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1980-05-21 Council Packet
Kenai City Council Meeting Packet May 21, 1980 AGENDA KENAI CITY COUNCIL - REGULAR MEETING I f MAY 21, 1980 M PLEDGE OF ALLEGIANCE A. ROLL CALL AGENDA APPROVAL B. PUBLIC HEARINGS ,i 1. Ordinance 564-80 - Increase in Revenues - Library Budget - To Purchase Library Books - $400 2. Ordinance 565-60 - Increase in Revenues - Capital Project Fund - City Administration Building - $954,000 3. Ordinance 566-80 - Appropriating Airport Land System Special Revenue Fund Budget for Construction of Gravel Aircraft Parking Ramp - $30,000 4. Ordinance 567-80 - Increasing Estimated Revenues & Appro- priations, New Capital Project Fund, Sower Treatment Plant Construction - $4,541,640 S. Ordinance 568-80 - Replacing Tables in Title 239 Personnel Regulations, Salary Structures 6. Ordinance 569-80 - Increasing Estimated Revenues a Appro- priations, Federal Revenue Sharing Fund - Purchase of Gravel - $10, 000 7. Ordinance 671-80 - Amending Code, 13.30.080, to Allow Operation of a Vehicle for the Purpose of Work on Beached Boats a Barges S. Application for Transfer of Ownership of Liquor License - halian Gardens v�- C . PERSONS PRESENT SCHEDULED TO BE HEARD 1. Jerry Thomas and Betty Norton, Dollar -Rent-A-Car - Space In Airport D. MIIWTES 1. Change in Minutes of Regular Meeting, Anril 16, 1980 . Y g '_!rf D-2 Minutes of Regular Meeting, May 7, 1980 ` E. CORRESPONDENCE ( )19A `" 1. Small Boat Harbor Study Draft Reply by Mayor O'Reilly F . OLD BUSINESS G. NEW BUSINESS Wl. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1, 000 S. Ordinance 572-80 - Increasing Estimated Revenues & Appro- priations, Federal Revenue Sharing Fund - Purchase of Word Processing System, Legal Dept.; Word Processing System Satallite, Public Works Dept.; 2 Scanner Radios, Fire Dept. - $10,000 4. Ordinance 573-80 -Rescinding Ord. 475-79 - Dedicating Interest Revenues from City Investments to General Fund Reserve for Capital Improvements, and Amendments to Code. I ! S. Ordinance 574-80 - Amending Title 23 of Code, Pay Range Increase for Senior Citizen Coordinator c S. Ordinance 575-80 - Amending Ord. 533-70 - Including Compaction Roller & PIck-up with Federal Revenue Sharing Monies - $26,000 1 7. Resolution 80-54 - Changing Names of Existing Streets S. Resolution 80-78 - Establishing Terminal Lease Rates Airport Terminal (icy 9. Resolution 80-79 - Awarding Contract for Construction of City C Administration Building to OMNI North --- i 10. Resolution 80-82 - Accepting Grant Offer from EPA - New Sewage Treatment Plant - $3, 406, 230 U. Resolution W83 - Approving Agreement Between City of Kenai and Kenai Peninsula Borough, Data Processing Services 12. Resolution W84 - Transfer of Funds, Airport Terminal Fund ! Install Exhaust Fan for Flight Service Station �.TAa __,_ �_„�—.ter _ . •.,ra.,�.,. _ - _ Ci-13 Resolution 80-85 - Transfer of Funds - State Jail Contract Special Revenue Fund Budget - install Chain Link Fence - $1, 200 14 Resolution 80-86 - Transfer of Funds - General Fund Budget - Appraisal of Park Lands - $100 ,__ 15. Resolution 80-97 - Transfer of Funds - General Fund Budget - Maintenance of Little League Fields - $800 16. Resolution 80-88 - Transfer of Funds - Build Portable Backstop - $100 17. Resolution 80-69 - Award of (travel Bid - Borgen a Sons - $20,915 - Airport, $10,235 - Public Works 18. Resolution 80-00 - Accepting Facilities Plan, Amend. 4 19. VECO - Lease f 20. Andy's Flying Service - Lease 21. 2 Bills from CH2M Hill - $9,650 and $7,400 H. REPORTS 1. City Manager 2. City Attorney 3. 4. Mayor City Clerk ye rs . b J . �me - �t ` �•s 5. Finance Director 6. Palnning d Zoning 7. Kenai Borough Assembly S. Harbor Commission 1. PERSONS PRESENT NOT SCHEDULED TO BE HEARD ADJOURNMENT ly ■ Y-1 0 IN IN ' I • 4 CITY OF KENAI ORDINANCE NO. 564-80 I I AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE { 1979-80 GENERAL FUND BUDGET BY $400 TO PURCHASE ADDITIONAL LIBRARY BOOKS. WHEREAS, during this fiscal year the City has received some i $400 in library donations and in charges for lost or damaged i books in excess of that previously appropriated, and 1 WHEREAS, it is proper to use these monies to replace lost or damaged books and to purchase new books, and WHEREAS, proper accounting practices require that all ap- , propriaticns of City monies be made by ordinance. - NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF; KENAI, ALASKA that the following increases in estimated . revenues and appropriations in the 1979-80 General Fund Budget be made: Increase Estimated Revenues: Library Donations $400 Increase Appropriations; Library -Books $400 PASSED BY THE COUNCIL OF THE CITY OY, KENAI, ALASKA this 21st day of May, 1980. ATTESTS ' VINCENT O REILLY, MAYOR Janet WFelan, City C erk L 4 First Readings May 7, 1980 Approved by Finances Second Readings May 21, 1980 - Effective Dates Nay 21, 1980 i 4 i + CITY OF KENAI "Od ea pdW a/ 4"" F. O. DOX 6to NtMAI, A1AINA 11611 - " MIPHONo 983 • loss MEMO TO: Kenai City Council FROM: Charles A. Brown, Finance Director SUBJECT: Ordinance No. 565-80 (City Hall Appropriation) DATE: May 19, 1980 Based upon discussions that took place at the worksession May 15, 1980, I understood that a majority of councilmembers were in tentative agreement to approve the bid to Omni North in the following amount: Basic A. A. 1 Total Bid as originally proposed $ 1,104,300 $ 159,300 $ 1,263,600 Negotiated deductions: Landscaping 44,000) (4,000) 2 X 8 studs (2,350) - (2,350) Replace rubber with carpet (900) (900) Part of sidewalk • 'fl,440) - (1,440) Steelcase partition (2,950) (2,950) Electrical `(18,470) (3,150) (21,620) Mechanical :(8,950) (500) (9,450) Miscellaneous (1.680) (150) 1.830) Total L44634. 560 1_55 500 $ 1.219.0�60 The negotiated deductions listed above include all of those submitted to you at the worksession, except metal siding of $6,500 and $2,500 for the basic bid and A. A. #1, respectively. Also, I am still assuming that we should allow for the $4,000 Inspection contract with the architect. n Al U Memo to City Council May 19, 1980 Page 2 Therefore, Ordinance No. 565-80 should be amended as follows: 1) In the introduction, replace the $954,000 figure with $1,223,060. 