian spoke in favor of doing something permanent such as a land swap; noted the
expense of water and sewer connection seemed cost prohibitive; described the noise level on the
Kenai Spur Highway.
Marian Austin noted the trees had diminished tremendously since she moved here; didn’t want
walls to keep the noise out; enjoyed the wildlife that the trees provide.
Mary Whitely spoke in favor of retaining the buffer of trees for the benefits they provide such as
cooling, improving public health by absorbing C02, ash, dust, etc., and providing visual screening
and protection.
Kelly Kelso spoke in favor of a permanent solution; suggested the Airport Commission look at a
land swap.
Betty Osborn pointed out the residents loved the space and didn’t want the area developed;
wanted it left alone.
Richard Kelso pointed out there had been two referendums when, not just the neighborhood, but
the entire City asked that the area not be developed.
City Manager Ostrander pointed out that Council had specific questions they wanted answered in
the form of a recommendation from Administration on what the property would look like if it were
to be developed; also pointed out that Council and Administration were trying to be transparent
and show what the entire subdivision would look like. Ostrander noted a local improvement district
was a viable option and that a land swap would have to be of equal value and approved by the
FAA. Finally, it was reiterated that the proceeds from the sale of the property go to support
operations of the Airport which the entire community benefitted from, that there was no mandate
to sell the property, but if sold, must go to support operations of airport.
City Attorney Bloom noted an advisory vote was a feasible option; suggested a multiple choice
option; clarified the reversion clause on the deed would go into effect when the City dedicated the
property as a park forever or never be used for the benefit of the Airport.
City Manager Ostrander indicated he had visited with Mr. Sorhus and confirmed he was still
interested in a portion of the property.
Council Member Knackstedt noted he did not have a burning desire to sell the property;
recognized it was airport property; noted Tract C, if subdivided out, would be difficult to develop
and Tract E offered the best the buffers; also noted he was not opposed to a local improvement
district.
Council Member Molloy noted the FAA approved the buffer on Walker Lane; was not in favor of
a local improvement district; was in favor of a ballot proposition; was also supportive of a trade
depending on what land was available to be traded; saw an opportunity to resolve the issue.
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Kenai City Council Work Session
May 15, 2017
Page 3
Councilor Boyle provided clarification on the land benefitting the airport; noted it was clear time
after time that the property remain a buffer; was not in favor of a local improvement district; was
supportive of a ballot proposition and of the general fund purchasing the property and leaving it
as it is.
Council Member Pettey pointed out it was responsible to recognize fair market value and the
property was for the benefit of the airport, which the entire community benefitted from. She
recognized the trees left a legacy; noted Council had had to make a decision that affected
someone’s pocket books pointing out that many neighbors not present could be concerned about
how their tax dollars were spent; supportive of ballot proposition.
Vice Mayor Navarre pointed out that citizens getting involved was what made a city work; that
there would be winners and losers in the situation; that Council had to be good stewards of tax
money and City property. Noted he was willing to continue the discussion to work out a solution
and was supportive of a local improvement district. Also pointed out that if nothing was done the
trees would have to be limbed or trails built to ensure homeless wouldn’t live there, all of which
cost tax dollars.
Council Member Glendening noted 1,800 acres had been given to the City for the benefit of the
airport from the FAA and funds recognized from the acreage were for support of the airport;
pointed out Lawton Acres was a small portion and the City had grown over the years; also pointed
out the bluff erosion was affecting Old Town and until it was known the Bluff Erosion Prevention
Plan was working, there was pressure to move the commercial center.
Mayor Gabriel noted that at the last work session, residents asked that the topic not be brought
back up over and over, however the nature of unsolicited offers on the property would make the
topic continually come back up; agreed that conclusion was necessary. Also noted that his private
property was adjacent to industrial property and understood the desire for retaining buffers.
Those that attended and participated in the meeting were thanked and it was agreed that a
significant list of new information had been brought forward.
The work session adjourned at 8:00 p.m.
Notes prepared by:
_______________________________
Jamie Heinz, CMC
Acting City Clerk
Page 79 of 200
KENAI CITY COUNCIL – REGULAR MEETING
MAY 17, 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 May 17 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
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
Jamie Heinz, Acting City Clerk
3. Agenda Approval
Mayor Gabriel noted the following revisions to the agenda and packet:
Add to Item D. 4. Ordinance No. 2953-2017
• Scope of Work Outline
Add to Item D. 7. Ordinance No. 2957-2017
• Plat Map
Add to Item D.9. Resolution No. 2017-20
• Correspondence from Mr. Hyde
Add to Item J. 1. City Manager’s Report
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May 17, 2017
• Correspondence from Timothy Dillon, Executive Director,
Kenai Peninsula Economic Development District
• Memo Regarding Loss of Water Pressure
MOTION:
Council Member Molloy MOVED to approve the agenda with the requested additions to the packet
and requested UNANIMOUS CONSENT. Council Member Knackstedt SECONDED the motion.
VOTE: There being no objections, SO ORDERED.
4. Recognition of Volunteer Services for Shauna Thornton and Mackenzie Lindeman
Mayor Gabriel thanked Shauna Thornton for her service on the Parks and Recreation
Commission and the Harbor Commission; also thanked Mackenzie Lindeman for her service on
the Parks and Recreation Commission and City Council.
5. Proclamation for Men’s Health Month
Mayor Gabriel read a Proclamation dedicating June as Men’s Health Month.
6. Consent Agenda
MOTION:
Council Member Knackstedt MOVED to approve the consent agenda and requested
UNANIMOUS CONSENT. Council Member Navarre 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
1. Audre Gifford, Kenaitze Indian Tribe – Awareness for the Yinihugheltani (Youth
Suicide Awareness) Program
Audre Gifford explained the Tribe had been awarded a grant, provided local youth suicide data,
discussed the Tribe’s goals, explained the community readiness assessment they had
commissioned, and noted past events and events on the horizon. Also explained a friendly
challenge between City Council and Kenaitze Tribal Council noting the Council with the highest
attendance for the SafeTALK trainings would achieve a “Committed Council” award.
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May 17, 2017
C. UNSCHEDULED PUBLIC COMMENTS
Fred Braun introduced John Schweiger as new owner of the old Kambe Theater and the adjacent
building.
John Schweiger noted his company specialized in movie theaters in communities the size of
Kenai; explained he fell in love a few years ago and what his plans had been for renovations. Mr.
Schweiger complimented the City Manager and staff for the assistance provided and explained
he was growing the theater from three to seven screens and converting the adjacent building to
an extreme mini fun-center, which would serve community members of all ages. Also explained
Kenai was his second business location in Alaska, Wasilla being the first.
D. PUBLIC HEARINGS
1. Ordinance No. 2950-2017 – Accepting and Appropriating a Federal Grant from the
Institute of Museum and Library Services (IMLS) Passed Through the Alaska State
Library for the Purpose of Funding a 10 Week Student Internship Position at the Kenai
Community Library.
MOTION:
Council Member Knackstedt MOVED to enact Ordinance No. 2950-2017 and 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.
The Library Director was thanked for applying for the grant.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
2. Ordinance No. 2951-2017 – Amending Kenai Municipal Code Title 23 – Personnel
Regulations, to Clarify the Performance Evaluation Rating Categories for Consistency
with the City’s Performance Evaluation Form and Practices.
MOTION:
Council Member Molloy MOVED to enact Ordinance No. 2951-2017 and 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.
It was clarified that the overall rating was defined as the overall average of six categories.
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May 17, 2017
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
3. Ordinance No. 2952-2017 – Accepting and Appropriating Additional Funds from the
Federal Aviation Administration for the Small Taxiways and Aircraft Tie-Down
Rehabilitation 2015-2016 Project.
MOTION:
Council Member Knackstedt MOVED to enact Ordinance No. 2952-2017 and 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:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
4. Ordinance No. 2953-2017 – Accepting and Appropriating Additional Funds from the
Federal Aviation Administration for the 2016 Improved Airport Drainage Project.
MOTION:
Council Member Knackstedt MOVED to enact Ordinance No. 2953-2017. The motion was
SECONDED by Council Member Navarre.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
Administration was thanked for providing the scope of work.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
5. Ordinance No. 2954-2017 – Amending Kenai Municipal Code Chapter 10.30 – Record
Retention, to Update and Clarify the Form, Operations, and Procedures Regarding the
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City of Kenai Council Meeting Page 5 of 17
May 17, 2017
Public Records Management Schedule and Record Retention Policy, and Making
other Housekeeping Changes.
MOTION:
Council Member Molloy MOVED to enact Ordinance No. 2954-2017. 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.
The City Clerk and Deputy Clerk were thanked for their effort and the final product.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
6. Ordinance No. 2955-2017 – Accepting and Appropriating a Grant from the Southern
Region Emergency Medical Services (EMS) Council to Provide Staff Training.
MOTION:
Council Member Navarre MOVED to enact Ordinance No. 2955-2017. 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.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
7. Ordinance No. 2957-2017 – Authorizing the Sale of Tract A, Dragseth Subdivision
2016 Addition, According to the Official Plat Thereof, under Plat No. 2016-22, Filed in
the Kenai Recording District, Third Judicial District, State of Alaska, Including all
Improvements Thereon, to PRL Logistics Inc., and Providing the Sale Proceeds to the
State of Alaska for Reimbursement into Grant No. 15-DC-078 for Use by the City to
Continue Enhancing Access and other Related Improvements to the South Beach.
MOTION:
Council Member Navarre MOVED to enact Ordinance No. 2957-2017. The motion was
SECONDED by Council Member Knackstedt.
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City of Kenai Council Meeting Page 6 of 17
May 17, 2017
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
MOTION TO AMEND:
Council Member Navarre MOVED to amend Ordinance No. 2957-2017 by substitution and
requested UNANIMOUS CONSENT. The motion was SECONDED by Council Member
Knackstedt.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED
The Attorney explained that the difference between the original ordinance and the substitute
ordinance was that the Special Use Permit and the Conditional Use Permits were contingencies
so the buyer could back out.
VOTE ON THE MAIN MOTION:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
8. Ordinance No. 2956-2017 – Amending Kenai Municipal Code 13.30.080 – Operating
a Vehicle in s Prohibited Area, and Associated Appendix II, to Allow for Limited
Operation and Maintenance of the Existing Air Strip on a Portion of Tract B, Dragseth
Subdivision 2016 Addition, According to the Official Plat Thereof, Filed Under Plat
Number 2016-22, and a Portion of Government Lots 9-15 Inclusive, Section 7,
Township 5 North, Range 11 West, and a Portion of the SE ¼ SE ¼ NE ¼, Section 7,
Township 5 North, Range 11 West, Seward Meridian all Recorded in the Kenai
Recording District, Third Judicial District, State of Alaska.
MOTION:
Council Member Knackstedt MOVED to enact Ordinance No. 2956-2017. The motion was
SECONDED by Council Member Navarre.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
It was noted the airstrip had been in existence for over forty years and there were no known issues
with the FAA tower, airspace, or neighbors. It was also noted that it would be nice to have
someone to look after the property and offer protection for the dunes from inadvertent abuse.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
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City of Kenai Council Meeting Page 7 of 17
May 17, 2017
9. Resolution No. 2017-20 – Approving a Special Use Permit for PRL Logistics, Inc., for
the Contingent Use of an Airstrip on City Owned Property Adjacent to the South Beach.
MOTION:
Council Member Navarre MOVED to approve Resolution No. 2017-20 and 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 pointed out the area that the Special Use Permit covered, the area that would
eventually be considered for selling to PRL Logistics, and the area being reserved for public
access in perpetuity. Also pointed out that until the Conditional Use Permit was approved, there
wasn’t authority for conducting activities there.
It was noted that there had not been good control of the area in the past and it was hoped it would
improve with private ownership going forward. It was also noted that the use plan would be
governed by the Conditional Use Permit and that the operational plan was self-limiting as the
airstrip was grass.
There was question regarding references to the Kenai Municipal Airport in the Special Use Permit.
MOTION TO AMEND:
Council Member Molloy MOVED to amend the first paragraph on the first page of the Special Use
Permit by removing, “parking at the Kenai Municipal Airport,” and replacing it with, “aircraft
landing, take off, parking, and loading,” and requested UNANIMOUS CONSENT and the motion
was SECONDED by Council Member Knackstedt.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND:
Council Member Molloy MOVED to amend by deleting, “(Parking),” in the footer of the Special
Use Permit and requested UNANIMOUS CONSENT and the motion was SECONDED by Council
Member Knackstedt.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND :
Council Member Molloy MOVED to amend the first paragraph on page 2 of the Special Use Permit
to read, “Permittee acknowledges that the use granted herein is subject to the Kenai Municipal
Code as those laws may be amended from time to time.,” and requested UNANIMOUS
CONSENT and the motion was SECONDED by Council Member Boyle.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND :
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City of Kenai Council Meeting Page 8 of 17
May 17, 2017
Council Member Molloy MOVED to amend the Special Use Permit by deleting the second and
third paragraphs, in their entirety, on page 2 of the Special Use Permit and requested
UNANIMOUS CONSENT and the motion was SECONDED by Council Member Knackstedt.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND :
Council Member Molloy MOVED to amend by replacing the word, “Airport,” with the word,
“premises,” in section C., clause 7. of the Special Use Permit and requested UNANIMOUS
CONSENT and the motion was SECONDED by Council Member Knackstedt.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND :
Council Member Molloy MOVED to amend the first paragraph in clause 10. of the Special Use
Permit by replacing the words, “Apron and/or use of the Airport,” in the last sentence with the
word, “premises.,” and requested UNANIMOUS CONSENT and the motion was SECONDED by
Council Member Knackstedt.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND :
Council Member Molloy MOVED to amend the second paragraph in clause 10. of the Special Use
Permit by removing the last sentence, so the paragraph would read, “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.,” and requested UNANIMOUS
CONSENT and the motion was SECONDED by Council Member Knackstedt.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND :
Council Member Molloy MOVED to amend the Special Use Permit by removing, in its entirety,
clause 12. and renumber the remainder of the document appropriately, and requested
UNANIMOUS CONSENT and the motion was SECONDED by Council Member Boyle.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
MOTION TO AMEND:
Council Member Molloy MOVED to amend the definitions clause of the Special Use Permit by
removing the statement, “”Airport” means the Kenai Municipal Airport.,” and requested
UNANIMOUS CONSENT and the motion was SECONDED by Council Member Boyle.
VOTE ON THE AMENDMENT: There was no objection; SO ORDERED.
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May 17, 2017
Clarification was provided that the area being reserved for public access was not providing for
vehicular access and that the restrictions on private planes landing in the area would remain the
same.
VOTE ON THE MAIN MOTION:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
10. Resolution No. 2017-21 – Awarding an Agreement for Construction of Senior Center
Dining Room Roof Repair and Atrium Replacement 2017.
MOTION:
Council Member Navarre MOVED to approve Resolution No. 2017-21 and requested
UNANIMOUS CONSENT. 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.
Gratitude was expressed to Kenai Senior Connection, Inc. for the financial help to move the
project forward.
VOTE: There being no objection; SO ORDERED.
11. Resolution No. 2017-22 – Repealing the City of Kenai Record Retention Schedule
Adopted on July 6, 2011 by Resolution No. 2011-51 and Enacting a Public Records
Management Schedule and Record Retention Policy.
MOTION:
Council Member Knackstedt MOVED to approve Resolution No. 2017-22 and the motion was
SECONDED by Council Member Molloy.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
Clarification was provided that the State’s Local Government Model was used as a guide, that
local, state, and federal laws, including the Alaska statute of limitations had been considered, that
all department heads had input in and approved their associated sections, and that the Attorney
had approved the entire document.
The City Clerk and Deputy Clerk were thanked for their efforts.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
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City of Kenai Council Meeting Page 10 of 17
May 17, 2017
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
12. Resolution No. 2017-23 – Authorizing Budget Adjustments in the Airport Fund for
Costs in Excess of Budgeted Amounts.
MOTION:
Council Member Knackstedt MOVED to approve Resolution No. 2017-23 and the motion was
SECONDED by Council Member Navarre who requested UNANIMOUS CONSENT.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
It was clarified that the changes made in personnel took care of the additional costs of snow
removal.
VOTE: There being no objection; SO ORDERED.
13. Resolution No. 2017-24 – Amending Policy No. 2016-01, Procedures for
Commissions, Committees and Council on Aging – To Provide Procedures for Council
Involvement in Commissions, Committees and Council on Aging Meetings.
MOTION:
Council Member Navarre MOVED to approve Resolution No. 2017-24 and 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.
It was noted that the policy had been reviewed with the Attorney and that it was good to have
consensus regarding the influence to committees and commissions.
It was pointed out that once an ordinance was introduced, it belonged to the body, but if it were
to stay in draft form, the sponsor had the opportunity to seek comments. It was asked that
consideration be given to that aspect. It was also asked if the intent of the policy was to limit ways
for collaboration with committees and commissions or if anything could be sent to a committee or
commission, not specifically an ordinance.
MOTION:
Council Member Molloy MOVED to postpone to the June 7 meeting and the motion was
SECONDED by Council Member Boyle. UNANIMOUS CONSENT was requested.
VOTE: There being no objection; SO ORDERED.
E. MINUTES
1.*Work Session of April 29, 2017
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May 17, 2017
Meeting minutes approved by the consent agenda.
2.*Regular Meeting of May 3, 2017
Meeting minutes approved by the consent agenda.
F. UNFINISHED BUSINESS – None.
G. NEW BUSINESS
1. *Action/Approval – Bills to be Ratified.
Approved by the consent agenda.
2. *Action/Approval – Liquor License Renewal for Oaken Keg #1808.
Approved by the consent agenda.
3. *Ordinance No. 2960-2017 – Amending Kenai Municipal Code 14.25.015-
Landscaping/Site Plan for Land Clearing, and Kenai Municipal Code 14.25.020-
Application, to Prohibit Land Clearing of More Than Twenty Percent of a Parcel
Without an Approved Landscaping/Site Plan.
Introduced by the consent agenda and public hearing set for June 7, 2017.
4. *Ordinance No. 2961-2017 – Adopting the Annual Budget for the Fiscal Year
Commencing July 1, 2017 and Ending June 30, 2018 and Committing $1,000,000 of
General Fund, Fund Balance for Capital Improvements.
Introduced by the consent agenda and public hearing set for June 7, 2017.
5. *Ordinance No. 2962-2017 – Amending the Kenai Municipal Code, Title 23,
“Personnel Regulations,” Chapter 23.55 Fiscal Year 2018 Operating Budget Salary
Schedule.
Introduced by the consent agenda and public hearing set for June 7, 2017.
6. *Ordinance No. 2963-2017 – Authorizing Budget Adjustments and Increasing
General Fund Estimated Revenues and Appropriations for Costs in Excess of
Budgeted Amounts.
Introduced by the consent agenda and public hearing set for June 7, 2017.
7. *Ordinance No. 2964-2017 – Repealing Kenai Municipal Code Chapter 5.15-Private
Detective Agencies, Removing Specific Local Regulation of Detective Agencies.