2) The second "Whereas" should reads Whereas, the City is expected to have available by June 30, 1900 in the General Fund Reserve for Capital Improvements approximately $753,634, and" 3) In conclusion (lot page) the General Fund estimated revenue and appropriation should be $703,060, instead of $434,000. In the conclusion (2nd page) the Capital Project Fund estimated revenue "Transfer from General Fund," should be $703,060, instead of. $434,000, bringing the total estimated revenues to $1,223,060. The Capital Project Fund appropriations account "Construction" should be $1,219,060, instead of $950,000, bringing the total appropriations to $1,223,060, A copy of the Ordinance with penciled -in changes is attached for clarity. CITY OF KENAI- ORDINANCE NO. 565-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE CAPITAL PROJECT FUND ENTITLED "CITY ADMINISTRATION BUILDING" IN THE AMOUNT OF $954 009 /� D Q-Q f 3 v WHEREAS, in order to help finance a new City Administration Building, the qualified voters of the City of Kenai have approved the sale of $400,000 of general obligation bonds, which are expected to be sold in the near future, and . i1 ex v�fs� �o have ova:/wb/G 6r T....s to i9�a WHEREAS, the City eera4&eb & in the General Funs Reserve for Capital Improvements approximately $60e, 694 and WHEREAS, the City has available from the 1974 Refunded Bond Issue approximately $335,000 dedicated to a variety of projects, including a Health Center Facility, and WHEREAS, the City Administration Building will include a Health Center Facility, for which the proportional cost attributable to such facility is expected to exceed $120,000. WHEREAS, proper accounting practices require that all appropriations of City monies be made by ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF RENAL, ALASKA THAT the following increases in estimated revenues and appropriations be made: General Fund Increase Estimated Revenues: s ? al 3 O Contribution from Reserve for Capital Improvements Increase Appropriations: Non -Departmental -Transfer to Capital Projects 7elr� Y Ordinance No. 565-80 Page 2 f Cit Administration Building Capital is Projects Fund Increase Estimated Revenues$ Transfer from General Fund $404r890 1974 Refunded Bonds (Civic/Health Center) 120,000 1980 G.O. Bonds (City Admin. Bldg.) 400 000 `0 30 p Increase Appropriations: Inspection $ 4,000 A o �- Construction PASSED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA this 21st l � 0 4't/ 13 v day of May, 1980. VINCENT 0 REILLY, MAYOR ATTESTS Janet Whelan, City Clerk Approved by Finances First Readings May 7, 1990 Second Readings May 21, 1980 Effective Dates May 21, 1980 V k 9 r 1r r- CITY OF KENAI ORDINANCE NO. 565-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE CAPITAL PROJECT FUND ENTITLED "CITY ADMINISTRATION BUILDING" IN THE AMOUNT OF $954,000. WHEREAS, in order to help finance a new City Administration Building, the qualified voters of the City of Kenai have approved the sale of $400,000 of general obligation bonds, which are expected to be sold in the near future, and WHEREAS, the City has available in the General Fund Reserve for Capital improvements approximately $682,634, and WHEREAS, the City has available from the 1974 Refunded Bond Issue approximately $335,000 dedicated to a variety of projects, including a Health Center Facility, and WHEREAS, the City Administration Building will include a Health Center Facility, for which the proportional cost attributable to such facility is expected to exceed $120,000. WHEREAS, proper accounting practices require that all appropriations of City monies be made by ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT the following increases in estimated revenues and appropriations be made: General Fund Increase Estimated Revenues: Contribution from Reserve for Capital Improvements $434,000 increase Appropriations: Non -Departmental -Transfer to Capital Projects $434,000 . i CITY OF KENAI ORDINANCE NO. 565-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE CAPITAL PROJECT FUND ENTITLED "CITY ADMINISTRATION BUILDING" IN THE AMOUNT OF $954,000. WHEREAS, in order to help finance a new City Administration Building, the qualified voters of the City of Kenai have approved the sale of $400,000 of general obligation bonds, which are expected to be sold in the near future, and WHEREAS, the City has available in the General Fund Reserve for Capital improvements approximately $682,634, and WHEREAS, the City has available from the 1974 Refunded Bond Issue approximately $335,000 dedicated to a variety of projects, including a Health Center Facility, and WHEREAS, the City Administration Building will include a Health Center Facility, for which the proportional cost attributable to such facility is expected to exceed $120,000. WHEREAS, proper accounting practices require that all appropriations of City monies be made by ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT the following increases in estimated revenues and appropriations be made: General Fund Increase Estimated Revenues: Contribution from Reserve for Capital Improvements $434,000 increase Appropriations: Non -Departmental -Transfer to Capital Projects $434,000 . i _ Ordinance No. 565-80 Page 2 Citv Administration Building Capital Pro ects Fun Increase Estimated Revenuess Transfer from General Fund $434,000 1974 Refunded Bonds (Civic/Health Center) 120,000 1980 G.O. Bonds (City Admin. Bldg.) 400,000 "94,000 Increase Appropriationss Inspection $ 4,000 Construction 950,000 95 04 00 0 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of Nay, 1960. ► INCENT 0 REILLY, MAYOR ATTESTS ►. Janet Whelan, City Clerrc k Approved by Finances First Readings May 7, 1980 Second Readings May 21, 1990 Effective Dates May 21, 1980 CITY OF KENAI ORDINANCE N0, 566-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA APPROPRIATING $30400 IN THE 1979-80 AIRPORT LAND SYSTEM SPECIAL REVENUE FUND BUDGET FOR CONSTRUCTION OF A GRAVEL AIRCRAFT PARKING RAMP. WHEREAS, to accommodate aircraft flying fish this summer, it will be beneficial to construct a gravel aircraft parking ramp along Taxiway "C" to be available for lease to fish processors, and WHEREAS, it is estimated that gravel and equipment rental will amount to $30#000, and WHEREAS, monies are available in the Airport Land System Fund to provide City labor to the project,.and WHEREAS, approximately $62,269 is available in the Airport Land System Fund Balance, and WHEREAS, proper accounting practices require that all ap- propriations of City monies be made by Ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF XENAI, ALASKA THAT the following increases in estimated revenues and appropriations be mades Airport Land System Fund Increase Estimated Revenuess Appropriation from Fund Balance $30,000 Increase Appropriationss Airport M & 0 - Improvements other than buildings $30,000 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. VINCENT O REILLY, MAYOR ATTESTS First Readings May 7, 1990 Janet Whelan, City C erk Second Readings May 21, 1980 Approved by FinancesifM Effective Dates May 21, 1980 FF CITY OF KENAI ORDINANCE NO. 567-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN A NEW CAPITAL PROJECT FUND ENTITLED "SEWER TREATMENT PLANT CONSTRUCTION" IN THE AMOUNT OF $4,541,640. WHEREAS, the U.S. Department of Environmental Conservation has awarded the City of Kenai $3,406#230 for financing of a new sewage treatment plant, and WHEREAS, the State of Alaska, Department of Environmental Conservation has awarded the City of Kenai $567,705 for the same purpose, and WHEREAS, the Water and Sewer Special Revenue Fund has monies available for the local share of-$567,705, and WHEREAS, the City Council deems that this project is desirable, and WHEREAS, proper accounting practices require that all ap- propriations of City monies be made by ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI$ ALASKA THAT the following increases in estimated revenues and appropriations be made: Water and Sewer Special Revenue Fund Increase Estimated Revenues: Contribution from Reserve for Capital improvements $460,000 Contribution from Reserve for Future Plant Expansion $10�� 7 Increase Appropriations: Sewer Treatment - Transfer to Capital Projects $ 56, 7_05 :.J Ordinance No. 567-80, Page 2 Sewer Treatment Plant Construction Capital Pro ect Fun Increase Estimated Revenues: Transfer from Water & Sewer $567,705 State Grant 567,705 Federal Grant 3,406,230, 4,5 1,640 Increase Appropriations: Administration S 3,000 Other Engineering 176,671 inspection 147,392 Construction 3,802,000 Contingency 412,577 $$4,541,640 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May. 1980. VINCENT O REILLY, MAYOR ATTESTS Janet Milan, City Clerk First Reading: May 7, 1980 Approved by Finance: e qd Second Readings May 21, 1980 Effective Dates May 21, 1980 M i ffw NWA .� CITY OF KENAI ORDINANCE NO. 568-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA REPLACING THE TABLES REFERRED TO IN THE PERSONNEL REGULATIONS (TITLE 23) TO ESTABLISH NEW SALARY STRUCTURES BY GRADE AND HOURLY RATES FOR PART-TIME EMPLOYEES. WHEREAS, the Personnel Ordinance, KMC 23.55.020(a) and 23.55.050, specifies that the tables establishing salary structure by grade and hourly rates for part-time employees may be replaced by ordinance, and WHEREAS, the proposed 1980-81 annual budget has been submitted with salaries by grade increased by ten (10) percent over the 1979-80 salaries, and with the part-time rates adjusted for changes in minimum wage requirements. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as follows: Section is That the attached tables identified as "Fiscal Year 980-81 Classified Salary Table" and 111990-81 Part -Time Salary Table" replace those corresponding tables that presently appear in the Personnel Ordinance which establish salary structure by grade and hourly rates for part-time employees. Section 2s That this ordinance and the tables attached hereto shad be effective on July 1, 1980. PASSED BY THE COUNCIL OF THE CITY OF JIENAI, ALASKA this 21st day of May, 1980. VINCENT O REILLY, MAYOR ATTESTS Janet Whelan, City Clerk First Readings May 7, 1980 Second Readings May 21, 1980 Effective Dates July 1, 1980 a. -- - VISCAL YEAR 1980-81 CLASSIFIED SALARY TABLE 3 14,132 14,485 14,838 15,191 15,544 15,897 16,250 16,603 16,956 7 17,182 17,612 18,042 18,472 18,902 19,332 19,762 20,192 20,622 8 18,047 18,498 18,949 19,400 19,851 20,302 20,753 21,204 21,655 9 18,943 19,417 19,891 20,365 20,839 21,313 21,787 22,261 22,735 10 19,886 20,383 20,880 21,377 21,874 22,371 22,868 23,365 23,862 11 20,877 21,399 21,921 22,443 22,965 23,487 24,009 24,531 25,053 12 21,930 22,478 23,026 23,574 24,122 24,670 25,218 25,766 26,314 13 23,014 23,589 24,164 24,739 25,314 25,889 26,464 27,039 27,614 14 24,178 24,782 25,386 25,990 26,594 27,198 27,802 28,406 29,010 15 25,388 26,023 26,658 27,293 27,928 28,563 29,198 29,833 30,468 16 26,645 27,311 27,977 28,643 29,309 29,975 30,641 31,307 31,973 17 27,982 28,682 29,382 30,082 30,782 31,482 32,182 32,882 33,582 18 29,380 30,115 30,850 31,585 32,320 33,055 33,790 34,525 35,260 19 30,842 31,613 32,384 33,155 33,926 34,697 35,468 36,239 37,010 20 32,399 33,209 34,019 34,829 35,639 36,449 37,259 39,069 38,079 22 35,701 36,594 37,487 38,380 39,273 40,166 41,059 41,952 42,845 24 39,416 40,401 41,386 42,371 43,356 44,341 45,326 46,311 47,296 Hourly rates are determined by dividing annual salary by numbers of hours in work year. v 1980-81 PART-TIME SALARY TABLE Hourly Rates - Part-time Employees: PT-1 $3.60 PT-2 3.85 PT-3 4.10 PT-4 4.35 PT-5 4.60 PT-6 4.85 PT-7 6.10 t CITY OF KENAI ORDINANCE NO. 569-80 AN ORDINANCE OF THE COUNC._II, OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE FEDERAL REVENUE SHARING FUND BY $10#000 for purchase of gravel. WHEREAS, the Street Department is in need of gravel for maintenance of City streets, and WHEREAS, approximately $68,000 of expected FY 1979-80 Federal Revenue Sharing revenues have not yet been ap- propriated► and WHEREAS, proper accounting practices require that all ap- propriations of City monies be made by ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING INCREASES IN ESTIMATED REVENUES AND APPROPRIATIONS BE MADEs Federal Revenue Sharing Special Revenue Fund Increase Estimated Revenues: Federal Revenue Sharing $10,000 Increase Appropriationss Transfer to General Fund $10000 General Fund Increase Estimated Revenues: Transfer from Federal Revenue Sharing Fund $100000 Increase Appropriationss Street -Repair and Maintenance Supplies $10,000 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. ATTESTs janst Whelan, CITY—Tre-rk ,jpproved by Finance:i VINCENT O REILLY, MAYOR First Readings May 7, 1980 Second Readings May 21, 1980 Effective