Introduced by the consent agenda and public hearing set for June 7, 2017.
Page 90 of 200
City of Kenai Council Meeting Page 12 of 17
May 17, 2017
8. Action/Approval – Authorizing the City Manager to Work with the Kenai Chamber of
Commerce to Create a Partnership with the Chamber through a Memorandum of
Understanding to Hold a Silver Salmon Derby.
MOTION:
Council Member Molloy MOVED to authorize the City Manager to work with the Kenai Chamber
of Commerce to create a partnership with the Chamber through a Memorandum of Understanding
to hold a Silver Salmon Derby and requested UNANIMOUS CONSENT. The motion was
SECONDED by Council Member Boyle.
Chamber of Commerce President, Johna Beech, was thanked for her work. It was recognized
that there were concerns regarding conservation, catch and release, depth of hooks in the fish
when using bait, and the fish’s loss of scales. Clarification was provided that the rules for the
derby would eliminate as many of the concerns as possible.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
9. Action/Approval – Approving a Special Use Permit to Kenai Rotary for Use of the
Multi-Purpose Facility for the Kenai Rotary Soap Box Derby.
MOTION:
Council Member Knackstedt MOVED to approve a Special Use Permit for use of the Multi-
Purpose Facility for the Kenai Rotary Soap Box Derby and the motion was SECONDED by
Council Member Molloy who requested UNANIMOUS CONSENT.
VOTE: There being no objection; SO ORDERED.
10. Action/Approval – Approving an Amended Special Use Permit for use of the Softball
Green Strip to Golden Wheel Amusements for a Carnival.
MOTION:
Council Member Knackstedt MOVED to approve an amended Special Use Permit for use of the
Softball Green Strip to Golden Wheel Amusements for a carnival and requested UNANIMOUS
CONSENT. The motion was SECONDED by Council Member Boyle.
Clarification was provided that the dates of the carnival had changed. The Airport Manager noted
that she had no concerns with the use of the property.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
Page 91 of 200
City of Kenai Council Meeting Page 13 of 17
May 17, 2017
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
11. Action/Approval – Mayoral Nomination and Council Confirmation of Mike Dunn to the
Harbor Commission.
MOTION:
Council Member Molloy MOVED to confirm the Mayor’s nomination of Mike Dunn to the Harbor
Commission and the motion was SECONDED by Council Member Boyle.
Mr. Dunn was thanked for volunteering.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
12. Action/Approval – Mayoral Nomination and Council Confirmation of Recommending
Applicants to the Borough Mayor for Appointment to the Kenai Peninsula Borough
Planning & Zoning Commission.
MOTION:
Council Member Knackstedt MOVED to recommend Christine Hutchison and Diane Fikes be
considered by the Borough Mayor for appointment to the Kenai Peninsula Borough Planning and
Zoning Commission. The motion was SECONDED by Council Member Molloy who requested
UNANIMOUS CONSENT.
VOTE: There being no objection; SO ORDERED.
13. Action/Approval – Approving an Employment Agreement between the City of Kenai
and City Clerk Sandra Modigh.
[Clerk’s Note: Council May Convene into Executive Session to Discuss this Agenda
Item which May be a Subject that Tends to Prejudice the Reputation and Character of
the City Clerk and of which the Immediate Knowledge would Clearly have an
Adverse Effect Upon the Finances of the City [AS 44.62.310(C)(1)(2)]
MOTION:
Council Member Navarre MOVED to recognize the end date of the City Clerk’s Contract effective
4/30/17 and conclude the City Clerk’s employment relationship with the City effective tonight,
providing a 120 day severance package to include salary and life insurance premiums paid in
lump sum and continued medical benefits with effective date 05/18/17. The motion was
SECONDED by Council Member Knackstedt.
Page 92 of 200
City of Kenai Council Meeting Page 14 of 17
May 17, 2017
MOTION TO DIVIDE THE QUESTION:
Council Member Molloy MOVED to divide the question with the first component being to recognize
the end date of the City Clerk’s Contract effective 4/30/17 and conclude the City Clerk’s
employment relationship with the City effective tonight, and the second component being
providing a 120 day severance package to include salary and life insurance premiums paid in
lump sum and continued medical benefits with effective date 05/18/17. The motion was
SECONDED by Council Member Boyle.
VOTE ON DIVISION OF THE QUESTION:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
Council Member Boyle noted he was not supportive; felt the City Clerk had been loyal; saddened
by the actions of the body.
VOTE ON THE FIRST COMPONENT:
YEA: Knackstedt, Gabriel, Glendening, Navarre
NAY: Molloy, Boyle, Pettey
** Student Representative Lindeman: YEA
MOTION PASSED.
UNANIMOUS CONSENT was requested on the second component.
VOTE ON THE SECOND COMPONENT: There being no objection; SO ORDERED.
H. COMMISSION/COMMITTEE REPORTS
1. Council on Aging – It was reported that the May 11 meeting was cancelled; Next
meeting June 8.
2. Airport Commission – It was reported that on May 11, the Commission approved three
Special Use Permits, recommended a change in fees, and requested that a fix for the
mural be looked at. It was also reported that there was discussion regarding the T-33
aircraft on loan that may need maintenance, that the annual Air Fair was set for June
10, and that the Commission toured the PRL Logistics facility.
3. Harbor Commission – It was reported that on May 8 the Commission continued
discussion regarding their service to the City and thanked Commission Chair Thornton
for her service; next meeting June 12.
4. Parks and Recreation Commission – It was reported that on May 4, the Commission
requested funds to purchase replacement bleachers and thanked Commissioner
Shauna Thornton for her service; June meeting canceled.
Page 93 of 200
City of Kenai Council Meeting Page 15 of 17
May 17, 2017
5. Planning and Zoning Commission – It was reported that on May 10, the Commission
approved a plat and authorized a letter be sent agreeing to a two-year extension for
Keys Turn Subdivision; next meeting May 24.
6. Beautification Committee – It was reported that on May 9, the Committee discussed
volunteer plant day being held on June 3 and the beautification brochure that was to
be published soon. It was also reported that the Committee received an update
regarding summer hires and the pathway to poetry project; next meeting September
12.
7. Mini-Grant Steering Committee – No report.
I. REPORT OF THE MAYOR
Mayor Gabriel noted the request in the packet, under informational items, from the Kenai
Watershed Forum for sponsorship of an iPad.
MOTION:
Council Member Navarre MOVED to provide a $300 sponsorship, out of legislative grant funds,
for an iPad for a youth prize for the Kenai Watershed Forum and Council Member Boyle
SECONDED the motion.
VOTE:
YEA: Knackstedt, Gabriel, Molloy, Boyle, Glendening, Pettey, Navarre
NAY:
** Student Representative Lindeman: YEA
MOTION PASSED UNANIMOUSLY.
[Clerk’s Note: Council Member Navarre left the meeting at 8:17 p.m.]
Mayor Gabriel reported on the following:
• Attended Brian Springer’s Retirement Party;
• Attended a Kenai Historical Society meeting in Hope;
• Met with Governor Walker regarding the legislature during a brief
visit;
• Threw the first pitch for the kickoff of the Kenai Little League
season;
• Attended a Food Bank Fundraiser; noted a Kenai Central High
School student won a competition as a part of the fundraiser;
• Provided a reminder of future Memorial Day activities at Kenai
Cemetery and then the Veteran’s Memorial at Leif Hansen Park;
• Double O Express at the airport hosting the June 3 Coffee with the
Mayor;
J. ADMINISTRATION REPORTS
1. City Manager – P. Ostrander reported on the following:
Page 94 of 200
City of Kenai Council Meeting Page 16 of 17
May 17, 2017
• Introduced the City of Kenai Eagle Cam;
• Attended Brian Springer’s retirement party;
• Noted he had been assured by the Corps of Engineers that they
had what was needed to release the draft for the Bluff Erosion
Project;
• Met with Governor Walker regarding the legislature and the
BEACON building during a brief visit;
• City officials and FAA officials met and discussed availability of
funds for BEACON building maintenance.
2. City Attorney – S. Bloom reported that he had recently attended Alaska Bar
Association meetings which provided needed continuing education credits for his
license; provided an update that the legislation regarding municipal liens had passed
and noted he would be making changes to the code so the City could benefit; also
reported that a scope of work had been prepared so a consultant could be utilized for
the airport lease program.
3. City Clerk – Deputy Clerk J. Heinz reported any ballot propositions needing adopted
had to be adopted by August 2 in order to be submitted to the Kenai Peninsula
Borough timely and also provided a reminder that there was only one Council meeting
in July.
K. ADDITIONAL PUBLIC COMMENT
1. Citizens Comments (Public comment limited to five (5) minutes per speaker)
2. Council Comments
Councilor Knackstedt thanked Student Representative Lindeman for her hard work and noted he
was excited about the Eagle Cam.
Council Member Boyle wished Ms. Modigh farewell and good luck, also wished Student
Representative Lindeman farewell.
Council Member Molloy thanked Ms. Modigh for her service and noted his and Council Member
Pettey’s intention to amend the budget to make the Deputy Clerk position, full-time.
Student Representative Lindeman reported upcoming sporting events, concerts, and graduation
events; also reported that the seniors were walking the halls of Mountain View Elementary to
inspire the students to graduate; noted she was going to Boise State University to obtain a degree
in elementary education to teach.
Council Member Glendening noted he had attended a grandson’s baseball game.
Council Member Pettey thanked Ms. Gifford for her presentation regarding suicide prevention and
encouraged the City Council members to attend the safe talk course; thanked Ms. Modigh for her
service to the City.
L. EXECUTIVE SESSION – See G. 13.
Page 95 of 200
City of Kenai Council Meeting Page 17 of 17
May 17, 2017
1. Review and Discussion of the City Clerk’s Evaluation a Matter which may be a Subject
that Tends to Prejudice the Reputation and Character of the City Clerk [AS
44.62.310(C)(2)].
[Clerk’s Note: This item was not considered due to action taken on item G. 13.]
M. PENDING ITEMS – None.
N. ADJOURNMENT
There being no further business before the Council, the meeting was adjourned at 8:41 p.m.
I certify the above represents accurate minutes of the Kenai City Council meeting of May 17,
2017.
_____________________________
Jamie Heinz, CMC
Acting 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 96 of 200
_____________________________________________________________________________________
Sponsored by: Council Member Navarre
CITY OF KENAI
RESOLUTION NO. 2017-24
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING POLICY
NO. 2016-01, PROCEDURES FOR COMMISSIONS, COMMITTEES AND COUNCIL ON AGING
-TO PROVIDE PROCEDURES FOR COUNCIL INVOLVEMENT IN COMMISSIONS,
COMMITTEES AND COUNCIL ON AGING MEETINGS.
WHEREAS, Resolution 2016-03, repealed the existing policy on procedures for City
commissions, committees, and the Council on Aging, and created a new policy in its place; and,
WHEREAS, the replacement policy does not address Council interaction with these bodies, nor
how Council or individual Council Members may cause an item to be placed on their agenda; and,
WHEREAS, these bodies are advisory to the Council and Council interaction at the committee
and commission level should be minimal to allow for the process at the advisory level to be
completed as independently as possible; and,
WHEREAS, each advisory body has a Council Liaison to share information between the Council
and advisory body as necessary; and,
WHEREAS, Council interaction at an advisory meeting should be limited to introduction of
sponsored legislation by a Council Sponsor and other communications by Council to the advisory
body is generally discouraged; and
WHEREAS, items referred to advisory bodies for review should be referred by the Council, as
opposed to referral by individual Council Members for purposes of clarity and cohesion.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA:
Section 1. That Council Policy No. 2016-01: Procedures for Commissions, Committees and
Council on Aging is amended to address Council participation in advisory body meetings as
provided in the attached Amended Policy.
Section 2. That this resolution takes effect immediately upon passage.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 17th day of May, 2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
______________________________________
City Clerk
Page 97 of 200
POLICY NO. 2016-01 (Amended): Procedures for Commissions, Committees and
Council on Aging
Purpose
The purpose of this policy is to establish procedures, other than those provided in KMC 1.90, for
Commissions, Committees and Council on Aging.
Scope
This policy applies to all advisory bodies appointed by the City Council. The Planning and Zoning
Commission is also regulated by KMC 14.05.
Policy
1. Appointment and Reappointments
a. An application for consideration of appointment or reappointment to a
[C]Commission, [C]Committee or Council on Aging must be submitted to the City
Clerk.
b. The Mayor nominates an applicant for appointment or reappointment and by
motion, the City Council confirms.
2. Establishing Subcommittees
a. A subcommittee of a commission or committee may be established for a specific
function upon approval of Council.
3. Meeting Schedules
a. Commission, [C]Committee and Council on Aging meeting schedule is as follows:
Commission/
Committee/Council on Aging
Meeting Schedule Scheduled Meeting Days
Airport Commission Monthly Second Thursday of the month
Beautification Committee Meetings held January,
April, May, September and
October
Second Tuesday of the month
Council on Aging Monthly Second Thursday of the month
Harbor Commission Monthly First Monday after first council
meeting of the month
Library Commission
(Suspended as of 2015,
Ordinance No. 2815-2015)
N/A N/A
Parks & Recreation
Commission
Monthly, except for July First Thursday of the month
Planning & Zoning Commission Twice monthly Second & fourth W ednesdays
Page 98 of 200
Kenai City Council
Policy No. 2016-01 (Amended)
Page 2 of 4
b. All regular meetings will be held in the Kenai City Hall Council Chambers with the
exception of the Council on Aging who shall meet at the Senior Center, unless
offsite arrangements are approved by the Clerk. Exceptions for subcommittee
meetings may be made with the advance notice of the City Clerk.
c. Regularly scheduled meetings shall begin at 7:00 p.m. unless otherwise approved
by Council via motion, with the exception of the Council on Aging, which begins at
4:30 p.m.
d. Commissions, Committees and Council on Aging may, with the City Clerk’s
approval and notification to Council and the City Manager, hold special meetings
(for a specific purpose) on an as-needed basis.
e. Commissions, Committees and Council on Aging meetings may be cancelled by
the City Clerk, with notification to Council and the City Manager, if cancellation is
warranted, i.e. lack of agenda items, pre-knowledge of lack of a quorum, etc.
f. Any additional commissions or committees established will be set and incorporated
into the meeting schedule by the City Council.
4. Minutes & Meeting Recordings
a. With exception of the Planning & Zoning Commission, taking notes and
electronically recording meetings shall be the responsibility of department liaison
to the specific meeting body. The Clerk’s Office shall take notes and record the
meeting for the Planning and Zoning Commission.
b. Summary minutes will be produced by the Clerk’s Office from the department
liaisons notes and provided to the City Council as official records of the meetings.
c. Regularly scheduled meetings shall be electronically recorded and with the
exception of Planning & Zoning Commission, shall be kept for two years.
d. Planning & Zoning Commission meeting recordings shall be kept for 6 years.
5. Work Sessions
a. Work sessions may not be held without the approval of the City Clerk unless they
occur on the night of and at the time of a regularly scheduled advertised meeting.
Notification of scheduled work session shall be provided to City Council and the
City Manager. Work session may be requested by Council, the liaison or Chair of
the body.
b. During work sessions, only items on the work session agenda may be discussed
and no formal actions may be taken.
c. At a minimum, work sessions shall be posted on the Official City Bulletin Board in
Kenai City Hall and on the city website at least [5]five days prior to the meeting.
Page 99 of 200
Kenai City Council
Policy No. 2016-01 (Amended)
Page 3 of 4
6. Basic Meeting Information
a. All meetings shall be open to the public.
b. At a minimum, meeting notices shall be posted on the Official City Bulletin Board
in Kenai City Hall and on the city website at least [5]five days prior to the meeting.
c. Meeting agenda’s shall be established by the Chair and the department liaison.
The City Council, by motion, may refer an item to be placed on an agenda seeking
a recommendation from the respective Committee, Commission, or Council on
Aging.
d. The department liaison shall submit items for the agenda and supporting
documentation to the Clerk’s Office [1]one week prior to a meeting, no later than
2:00 p.m. The Clerk’s Office will compile meeting material and distribute. The
Planning & Zoning Commission is exempt from this requirement as the Planning
Department advertises, compiles meeting material and distributes for its
commission.
e. Rules of Order: Pursuant to KMC 1.15.120(b) and KMC 1.90.050(c), in all matters
of parliamentary procedure, Robert's Rules of Order, as revised shall be applicable
and govern all meetings, except as specified in KMC 1.15.060 ([M]Motions), KMC
1.15.100 ([S]Speaking), and KMC 1.15.110 ([V]Voting).
f. Quorum: No meeting may proceed in the absence of a quorum, i.e. a quorum is
more than one-half of the board/commission (quorum of the whole).
g. Motion: Pursuant to KMC 1.15.060(k), all motions require a second. A majority of
votes is required to pass a motion.
h. Speaking: In a meeting, members should be recognized by the Chair before
speaking.
i. When is it a Meeting: If any public business is discussed collectively by four or a
majority of members of one body.
7. Council Participation
a. Any Council Member may attend a meeting or work session of any Commission,
Committee or the Council on Aging. Only the Council Liaison to the respective,
Commission, Committee or Council on Aging may speak on behalf of the Council.
Participation by Council Members at Commission, Committee or Council on Aging
meetings should be limited to introduction of legislation by one Council Legislative
Sponsor. Participation by any other Council Members, written or oral, is discouraged.
b. Exception: Council Members may fully participate in any joint work session or other
meeting with a Commission, Committee, or the Council on Aging when it has been
noticed that the City Council will be in attendance, or there has been a specific
delegation of authority by the Council for a member(s) to represent the Council.
Page 100 of 200
Kenai City Council
Policy No. 2016-01 (Amended)
Page 4 of 4
Effective Date: Approved by Resolution 2016-01 (Amended)
BRIAN GABRIEL SR., MAYOR
ATTEST:
City Clerk
Page 101 of 200
MEMORANDUM
TO: Mayor Brian Gabriel and Kenai City Council
FROM: Council Member Navarre
DATE: May 9, 2017
SUBJECT: Resolution Amending Policy Commissions, Committees & Council on Aging
This Resolution amending the City’s Policy on Commissions, Committees and Council on Aging
is intended to establish procedures for Council Members referring agenda items to the City’s
advisory bodies. The recommended amendments also provide guidelines limiting Council
Member participation in meetings of advisory bodies to allow the advisory bodies to make
independent recommendations to Council. Your consideration is appreciated.
Page 102 of 200
PAYMENTS OVER $15,000.00 WHICH NEED COUNCIL RATIFICATION
COUNCIL MEETING OF: JUNE 7, 2017
VENDOR DESCRIPTION
PERS PERS
ENSTAR NATURAL GAS GAS USAGE
PREMERA BLUE CROSS HEAL TH INSURANCE
INVESTMENTS
VENDOR DESCRIPTION
PIPER JAFFRAY U.S. GOVT SECURITY
DEPARTMENT ACCOUNT AMOUNT
VARIOUS LIABILITY 87,604 .74
VARIOUS UTILITIES 23 ,257.60
VARIOUS LIABILITY 132,082 .38
MATURITY DATE AMOUNT Effect. Int.