Dates May 21, 1980 , CITY OF KENAI " d eapdw o f 4"ff F. O. /Ox NO KENAI, ALASKA 01611 T111►NON1 410 • 7335 MEMO TOs HONORABLE MAYOR 6 CITY COUNCIL FROM: BEN T. DELAHAY, CITY ATTORNEY RE: POSSIBLE AMENDMENTS TO ORDINANCE 571-80 REGARDING ALLOWING MOTORIZED VEHICLES ON THE BEACH FOR WORK ON BARGES DATE: MAY 8, 1980 Based on information given the attorney that work was normally done on barges on the beach within the restricted area four or five times a year, the above ordinance was drafted with the idea that it would not be an unreasonable load on the City Manager to issue permits and that since generally it would be different barges being worked on, neither would it be an unreasonable requirement to have parties doing work thereon request and secure such a permit. However, it is noted that use of northwesterly end of the ' beach to allow fishermen to enter and exist the prohibited area is made as an exception to the prohibition and no such t permits are required. If Council wishes to make such an i exception in case on work on barges (and certainly no work i can be done unless a barge were pulled to shore so that it i would be obvious to law enforcement authorities what was being done) rather then to require obtaining permits, then this ordinance could be very simply amended to provide that. .I If such is the desire of Council, the three words in the third line "may be permitted" should be deleted and replaced with the words "is authorized," a period should be placed after the word "barges" in the fourth line, and the entire °— - remainder of the paragraph should be deleted. t i t i I I I 1 �. May 8, 1980 Page 2 i 1_ If the Council feels however, that the permit procedure should be followed, then it is noted that Councilman Ambarian suggested that filings should be with the City Manager, who has the responsibility for issuance of permits, rather then with the City Clerk. If Council so desires, then the word "Manager" should be substituted for "Clerk," in the sixth line of subsection (b). The ordinance was drafted to require filing with the City Clerk because it is the attorney's opinion that the Clerk (who has responsibility for City records) should be aware of the filing, should bring it to 1 the attention of the Manager, and if a permit is issued should receive the permit and keep it in the proper City records. Although the City Clerk is not responsible for keeping records concerned with operational use, and such temporary permits would not be "permanent" records, they �. might have some value as historical records in future years to show how many barges or boats were thus worked on at the beach and which boats they were. This information might have some weight on determination of some future use of the beach. 111 BTD/md i� M CITY OF KENAI ORDINANCE NO. 571-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KMC 13.30.080 TO ALLOW OPERATION OF A VEHICLE IN A DESIGNATED PORTION OF THE PROHIBITED AREA FOR THE PURPOSE OF PERFORMING WORK ON BEACHED BOATS AND BARGES. WHEREAS, the City of Kenai has enacted KMC 13.30.080 to prohibit motorized vehicles from operating in the beach areas northerly from the mouth of the Kenai River in order to prevent damage to the beach and the environment from such operation, and WHEREAS, the beach in the easterly portion of the prohibited area is the only beach in the area providing a sand surface in protected waters where boats and barges can be beached in order to be worked on on low tide, and WHEREAS, for many years boats and barges have been beached in this area in order to replace propellers, repair rudders, or perform other work thereon, and WHEREAS, it is desirable that the City Manager be authorized to issue permits to allow operation of motor vehicles in that area so that such work may be performed. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA as follows: Section 1: That KMC 13.30.080 is hereby amended by designate current paragraph therein as subsection (a) and by adding a new subsection to be numbered KMC 13.30.080 (b) to read as follows: "(b) Operation of motorized vehicles in that portion of the prohibited area southerly and easterly from the east end of Beach Road may be permitted for the purpose of working on beached boats and barges provided that a permit is secured prior to such operation Applications for such permits shall be filed with th setting forth details as to the work to be performed and the dates of such performance. The City Manager may issue such permit, if he finds it reasonable under the circumstances, for a specified period of time which may be extended on application showing good cause for such A�extension." L (� V" � e1.1P q 0•, ^,A' e C Y rrr" Ord. 571-80, Page 2 i E PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. i VINCENT 0' KEILLY, P9AYO5 f ATTESTs i Janet Whelan, City Clerk First Reading: May 71 1980 Second Reading: May 21, 1900 Effective Date: June 21, 1980 Y TA MY I #ANNONO, BOVINNOR WE 110"ARTNIE T OF ItHVENI'M 201 EAST 97H. AVENUE ALCOHOL CBEVERAGEGbNTROL BOARD ANCHORAGE, ALASKA 99501 May 9. 1980 Janet Whelan SAY j City Clerk �%980 City of Kenai ry°kKrikygk P. 0. Box 580 q� Kenai, Alaska 99611 Dear Ms. Whelan: The Alcoholic Beverage Control Board intends to approve the enclosed application'for transfer of ownership of liquor license. REST ITALIAN GARDENS; Kostas Manolakakis; Mile 12 Kenai Spur Road; Mail: Box 4249, Kenai, Alaska 99611 FROM: Michael Manolakakis and Nickoladas Asimakopoulos, same d/b/a and location. If you choose to protest under AS O4.10.270, you must submit a statement of issues pursuant of the Administrative Procedures Act (AS 44.62) within 30 days from receipt of this letter. If we do not receive a response, the Board will assume you have no objection to the issuance and will take final action on the application. Thank you for your consideration. Sincerely, Betty L.'Calhoon Records and Licensing Supervisor (907) 277-8638 X �) BLC:bn CI' Enc. ' � A !1 OM01OLM , iiir� *-� CITY OF KENAI P. 0. BOX 380 - KENAI, ALASKA - PHONE 283.7335 FROM,�T� nGv/PI(/EL� S / OF (2vve/e_ DATE S�C� REFERENCE .000 lei-•�-��:P "''� �' , • F 1 i 1 - I i r � � f M i SIGNED —DATE-- k F..1 .. . /r C� KENAI CITY COUNCIL APRIL 16, 1980 Page 2 in our Code. Councilman Measles said he would look later, he thought we did. Atty. Delahay read from the Code. He said after this is enforced, all new houses will have to have numbers, but the present houses do not. There was no public comment. Motion passed unanimously by roll call vote. B-3 Ordinance 559-80 - Amending Code to Provide Authority to City Attorney to Correct Minor Errors in Code. MOTION: Councilman Neasles moved, seconded by Councilman Malston, to approve the ordinance. Councilman Halston asked who decides what changes will be made? Atty. Delahay replied, the City Attorney. The purpose is to correct minor problems that go wrong. Councilman Malston said he under- stood, but a different attorney could change the whole intent of an ordinance. Atty. Delahay explained the ordinance prevents this. There was no public comment. Ordinance passed with Councilmen Mueller, Measles, Hall and Councilwoman Glick voting yes, and Councilmen Ambarian and Malston voting no. PLAN B-4 Changes to Facilities 44aWr (Interceptor Tine) Loren Leman, of CH2M Hill spoke. He said the public hearing is a requirement of EPA and the State of Alaska. Last June we discussed a primary change from the Church of the New Covenent, down Spur Highway and down the ravine to the sewer treatment plant. we looked at the alternative through Old Town. Key points are: 1. Route is changing 2. Costs are not significantly higher other than inflation factor. He further explained by routing through Old Town, we are able to eliminate some changes due in future years. Because of projected growth rate that did not occur, the line by the Church of the New Covenent may not have to be builtS One thing, funding is questionable because the EPA has withdrawn e1080 funding. We do not know \\ f E- KENAI CITY COUNCIL �8L/ APRIL 16. 1980 Page 3 �pP' what the State of Alaska will do, we won't knot till June. Submission to EPA will be after the May 12 cut-off date rounailmnn "Tueller noted we have two alternntes on the plan, which is being; used? WFr. Leman explained figure 2 in the diagrams. Mr. Kornelis asked "fr. Leman if a resolution was necessary. Mr. Leman said you could wait till *tny 12. Mr. Kornelis asked if this won't hold up the design work. Mr. Leman explained no. this is just a formality, barring; any unforeseen nePa- tive action. Roger Meeks spoke. He asked Mr. Leman if the line goes down Cook, this is a paved street. Mr. Leman replied yes, but this to at least b years away. Councilman 11alston said if it could go down a graveled street, we could get more for less cost. A paved street is never the same after it has been torn up. Vice -mayor Glick told Air. Leman after stay 12, 1980, we will have a resolution. C PERSONS PRESENT SCHEDULED TO BE HEARD C-1 Doris Lashley - Serendipity Enterprises Mrs. Lashley said the Serendipity hotel was planned in 1976. The site chosen was FAA lands, it took two years to release the site from the FAA. She still thinks that is the perfect spot. Serendipity is a wholly owned subsidiary of Sea Catch. Sea C;ateh is now operating at full operation. They have many interested investors. but the in- vestors are not willing to go when the company to in trouble. She had hoped they could bond with the City. She would sake for 90 days extension. She wants to sever the relationship between Sea Catch and Serendipity. Atty. Delahay gave the background of the Serendipity lease. He ex- plained at the last meeting he was told to prepare notice for payment to be made in 30 days. It amounted to $30,000, annual payment is $32,000, at $2,700 per month. Councilman I1all asked how much are they in arrears. Atty. Dalahay replied through April. $30,000. Coun- - '- oilman Measles asked do we have anyone interested in the property? Mr. Kornelis replied he didn't know. Councilman Ambarian said he still felt the project has been in close cooperation with the City. He -- - doesn't think we can afford to cancel. MOTION: Councilman Measles moved, seconded by Councilman Malston, to grant a 90 day extension to Mrs. Lashley, and she is to report back at that time. L Motion passed unanimously by roll call vote. KENAI CITY COUNCIL APRIL 16, 1080 ( Page 16 to select the 2nd option, as proposed in Atty. Delahay's letter. Councilman Mueller asked what kind of damages are we looking at in thislease. At ahqAy1SpJtMd t o a Ps AGa�nej,'�, could',�"lirove�wo�u . e ur er explained there are problems of the suit. and expenses of going forward. Councilman Mueller asked Atty. Delahay what are our chances of winning? Atty. Delahay replied he didn't know. Councilman Malston asked Atty. Delahay if he was suggesting we contract it out. Atty. Delahay replied it would depend on the work load at that time. Vice Mayor Glick said she thought Planning & Zoning and Administration should look at any future leases with these people. Councilman Hall suggested the 4th alternative, in light of the sit- uation. Councilman Ambarian said he felt that was awfully strong. Councilman Measles said it was better to accept cancellation of the lease and get out of it. We could spend alot of money and time on the suit. Councilman Ambartan noted we don't have to sue, it gives us the option. He further stated, slot of time has been spent on the Stoehners, they owe us something. Councilman Mueller said it wouldn't give us the land book for re -lease. Atty. Delahay explained it is a legal problem. When the land to re -leased, then C we can establish the amount, having breached the contract, we could go ahead and re -lease. Councilman Mueller asked if it would have to come before Council before the suit is started. Atty. Delahay replied yes. Motion passed unanimously by roll call vote. 0-26 Ted Forst & Assoc. - Final Billing on Airport Grants Lobbying - $370.00 MOTION: Councilman Ambarian moved, seconded by Councilman Mueller, to approve the billing. Motion passed with Councilwoman Glick voting no. H REPORTS H-1 City Manager Mr. Kornelis said he had had a meeting with Wince- Corthell, Council- man Measles, Airport Manager Swalley and City Manager Brighton re- garding the airport electric project, on the location of the generator t; C 1� t. 7- 0 KENAI CITY COUNCIL - REGULAR MEETING C MAY 7, 1980, 7: 00 PM KENAI PUBLIC SAFETY BUILDING MAYOR VINCENT O'REILLY PRESIDING PLEDGE OF ALLEGIANCE Mayor O'Reilly requested a moment of silence for the eight men killed in the attempted rescue effort in Iran. A. ROLL CALL Present: Betty