8/24/2020 1,000,000.00 1.70%
Page 103 of 200
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO . 2965-20 17
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, AMENDING KENAI
MUNICIPAL CODE 4 .32 .015 -LOCAL AMENDMENTS TO THE 2012 INTERNATIONAL
RESIDENTIAL CODE, TO FACILITATE FEE SCHEDULE CHANGES FOR BUILDING PERMITS
AND PLAN REVIEWS .
WHEREAS, KMC 4.32.015 currently provides that the City will charge a plan review fee and a
separate building permit fee for residential properties ; and ,
WHEREAS, amending KMC 4 .32 .015 as provided will allow the C ity to charge one combined fee
for a building permit and plan review as recommended by the Public Works Department.
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 4.32 .015 of the Kenai Municipal Code : That Kenai
Municipal Code , Section 4 .32.015 -Residential Code, is hereby amended as follows:
The fees for construction of Group R-3 and Group U-1 occupancies , or portions thereof,
are as set forth in the City's schedule of rates , charges and fees adopted by the City Council.
[PLAN REVIEW FEES SHALL BE FIFTY PERCENT (50%) OF THE BUILDING PERMIT FEE
FOR GROUP R-3 AND GROUP U-1. PLAN REVIEW FEES SHALL BE PAID AT THE TIME
APPLICATIONS FOR BUILDING PERMITS ARE SUBMITTED.]
Secti on 3. Severability: That if any part or provision of this ordinance or app lication 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, provis ion , or application di rectly invol ved
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 .
Sect ion 4. Effective Date: That pursuant to KMC 1.15 .0?0(f), this ordinance shall take effect
30 days after adoption.
New Text Underl ined; [DE LETED T EXT B RAC KE TE D]
Page 104 of 200
Ordinance No. 2965-2017
Page 2 of 2
ENACTED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA , this 21st day of June , 2017.
ATTEST:
City Clerk
BRIAN GABRIEL SR., MAYOR
New Text Underl ined; [DE LETED TEXT BRACKETED]
Introduced: June 7, 2017
Enacted : June 21, 2017
Effective: J uly 21 , 2017
Page 105 of 200
'Vtfffl/e «1/t~ a Pa.?~ Ct'tj «1/t~ a h.tu.r-e"
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manage ~~·
Sean Wedemeyer, Public Works Director/Capital Projects Manager S,Nt ~
May 30, 2017
Modifying KMC 4.32.015 Local Amendments to the 2012 International
Residential Code
This purpose of this memo is to recommend adoption of an ordinance modifying KMC
4.32.015 .
Mike Wesson , our Building Official , investigated the method and rate other municipalities
h f b 'Id ' 't d I . f Th It . d h c aroe or UI rnq oermr s an pan review ees . e resu s are summarize ere.
Municipality Permit cost Cost of permit and plan review based
based on on 2000 sf home with 1000 sf garaqe
Kenai currently Square Footaqe $1 ,050
Kenai to be proposed on 6/21 Valuation $1 ,581
Soldotna Valuation $1 ,962
Ketchikan Valuation $2 ,348
Seward Valuation $3,238
Kodiak Valuation $2,422
The current fee schedule for residential permits has been in place since 2003 without any
modifications that would reflect the substantial rise of inflation during that time. Further, the
residential permitting fee we are currently using is not an industry standard. It is based solel y
on square footage . All municipalities we surveyed are using the Valuation Method process for
their residential buildings, which is what Kenai uses for commercial construction permits.
The Valuation Method calculates fees based on the cost of construction published by the
International Code Council to calculate the permit fee . This results in increased permit fees
due to inflation without requiring future changes to the code or fee schedule .
KMC 4 .32 .015 states in part
Page 106 of 200
Page 2 of 2
Subject
Plan review fees shall be fifty percent (50%) of the building permit fee for Group R-3
and Group U-1. Plan review fees shall be paid at the time applications for building
permits are submitted.
At the June 21s t meeting a resolution will be offered for adoption that will change the way we
charge for building permits and plan reviews based on the information provided in this memo.
The proposed permit fee calculation will eliminate the separate charge for the plan review
based on the industry standard. Subsequently I recommend adopting this ordinance removing
the code language above.
Thank you for your consideration.
Page 107 of 200
Suggested by: Administration
CITY OF KENAI
ORDINANCE NO. 2966-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA , INCREASING
GENERAL FUND ESTIMATED REVENUES AND APPROPRIATIONS FOR COSTS IN EXCESS
OF BUDGETED AMOUNTS.
WHEREAS, the General Fund Clerks Office budget has been e xhausted with the conclusion of
the City Clerk's Employment Contract and the payment of a 120 day severance package to
include salary and life insurance premiums paid in lump sum and continued medical benefits ; and ,
WHEREAS , supplemental funding of $26,600 is need for the remainder of FY2017; and,
WHEREAS, supplemental funding of $26,600 will provide sufficient budget for the employment of
the interim City Clerk and a temporary Administrative Assistant II for the remainder of FY2017.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA :
Section 1: Form: That this is a non-code ordinance.
Section 2: That estimated revenues and appropriations be increased as follows:
General Fund
Increase Estimated Revenues -
Appropriation of Fund Balance
Increase Appropriations:
City Clerk -Salaries
City Clerk -Overtime
City Clerk -Leave
$26 .600
$26,050
500
50
$26.600
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 .
New Text Underlined ; [DELETED TEXT BRACKETED]
Page 108 of 200
Ordinance No. 2966-2017
Page 2 of 2
Section 4. Effective Date: "That pursuant to KMC 1.15.070(f), this ordinance shall take effect
upon enactment.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA , this 21 51 day of June, 2017.
ATTEST:
Jamie Heinz , Acting City Clerk
Approved by Finance ~
BRIAN GABRIEL SR., MAYOR
Introduced: June 7, 2017
Enacted : June 21 , 2017
Effective: June 21 , 2017
New Text Underlined; [DELETED TEXT BRACKETED]
Page 109 of 200
'Vttlar «1/t~ a Pa~~ e~ «1/t~ a Fu.tfl.l'e "
210 Fidalgo Ave , Kenai , Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gab rie l and Kenai City Council
Paul Ostrander, City Manager? o -
Terry Eubank , Finance Director 1£.
May 31, 2017
Ordinance 2966-2017
The purpose of this memo is to respectfully request adoption of Ordinance 2966-2017. At the
May 17, 2017 Council Meeting the City Council recognized the end date of the City Clerk 's
Contract and provided a 120 day severance package to include salary and life insurance
premiums paid in lump sum and continued medical benefits with an effective date of May 18,
2017.
Payment of severance was not a budgeted item and Ordinance 2966-2017 will provide sufficient
funding for an acting City Clerk and a temporary Administrative Assistant II through the end of
FY2017 . The FY2018 Budget is sufficient for this staffing until such time as the permanent Clerk
is hired.
Page 110 of 200
Sponsored by : Administration
CITY OF KENAI
ORDINANCE NO. 2967-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, APPROPRIATING
TRANSFERS FOR FY2018 BUDGETED CAPITAL PROJECTS IN THE PUBLIC SAFETY
CAPITAL PROJECT FUND, THE KENAI ANIMAL SHELTER IMPROVEMENTS CAPITAL
PROJECT FUND , THE MUNICIPAL ROADWAY IMPROVEMENTS CAPITAL PROJECT FUND ,
THE CITY SHOP IMPROVEMENTS CAPITAL PROJECT FUND , AND THE CEMETERY
IMPROVEMENTS CAPITAL PROJECT FUND.
WHEREAS , at its June 7, 2017 meeting , Council adopted the FY2018 Citywide Budget which
included $488,000 in capital projects; and,
WHEREAS, $120,000 was appropriated to the Public Safety Capital Project Fund for replacement
of the facilities heating system; and,
WHEREAS , $35,000 was appropriated to the Kenai Animal Shelter Improvements Capital Project
Fund to provide supplemental funding for the facility recoating project ; and,
WHEREAS , $48,000 was appropriated to the Municipal Roadway Improvements Capital Project
Fund for repair of the Ryan 's Creek outflow culvert on Frontage Road ; and,
WHEREAS , $35,000 was appropriated to the City Shop Improvements Capital Project Fund for
expansion of the facilities pad ; and ,
WHEREAS , $250 ,000 was appropriated to the Cemetery Improvements Cap ital Project Fund for
design and construction of Phase I of the Kenai Cemetery Exp ans ion ; and,
WHEREAS, appropriation is required in the individual capital project funds prior to funds being
extended .
NOW , THEREFORE , BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA,
as follows:
Section 1. Form : That this is a non-code ordinance .
Section 2. That estima te d revenues and appropriations be increased as follows :
Public Safety Capital Project Fund
Increase Estimated Revenues -
Transfer from General Fund
Increase Appropriation -
Construction
New Text Underlined ; [DE LETE D TE XT BRACKETED]
$120 ,000
$120.000
Page 111 of 200
Ordinance No. 2967-2017
Page 2 of 3
Section 3. That estimated re venues and appropriations be increased as follows:
Kenai An imal Shelter Improvements Capital Project Fund
Increase Estimated Revenues -
Transfer from General Fun d
Increase Appropriation -
Construction
$35.000
$35 .000
Section 4 That estimated revenues and appropriations be increased as follows :
Municipal Roadway Improvements Capital Project Fund
Increase Estimated Revenues -
Tran sfer from General Fund
Increase Appropriation -
Construction
$48.000
$48.000
Section 5. That estimated revenues and appropriations be increased as follows :
City Shop Improvements Capital Project Fund
In c rea se Estimated Revenues -
Transfer from General Fund
Increase Appropriation -
Construction
$35 .000
$35.000
Section 6 That estimated revenues and appropriations be increased as follows:
Cemetery Improvements Capital Project Fund
In c rease Estimated Revenues -
Transfer from General Fund
In crease Appropriation -
Construction
$250 .000
$250.000
Section 7. Severability: That if any part or provision of this ordinance or application thereof to
any person or c ircumstances is adjudged invalid by any court of competent jurisd iction , 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 ci rcumstances.
The City Council hereby declares that it would have enacted the remainder of this ordinance eve n
wi thout such part, provision , or application.
Ne w Text Underlined; !DELET ED TEXT BRAC KETED ]
f
Page 112 of 200
Ordinance No. 2967-2017
Page 2 of 3
Section 8. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
July 1, 2017 .
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 21 51 day of June, 2017.
ATTEST:
Jamie Heinz, Acting City Clerk
Approved by Finance _:;1L
BRIAN GABRIEL SR., MAYOR
Introduced: June 7, 2017
Enacted : June 21, 2017
Effective: July 1, 2017
New Text Underline d ; [DELETED TEXT BRACKETED ]
Page 113 of 200
1Vttl~ «J/t/i a Pa~~ e~ «Jt'tli a Fata.re II
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone: (907) 283-75351 Fax : (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE :
SUBJECT:
Mayor Brian Gabriel and Kena i City Council
Paul Ostrander, City Manager <(.CJ·
Terry Eubank , Finance Director 1£.
May 31 , 2017
Appropriation of FY2018 Budgeted Capital Projects
The purpose of this memo is to provide supporting information for Ordinance 2967-2017.
Ordinance 2967-2017 will appropriate funds transferred from the General for capital projects in
the FY2018 Budget. Funds transferred by other funds require appropriation prior to e xpending in
the fund receiving the transfers .
The FY2018 Budget appropriated a transfer of $120 ,000 to the Public Safety Capital Project Fund
for rep lacement of boi lers at the City's Public Safety Building . These funds will be combin e d with
a State of Alaska Department of Commerce , Community, and Economic Developmen t Grant for
completion of the project.
$35 ,000 was transferred to the Kenai Animal Shelter Improvements Capita l Project Fund to
provide supplemental funding for a project to recoat the facilities walls and floors in the an imal
area . Previous appropriations were not suffic ient and this supplemental funding is needed to
complete the project.
$48 ,000 to the Municipal Roadway Improvements Capital Project Fund for repair of the Ryan 's
Creek outflow culvert on Frontage Road. The outflow is failing , threatening to undermine the
sidewalk and roadway.
$3 5,000 was transferred to the City Shop Improvements Capital Project Fund for ex pansion of
the facilities pad . Pad e xpansion will allow material stored at the Old City Shop Yard to be moved ,
reducing the General Funds annual lease pa y ment to the Airport .
$250 ,000 was transferred to the Cemetery Improvements Capital Project Fund for the Phase 1
expansion of the facil ity. At current burial rates an estimated 3 or 4 years of burial plots are
ava ila ble . Expansion will take place across Float Plane Basin Road from the existing cemetery.
Passag e of th is Ordinance will allow each of these projects to proceed and you support is
respectfull y requested .
Page 114 of 200
Sponsored by: Council Member Boyle
thuityef.
KENAI, AlASKA
'V
CITY OF KENAI
ORDINANCE NO. 2968-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, APPROPRIATING
GENERAL FUND BALANCE FUNDS INTO GENERAL FUND LAND ADMINISTRATION-LANDS
FUND FOR THE PURCHASE BY THE CITY OF KENAl'S GENERAL FUND OF AIRPORT
PROPERTY OUTSIDE THE AIRPORT RESERVE CONSTITUTING APPROXIMATELY 16.49
ACRES OF REAL PROPERTY DESCRIBED AS S1/2 S1/2 SW1/4, SECTION 33,T6N, R11W,
SEWARD MERIDIAN , COMMONLY REFERRED TO AS 'LAWTON ACRES' AND DEED
RESTRICTING THE FUTURE USE OF THE PROPERTY TO PARKS AND RECREATIONAL
USES TO BE RETAINED BY THE CITY FOR A PUBLIC PURPOSE.
WHEREAS , the City obtained the 16.49 acre parcel (Lawton Acres) from the Federal Aviation
Administration (FAA) in 1964, via a Quit Claim Deed generally restricting the use of the property
to development, improvement, operation or maintenance of the Airport; and,
WHEREAS, pursuant to a request by the City on April 20, 1983, the FAA issued a Deed of
Release for Lawton Acres containing a Reverter Clause similar to the original Quit Claim Deed
that provides that if the terms and conditions of the conveyance document are not followed, the
property will revert to the federal government at its option ; and,
WHEREAS, in accepting the Deed of Release, the City Council passed Resolution 83-48
providing that proceeds from any sale or lease of the property would be devoted to the Airport for
development, improvement, operation or maintenance ; and ,
WHEREAS, Lawton Acres is not needed by the Airport for Airport purposes; and,
WHEREAS , the funds utilized for the purchase will not leave the City, but transfer from the
General Fund to the Airport for Airport uses; and ,
WHEREAS , Lawton Acres is currently and has historically been zoned as Conservation allowing
for Parks and Recreational uses; and ,
WHEREAS, the City's 2016 Comprehensive Plan provides for Lawton Acres to be parks,
recreation and open space; and,
WHEREAS , historic and recent efforts by the City to sell Lawton Acres for development purposes
has been met with public opposition in favor of maintaining the existing uses; and ,
WHEREAS , the City Council and majority of public comments reflect a desire for a permanent
resolution for the property eliminating future uncertainty and conflict; and ,
WHEREAS, there is significant public support, expressed in writ ing and orally at public meetings ,
for the purchase of Lawton Acres by the General Fund to allow for preservation of property; and,
New T ext Underlined; [DE LETED TEXT BRACK ETED]
Page 115 of 200
Ordinance No. 2968-2017
Page 2 of 4
WHEREAS , preserving the property in its current state or allowing limited Parks and Recreational
development will maintain the sanctity of the surrounding residential neighborhoods and provide
separation from industrial and commercial areas ; and,
WHEREAS, at least parts of the 16.49 acres, which specifically includes the 'Field of Flowers ,' is
already used as a public park; and ,
WHEREAS, the City's General Fund has sufficient funds to purchase the property without
significant negative implications ; and ,
WHEREAS, KMC 21.15.080-Appraisal, requires that Airport land be appraised within the last 12
months prior to a sale, and KMC 21 .15 .180-Sale, requires the sale to be at fair market value; and ,
WHEREAS , KMC 22 .05 .135-Acquisition of Property, allows the Council to authorize the purchase
of property for a public use, after a qualified appraiser has appraised the property; and ,
WHEREAS , it is in the best interest of the City to purchase the property at its appraised value for
the public use of preserving the property in its current state or allowing limited Parks and
Recreational development to maintain the sanctity of the surrounding residential neighborhoods
and provide separation from industrial and commercial areas and create public parks and
recreational opportunities for all residents of the City; and ,
WHEREAS , placing a deed restriction on the property restricting its use in perpetuity for parks
and recreational uses, will accomplish the public purpose in the property acquisition.
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 . Statement of Ownership: That the City of Kenai, on behalf of the Airport is the
Owner of the real property described as S 1/2 S 1/2 SW 1/4, Section 33 , T6N , R11W, Seward
Meridian.
Section 3. Public Purpose and Best Interest Findings: That the Kenai City Council further
finds the acquisition of the subject parcel to be in the best interests of the citizens of the City of
Kenai and that the public interest shall be served by its acquisition for the total purchase price as
established by a fair market value appraisal, in accordance with the recitals above which are
incorporated herein . That it is further found that the property is not needed for Airport purposes.
Section 4. Authorization of Purchase: That the Kenai City Council hereby authorizes the City
Manager to purchase the real property described as S 1/2 S 1/2 SW 1/4, Section 33 , T6N, R11W ,
Seward Meridian , for the total purchase price as appraised, on a form approved by the City
Attorney , to be retained by the City for public use and restricted as provided below.
New Text Underlined ; [DELET ED TEXT BRACKETED]
Page 116 of 200
Ordinance No . 2968-2017
Page 3 of 4
Section 5. That estimated revenues and appropriations be increased as follows:
General Fund
Increase Estimated Revenues -
Appropriation of Fund Balance:
Increase Appropriations:
Land Administration -Land:
Section 6. Title : That Title shall be conveyed by a Quit Claim Deed . Any instrument
conveying Title to the property shall include the following restrictions , promises , and /or covenants:
(a) that the City of Kenai reserves unto that the Grantee ex pressly agree for itself and
its heirs, e xecutors , administrators, successors , transferees, and assigns , for the use and
benefit of the public a right of flight for the passage of aircraft in the airspace above the
surface of the property, together with the right to cause in said airspace such noise as may
be inherent in the operation of aircraft, now known or hereafter used, for navigation of or
flight in the said airspace, and for use of said airspace for landing on or at and for taking
off from or operating on Kenai Municipal Airport; and ,
(b) that the Grantee expressly agree for itself and its heirs , executors, administrators ,
successors , transferees , and assigns to restrict the height of structures , objects of natural
grown , and other obstructions on the property to a height of not more than 242 above
mean sea level ; and ,
(c) that the Grantee expressly agree for itself and its heirs, executors, administrators,
successors, transferees, and assigns to prevent any use of the property which would
interfere with landing or taking off of aircraft at the Kenai Municipal Airport , or otherwise
constitute an airport hazard; and,
( d) that in perpetuity, the use of the property shall be restricted for public park ,
recreation ; and ,
( e) that all covenants heretofore stated , shall run with the land and shall inure to the
benefit of, and be binding upon the heirs , executors, administrators, successors ,
transferees, and assigns of the parties to the contract for sale and conveyance.