Glick, Ron Malston, Dick Mueller, Vincent O'Reilly, Ed Ambarien, Ray Measles Absent: Jess Hall AGENDA APPROVAL Added to F-Old Business was the Clarion lease. Added to G-New Business was Ordinance 571-80, to be discussed after G-9. Added to G-New Business was Resolution 80-81, relating to 0-21 and to be discussed with that item. Councilman Ambarian said, relating to 0-19, Awarding of City Hall Construction Contract, the Council can't review a bid of that mag- nitude in one afternoon. He would object. Mayor O'Reilly replied the Administration has reviewed this, the Council still has a chance to review. He asked Any. Delehay if there had to be a vote of all the Council to delete an item. Atty. Delahay replied the ordinance does not list this question, a simple majority is sufficient. Mayor O'Reilly said he will leave the decision up to the Council at that time and will leave the item on the agenda, moving it up to 0-1. Agenda was approved as amended, by voice vote of Council. B. PUBLIC HEARINGS B-i Ordinance 581-80 - Appropriating Monies in the Amount of $10,500 for Purchase of Mioro-Film System. MOTION: C _ Councilman Measles moved, seconded by Councilwoman Glick, to approve the ordinance. J A I A KENAI CITY COUNCIL MAY 7, 1980 Page 2 There was no public response. Motion passed unanimously by roll call vote. B-2 Ordinance 562-80 - Increasing Revenues and Appropriations in the Amount of $6,500 for Additional nvertime for Police Department. MOTION: Councilwoman (click moved, seconded by Councilman ? alston, to approve the ordinance. There was no public response. Motion passed unanimously by roll call vote. C. PERSONS PRESENT SCHEDULED TO BE HEARD C-1 Buzz Wiley and/or Bob Smith - Condition of Streets Buzz Wiley spoke. He stated he was a resident of Valhalla Heights. Residents of the area had a meeting the previous night, Tom Wagoner would speak for them. Tom Wagoner spoke. He explained there had been an ad hoc meeting the previous night, made up of residents of the South side of Beaver Creek, to form a group to express concern about the quality of services, road service and other items. This was brought about by the condition of the streets. They decided at a previous meet- ing that they did not wish to withdraw from the community, they would just like to put forth a proposal. He suggested that perhaps the Mayor would like to get a committee to review the situation. Mayor O'Reilly noted this falls within the scope of the Public Works Committee. Mr. Wagoner said they have 4 members on their cony nittee. They would like to set up a proposal, present it to the Council, b discuss it at a meeting. . He added that there were 30 people at their meeting, and all were in favor of this approach. Mayor O'Reilly suggested thb City Manager, the Public Works Director and the Mayor be included. C-2 Dollar -Rent-A-Car, Jerry Thomas - Counter Space in Airport Mayor O'Reilly said Mr. Thomas had not arrived yet, this item would be delayed until his arrival. I 1 KENAI CITY COUNCIL -� May 7, 1980 I Page 3 D . MINUTES D-1 Regular Meeting, March 19, 1980 Councilwoman Glick noted C-4, the spelling of the speaker was Beth Taeschner. Minutes were approved as corrected. i D-2 Regular Meeting, April 2, 1980 Clerk noted page 9, 3rd paragraph, CEIF should be CEIP. Council- man Hall noted page 13, 6th paragraph, bonding to required by the City for over $50,000. Minutes were approved as corrected. D-3 Partial Translation, April 2, 1980 Meeting. Minutes were approved as submitted. I D-4 Special Meeting, April 10, 1980 Minutes were approved as submitted. D•-6 Regular Meeting, Apra 16, 1900 Minutes were approved as submitted. D-6 Status -of City Meeting, April 19, 1980 _ Minutes were approved as submitted. 'r E. CORRESPONDENCE - - E-1 Jerry Andrews - City Lands Management Position - -- Mayor O'Reilly said this will be referred to the Planning and �. Zoning Commission. F. OLD BUSINESS F-1 Transportation Agreement with City Manager Atty. Delahay explained this item needs Council action. . F KENAI CITY COUNCIL. MAY 7, 1980 Page 4 Councilman Ambarian asked does the ordinance apply to City emp- loyees whose salaries are negotiated by City Council or is this only for employees who have a salary schedule. Atty. Delahey referred to section 23.30 in the Municipal Code. He explained the City Man- ager is an employee, even though his salary is negotiated. MOTION: Councilwoman Gliok moved, seconded by Councilman Malston, to approve the transportation agreement and authorize the Mayor to sign the agreement. Motion was approved unanimously by roll call vote. F-2 The Clarion Lease Atty. Deiahay explained this was just submittal of the lease already approved by Council. MOTION: Councilman Measles moved, seconded by Councilman Malston, to approve the lease. Motion was approved unanimously by roll call vote. a NEW BUSINESS Q-19 Resolution 80-79 - Awarding of Contract for City Hall Construction. Public Works Director Kornelis explained the bids were opened this date, too late to be included in the packet. He reviewed the bids. Councilman Hall arrived. Mr. Kornelis continued. The basic bid was $110 per square foot. As it stands now, completion will be in December. -Each delay will draw it on, this is why the blank resolution was put in the packet. Carmen Gintoli, architect, spoke. He said as far as the bids are concerned, he can offer no explanation for the amount, except that inflation has taken its toll. He said he had a meeting after the bid opening with City Manager Brighton, etc. He asked them to bring it down tot lower bid. He said they would work with him. The base bid ydth a!!prnate will still have Council chambers downstairs, • �' eN iiw.a... _ . _ _ - _ _ _ - ._ 11 KENAI CITY COUNCIL MAY 7, 1980 Page 6 and a seating capacity for 60. If the Council Chambers are upstairs the seating capacity will be 80-100. If the Council Chambers are up- stairs, the downstairs area will be for storage. The basic bid is for 10,000 square feet, with added alternate, 12,200 square feet, or $100 per square foot. Finance Director Brown said they are reserving $215,000 for the Civic Center bond money, including the health center, plus $400,000 - vote on the bond for city hall, means we have $1,202,000 available right now. 1/3 of the sales tax is $71,000 for the next two months. At this time we could approp- riate from existing funds $1, 273, 000. This would let us take the basic bid and alternate #1, but we would have no monies left in the reserve account. The General Fund Reserve account would be near zero. Councilman Ambarian asked if the low bidder was will- ing to meet with Mr. dintolt and City Manager Brighton, since the low bid is higher than anticipated. We should postpone this till the next meeting. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, to postpone the decision on the awarding of City Hall Contract. Motion passed unanimously by roll call vote. Mayor O'Reilly asked Mr. Ointoli to meet with the low bidder as soon as possible and report back to Council. Dollar -Rent-A-Car, Jerry Thomas - Counter Apace in Airport Jerry Thomas arrived. He said they have applied for space in the terminal which is available since Polar moved out. They would like Council to review their application. He had a land lease that he did not act on because he did not have a permanent lease in the airport. He is currently sub -leasing from Kenai Air. He wants a permanent lease from the City. He needs 80-90 square feet. Airport Manager Swalley spoke. He noted G-24 on the agenda was a memo regarding this situation. He feels that since we did ask Raven to move, we owe them first chance to have the space left by Polar. Doug Haynes (of AAI) has asked for it, we could give Mr. Thomas the space vacated by Raven. Councilman Ambarian asked what did Mr. Thomas say when he was offered that?. Mr. Swalley said the administration felt he should have first choice. F t� KENAI CITY COUNCIL _ MAY ?, 1980 ' i Page 6 Atty. Delahay explained this was put in the lease so the Airport Manager could adjust terminal space. Councilman Malston asked can Andy Is handle the luggage in that small space? Mr. Swalley replied yes, Andy's will be making alterations to handle this. Councilman Ambarian noted in the past we have turned these pro- blems over to Mr. Mueller's committee (steal Estate Committee) ; and come back at the next meeting. Mayor O'Reilly asked Mr. Thomas and Councilman Mueller if that was okay. They both concurred. Mr. Swalley noted he had just received a letter from Tim Ewell to cancel the Polar Contract. After a short recess, the Kenai Police officers Association presented a check to Councilman Measles for Little League. t a NEW BUSINESS t 0-1 Bills to be Paid, Bills to be Ratified MOTION: Councilman Malston moved, seconded by Councilwoman nlick, to approve the bills as presented. Motion passed unanimously by roll call vote. a-2 Requisitions Exceeding $1, 000 MOTION: I" Councilwoman Glick moved, seconded by Councilman Malston, to approve the bills as presented. Finance Director Brown asked if the Council would approve the addition of a bill from the library for a roofing charge. 1�gso.op ,.� Council had no objection. Motion passed unanimously by roll call vote. a-3 Ordinance 564-80 - Increasing RevenueVAnpropriations to Purchase Additional Library Books - $400 MOTION: ' • Councilman Malston moved, seconded by Councilman Measles, t i t i t E f • �t KENAI CITY COUNCIL MAY 7, 1980 Page 7 to introduce the ordinance. Motion passed unanimously by roll call vote. 0-4 Ordinance 565-80 - Increasing RevenueVAppropriations in Capital Project Fund in the Amount of $954,000 to Help Finance the New City Hall. MOTION: Councilwoman Glick moved, seconded by Councilman Measles, to introduce the ordinance. Mayor O'Reilly asked Finance Director Brown, why $954,000? Mr. Brown explained that was the architect's estimate, it can be amended at the next meeting. Motion passed with Councilman Ambarian voting no. 0-5 Ordinance 566-80 - Appropriating $30,000, Special Revenue Fund for Construction of Gravel Aircraft Parking Ramp. MOTION: Councilwoman Glick moved, seconded by Councilman Malston, to introduce the ordinance. Councilman Ambarian said in last year's discussion, it was $10,000, it is now $30,000. Also, we are using City labor again. Council- woman Glick said when this was first brought to us, this was the first figure, at subsequent Planning a Zoning hearings, it was increased. It has always been listed as City labor. Councilman Ambarian said the City labor was at the $10,000 level, but at the $30,000 level, we are extending the airport land budget. Public Works Director Kornelis said that is the cost of gravel at $5.00 a yard, delivered to site. This is similar to last year at $4.75 a yard. He explained the department is extremely busy, but it Is expensive, they are pressed for time. Councilman Ambarian said if we are going to spend that much money, we could do some project where we could get a long term return instead of two years. Mr. Kornelis replied he had checked this, it is cheaper than any other place. Councilman Measles asked Mr. Kornelle if he had a man-hour estimate. Mr. Kornelis replied no, it would depend on how much top -soil, it could be stripped in less than one week. The C _J bid to May 10, we had to have enough time for the bid opening r 0 KENAI CITY COUNCIL MAY 7, 1980 Page 8 and come to the Council that night. May 18 is the date set to open the bids and put the results in the packet. May 21, Council meet- ing, the award would be given. Vork must be completed by June 13 if the contract is awarded by May 22. We are in a time crunch, the dates of the planes flying has been moved up. Councilman Hall asked is this a permanent parking area? Mr. Swalley replied It could be with a special use permit. We could use it next year and get our money back in one year. Councilman Hall asked if this could be laid down so this could be paved eventually. Mr. Kornelis replied yes. Councilman A mbarian asked if we spent all this money in this area, what would happen if we extended the ramp. Mr. Kornelis replied it would not touch that area. Council- man Ambarian asked at that price, is the gravel spread and compacted or just dumped? Mr. Kornelis replied just dumped. We are busy, but there is a money problem. Councilman Ambarian asked will it take 2 or 3 weeks to complete? Mr. Kornelis replied no, the top soil will not be hauled, just piled. Mr. Swalley noted any time after June 9, they will start flying fish out of Bristol Bay. Mr. Kornelis said we are just now able to work the ground due to break- up and getting the bulldozer ready. Councilman Ambarian asked do