Section 7. Proceeds of Sale: That should a sale of the property be finalized, all revenues
from the sale shall be deposited in the Airport Land Sale Permanent Fund for use in the
development, improvement, and operation of the Kenai Municipal Airport and as otherwise
required in that Deed of Release executed on April 20, 1983 and recorded at Book 209 , Pages
30-31 , Kenai Recording District.
Section 8. 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.
New Text Underl ined ; [DELETED T EXT BRACKETED]
Page 117 of 200
Ordinance No. 2968-2017
Page 4 of 4
Section 9. Effective Date : That pursuant to KMC 1.15.070(f), this ordinance shall take effect
30 days after adoption. ·
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 21st day of June, 2017.
ATTEST:
City Clerk
BRIAN GABRIEL SR., MAYOR
New Text Underlin ed ; (DE LETED TEXT BRACKETED]
Introduced: June 7, 2017
Enacted : June 21, 2017
Effective : July 21, 2017
Page 118 of 200
'Vtff~e a1/t~ a PaJ'~ Ct'ti a1/t~ a Fat~ 11
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
FROM:
DATE :
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Council Member Boyle
June1 ,2017
Ordinance No . 2968-2017 regarding Lawton Acres
Ordinance 2968-2017 proposes to purchase Lawton Acres utilizing General Fund , Fund Balance
and deed restrict the property for Parks and Recreational uses . The funds utilized for the
purchase will stay within the City and will be utilized for the benefit of the City's Airport. This
direction is consistent with historic and recent public testimony and provides a final solution and
direction for Lawton Acres.
Kenai Municipal Code requires that the property be appraised and the purchase price reflect fair
market value. There is not a recent appraisal on the property. This Agenda includes an Action
Approval item authorizing the City Manager or City Attorney to obtain an appraisal. It is my
understanding that an appraisal can be accomplished by June 19 , 2017 . This would allow the
Council to know the purchase price of the property prior to voting on enactment of this Ordinance
at Council 's June 21 , 2017 meeting .
Your consideration is appreciated.
Page 119 of 200
''(ltff qfe «1/th a Pa.f~ ft'tj «11'th a f"atare "
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kena i Ci ty Counc il
Paul Ostrande r, City Manager and Dave R~Police Chief?,D ·
May 31, 2017
Dispatch Consolidation
After careful consideration of the costs and benefits of consolidating the Kenai Communications
Center with Soldotna Public Safety Communications Center (SPSCC), it is the recommendation
of the Police Chief and City Manager that we not move forward at this time. The risks of higher
potential costs and the risks of reductions to service appear to outweigh the potential for cost
savings .
The FY16 cost of operating the communications center was $748 ,000 (five year average of
$734,211 ), and of that, cost the City annually recieves $52,800 from the borough-collected 911
taxes . Another nearly $40 ,000 in operating costs to support the police department would mostly
have to remain in the budget. This leaves a potential savings of approximately $655 ,000 . The
proposed contract with the Kenai Peninsula Borough (KPB ), in early estimates is around
$270,000 per year. However, th is estimate carries with it significant risks of being higher not
only in the long term with contract adjustments , but in the short term as call volumes are sorted
out to apportion costs. The savings prior to considering additional personnel that would be
required in the absence of a dispatch center could be $350,000-$400 ,000.
Additional personnel required by the Police Department to maintain police and administrative
services in their current capacity will be significant and will likely have costs that equal or go
beyond the projected savings , and again carry risk of significantly exceeding the anticipated
savings . There are two components of the staffing issue created by removing the eight dispatch
personnel from the Police Department. The first is admin istrative work required to operate a
police department. Currently there is one adm inistrative employee in the Police Department's
budget to carry out those tasks, and remaining administrative tasks are spread acrosss the
dispatch personnel. We would anticipate the need for 2 to 2.5 additional adminsistrive personnel
required by the Police Department, bringing the adm inistrative staff to 3 to 3.5 positions total.
The second component of the staffing issue is much more d ifficult to measure, and that is the
effect on officer staffing when you take away the 24/7 administrative support supplied by an
Page 120 of 200
Page 2 of 2
Dispatch Consolidation
onsite dispatch center. It is apparent that police agencies, like Kenai PD, that operate their own
dispatch center have significantly integrated them into operations and have maintained
departments with less officers by shifting administrative work from officers to dispatchers . The
level of this integration and the cost to police staffing time may not be consistent across police
agencies and makes comparisons between police agencies and dispatch centers less intuitive.
We looked at this a couple ways: 1) We evaluated unallocated officer time which is a common
measure to look at when staffing a police department and determined that officers taking on
additional administrative tasks would unacceptably reduce the unallocated officer time available
for patrolling, deterring crime, and community policing, at current police staffing levels. 2) We
compared police officer staffing to other agencies in the State and determined that our staffing
levels are low and less than the average of department's our size when compared to the
populations they serve. For instance, Soldotna PD operates under the contracted dispatch
model with SPSCC, and has 3.2 officers per thousand residents while Kenai has 2.42 per
thousand residents.
The above information is a very consolidated and synopsized explanation of the staffing issues
that would need to be resolved in a consolidated dispatch scenario. We would estimate an
additional 2-2.5 administrative positions required at the Police Department and 2 officers added
to maintain police services in their current form. Those estimates and the financial impact to the
City are shown below.
Annual dispatch budget
Annual KPB contribution
Absorbed operational Costs
Adjusted annual dispatch budget
Estimated annual KPB charge
Estimated annual cost for two police officers
Estimated annual cost for two admin II
employees
Total estimated annual cost differential
$748,000
$52,800
$40,000
$655,200
$270,000
$250,000
$196,000
-$60 ,800
There are a number of pros and cons to a consolidated dispatch model , some of them tangible
and many less tangible . We primarily focused on the potential for cost savings and the risks of
higher costs and reduced police services .
We appreciate the Borough 's time and resources that have been dedicated to looking into this
project. Their initiative and professional approach , willingness to evaluate it, and to hammer out
ideas and problems has been valuable.
We are asking the Council to auhorize the City Manager to send a letter to Kenai Peninsula
Borough Mayor Mike Navarre providing this information and explaining our decision to not pursue
consolidation at this time.
Page 121 of 200
'Vtf I~ a1/tifl a Po.J'~ Ct'tj a1/till a Fatfl.l'e "
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www . kenai . city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ?. o. ·
Mary L. Bondurant -Airport Manager
May 15 , 2017
CPD Alaska, LLC -Special Use Permit
CPD Alaska , LLC. is requesting a special use permit for a fueling area on the apron consisting
of approximately 35,000 square feet. Attached is a special use permit effective one year from
July 1, 2017 to June 30 , 2018.
The FY18 rate is based on the table below passed by City Council at the May 18, 2016 Council
meeting.
Apron Rate Increases to Arrive at Market in 6 years
Apron Lease Rate FY15 $1.80s.f. x .08 $ 0 .144
FY2016 $ 0.357
FY2017 $ 0 .528
FY2018 $ 0 .699
FY2019 $ 0 .870
FY2020 $ 1.041
FY2021 $ 1.210
Airport Commission reviewed the request at the May 11 , 2017 meeting and recommends
Council approve the request.
Does Council recommend the City Manager enter into a Special Use Permit with CPD
Alaska, LLC, for a fueling area on the apron?
Please contact me if you have any questions.
Attachment: Original Special Use Permit
Page 122 of 200
SPECIAL USE PERMIT -2017
The CITY OF KENAI (City) grants to CPD ALASKA, LLC. (Permittee), whose address
is 201 Arctic Slope Ave., Anchorage, AK 99518, a Special Use Permit for the fueling area
on the apron 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 35,000 square feet as
described in the attached Exhibit A for the uses identified in this Permit.
2. Term. The term of this Permit shall be for 1 year commencing on July 1, 2017 and
ending on June 30, 2018. Regardless of the date of signature, this Permit shall be effective as
of July 1, 2017.
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 of $2,038 .75 plus applicable sales
tax.
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 directed 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 Street, Suite 200, Kenai, AK 99611. All permit fees
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 if 22, Termination)
4. Use. City authorizes Permittee's non-exclusive use of the Premises for the
following purpose(s):
Special Use Permit-Crowley (Apron Fueling Area) Page 1of8
Page 123 of 200
Aviation Fueling on Apron Fueling Area. 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 may 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 rights 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 services 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
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.
Special Use Permit-Crowley (Apron Fueling Area) Page 2of8
Page 124 of 200
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 Management 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 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.
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.
1i. 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.
Special Use Permit-Crowley (Apron Fueling Area) Page 3of8
Page 125 of 200
111. 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 July 1,
2017. The e ffective date of the insurance shall be no later than July
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 o f 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 Permittee's
exercise of the privileges granted in this Permit. This shall be a continuing obligation and
shall remain in effect after termination of this Permit.
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 absorb ent 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
Special Use Permit-Crowley (Apron Fueling Area) Page 4of8
Page 126 of 200
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 us e 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 Pollution
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-parking 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 NFPA 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 § 139 .321 regarding the handling and storage of hazardous
substances and materials .
14. No Discrimination. Permittee sh all 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
Special Use Permit-Crowley (Apron Fueling Area) Page 5of8
Page 127 of 200
discriminatory, basis to all users of the Airport and shall charge reasonable, and not
unjustly discrim inatory, 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/Grant Assurances. This Permit, and Permittee 's activities
conducted under this Permit, is subject to all executive or ders , 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 per day. The City of 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
Special Use Permit-Crowley (Apron Fueling Area) Page 6of8
Page 128 of 200
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 rates , charges and fees. Permittee shall make payment within 30 days following the end
of each month and without demand or invoicing from City. Permittee shall also provide
Airport Administration 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 discretion of the Airport 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 risk 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 shall 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 30 days nor less than seven days before the time of the
auction.
25. Definitions. As used in this Permit, "Permittee" means CDP Alaska, LLC., and
where the context reasonably indicates, its officers , agents , and employees. "Airport"
means the Kenai Municipal Airport.
CITY OF KENAI CPD ALASKA, LLC
Paul Ostrander Date Robert E. Cox Date
City Manager Vice President
Special Use Permit-Crowley (Apron Fueling Area) Page 7 of 8
Page 129 of 200
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 Commission Expires: ____ _
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 Robert E. Cox, Vice President, CPD Alaska,
LLC, on behalf of the State of Alaska.
ATTEST:
Sandra Modigh, City Clerk
SEAL:
APPROVED AS TO FORM:
/ )'
Scott M. Bloom, City Attorney
Y:Wrport\SUP\Crowley\2017 0425 Crowley Ramp SUP.docx
Notary Public for Alaska
My Commission Expires: ____ _
Special Use Permit-Crowley (Apron Fueling Area) Page 8of8
Page 130 of 200
EXHIBIT A
---
Crowley
I
I
EXHIBIT A
Page 131 of 200
'Vtt'I~ «1/th a. Pa.J'~ tt't; «11't~ a. h.t(lfl; ''
210 Fidalgo Ave , Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kena i.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Jl Cu ~ ·
Paul Ostrander, City Manager 7,(\ \
Mary L. Bondurant -Airport Managj\
May 15, 2017
Everts Air Fuel, Inc. -Special Use Permit
Everts Air Fuel , Inc., is requesting a special use permit for the purchasing of fuel for use in
Permittee's aircraft and to take delivery of bu lk fuel for purposes of resale off airport property on
approximately 12 ,000 square feet of the commercial apron . Attached is a special use permit
effective one year from J uly 1, 2017 to June 30, 2018 .
The FY18 rate is based on the table below passed by City Council at the May 18, 2016 Council
meeting .
Apron Rate Increases to Arrive at Market in 6 years
Apron Lease Rate FY15 $1.80s.f. x .08 $ 0.144
FY2016 $ 0.357
FY2017 $ 0.528
FY2018 $ 0.699
FY2019 $ 0.870
FY2020 $ 1.041
FY2021 $ 1.210
Airport Commission reviewed the request at the May 11, 2017 meeting and recommends
Council approve the special use permit.
Does Council recommend the City Manager enter into a Special Use Permit with Everts
Air Fuel, Inc.?
Please contact me if you have any questions .
Attachment: Origi na l Special Use Permit
Page 132 of 200
SPECIAL USE PERMIT -2017
The CITY OF KE NAI (City) grants to EVERTS AIR FUEL, INC. (Permittee), whose
address is P.O . Box 60908, Fairbanks, AK, 99076, a Special Use Permit to conduct
aeronautical and/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 12 ,000 square feet as
described in the attached Exhibit A for the uses identified in this Permit.
2. Term. The term of this Permit shall be for 1 year commencing on July 1, 2017 and
ending on June 30, 2018 . Regardless of the date of signature, this Permit shall be effective as
of July 1, 2017 .
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 of$699.00 plus applicable sales tax.
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 directed to City of Kenai, ATTN: Finance Department, 210 Fidalgo
Avenue, Kenai , AK 99611 and a courtesy notice of payment provided to Airport
Administration at 305 North Willow Street, Suite 200 , Kenai, AK 99611. All permit fees
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 if 22 , Termination)
4. Use. City authorizes Permittee's non-exclusive use of the Premises for the
following purpose(s):
Special U se Permit-Everts Air Fuel, Inc. (Fueling Area) Page 1 of9
Page 133 of 200
To purchase fuel for use in Permittee's aircraft and to take delivery of bulk fuel (for
purposes of resale off airport property) delivered to aircraft of Permittee on the Premises .
NOTE: This permit does not guarantee the exclusive use ofthe area identified in Exhibit
A. City reserves the right to re-assign Permittee, upon reasonable notice , to other areas
as airport needs may 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 rights 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 services 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
of persons using the Airport, the public health or the environment, or the safety or integrity
of any premises on the Airport.
Special Use Permit-Everts Air Fuel, Inc. (Fueling Area) Page 2 of9
Page 134 of 200
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 Management 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 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 premise s, 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.
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.
11 . Permittee shall submit to the City proof of continuous insurance
coverage in the form of insurance policies, certificates, endorsements,
Special Use Permit-Everts Air Fuel, Inc. (Fue ling Area) Page 3 of9
Page 135 of 200
or a combination thereof, and signed by a person authori zed by the
insurer to bind coverage on its behalf.
111. 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 July 1,
2017. The effective date of the insurance shall be no later than July
1, 2017.
City may increase the amount or revise the type of required insurance on written demand
without requiring amendments to th is 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 ofinsurance 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 C ity 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 Muni cipal Airport, and/or Permittee 's
exercise of the priv ileges granted in this Permit. This shall be a continuing obligation and
shall remain in effect after termination of th is Permit.
Special Use Permit-Everts Air Fuel, Inc. (Fueling Area) Page 4 of9
Page 136 of 200
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
Pennittee provide adequate absorbent materials and tools available on the Premises and at the
airport in order to maintain a fuel spill and response capability. Pennittee 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 Pennittee'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 Pollution
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. Pennittee is aware that
there are significant penalties for improperly disposing of the Hazardous Materials and
other waste and for submitting false infonnation 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
gaso line, 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 insta ll any above-ground or underground fuel storage tanks
or dispensing systems at the Airport.
No person shall smoke on an aircraft-parking 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 NFPA 407 (1996 version), and the current
version of the International Fire Codes. All inspections of fue l facilities , by Cit y 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 § 139.321 regarding the handling and storage of hazardous
s ub stances and materials.
Special Use Permit-Everts Air Fuel, Inc. (Fueling Area) Page 5 of9
Page 137 of 200
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/Grant 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 per day. The City of Kenai
is not responsible for any damage to or theft of any personalty of Permittee or of its
customers .
Special Use Permit-Everts Air Fuel, Inc . (Fueling Area) Page 6 of9
Page 138 of 200
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 rates, charges and fees. Permittee shall make payment within 30 days following the end
of each month and without demand or invoicing from City. Permittee shall also provide
Airport Administration 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 discretion of the Airport 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 risk 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 shall 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 30 days nor less than seven days before the time of the
auction.
25. Definitions. As used in this Permit, "Permittee" means Everts Air Fuel, Inc . and
where the context reasonably indicates, its officers, agents , and employees. "Airport"
means the Kenai Municipal Airport.
Special Use Permit-Everts Air Fuel, Inc. (Fueling Area) Page 7 of9
Page 139 of 200
CITY OF KENAI
Paul Ostrander
City Manager
Date
EVERTS AIR FUEL, INC.
Cliff Everts
President
Date
ACKNOWLEDGMENTS
STATE OF ALASKA )
) SS .
TillRD JUDICIAL DISTRICT )
TillS 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 Commission Expires: ____ _
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 Cliff Everts , President, Everts Air Fuel, Inc.,
on behalf of the State of Alaska.
Notary Public for Alaska
My Commission Expires: ____ _
Special Use Permit-Everts Air F uel, Inc. (Fueling Area) Page 8 of9
Page 140 of 200
AITEST:
Sandra Modigh, City Clerk
SEAL:
APPRO /)O FORM:
L
ScottM. Bloom, City Attorney
Y :\A irport\SUP\Everts\2017 0428 Everts Fueling Area SUP.docx
Special Use Permit-Everts Air Fuel, Inc. (F ueling Area) Page 9 of9
Page 141 of 200
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Page 142 of 200
''Vtff ~ «1/t~ a Pa.f~ tt'tj «11't~ a Fu.tfif'e 11
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www. kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager \y.0-{},
Mary L. Bondurant -Airport Mana \ r'1Y
May 15, 2017
Everts Air Fuel, Inc. -Special Use Permit
Everts Air Fuel , Inc., is requesting a special use permit for aircraft loading and parking on
approximately 30 ,000 square feet of the commercial apron. Attached is a special use permit
effective one year from July 1, 2017 to June 30 , 2018 .
The FY18 rate is based on the table below passed by City Council at the May 18, 2016 Council
meeting .
Apron Rate Increases to Arrive at Market in 6 years
Apron Lease Rate FY15 $1 .80s.f. x .08 $ 0.144
FY2016 $ 0 .357
FY2017 $ 0 .528
FY2018 $ 0 .699
FY2019 $ 0 .870
FY2020 $ 1.041
FY2021 $ 1.210
Airport Commission reviewed the request at the May 11 , 2017 meeting and recommend s
Council approve the special use permit.
Does Council recommend the City Manager enter into a Special Use Permit with Everts
Air Fuel, Inc.?
Please contact me if you have any questions .
Attachment: Original Special Use Permit
Page 143 of 200
SPECIAL USE PERMIT -2017
The CITY OF KENAI (City) grants to EVERTS AIR FUEL, INC . (Permittee), whose
address is P.O. Box 60908, Fairbanks, AK 99706 , a Special Use Permit to conduct
aeronautical and/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-exclus ive right to use 30 ,000 square feet as
described in the attached Exhibit A for the uses identified in this Permit.
2. Term. The term of this Permit shall be for 1 year commencing on July 1, 2017 and
ending on June 30, 2018. Regardless of the date of signature, this Permit shall be effective as
of July 1, 2017.
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 of $1 , 7 4 7 .50 plus applicable sales
tax.
B. Proximity Car d 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 directed to City of Kenai, ATTN: Finance Department, 210 Fidalgo
Avenue, Kenai, AK 99611 and a courtesy notice of payment provided to Airport
Administration at 305 North Willow Street, Suite 200 , Kenai, AK 99611 . All permit fees
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 if 22 , Termination)
4. Use. City authorizes Permittee's non-exclusive use of the Premises for the
following purpose(s):
Special Use Permit-Everts Air Fuel , Inc. (Ramp Aircraft Loading & Parking) Page I of 8
Page 144 of 200
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 may 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 rights 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 services 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 an y condition,
problem, malfunction, or other occurrence that threatens the safety of the Airport, the safety
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.
Special Use Permit-Everts Air Fuel, Inc. (Ramp Aircraft Loading & Parking) Page 2of8
Page 145 of 200
7. Coordination with Airport Management. Perrnittee 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 Management regarding general
use of the Airport by Perrnittee.
8. Radio Transmitting Equipment. Perrnittee 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. Perrnittee shall secure and keep in force adequate insurance, as stated
below , to protect City and Perrnittee. Where specific limits are stated, the limits are the
minimum acceptable limits . If Perrnittee'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 . Perrnittee 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.
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.
It. 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.
m. Perrnittee shall request a waiver of subrogation against City from
Special Use Permit-Everts Air Fuel , Inc. (Ramp Aircraft Loading & Parking) Page 3of8
Page 146 of 200
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 must be submitted to City by July 1,
2017. The effective date of the insurance shall be no later than July
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 Permittee's
exercise of the privileges granted in this Permit. This shall be a continuing obligation and
shall remain in effect after termination of this Permit.
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
Special Use Permit-Everts Air Fuel, Inc. (Ramp Aircraft Loading & Parking) Page 4of8
Page 147 of 200
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 Pollution
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-parking ramp, inside an aircraft han gar, 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 Fuelin g Servicing" in NFPA 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 § 139.321 regarding the handling and storage of hazardous
substances and materials.
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
Special Use Permit-Everts Air Fuel, Inc. (Ramp Aircraft Load in g & Parking) Page 5 of 8
Page 148 of 200
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/Grant 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 u sed 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 per day. The City of Kenai
is not responsible for any damage to or theft of any personalty of Pennittee 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
Special Use Permit-Everts Air Fuel, Inc. (Ramp Aircraft Loading & Parking) Page 6of8
Page 149 of 200
to a fail ure 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 rates, charges and fees. Permittee shall make payment within 30 days following the end
of each month and without demand or invoicing from City . Permittee shall also provide
Airport Administration 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 discretion of the Airport Manager, City may impound any
aircraft parked on the Premises after termination of this Permit. lmpoundment 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 risk 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 shall 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 30 days nor less than seven days before the time of the
auction.
25. Definitions. As used in this Permit, "Permittee" means Everts Air Fuel, Inc . and
where the context reasonably indicates, its officers, agents, and employees. "Airport"
means the Kenai Municipal Airport.
CITY OF KENAI
Paul Ostrander
City Manager
Date
EVERTS AIR FUEL, INC.
Cliff Everts
President
Special Use Permit-Everts Air Fuel, Inc. (Ramp Aircraft Loading & Parking)
Date
Page 7of8
Page 150 of 200
ACKNOWLEDGtvffiNTS
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 Commission Expires: ____ _
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 Cliff Everts, President, Everts Air Fuel, Inc.,
on behalf of the State of Alaska.
ATTEST:
Sandra Modigh, City Clerk
SEAL:
APPROVED AS TO FORM:
--?
:;: --------Scott M. Bloom, City Attorney
Y :\Airport\SUP\Everts\2017 0428 Everts Ramp SUP .docx
Notary Public for Alaska
My Commission Expires: ____ _
Special Use Permit-Everts Air Fuel, Inc. (Ramp Aircraft Loading & Parking) Page 8of8
Page 151 of 200
Everts Air Fuel
30,000 sqft
---
EXHIBIT A
I EXHIBIT A
Page 152 of 200
'Vtfl~ «1/t/i a Pa&'~ Ot'tf «1/t/i a Fo.tal"e 11
210 FidalgoAve, Kenai , Alaska 99611-7794
Telephone : (907) 283-75351 Fax: (907) 283-3014
www. kenai .city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kena i City Council
Paul Ostrander, City Manager ?~O
Mary L. Bondurant -Airport Manage
May 26, 2017
Pacifi c Star Seafood's, Inc. -Special Use Permit
Pacific Star Seafood 's , Inc., called on May 25, 2017 requesting a special use permit for the on
or off-loading of fish on approximately 15,000 square feet of the commercial apron effective
June 8, 2017.
Attached is a special use permit effective for three months; June, July and August 2017.
June's monthly fee is based on the FY17 rate and July and August will be based on the FY18
rate reflected in the table below passed by City Council at the May 18, 2016 Council meeting.
Apron Rate Increases to Arrive at Market i n 6 vears
Apron Lease Rate FY15 $1.80s.f. x .08 $ 0.144
FY2016 $ 0 .357
FY2017 $ 0 .528
FY2018 $ 0 .699
FY2019 $ 0.870
FY2020 $ 1.041
FY2021 $1.210
Airport Commission will review the Special Use Permit at the June 8, 2017 meeting.
Does Council recommend the Ci ty Manager enter i nto a Special Use Permi t w i th Pacific
Star Seafood's, Inc., subject to a favorable recommendation from the Airport
Commissi on?
P lease contact me if you have any questions .
Attachment: Original Special Use Permit
Page 153 of 200
SPECIAL USE PERMIT 2017
The CITY OF KENAI (City) grants to PACIFIC STAR SEAFOODS, INC., (Permittee),
whose address is 672 Bridge Access, Kenai. AK 99611 , a Special Use Permit for the
purpose of on or off-loading fish 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 15,000 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 June 8, 2017 , and ending on August 31 , 201 7 .
Regardless of the date of signature, this Permit shall be effective as of June 8, 2017.
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 sales tax as follows:
June $ 546.25
July $ 873.75
August $ 873 .75
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 directed 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 Street, Suite 200 , Kenai , AK 99611. All permit fee s
are payable in advance of each month unless otherwise provided. In the event of
delinquency , interest at the rate of ten percent (10%) per annum, and penalty often percent
(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 ii 22, Termination).
Special Use Permit-Pacific Star Seafoods, Inc. -Fish Haul Page I of 8
Page 154 of 200
4. Use. City authorizes Permittee's non-exclusive use of the Premjses for the
following purpose(s):
On or off-loading fish. NOTE: This permit does not guarantee the exclusive use of the
area identified in Exhibit A. City reserves th e right to re -assign Permittee, upon
reasonable notice, to other areas as Airport ne eds may require.
Permittee shall have the right of ingress and egress to the Airpo1t using only designated
gate access locations (wruch may require a proximity card) for the use of the Premises.
This Permit, and any access rights allowed hereunder, are for Permjttee's use only and may
not be tran sferred or assigned.
Use of the Premises by Permittee is subject to the reasonable admirustrative actions of the
City of Kenai for the protection and maintenance of the Prenti ses 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 Murucipal Code
and municipal regulations governing the Kenai Murucipal Airport and as tho se laws and
regu lation s may be amended from time to time.
Solicitation of donations or operation of a bu sines s or other commercial enterprise not
contemplated by this Pe1mit is prorubited wi tho ut the written consent of City.
No person may repair an aircraft. aircraft engine, propeller, o r apparatus in an area of the
Airport other than that specifically des ignated 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 mav perform services 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 Pem1ittee on the
Airport, that perfo1m any repairs or activities authorized under this Pennit act in a manner
that ensures the safety of people and the Airpo1t , the protection of public health and the
environment, and the safety and integrity of the Airport and any premi ses on the Airp01t.
Perrnittee shall employ qualified personnel and maintain equipment suffi cient for the
purposes of this provision. The Permittee shall immediately notify City of any condi tion,
problem, malfunction, or other occ utTence that threatens the safety of th e Airpo1t , the safety
of persons usin g the Airport, the public health or the environment, o r the safety or integrity
of any premises on the Airport.
Special Use Permit-Pacific Star Seafoods, Inc. -Fish Haul Page 2of8
Page 155 of 200
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 Pennittee under this Pem1it.
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 Management regarding general
use of the Airport by Permittee.
8. Radio Transmitting Equipment. Permittee shall d is continue 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 specific limits are stated, the limits are the
minimum acceptable limits. If Pennittee'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
han.dling 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. Pennittee is
further responsible to provide worker's compensation insurance for any
subcontractor who directly or indirectly provides services to Pem1ittee 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.
D. All insurance required must meet the following additional requirements:
L All policies will be by a company/c01poration currently rated "A-" or
better by A.M. Best.
11. Pennittee shall submit to the City proof of continuous insurance
coverage in the fom1 of insurance policies, ce1iificatcs, endorsements,
Special Use Permit-Pacific Star Seafoods, Inc. -Fish Haul Page 3 of 8
Page 156 of 200
or a combination thereof, and signed by a perso n authorized by the
insurer to bind coverage on its behalf.
111. Permittee shall request a waiver of subrogation against City from
Perrnittee 's insurer and the wa iver of s ubrogation , where possible ,
sha ll be provided at no cost to City.
iv. Provide the City with notification at least thirty (30) days before any
tem1ination , cancellation , or material change in insurance coverage of
any policy required hereunder.
v. Evidence of insurance coverage must be submitted to City by June 1,
2017 . The effective date of the insurance shall be no later than June
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 rev ision on
reasonable a11d 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.
Pemuttee shall provide all proper safeguards and shall as sume aJI risks incurred in its
activities on and access to the Kenai Municipal Airpo1t and its exercise of the privileges
granted in this Pe1111it.
11. Indemnity, Defend, and Hold Harmless Agreement. Pennittee agrees to fully
indemnify, defend , and hold harmles s, 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 provis ion (hereafter collectively referred to as
"Liabilities"), to which any or all of them ma y be subjected, to the extent such Liabilities
are caused by or result from any negligent act or omission or willful misconduct of the
Pennittee in connection w ith or arising from or out of Permittee's activities on or use of
the Premises, Permittee's access to the Kenai Municipal Airpo1i, and/or Pennittee 's
exercise of the p1ivileges granted in this Penn it. This shall be a continuing obligation and
shall remain in effect after termination of this Permit.
Special Use Permit-Pacific Star Seafoods, Inc. -Fish Haul Page 4of8
Page 157 of 200
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 too ls available on the Premises and at the
airport in order to maintain a fuel spill and response capabi lity. Pe1mittee 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 du e to Perrnittee'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 Res ponse Plan located in the Pem1ittee 's fuel dispensing
equipment at all times. Pe1mittee mu st comply with the Airp011's Storm Water Pollution
Prevention Plan as appropriate to Permittee 's activities.
Permittee shall not store any persona l property, sol id waste, petroleum products, Hazardous
Materia l as defined by 14 CFR § 171.8 , hazardous waste (igni table, corrosive, reacti ve, or
toxic) or any hazardo u s substance on any portion of the Airp011. 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 possibi li ty of fine and imprisonment for knowi ng violations.
Permittee sha ll immediately remove the material in the event of sp illage or dripping of
gaso line , oil, grease, or any other material which may be unsightl y or detrimental to the
pa ve ment or surface in or on any area of the Ai11Jort .
Permittee may not construct or in stall any above-ground or underground fuel storage tanks
or dispensing sys tems at the Airpo11.
No person shall smoke on an aircraft-parking ramp , inside an aircraft h angar, or w ithin
fifty feet (50') of any aircraft fuel facility or fue l truck.
Permittee is subject to FAA Advisory Circular 150/5230-4 Aircraft Fuel Storage ,
Hand ling , and Di spensing on Airpo1ts , the National Fire Protection Associations '
"Standard for Aircraft Fueling Servicing" in NFP A 40 7 ( 199 6 vers ion), and the current
version of the International Fire Codes. All inspections of fuel facilities , by City or other
re g ulating entities to which Permittee is s ubj ect, shall be conducted to assure compliance
with the fire safety practices li sted in these referenced documents.
13 . Hazardous Substances and Materials. Pe1mittee shall conform and be subject to
the requi rements of 14 CFR § 13 9 .321 rega rdin g the handling and storage of ha zardou s
substances and materials.
Special Use Permit-Pacific Star Seafoods, Inc. -Fish Haul Page 5of8
Page 158 of 200
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 recogni zes
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 unju stly
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 Airp01i.
15. Licenses and Permits . Permittee shall obtain and maintain all r equired federal,
state, and local licenses, ce1iificates , and other documents required for its operations under
the Pe1mit. Permittee shall provide proof of compliance to City upon request by the City.
16. Compliance with Law/Grant 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 federa l, state, and City statutes, ordinances,
and regulations in effect during the term of thi s Permit. Fmiher, Pem1ittee s hall comply
with all applicable requirements imposed on the Airp01i 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 ha s 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 Pennittee.
19. No Joint Venture. C ity shall not be construed or held to be a pa1iner or joint
venturer of Permittee in the conduct of its business or activities on the Premises or
el sewhere 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 ex ercise suc h terms, condition s, or requirements.
21. Personalty . Permittee shall remove any and all personal prope1iy , including all
vehic les, from the Premises at the termination of this Pe1mit (or any renewal thereof).
Personal prope1iy placed or used upon the Premises will be removed and/or impounded by
the C ity, if not removed upon te1mination of this Permit and when so removed an d/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 da y . The City of
Kenai is not responsible for any damage to or theft of any personalty of Permittee o r of its
customers.
Special Use Permit-Pacific Star Seafoods, Inc. -Fish Haul Page 6of8
Page 159 of 200
22. Termination; Default. This Permit may be terminated by either patiy hereto by
giving thi11y (30) days advance written notice to the other party. C ity may terminate the
Permit immediately, or upon notice shorter than thirty (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 rates , charges and fees . Permittee sha ll make payment within thirty (30) days following
the end of each month and without demand or invoicing from City. Pennittee shall also
provide Airport Administration with monthly certified gross take-off weight reports within
ten ( 10) 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 996 11.
24. lmpoundment. At the discretion of the Airport Manager, City may impound any
aircraft parked on the Premises after termination of this Pem1it. Impoundment may be
accomplished by affixing a seal to the door of the a ircraft or the moving of the aircraft for
impoundment purposes. Inconvenience or drunage that may result from such movement
will be at the ri sk of Pem1ittee . 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 ninety
(90) days after impoundment sha ll be considered abandoned and shall be subject to sale at
public auction. Notice of any auction shall be published. Publication shall be in a
newspaper of general c irculation in that area fo r at least once during each of three (3)
consecutive weeks not more than thirty (30) days nor less than seven (7) days before the
time of the auction.
25. Definitions. As used in this Permit, "Permittee" means Pacific Star Seafoods, Inc ..
and where the context reasonably indicates, its officers, agents , and employees . "Airport"
means the Kenai Municipal Airport.
CITY OF KENAI PACIFIC STAR SEAFOODS, INC.
Paul Ostrander Date Nate Berga Date
Its: City Manager Its: Plant Manager
Special Use Pe1111it-Pacific Star Seafoods, Inc. -Fish Haul Page 7of8
Page 160 of 200
ACKNOWLEDGMENTS
STATE OF ALASKA )
) SS .
THIRD JUDICIAL DISTRJCT )
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 A laska
My Commission Expires : ____ _
STA TE OF ALASKA )
) SS .
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this __ day of 2017 , the foregoing
instrument was acknowledged before me by NATE BERGA , Plant Manager, Pacific Star
Seafoods , Inc., an Alaska corporation , on behalf of the corporation.
Approved as to Fmm:
Scott Bloom
C ity Attorney
Notary Public for Alaska
My Commission Expires: ____ _
Special Use Permit--Pacific Star Seafoods , Inc. -Fish Haul Page 8of8
Page 161 of 200
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Kenai, Alaska 99611 UJ
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-~ Page 162 of 200
210 Fidalgo Avenue, Kenai, Alaska 99611-7794
Telephone: 907-283-7535 / Fax: 907-283-3014
www.kenai.city
MEMORANDUM
TO: Mayor Brian Gabriel and Kenai City Council
THROUGH:
FROM: Jamie Heinz, Acting City Clerk
DATE: May 31, 2017
SUBJECT: Parks & Recreation Commission Appointment
______________________________________________________________________
With Shauna Thornton’s resignation from the Parks & Recreation Commission on May 2, 2017,
the Parks & Recreation Commission currently has a vacancy that needs to be filled.
Jennifer Joanis has submitted an application expressing interest in filling the vacancy. The term
expires December 2019. Mayor Gabriel has requested this applicant be added to the meeting
agenda for her nomination and consideration by Council for confirmation.
A committee/commission vacancy shall be filled by nomination of the Mayor and confirmation by
the Council (KMC 1.90.010).
Your consideration is appreciated.
Page 163 of 200
'V/ffar «1/t/t, a Po..f~ e'tff «1/t/t, a f"atu.J<-e JI
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ?-O ·
Christine Cunningham, Assistant to City Manage ~
May 31, 2017
C ity Clerk Recruitment
The attached City Clerk position announcement has been posted on the City of Kenai website as
well as advertised as follows :
Peninsula Job Center
Alaska Municipal League
Fairbanks Daily News-Miner (5/31, 6/4)
Alaska Association of Municipal Clerks
International Institute of Municipal Clerks Pen insula Clarion (5/28 , 5/31 , 6/2 , 6/4, 6/9)
Alaska Dispatch (5/28, 5/31, 6/4)
Below is a proposed (genera l) timeline and process for the C ity Clerk recru itment and selection:
May23
June 16
June 19
June 20
June21 *
June 26
July 5*
July 10
August 2 *
August 5
Advertise Position (Posting Period of 5/23 -6/16)
Application Deadline/ Pos ition Closes
Screen Applications for Minimum Qualifications
Forward Applications & Proposed Interview Questions to Council for Review
Council Review of Applicants/Questions and Develop Short List
Schedule Interviews/ Reference and Background Checks
Council Conducts Interviews and Discusses Interviewees
Follow-Up Interviews Scheduled, if necessary
Council Selects Successful Candidate
Finalize Recruitment and Make Offer
*City Council Meeting
If Council approves the above timeline, it wi ll allow for a m id-August start date, however, if Council
wishes to schedule a Special Meeting to conduct interviews or discuss candidates , t he
recruitment could be finalized as early as m id-July.
Attachment
Page 164 of 200
CITY OF KENAI, ALASKA
Position Announcement
City Clerk
City Clerk . Salary Based on Experience. The City Clerk is appointed by and reports to
the Mayor and the City Council and serves as clerical officer of the Kenai City Council
The Clerk is responsible for administrative support to the Mayor and Council, and works
with the broadest level of independence in supervising City elections, administration of
certain permitting and licensing programs , and records management. This position
requires attendance at City Council meetings, daily contact with the public and outside
agencies . In the past, the Clerk has been required to reside in the City of Kenai , and
moving expenses may be reimbursable subject to negotiation at the time of an offer of
acceptance of appointment. The City of Kenai has been nationally recognized as an All-
America City in 1992 and 2011 , and is located on the Kenai Peninsula where the world-
famous Kenai River meets Cook Inlet. Position announcement, job description and
application are available through the Alaska Job Center Network, (907 ) 335-3010.
Submit resume and City of Kenai application form by June 16 , 2017 to Peninsula Job
Service, 11312 Kenai Spur Hwy., Kenai , AK 99611. The City of Kenai is an equal
opportunity employer. For more information about the City of Kenai, visit our home
page at www.kenai .city
Page 165 of 200
TITLE:
SUPERVISOR:
NO. SUPERVISED:
NORMAL HOURS/WK:
SERVICE TYPE:
CITY OF KENAI
OFFICE OF THE CITY CLERK
CITY CLERK
CITY COUNCIL
1
Monday through Friday 8:00 a .m. -5 :00 p .m. but also
requires frequent evening assignments
EXEMPT (Supervisory and Professional)
GENERAL DESCRIPTION The City Clerk is appointed by and reports to the Mayor and
the City Council. The appointee serves as clerical officer of the Council and performs
all duties and assumes all responsibilities required by Alaska Statutes, the City Code
and the Charter of the City of Kenai. The Clerk works with the broadest level of
independence with only guidelines established for final results . Areas of responsibility
include provision of administrative support to the Mayor and Council , supervising City
elections, administration of certain permitting and licensing programs, and records
management. This position requires daily contact with the public, other City employees,
and outside agencies.
ESSENTIAL DUTIES AND RESPONSIBILITIES
1. Manage all functions, operations, activities and personnel in the Office of the City
Clerk.
2 . Attends all meetings and work sessions of the Council as well as meetings of the
Planning and Zoning Commission; serves as clerical officer of the Council and
keeps the journal of proceedings .
3. Prepares agendas and packets for council meetings (including work sessions
and special meetings) and gives notice of the time and place of all public
meetings (including those of boards and commissions) in accordance with state
and lo cal public notice requirements.
4. Supervises City elections, assures compliance with the Federal Voting Rights Act
of 1965 (as amended), assists with state elections , and acts as voter registrar for
the State of Alaska .
5 . Acts as liaison between the City Council , administrative departments, state and
federal agencies , and the general public.
6. Pro vides for the codification of City ordinances .
7. Responsible for the management of all City records development and
implementation of a Records Retention Program , including retention schedules
and procedures for inventory , storage, and destruction of records as necessary .
Page 166 of 200
8 . Maintains custody of the official city seal and attests to all deeds, contracts and
other legal documents of the City.
9 . Maintains and keeps a correct and up-to-date record of the City boundaries and
changes to the City boundaries.
10. Maintains Municipal Cemetery burial records and assigns plots upon request.
11 . Maintains and provides copies upon request of official records and documents,
including all current contracts of the City.
12. Prepares and administers the annual budget for the City Council, the City Clerk
and the Records Management Division .
13. Administers oaths of office and acts as notary public.
14. Provides necessary transcripts and certifications for bond issues.
15. Composes proclamations and resolutions as requested .
16. Acts as parliamentary advisor for the City Council.
17. Administers the petition process for initiative, referendum and recall , including
preparation, issuance and certification of the petitions.
18. Administers the Local Improvement District (LID) petition process and maintains
files of current LIDs .
19. Serves as secretary to the Board of Adjustment and other boards of appeal.
20. Administers perm itting and licensing programs for the City.
21 . Performs other related duties as requested by the City Council or as required by
law.
MINIMUM QUALIFICATIONS
1 . A Bachelor's degree in public administration or an equivalent combination of
experience and training displaying at least five (5) years of high level
administrative and/or management experience requiring independent judgment
and initiative, preferably in the area of municipal government.
2. Certified Municipal Clerk (CMG) certification within three (3) years of
appointment. Appointee must be familiar with state and local legislative and
election procedures .
Page 167 of 200
3 . Possess or obtain a regular or limited governmental notary commission within
thirty (30 ) days of employment.
4. Possess or obtain a valid Alaska driver's license w ithin thirty (30) days of
employment and p rior to operating a City vehicle . Applicants will be required t o
submit a Division of Motor Vehicles re cord upon request.
5. The appli cant (or appointee after hire) must pass a background investigation ,
including but not limited to a criminal background check.
6 . The applicant must possess any combination of training and ex perience that
provide the applicant with the know ledge, skill , and ability to perform the
essential job functions.
7 . The appointee must be available to work varying schedules including wee kend
days and evenings, City holidays a nd the employee may be asked to respond to
emergency call outs when available .
WORKING ENVIRONMEN T The work environment is typically in an indoor office and
community room setting , adequately heated , lighted , and ventilated . The City Clerk
must work during daytime and nighttime hours. The employee must attend public
meetings, often at night. The appointee must occasionally travel to other areas in the
community, particularly public office buildings.
PHYSICAL DEMANDS While performing the duties of this job , the employee is
regularly required to communicate orally and to use hands dexterously to operate office
equipment (e .g ., computers , telephones, photocopiers , keyboards , scanners, and other
general office equipment). The employee must be able to communicate orally in person
and on the telephone . The employee is frequently required to sit for long periods of t ime
and is occasionally required to stand , walk , stoop , bend, crouch , lift, and reach with
hands and arms. Specific vision abilities required include close vision and ability to
adjust focus .
MISCE LLANEOUS INFORMATION The City of Kenai is an equal opportunity employer.
Employment is based on qualifications free of personal and political considerations , with
equal opportunity for all , with no discrimination on the basis of race , co lor, religion , se x,
national origin , age, disability, marital status , changes in marital status , pregnancy,
parenthood , geneti c information or any other basis prohibited by law.
Review and Approv al:
Hu man Res o urces
City Attorney
City M anager
l nitia ls/Sig natu r e Dat e
Page 168 of 200
KENAI AIRPORT COMMISSION
MAY 11 , 2017 – 6:00 P.M.
KENAI CITY COUNCIL CHAMBERS
CHAIR GLENDA FEEKEN, PRESIDING
MEETING SUMMARY
1. CALL TO ORDER
Chair Feeken called the meeting to order at 6:00 p.m.
a. Pledge of Allegiance
Chair Feeken led those assembled in the Pledge of Allegiance.
b. Roll was confirmed as follows:
Commissioners Present:
Commissioners Absent:
G. Feeken, J. Bielefeld, C. Henry, P. Minelga, D. Pitts
J. Zirul, K. Dodge
Staff/Council Liaison Present: Airport Manager M. Bondurant, Airport Assistant E. Shinn,
Council Member H. Knackstedt
A quorum was present.
c. Agenda Approval
MOTION:
Commissioner Bielefeld MOVED to approve the agenda and Commissioner Pitts SECONDED
the motion. There were no objections; SO ORDERED.
2. PERSONS SCHEDULED TO BE HEARD – None.
3. UNSCHEDULED PUBLIC COMMENT – None.
4. APPROVAL OF MEETING SUMMARY
a. April 13, 2017
MOTION:
Commissioner Bielefeld MOVED to approve the meeting summary from April 13, 2017 and
Commissioner Minelga SECONDED the motion. There were no objections; SO ORDERED.
5. UNFINISHED BUSINESS
a. Discussion/Recommendation – Master Plan Update
Page 169 of 200
Airport Commission
May 11, 2017
Page 2 of 3
It was reported that the Technical Advisory Committee was meeting May 12 to discuss chapters
nine and ten.
6. NEW BUSINESS
a. Discussion/Action – Special Use Permit to CPD Alaska, LLC
Staff pointed out that the permit would provide for 35,000 square feet for aviation fueling on the
apron.
MOTION:
Commissioner Bielefeld MOVED to approve the Special Use Permit to CPD Alaska, LLC and
Commissioner Minelga SECONDED the motion. There were no objections; SO ORDERED.
b. Discussion/Recommendation – Special Use Permit to Evert’s Air Fuel
It was noted that the Special Use Permit was for use of 12,000 square feet for aircraft fueling on
the apron.
MOTION:
Commissioner Bielefeld MOVED to approve the Special Use Permit to Evert’s Air Fuel and
Commissioner Minelga SECONDED the motion. There were no objections; SO ORDERED.
c. Discussion/Recommendation – Special Use Permit to Evert’s Air Fuel
Staff reported that the Special Use Permit was for 30,000 square feet for aircraft loading and
parking.
MOTION:
Commissioner Bielefeld MOVED to approve the Special Use Permit to Evert’s Air Fuel and
Commissioner Minelga SECONDED the motion. There were no objections; SO ORDERED.
d. Discussion/Recommendation – Revision to Airport Aircraft Tie Down Rates
Airport Manager M. Bondurant recommended eliminating the option of annual payment of tie-
down fees as it offered a discount.
MOTION:
Commissioner Pitts MOVED to approve the elimination of a discounted rate for aircraft tie-down
and Commissioner Henry SECONDED the motion.
VOTE:
YEA: Feeken, Pitts, Henry, Minelga
NAY:
Page 170 of 200
Airport Commission
May 11, 2017
Page 3 of 3
Commissioner Bielefeld noted he had a conflict of interest and abstained from voting.
MOTION PASSED.
7. REPORTS
a. Airport Manager – reported on the following:
• Airport Marking Project beginning;
• Runway action meeting was held May 10;
• Float Plane Basin opened May 8;
• Airport Operations staff cleaning the T-33.
b. City Council Liaison – reported on various actions at recent Council meetings.
8. NEXT MEETING ATTENDANCE NOTIFICATION – June 8, 2017.
Commissioner Minelga noted he would be unable to attend the meeting.
9. COMMISSIONER COMMENTS AND QUESTIONS – None.
10. ADDITIONAL PUBLIC COMMENT – None.
11. INFORMATION ITEMS – None.
12. ADJOURNMENT
There being no further business before the Commission, the meeting was adjourned at 6:37 p.m.
Meeting summary prepared and submitted by:
_____________________________________
Jamie Heinz, CMC
Acting City Clerk
Page 171 of 200
KENAI HARBOR COMMISSION MEETING
MAY 8, 2017 – 6:00 P.M.
CITY HALL COUNCIL CHAMBERS
CHAIR SHAUNA THORNTON, PRESIDING
MEETING SUMMARY
1. CALL TO ORDER & ROLL CALL
Commission Chair Thornton 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, R.
Koch, N. DuPerron
Commissioners Absent: G. Greenberg
Staff/Council Liaison present: Public Works Director S. Wedemeyer, City Manager P.
Ostrander, Council Member G. Pettey
A quorum was present.
2. AGENDA APPROVAL
MOTION:
Commissioner Hutchison MOVED to approve the agenda with the addition of the manager as
Persons Scheduled to be Heard and agenda item number correction; Commissioner Peters
SECONDED the motion. There were no objections; SO ORDERED.
3. APPROVAL OF MEETING SUMMARY
a. April 10, 2017
MOTION:
Commissioner Peters MOVED to approve the meeting summary of April 10, 2017 and
Commissioner Koch SECONDED the motion. There were no objections; SO ORDERED.
5. PERSONS SCHEDULED TO BE HEARD
a. City Manager, Paul Ostrander
City Manager, Paul Ostrander thanked the Commission for their service and provided a brief
overview of his past.
6. UNFINISHED BUSINESS – None.
7. NEW BUSINESS
Page 172 of 200
Harbor Commission Meeting
May 8, 2017
Page 2
a. Discussion – Glaser’s process to Determine Harbor Commission’s Future
Commissioner Koch discussed the Glaser’s Process provided in the laydown and led the
Commission through the process and suggested a few work sessions; individuals to be invited to
the work sessions were identified
8. REPORTS
a. Public Works Director – S. Wedemeyer noted the boating facility had been
opened.
b. Commission Chair – S. Thornton noted she had resigned and was moving to
Sitka; thanked the Commission for their work.
c. City Council Liaison – G. Pettey noted the Bluff Erosion Project had been
delayed; thanked Commissioner Thornton for her service.
9. NEXT MEETING ATTENDANCE NOTIFICATION – June 12, 2017
10. COMMISSIONER COMMENTS/QUESTIONS
Commissioner Peters thanked Councilor Pettey for the update on the Bluff Erosion Project; noted
he was interested in the sale of the Dragseth property; thanked Commissioner Thornton.
Commissioners DuPerron, Desimone, and Hutchison echoed gratitude to Commissioner
Thornton
11. PERSONS NOT SCHEDULED TO BE HEARD – None.
12. INFORMATION – None.
13. ADJOURNMENT
There being no further business before the Commission, the meeting was adjourned at 7:15 p.m.
Meeting summary prepared and submitted by:
_____________________________________
Jamie Heinz, CMC, Acting City Clerk
Page 173 of 200
KENAI PARKS & RECREATION COMMISSION
MAY 4, 2017
CITY HALL COUNCIL CHAMBERS
7:00 P.M.
CHAIR CHARLIE STEPHENS, PRESIDING
MEETING SUMMARY
1. CALL TO ORDER & ROLL CALL
Chair Stephens called the meeting to order at 7:05 p.m. Roll was confirmed as follows:
Commissioners present: C. Stephens, N. Widmayer, J. Halstead, T. Wisniewski, J. Hudson,
S. Thornton
Commissioners absent:
Staff/Council Liaison present: Parks & Rec Director B. Frates, Council Liaison T. Navarre
A quorum was present.
2. AGENDA APPROVAL
MOTION:
Commissioner Widmayer MOVED to approve the agenda; Commissioner Hudson SECONDED
the motion. There were no objections; SO ORDERED.
3. APPROVAL OF MEETING SUMMARY
a. April 6, 2017
MOTION:
Commissioner Widmayer MOVED to approve the meeting summary of April 6, 2017 and
Commissioner Thornton SECONDED the motion. There were no objections; SO ORDERED.
4. PERSONS SCHEDULED TO BE HEARD – None.
5. PERSONS PRESENT NOT SCHEDULED – None
6. UNFINISHED BUSINESS – None
7. NEW BUSINESS
a. Bleachers for Steve Shearer Memorial Ball Park
Parks and Recreation Director B. Frates reported that the Kenai Rotary Club was interested in
applying for a grant, which could be utilized for the purchase of a bleacher. Director Frates
recommended utilizing FY18 funds to match the grant and purchase two.
There was discussion regarding the need for replacement and advantages of ordering four rather
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Parks and Recreation Commission Meeting
April 6, 2017
Page 2
than two.
MOTION:
Commissioner Halstead MOVED to request an appropriation from Council in the FY18 budget for
the purchase of four bleachers; Commissioner Widmayer SECONDED the motion. There were
no objections; SO ORDERED.
8. REPORTS
a. Parks and Recreation Director – Parks and Recreation Department Director
Frates reported on the following:
• Summer crews were set to begin June 5;
• Ball fields were up and running;
• Red Line Sports getting prepped for summer hockey camp;
• Crews busy turning on water, opening restrooms, and clearing sand off turf
areas;
• Donation of metal fish art for display.
b. Commission Chair – Commission Chair Stephens noted administration from
Kaleidoscope School was appreciative of the play equipment for younger
children at Municipal Park.
c. City Council Liaison - Council Member Navarre thanked Commissioner
Thornton for her service.
9. NEXT MEETING ATTENDANCE NOTIFICATION – June 1, 2017
It was requested that the June meeting be cancelled; next meeting August 3.
10. COMMISSION QUESTIONS & COMMENTS – None
11. PERSONS PRESENT NOT SCHEDULED TO BE HEARD – None
12. INFORMATION – None.
13. ADJOURNMENT
There being no further business before the Commission, the meeting was adjourned at 7:45 p.m.
Meeting summary prepared and submitted by:
_____________________________________
Jamie Heinz, CMC
Acting City Clerk
Page 175 of 200
CITY OF KENAI
PLANNING & ZONING COMMISSION
CITY COUNCIL CHAMBERS
MAY 24 , 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, G. Greenberg, V. Askin, J. Twait
Staff/Council Liaison present: City Planner M. Kelley, Acting City Clerk J. Heinz, and Council
Liaison B. Molloy
A quorum was present.
c. Agenda Approval
Commission Chair Twait noted the following revisions to the packet:
Add to Item 6. a. Resolution PZ17-10
• Correspondence from Michael and Joyce Nelson
Add to Items 6. b. – g. Resolutions PZ17-12 thru PZ17-16, and PZ17-19
• Memo from staff
MOTION:
Commissioner Springer MOVED to approve the agenda and Commissioner Askin SECONDED
the motion. There were no objections; SO ORDERED.
d. Consent Agenda
MOTION:
Commissioner Askin MOVED to approve the consent agenda; Commissioner Greenberg
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
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May 24, 2017
Page 2
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 – J. Halstead, K. Peterson, D. Fikes
2. *APPROVAL OF MINUTES: May 10, 2017
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: None.
6. PUBLIC HEARINGS:
a. PZ17-10 - Application for a Conditional Use Permit to operate an approximately 500-
square-foot Marijuana Cultivation Facility, Limited, within an existing approximately 576
square foot detached garage; located on the property known as 1030 Angler Drive, Kenai,
AK 99611, and further described as Lot 2, James H Cowan Subd. Application submitted
by: Kathryn Staskon, 1030 Angler Dr., Kenai, Alaska 99611.
City Planner Kelley reviewed his staff report provided in the packet noting the Conditional Use
Permit would allow a Marijuana Cultivation Facility, Limited in a detached garage, which, based
on the review of criteria found that the permit could be approved with the following conditions:
• Further development of the property shall conform to all Federal, State, and local
regulations;
• A building permit will be required for the construction of the Commercial Marijuana
Establishment as shown on the submitted floor plan and to recognize the
construction of the existing detached garage;
• Prior to operation of the facility, an Encroachment Permit for the existing detached
garage will need to be reviewed and approved by the Planning Commission;
• Prior to operation of the facility, the property owner shall submit a copy of the
approved and fully executed license for the Marijuana Cultivation Facility, Limited.
The applicant shall comply with all regulations as stipulated by the State of Alaska
Marijuana Control Board;
• There are to be no signs placed on the subject parcel or on the subject Commercial
Marijuana Establishment, which advertises its use on the property;
• All security lighting for the establishment shall be downcast and shielded;
• Pursuant to KMC 14.20.330(e), the establishment shall not emit an odor that is
detectable by the public from outside the establishment;
• Pursuant top KMC 14.20.150(f), the applicant shall submit an annual report to the
City.
MOTION:
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Page 3
Commissioner Springer MOVED to approve Resolution No. PZ17-10 and Commissioner
Greenberg SECONDED the motion.
Commission Chair Twait opened the public hearing.
Greg Anderson spoke against the operation of the facility noting most of the residents in the area
were against it and that the use didn’t fit with the neighborhood; suggested there was no precedent
for the staff’s finding that the property values wouldn’t be affected.
Katherine Staskon explained that she had always had a passion for horticulture and the business
was an extension of that and being used to make money from home which the guides in the area
were also able to do. She pointed out that her business wouldn’t have walk up customers or
signage and it wouldn’t be visible from the street that the property was anything but a residence.
Ms. Staskon also provided an overview of her business plan and clarification on the state
regulations requiring the Conditional Use Permit, security, and testing.
Amber Buta, Staskon’s sister, spoke in favor of her sister’s endeavor pointing out that Alaskans
came together to allow for commercial marijuana; noted her sister was a responsible and reliable
person, was following the legally applicable processes, and seeking the permits to run her
business legally.
Debra Shuey spoke against the operation of the facility noting that she had testified in the past,
when the regulations were being developed, that the areas being allowed for commercial
marijuana needed to be thought about; expressed having a cultivation facility in her residential
area would be a worst case scenario. Also noted that she was of Baha’i faith, a religion that met
in homes and that youth walked the neighborhood streets; expressed concern for the security of
the neighborhood.
Aaron Langlois spoke in favor of the business noting that his internet based research on land
values in other states found that property values were not decreasing but increasing when in
proximity to marijuana establishments except warehouses, which did show a decrease; clarified
the business was a residential garage.
Helen Groeneveld expressed concern about the German Shepherd dogs that the business owner
mentioned having and wanted to know if they would be restrained as other residents in the
neighborhood walked their dogs. It was confirmed that the business owner would have proper
restraining for the dogs.
There being no one else wishing to speak, the public hearing was closed.
It was clarified that the property met the 40,000 square foot requirement, but not required to as it
was a Cultivation Facility - Limited; no fencing required as the entire facility was enclosed; also
clarified that driveway easements were forever.
It was noted that the nature of the Conditional Use Permit was that if the conditions weren’t met,
the permit would go back to the Planning and Zoning Commission for review and that the
permittee had to submit annual reports showing compliance.
Commissioner Springer noted the application appear to meet the criteria and would be voting in
favor.
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Planning and Zoning Commission Meeting
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Page 4
Commission Chair Twait noted the new industry could be difficult to embrace; felt the application
met the criteria. Also noted that the industry needed to be scrutinized and the Conditional Use
Permit provided the needed reviews; would be voting in favor.
VOTE:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
Commission Chair Twait noted the fifteen-day appeal period.
b. PZ17-12 - Application for a Conditional Use Permit to operate an airport utilizing the
current/historically use hangar facility on the property, tie downs for small aircraft, staging,
light maintenance for small aircraft (up to a Twin Otter) and fueling; located on the property
known as 2270 Royal Street, Kenai, Alaska, 99611, and further described as Tract A,
Dragseth Subdivision 2016 Addition. Application submitted by PRL Logistics, LLC, 421 W.
1st Ave., Suite 250, Anchorage, AK 99501
City Planner Kelley reviewed his staff report provided for Resolutions PZ17-12, 13, 14, 15, 16,
and 19 in the packet noting the permits would allow a proposed private lodge, professional office,
and private use airport and, based on the review of criteria, found that the permit could be
approved with the following conditions:
• Further development of the property shall conform to all Federal, State, and local
regulations;
• The operation of the Limited Use Airport (Airstrip) shall comply with all regulations of
the FAA;
• The US Corps of Engineers shall approve the filling or impact to any wetlands;
• Prior to operation of the airstrip, PRL, Inc. shall submit an operational plan for review
by the City. Every two years following the submittal of the first operational plan, a
revised Plan shall be submitted to the City of Kenai for review; any revisions to the
operational plan will require approval of the City Manager before their
implementation;
• The existing airstrip shall remain a grass surface vegetated with Alaska native
grasses and there shall be no placement of fill material on the subject parcels without
an amendment to the Conditional Use Permit and approval of the Planning and
Zoning Commission;
• The footprint shall not be expanded without an amendment to the Conditional Use
Permit and approval of the Planning and Zoning Commission;
• Within 16-months of the issuance of the Conditional Use Permits, the existing post
and chain fence that is fronting the dunes shall be extended south to Royal Street by
PRL, Inc. The posts and chain fence shall be of similar materials and colors and
shall be subject to inspection by the City of Kenai after their installation;
• The operation of the Limited Use Airport or Airstrip shall at no time damage or impact
the dune area to the west of the Airstrip. There shall be no construction or the
placement of any material on or in the dune area. PRL, Inc. shall remedy any
damages done to the dunes because of the operation or construction of the Limited
Use Airport or Airstrip to the satisfaction of the City of Kenai;
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Planning and Zoning Commission Meeting
May 24, 2017
Page 5
• The loading or unloading of aircraft or airships shall take place during the period
between morning civil twilight and the end of evening civil twilight at the south end of
the existing Airstrip;
• Unless for safety or weather conditions the flight path for all aircraft approaching or
departing the Airstrip shall be located over the waters of Cook Inlet;
• At no time shall the use of any aircraft or airships endanger any participants of the
Personal Use Fishery;
• At no time shall there be any hazing or disturbing of any migratory birds utilizing the
wetland areas to the north or east of the existing Airstrip;
• Until such time as a Subdivision Plat is recorded, the use of that portion of Tract B
Dragseth Subdivision and a portion of Government Lots 9-15, inclusive, and a portion
of the SE ¼, SE ¼, NE ¼, Section 7, T5N, R11W for a Limited Use Airport and
Airstrip shall be restricted to the area shown on Attachment A.
• At no time shall members of the public be restricted from accessing the beach area
shown on Attachment A as “Area Reserved for Public Access Easement”;
• Prior to operation of the restaurant or lodge, the applicant shall submit documentation
from the Alaska DEC of approval for the septic and water systems for the Conditional
Uses;
• Prior to operation of the lodge or bed and breakfast, the City of Kenai Fire Marshal
shall inspect the premises compliance with the International Fire Code. Thereafter,
the City of Kenai Fire Marshal shall inspect the premises every other year pursuant
to KMC 147.20.321;
• Until such time as it expires, the Conditional Use Permits shall also be subject to the
conditions of approval in the Special Use Permit issued as a part of Resolution No.
2017-20;
• Loud music and other loud noises related to assemblage shall not occur between the
ours of 8:00 P.M. and 9:00 A.M. Sunday through Thursday and 11:00 P.M. through
9:00 A.M. Friday through Saturday;
• Operation of the professional office shall be subject to the requirements of this
Conditional Use Permit;
• Pursuant to KMC 14.20.150(f), the applicant shall submit annual reports to the City
of Kenai.
MOTION:
Commissioner Springer MOVED to approve Resolution No. PZ17-12 and Commissioner Askin
SECONDED the motion.
Commission Chair Twait opened the public hearing; there being no one wishing to speak, public
hearing was closed.
MOTION TO AMEND :
Commissioner Springer MOVED to amend by replacing condition #9 to read as follows, “Loading
or unloading of all aircraft or airships shall not unreasonable interfere with the enjoyment of
neighboring private property given their residential character,” and Commissioner Greenberg
SECONDED the motion.
It was clarified that the Planning and Zoning Commission or the nuisance laws in Kenai
Page 180 of 200
Planning and Zoning Commission Meeting
May 24, 2017
Page 6
Municipal Code would determine what was “unreasonable.”
VOTE ON THE AMENDMENT:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
VOTE ON THE MAIN MOTION:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
Commission Chair Twait noted the fifteen-day appeal period.
c. PZ17-13 Application for a Conditional Use Permit to operate a private lodge in the existing
single-family residence which could be used as a bed & breakfast, vacation rental home,
hotel, and general living quarters; located on the property known as 2270 Royal Street, Kenai,
Alaska, 99611, and further described as Tract A, Dragseth Subdivision 2016 Addition.
Application submitted by PRL Logistics, LLC, 421 W. 1st Ave., Suite 250, Anchorage, AK
99501.
MOTION:
Commissioner Springer MOVED to approve Resolution No. PZ17-13 and Commissioner Askin
SECONDED the motion.
Commission Chair Twait opened the public hearing; there being no one wishing to speak, public
hearing was closed.
MOTION TO AMEND :
Commissioner Springer MOVED to amend by replacing condition #9 to read as follows, “Loading
or unloading of all aircraft or airships shall not unreasonable interfere with the enjoyment of
neighboring private property given their residential character,” and Commissioner Greenberg
SECONDED the motion.
VOTE ON THE AMENDMENT:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
VOTE ON THE MAIN MOTION:
YEA: Greenberg, Askin, Twait, Springer
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Planning and Zoning Commission Meeting
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Page 7
NAY:
MOTION PASSED UNANIMOUSLY.
Commission Chair Twait noted the fifteen-day appeal period.
d. PZ17-14 - Application for a Conditional Use Permit to operate assemblies which could
consist of weddings, private parties, and other outdoor events located on the property
known as 2270 Royal Street, Kenai, Alaska, 99611, and further described as Tract A,
Dragseth Subdivision 2016 Addition. Application submitted by PRL Logistics, LLC, 421 W.
1st Ave., Suite 250, Anchorage, AK 99501
MOTION:
Commissioner Springer MOVED to approve Resolution No. PZ17-14 and Commissioner Askin
SECONDED the motion.
Commission Chair Twait opened the public hearing; there being no one wishing to speak, public
hearing was closed.
MOTION TO AMEND :
Commissioner Springer MOVED to amend by replacing condition #9 to read as follows, “Loading
or unloading of all aircraft or airships shall not unreasonable interfere with the enjoyment of
neighboring private property given their residential character,” and Commissioner Askin
SECONDED the motion.
VOTE ON THE AMENDMENT:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
VOTE ON THE MAIN MOTION:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
Commission Chair Twait noted the fifteen-day appeal period.
e. PZ17-15 – Application for a Conditional Use Permit to operate professional offices for PRL
staff and contractors; located on the property known as 2270 Royal Street, Kenai, Alaska,
99611, and further described as Tract A, Dragseth Subdivision 2016 Addition. Application
submitted by PRL Logistics, LLC, 421 W. 1st Ave., Suite 250, Anchorage, AK 99501
MOTION:
Page 182 of 200
Planning and Zoning Commission Meeting
May 24, 2017
Page 8
Commissioner Springer MOVED to approve Resolution No. PZ17-15 and Commissioner
Greenberg SECONDED the motion.
Commission Chair Twait opened the public hearing; there being no one wishing to speak, public
hearing was closed.
MOTION TO AMEND :
Commissioner Springer MOVED to amend by replacing condition #9 to read as follows, “Loading
or unloading of all aircraft or airships shall not unreasonable interfere with the enjoyment of
neighboring private property given their residential character,” and Commissioner Greenberg
SECONDED the motion.
VOTE ON THE AMENDMENT:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
VOTE ON THE MAIN MOTION:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
Commission Chair Twait noted the fifteen-day appeal period.
f. PZ17-16 - Application for a Conditional Use Permit to operate a restaurant and mobile
concession; located on the property known as 2270 Royal Street, Kenai, Alaska, 99611,
and further described as Tract A, Dragseth Subdivision 2016 Addition. Application
submitted by PRL Logistics, LLC, 421 W. 1st Ave., Suite 250, Anchorage, AK 99501
MOTION:
Commissioner Springer MOVED to approve Resolution No. PZ17-16 and Commissioner
Greenberg SECONDED the motion.
Commission Chair Twait opened the public hearing; there being no one wishing to speak, public
hearing was closed.
MOTION TO AMEND :
Commissioner Springer MOVED to amend by replacing condition #9 to read as follows, “Loading
or unloading of all aircraft or airships shall not unreasonable interfere with the enjoyment of
neighboring private property given their residential character,” and Commissioner Askin
SECONDED the motion.
VOTE ON THE AMENDMENT:
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Planning and Zoning Commission Meeting
May 24, 2017
Page 9
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
VOTE ON THE MAIN MOTION:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
Commission Chair Twait noted the fifteen-day appeal period.
g. PZ17-19 – Application for a Conditional Use Permit to operate an airport to be utilized for
small aircraft, airship operations, cargo loading and unloading, light maintenance for small
aircraft and fueling; located on property described as a portion of Tract B, Dragseth
Subdivision 2016 Addition, and a portion of Government Lots 9 through 15, inclusive, and a
portion of the SE ¼ SE ¼ NE ¼, Section Seven, Township 5 North, Range 11 West, Seward
Meridian. Application submitted by PRL Logistics, LLC, 421 W. 1st Ave., Suite 250,
Anchorage, AK 99501
MOTION:
Commissioner Springer MOVED to approve Resolution No. PZ17-19 and Commissioner
Greenberg SECONDED the motion.
Commission Chair Twait opened the public hearing; there being no one wishing to speak, public
hearing was closed.
MOTION TO AMEND :
Commissioner Springer MOVED to amend by replacing condition #9 to read as follows, “Loading
or unloading of all aircraft or airships shall not unreasonable interfere with the enjoyment of
neighboring private property given their residential character,” and Commissioner Askin
SECONDED the motion.
VOTE ON THE AMENDMENT:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
It was clarified that it was unknown when the airstrip was put into use, but had been in place for
many years; also noted that the homeowner had been asked to notify the FAA in 2007 but it was
unclear whether that happened or not. It was also clarified that when the tower was open, aircraft
landing at the airstrip needed tower approval and when the tower was closed, aircraft landed at
the airstrip at their own risk.
Page 184 of 200
Planning and Zoning Commission Meeting
May 24, 2017
Page 10
VOTE ON THE MAIN MOTION:
YEA: Greenberg, Askin, Twait, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
Commission Chair Twait noted the fifteen-day appeal period.
7. UNFINISHED BUSINESS: None.
8. NEW BUSINESS:
a. Discussion – Ordinance No. 2960-2017 Amending Kenai Municipal Code 14.25.015-
Landscaping/Site Plan for Land Clearing, and Kenai Municipal Code14.25.020-Application,
to Prohibit Land Clearing of More Than Twenty Percent of a Parcel Without an Approved
Landscaping/Site Plan
Kelley reported that the ordinance was a stop gap until the ordinance being worked on could be
adopted which would likely be next building season.
9. PENDING ITEMS: None.
10. REPORTS:
a. City Council – Council Member Molloy reviewed the Action Agenda of the May 17 City
Council meeting which was provided in the packet.
b. Borough Planning – Borough Planning Commissioner Glendening reviewed actions from
the May 22 meeting.
c. Administration – City Planner M. Kelley reported on the following:
• Properties donated to Habitat for Humanity had been
transferred; construction would begin in the summer;
• Airport leases that were up for renewal were coming forth;
• Kenai Peninsula Housing Initiative had applied for their
Conditional Use Permit to build low-income housing;
• His office was busy with permitting and projects.
11. PERSONS PRESENT NOT SCHEDULED: None.
12. INFORMATIONAL ITEMS: None.
13. NEXT MEETING ATTENDANCE NOTIFICATION: June 14, 2017
Commissioner Springer and Chair Twait noted they would not be present.
14. COMMISSION COMMENTS & QUESTIONS: None.
15. ADJOURNMENT:
Page 185 of 200
Planning and Zoning Commission Meeting
May 24, 2017
Page 11
There being no further business before the Commission, the meeting was adjourned at 8:57 p.m.
Minutes prepared and submitted by:
_____________________________
Jamie Heinz, CMC
Acting City Clerk
Page 186 of 200
KENAI BEAUTIFICATION COMMITTEE
MAY 9, 2017 – 7:00 P.M.
CITY HALL COUNCIL CHAMBERS
CHAIR LISA GABRIEL, PRESIDING
MEETING SUMMARY
1. CALL TO ORDER & ROLL CALL
Chair Gabriel called the meeting to order at 7:05 p.m. Roll was confirmed as follows:
Members present: Chair L. Gabriel, B. Madrid, S. Peterson, R. Sierer, T. Canady
Members absent:
Staff/Council Liaison present: Parks and Recreation Operator R. Dodge, Council Liaison J.
Glendening.
A quorum was present.
2. AGENDA APPROVAL
MOTION:
Committee Member Canady MOVED to approve the agenda and Member Peterson SECONDED
the motion. There were no objections; SO ORDERED.
3. APPROVAL OF MEETING SUMMARY
a. April 11, 2017
MOTION:
Committee Member Madrid MOVED to approve the meeting summary of April 11, 2017 with the
correction of the name of the Council Liaison, and Committee Member Sierer SECONDED the
motion. There were no objections; SO ORDERED.
4. PERSONS SCHEDULED TO BE HEARD – None.
5. UNFINISHED BUSINESS
a. Discussion – Volunteer Plant Day
It was decided Committee Member Sierer would be in charge of the flower beds at Municipal Park
and Carrs Mall, Members Gabriel and Madrid would be in charge of the flower beds near ReMax
and the Fire Station, and Members Peterson and Canady would be in charge of the flower beds
in Leif Hansen Park.
6. NEW BUSINESS
b. Discussion – Beautification Brochure
It was noted the overall design was liked; there was suggestion to make the photos larger, include
photos of static displays, gazebos, and Wildflower Field. It was also suggested that the photos
be tagged.
Page 187 of 200
Beautification Committee Meeting
May 9, 2017
Page 2
7. REPORTS
a. Parks and Recreation – Director B. Frates reported on the following:
• Provided an update on summer hiring;
• Had eighty entries for the Pathways to Poetry project.
b. Committee Chair – None.
c. City Council Liaison – J. Glendening provided an update on the actions from the
May 3 council meeting; thanked the committee for their work.
8. NEXT MEETING ATTENDANCE NOTIFICATION – September 12, 2017
MOTION:
Committee Member Sierer MOVED to move the next meeting to August 8 with a garden tour and
Committee Member Madrid SECONDED the motion. There were no objections; SO ORDERED.
9. COMMITTEE MEMBER QUESTIONS AND COMMENTS
Committee Member Sierer noted repairs were needed for some of the circle planters.
10. PERSONS NOT SCHEDULED TO BE HEARD – None.
11. INFORMATION – None.
12. ADJOURNMENT
There being no further business before the Committee, the meeting was adjourned at 7:53 p.m.
Meeting summary prepared and submitted by:
_____________________________________
Jamie Heinz, CMC, Acting City Clerk
Page 188 of 200
'Vttltife «1/t~ a PaJ'~ tt'tj «1/t~ a rat~ "
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager C: 0 ·
June1 ,2017
Silver Salmon Derby MOU Between the City and the Kenai Chamber of
Commerce and Visitor's Center
At the May 17, 2017 City Council meeting, I provided a memo asking the Council to Authorize the
City Manager to work with the Kenai Chamber of Commerce to create a partnership with the
Chamber through a memorandum of understanding to hold a silver salmon derby.
The final draft of that memorandum of understanding is attached for Council review and
comment. As stated at the Council meeting of May 17, 2017 any amendments that the Council
would like in the memorandum can be made at tonight's meeting .
Page 189 of 200
MEMORANDUM OF UNDERSTANDING
BETWEEN
THE CITY OF KENAI AND THE KENAI CHAMBER OF COMMERCE AND
VISITOR'S CENTER
This Memorandum of Understanding (this "MOU" or this "Agreement") is entered into this __
day of May, 2017 by and between the CITY OF KENAI, an Alaska Home Rule Municipal
Corporation ("City") whose address is 210 Fidalgo A venue, Kenai, Alaska 99611 and the Kenai
Chamber of Commerce and Visitor's Center whose address is 11471 Kenai Spur Hwy, Kenai,
Alaska 99611 (collectively, "Parties").
1. Pumose of Agreement
The purpose of this Agreement is to outline a cooperative partnership between the Parties to create
and hold an annual silver salmon derby in the City of Kenai.
2. Goals
2.1 Create a mutually agreed upon plan for the derby consisting of the
following:
2.2 Establish contestant rules for the derby
2.3 Establish dates for the derby to be held
2.4. Establish prize categories and winners criteria
2.5 Identify locations where ticket sales may occur and weigh in station locations
2.6 Coordinate in any other planning aspects of the derby
3. General Provisions
3.1 The Parties agree to work together at all times in good faith, and keep each other
informed as to activities of the other.
3.2 Each Party shall be responsible for all costs and expenses associated with the
preparation and adoption of this MOU.
3.3 This MOU does not create a financial obligation for either party.
Memorandum of Understanding Page 1 of 2
Page 190 of 200
KENAI CHAMBER OF COMMERCE
AND VISITOR'S CENTER
Johna Beech,
President I COO
Date: __________ _
ATTEST:
Jamie Heinz, Acting City Clerk
CITY OF KENAI
Paul Ostrander,
City Manager
Date: __________ _
ACKNOWLEDGMENTS
ST A TE OF ALASKA )
) SS.
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this __ day of 2017, by
Johna Beech, President I COO of the Kenai Chamber of Commerce and Visitor's Center.
Notary Public for State of Alaska
My Commission Expires: _____ _
STATE OF ALASKA )
) SS.
THIRD JUDICIAL DISTRICT )
The foregoing instrument was acknowledged before me this __ day of 2017,
by Paul Ostrander, the City Manager of the City of Kenai , an Alaska municipal corporation, for
and on behalf of the corporation.
Notary Public for State of Alaska
My Commission Expires: _____ _
Memorandum of Understanding Page 2 of2
Page 191 of 200
'lftfl~e «1/th a Pa~~ Ct'tj «1/th a Fatfl.l'e "
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.c ity
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager Y 0 .
June 2, 2017
Guide activities on Watergate Way
The following letter from Matt Kelley, City Planner to Mr. Reubin Payne Ill closing code
violation case number 061602 is provided for the Council's information. Mr. Chris Every, the
neighbor of Mr. Payne , testified at the Council meeting of April 19, 2017 stating that Mr. Payne
was operating a business out of his residence in violation of Kenai Municipal Code .
After review of the case and follow up discussions with Reuben and Mindy Payne ,
administration has determined that the activities on the Payne's property are consistent with a
Rural Residential Zone and therefore are closing the code violation case .
I am availabe to discuss further with any Council members who may have additional questions.
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"Vt1/"'je with a Past, City with a Future"
210 Fidalgo Avenue, Kenai , Alaska 99611-7794 ~,-111;
Telephone : 907-283-7535 I Fax: 907-283-3014
www.ci.kenai.ak .us 199 2 •
June 1, 2017
Certified Mail : 7016 1970 0000 3406 4556
Reubin Payne Ill
PO Box 1171
Soldotna, Alaska 99669
RE: Operating a Guide Service in Violation of Kenai Municipal Code Section 14 .22 .010 in a
Rural Residential Zone
CODE VIOLATION CASE NUMBER: 061602
Dear Mr. Payne :
On August 2, 2016 , you met with former City Manager, Rick Koch and myself. The purpose of
this meeting was to discuss complaints received by the City regarding the operation of a Guide
Service at 2535 Watergate Way, Kenai, Alaska , 99611, Kenai Peninsula Borough Parcel No.
04943015 in violation of Kenai Municipal Code Section 14.22.010.
At that time , the meeting discussed staff's observation on July 26 , 2016 of approximately eight
commercial guide boats parked and being prepared for use on the subject property from
Watergate Way. It was also discussed that on the above date, staff observed the clean ing of a
commercial guide boat on the subject property with a power washer.
Furthermore , it was discussed at the meeting of August 2, 2016, that on May 6, 2010 a similar
meeting with City Administration had occurred to discuss the operation of a Guide Service on
the subject parcel. At the meeting of May 6 , 2010 it was determined that the storage of 1 to 2
boats at your residence and the operation of the office portion of your guide service could be
allowed.
At our meeting of August 2 , 2016 , you had indicated that the observation of staff made on July
26, 2016 was a one-time event and that it would not occur in the future. Furthermore, it was
discussed that pursuant to Kenai Municipal Code 14.20.230(g)(1) the office portion of your
Guide Service is an exempted and allowable use and therefore does not require the issuance of
a Home Occupation Permit. You also stated that no clients or employees would be staying or
residing at your reside nce or in the detached cabin and that, all clients or employees would be
staying at your lodge on Funny River Road in Soldotna . It was stated that preparation for the
fishing day of the boats and fishing equipment would occur at your lodge . Routine maintenance
of the boats owned and used by the residents of 2535 Watergate Way could be performed at
the residence as can any boat owner residing in the City of Kenai. Maintenance was defined as
normal routine maintenance of the boat , trailer and motor. You also stated that any cleaning by
use of a power washer would be limited to between the hours of 9:00 AM and 5:00 PM .
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CODE VIOLATION CASE NUMBER: 061602
Page 12
Staff reminded you that VIP Subdivision has been declared by the City as a Bear Probl em Area
and therefore, no fish waste could be deposited onto or around your property.
At the meeting of August 2, 2016, you asked if it would be permissible to store and maintain up
to three (3) boats at your residence . At that time you discussed that, your wife Mindy Payne
was also a guide and that she would like to store her drift boat at the residence. City
Administration felt that the storage of these boats owned a nd used by you and Mindy Payne is
allowable, again, as is allowed for any other resident of the City. It was further clarified by City
Administration that if clients or employees started staying at your residence or if more boats
were to be stored or maintained at yo ur residence, a Conditional Use Permit for a Guide Service
would likely be required pursuant to Kenai Municipal Code Section 14.22.010 -Land use Table
and Section 14.20.080(c) -Conditional Uses . A Conditional Use Permit would be subject to
approval by the Planning and Zoning Commission
At the meeting of August 2, 2016 , staff stated t hat they would send you a letter in the spring of
2017 to again clarify our meeting . You subsequently met with the City's new City Manager Paul
Ostrander on May 19, 2017 and reaffirmed your activities on the parcel. Code Violation Case
Number: 061602 will now be closed.
If you have any questions, please feel free to contact me directly.
Sincerely,
~~ Matthew Kelley ---
City Planner
907-283-8235
mkelley@kenai . city
CC: File : Code Violation Case Number: 061602
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PURCHASE ORDERS BETWEEN $2,500.00 AND $15,000.00 FOR COUNCIL REVIEW
COUNCIL MEETING OF: JUNE 7, 2017
VENDOR DESCRIPTION DEPT. ACCOUNT AMOUNT
ZUMAR INDUSTRIES STREET SIGNS AND HARDWARE STREETS OPERATING S UPPLIES 2,8 18.00
NORTH STAR PAVING REPAIR LINWOOD DRIVE WATER REPAIR & MAINTENANCE 13,840.00
AIRPORT RESERVE LEASING
NORTHERN HORIZON PROGRAM REVIEW LEGAUAIRPORT PROFESSIONAL SERVICES 9,500.00
J-B STOR N LOK CONEX CONTAINER DOCK OPERATING SUPPLIES 4 ,200.00
FESTIVE OUTFITTERS REFRIGERANT RECREATION OPERATING SUPPLIES 5,750.00
HYDRO SEED WILDFLOWER
WOODCOCK'S HYDRO SEEDING GARDEN RECREATION REPAIR & MAINTENANCE 5,472.50
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KENAI CENTRAL HIGH SCHOOL
May 22 , 2017
Kena i City Council :
Kenai Pen i n sula B o ro u g h Schoo l Distr i ct
9583 K e n a i Spur Highway
Ke n ai -A la s ka 99611
(907) 283 -2 1 00
Fax: (907) 283-323 0
<:;,~Y,.S OFr:;C.
0v ~
Rece ived
MAY 2 4 2017
Alan Fiel ds
Princi pal
Bri anna Ra ndle
As s istant Pr inci pal
Ch ris Han s on
At hle ti c Director
Je sse Se tt lem yer
Ac tiv ity Dir ec tor
Kena i Central High School is very appreciative of the support it has received from
the City of Kenai. The partnerships between the Council and the School have
provided outstanding "real life" learning experiences for our students .
Th is letter is an introduction of the student selected to fill that vacant pos ition.
Brittany Gilman , who will be a senio r at KCHS , will be an excellent Student
Representative to the Council.
Brittany possesses the knowledge , leadership , and character necessary to fill this
position. She is person who gets along with all students and treats everyone with
the greatest level of respect. She is always thoughtful and trustworthy in her
actions . We are proud to have her selected as the next Kenai Central H igh
Sc hool Student Representative to the City Counci l.
We have greatly appreciated the support that the City of Kenai has given to our
school. Thank you for making a difference in the lives of the young people in our
community.
Sincerely,
Alan Fields ,
Pr incipal
HOME OF THE KARDINALS
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Alaska LNG filing attracts opponents, supporters
By Larry Persily lpersily@kpb.us
May 30, 2017
(This update, provided by the Kenai Peninsula Borough mayor’s office, is part of an ongoing
effort to help keep the public informed about the Alaska LNG project.)
While it waits for federal regulators to review its application and request any missing data, the
Alaska LNG project has attracted opposition from two national environmental groups — and
also letters of support from more than 35 Alaska municipalities and Native corporations,
businesses and individuals.
The state-sponsored Alaska LNG project applied last month to start the federal environmental
impact statement (EIS) process toward approval to construct and operate a North Slope natural
gas project, 800-plus-mile pipeline through the state, and liquefaction plant and export
terminal on Cook Inlet in Nikiski.
The Alaska Gasline Development Corp. (AGDC) has started the multi-year process with the
Federal Energy Regulatory Commission (FERC) at the same time it is looking for the customers,
investors and partners needed to finance the $45 billion development and justify further state
spending on design and permitting efforts. The corporation has close to $100 million from past
legislative appropriations — enough to start working with FERC while marketing efforts
continue.
The deadline was May 22 for parties to file motions to intervene in the FERC proceeding.
The Sierra Club and Center for Biological Diversity each filed its own motion to intervene in the
proceeding, both raising similar environmental objections against the pipeline, compressor
stations and liquefied natural gas plant: increased air pollution and greenhouse-gas emissions,
risk to wildlife and disruption of fish habitat.
VALDEZ CONTINUES ITS ADVOCACY
The city of Valdez, which believes the gas pipeline should end at an LNG plant in its community
on Prince William Sound, 170 miles east of Nikiski, was the only Alaska municipality to file a
motion to intervene. Valdez has previously submitted two other filings with FERC, arguing that
the EIS should take a hard look at requiring the project developer to build in Valdez, not Nikiski.
The city claimed in its May 22 motion that Valdez is a lower-risk, lower-cost option than Nikiski,
with less “environmental degradation.” In addition, the city told FERC that bringing the project
to Valdez would ensure that “its citizens and businesses have access to inexpensive natural
gas.”
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The state gasline corporation and the North Slope producers-led team that previously managed
the project have all pointed to Nikiski as their preferred site, judged for cost, environmental and
construction considerations. FERC has always planned for the EIS to look at the Valdez
alternative, and the city’s filing as an intervenor does not change that plan.
Intervenors, if accepted by FERC, are allowed to request rehearing of commission orders and
challenge final commission decisions in federal court. Their input during preparation of the
environmental impact statement, however, is pretty much the same as anyone else — file
comments with FERC to put issues, questions and objections on the record to be addressed in
the EIS.
SIERRA CLUB OBJECTIONS A REPEAT OF 2014
In its motion, the Sierra Club raised the issue of greenhouse-gas emissions not just during
project construction and operation but also during natural gas production to feed the LNG plant
and from emissions when the gas is burned by the end user. The group has raised the same
production-to-consumption issues for other LNG projects reviewed by FERC elsewhere in the
country, and has not prevailed in blocking any of those approvals.
The Sierra Club raised the same objections against the Alaska venture in 2014 when it protested
the project’s application to the Department of Energy for export authority. The department in
2015 dismissed the objections and approved the export request filed by North Slope oil and
gas producers ExxonMobil, BP and ConocoPhillips.
In its May 22 filing with FERC, the Center for Biological Diversity — based in Arizona, with
offices in Alaska and 11 other states — objected to the project on the grounds that it would
result in more drilling for natural gas in the Arctic.
The organization also objected to the state corporation’s request for expedited FERC review.
“The project’s overwhelming size and myriad significant environmental impacts certainly
counsel in favor of more review, not less,” the group said. The state has asked FERC to
complete the EIS process in 18 months and issue a decision by Dec. 31, 2018.
FERC has 90 days from the state’s April 17 application to issue a Notice of Schedule for
Environmental Review — a timeline for the EIS — or to request more information from the
applicant to fill data gaps.
In a conference call with federal and state regulatory agency personnel four days before AGDC
filed its application, FERC staff explained they would review the filing and “note which areas
need additional information and create a data request for the applicant,” according to notes
from the meeting. “An incomplete application could result in FERC issuing multiple data
requests.”
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Staff further explained, “Once all information necessary f or the draft EIS is received, writing of
the document will begin and FERC will issue a Notice of Schedule for the release date … and the
projected date for completion of the f inal EIS.”
NO SET SCHEDULE FOR EIS
There is no deadline or EIS schedule in federal law; each project is different in its environmental
impacts and controversies, and each project sponsor decide s how quickly it wants to respond to
data requests from FERC and other federal regulatory agencies.
Of the nine FERC-approved LNG export terminals in the Lower 48 states, most were proposed
as expansions of existing import terminals that were underutilized as the shale gas boom took
out the need to bring in overseas LNG cargoes for North American consumers. And though
some required short connecting pipelines for gas deliveries to the liquefaction plant, none of
the projects included anything close to the more than 800 miles of pipeline through Alaska.
The smallest of the six LNG export terminals under construction is at Lusby, Md., on
Chesapeake Bay, where Virginia-based Dominion Energy is adding a single liquefaction train to a
1970s import terminal. Start-up is scheduled for late this year. In part because the project had
the advantage of an existing LNG storage facility and marine terminal, and the liquefaction
facility is entirely within the fencing of the import operation, the project went through an
environmental assessment, not a full environmental impact statement. Even then, the
assessment and FERC decision took 18 months, though the project faced strong opposition
from many of its neighbors and environmental groups, adding to the regulatory review.
LNG projects of similar capacity to the proposed Alaska development took even longer to work
their way through FERC. Golden Pass LNG took more than 29 months from date of application
to FERC decision late last year. Freeport LNG required almost 32 months from application to
approval. Both are on the Texas coast, and both are liquefaction expansions to underutilized
LNG import terminals. Freeport LNG is under construction and Golden Pass is waiting on a final
investment decision by its owners.
OPPONENT RAISES ISSUE OF ENVIRONMENTAL EXEMPTIONS
Besides objecting to the Alaska LNG project on environmental-protection issues, the Center for
Biological Diversity also noted in its motion to FERC that the state has asked for fast-track
consideration and exemptions of several federal regulatory requirements. Alaska Gov. Bill
Walker on Feb. 7 wrote President Donald Trump, touting the development’s economic
benefits and asking the president to exempt the project from:
• All “wetlands compensatory mitigation requirements” of the federal Clean Water Act.
• EPA oversight of any programs delegated to the state under the Clean Water Act and
Clean Air Act.
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• The National Marine Fisheries Service’s Beluga whale recovery program management
conditions in Cook Inlet; and to “re-evaluate and define” with the concurrence of the
state the exclusion zone for Beluga protections.
The letter also asked for a waiver of the requirement to reimburse the federal pipeline safety
agency for its costs incurred in reviewing the project’s construction and operating plans, and
requested limits on the agency’s ability to object to the project’s pipeline design plans .
The governor’s letter asked that any federal action on the project under the Endangered
Species Act “should require concurrence from the state,” and that the president direct the U.S.
Army Corps of Engineers not to declare any project areas “with underlying permafrost” as
jurisdictional wetlands.
In separate comments to FERC on May 22, Gov. Walker reiterated his request for timely action
by regulators: “In order to capitalize on export opportunities, monetize the state’s stranded gas
resources, and put Alaskans to work, it is imperative the Alaska LNG project be ready to deliver
in-service first cargoes by the mid-2020s. To accomplish this, I respectfully request FERC
prioritize AGDC’s application.”
PRODUCERS, ALYESKA ALSO FILE TO INTERVENE
ExxonMobil, BP and ConocoPhillips also filed motions to intervene in the FERC proceeding to
ensure their interests are represented in the review — the producers hold the leases on the
North Slope fields that would produce gas for the project. Though all three companies decided
more than a year ago to pull out of spending more money on the LNG project dur ing a period of
low oil and gas prices and weak global LNG market conditions, they have long been supportive
of efforts to find an economic way to move the gas to market.
A motion to intervene also came from Alyeska Pipeline Service Co., which operates the trans-
Alaska oil pipeline system (TAPS). The proposed gas pipeline would “run parallel to and in close
vicinity to TAPS for approximately 400 miles from Prudhoe Bay to Livengood,” Alyeska said in its
filing. The gas line would cross the oil line at multiple locations and come within 200 feet of the
oil pipe at 17 more locations, raising issues that Alyeska said warrants its participation in the
FERC review.
“Furthermore, given the proximity of the proposed project’s gasline and related facilities to
TAPS in several locations, Alyeska’s own regulatory permits and approvals may be significantly
affected, including becoming more burdensome,” the company said in its FERC filing.
The Fairbanks-based Northern Alaska Environmental Center also filed a motion to intervene,
not to take a position on the project, the group told FERC, but rather because of its members’
interests in the project and its environmental, socioeconomic and energy impacts in the state.
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JUNE 7, 2017
CITY COUNCIL MEETING
ADDITIONAL MATERIAL/REVISIONS
REQUESTED REVISIONS TO THE AGENDA/PACKET:
ACTION ITEM REQUESTED BY
Add to Item D.2. Ordinance No. 2961-2017
• Correspondence from C. Freas Acting City Clerk
Add to Item D.7. Resolution No. 2017-26
• Supplemental Information City Manager
Add Item G. 13. Action/Approval
Authorize the City Manager or City Attorney to
Obtain an Appraisal for Lawton Acres. Acting City Clerk
Add to Item J. 1. City Manager’s Report
• Broker’s Opinion of Value – Lawton Acres City Manager
Add to Information Firetruck Photos Acting City Clerk
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