we have enough money in the budget to pay the City for the labor used. Finance Director Brown replied yes. Motion passed with Councilman Ambarian voting no. 0-6 Ordinance 567-80 - Increasing RevenuelAppropriations by $4,541,840 for Sewer Treatment Plant Construction. MOTION: Councilman Malston inoved, seconded by Councilman Measles, to introduce the ordinance. Motion passed unanimously by roll call vote. G-7 Ordinance 568-80 - Amending Title 23, Personnel Regulations Replacing Salary Table MOTION: Councilman Measles moved, seconded by Councilman Malston, to introduce the ordinance. Councilman Ambarian asked, if this is adopted, to this before the budget is approved. Finance Director Brown replied this is the ir KENAI CITY COUNCIL MAY 7, 1980 Page 9 proper time, it will take 30 days to take effect, after the 2nd reading. Motion passed unanimously by roll call vote. G-8 Ordinance 569-80 - Increasing RevenuOAppropriations in Federal Revenue Sharing Fund by $10,000 for travel. MOTION: Councilman Malston moved, seconded by Councilman Measles, to introduce the ordinance. Motion passed unanimously by roll call vote. G-9 Ordinance 570-80 - Title 24, Municipal Code - treating Port of Kenai Commission MOTION: Councilman Ambarian moved, seconded by Councilman Malston, to introduce the ordinance, Councilman Ambarian explained the introduction is a result of a meeting with Council and the Harbor Commission. In order to get it on its way, they will need a work session with Council and the Harbor Commission. Councilwoman Glick said there are definite problems with this, they may need many meetings. MOTION: Councilwoman (click moved, seconded by Councilman Measles, to postpone the ordinance indefinitely. Councilman Ambarian said a better way to to introduce the ord- inance and postpone the hearing date. Councilwoman Glick replied she would still like to postpone indefinitely. Councilman Ambarian said they had worked on this several months, postponing the hearing date would be more constructive at this time. Councilwoman Glick took the chair. Mayor O'Reilly spoke. He shared Councilman Ambartan's point. He felt they could schedule one or two work sessions to get started. With the action of the Borough Assembly, we should get started. Councilman Hall asked can we bring this up at any future time? 'I KENAI CITY COUNCIL MAY 7, 1980 Page 10 Mayor O'Reilly asked Atty. Delahay for an explanation of a post- ponement. Atty. Delahay explained there are two kinds, one would be a time certain, the second would be to postpone indef- initely - this kills it. Then it must be reintroduced. Motion passed with Mayor O'Reilly voting no. MOTION: Councilman Ambarian moved for reconsideration at the next meeting. Councilwoman Glick said she was going; to move for reconsideration. Councilman Ambarian withdrew his motion. NOTION: Councilwoman Glick moved for immediate reconsideration. Councilman Measles seconded the motion. C Motion failed, with Councilman Ambarian and Mayor O'Reilly voting yes, Councilwoman Glick, Councilmen Malston, Hall, Mueller, and Measles voting no. Mayor O'Reilly said this is postponed indefinitely, but can be re- introduced. Ron Chappell, of the Clarion, spoke. He asked is a reconsideration postponed for 80 days? Atty. Delahay replied he would explain it after the meeting. ORDINANCE 571-80 - Amending KMC-13.30.080 to Allow Operation of a Vehicle in a Designated Portion of the Prohibited Area for the Purpose of Performing Work on Beached Boats a Barges. MOTION: Councilwoman Glick moved, seconded by Councilman Measles, to introduce the ordinance. Atty. Delahay explained someone had come into his offiee and asked for a waiver of this ordinance. This area is at Beach Road, the only protected area this side of Homer. The present ordinance has no waiver. This was introduced so Council could consider this situation. W 0 KENAI CITY COUNCIL MAY 7, 1980 Page u There are two ways it could be done, by waiver of the City Manager or clear exception by Council. Councilman Ambarian requested the applicant by-pass the City Clerk, and go directly to the City Manager. Motion passed unanimously by roll call vote. G-10 Resolution 80-70 - Establishing Signatures for Deposit or Withdrawal of Funds. MOTION: Councilman Malston moved, seconded by Councilman Measles, to approve the resolution. There was no public comment. Motion passed unanimously by roll call vote. a-11 Resolution 80-71- Transfer of Funds - $5,000 - Fire Department Overtime MOTION: Councilman Measles moved, seconded by Councilman Malston, to approve the resolution. There was no public response. Councilman Ambarien asked, regarding resolutions 80-70 through 80-74, do we have money available? Finance Director Brown replied yes. Motion passed unanimously by roll call vote. a-13 Resolution 80-72 - Transfer of Funds, Fire Department Operating Supplies - $500 MOTION: Councilman Malston moved, seconded by Councilman Measles, to approve the resolution. A_ There was no public response. v 0 KENAI CITY COUNCIL MAY 7. 1980 Page 12 N� Motion passed unanimously by roll call vote. G-14 Resolution 80-74 - Transfer of Funds, Purchase Library Cataloging Aids - $350, MOTION: i Councilman Measles moved, seconded by Councilman Mueller, to approve the resolution. There was no public response. i Motion passed unanimously by roll call vote. c a-15 Resolution 80-75 - Acceptance of Grant, New Sewerage Treatment Plant - $567,705. MOTION: Councilman Malston moved, seconded by Councilman Measles, Cto approve the resolution. f There was no public response. Motion passed unanimously by roll call vote. G-16 Resolution 80-78 - Transfer of Funds, Purchase of Gravel for City Streets - $2, 215. MOTION: Councilman Measles moved, seconded by Councilman Mueller . to approve the resolution. There was no public comment. Councilman Ambarian asked if they have much left in contingency. j Finance Director Brawn replied nothing. Motion passed unanimously by roll call vote. a-17 Resolution 80-77 - Establishing► Rate of Return for Lease of City Lands. MOTION: 0 KENAI CITY COUNCIL MAY 7, 1980 Page 13 Councilman Malston moved, seconded by Councilman Measles, to approve the resolution. There was no public comment. Motion was passed unanimously by roll call vote. d-18 Resolution 80-78 - Establishing Terminal Lease Rates and Fee Schedule for FY 80-81 in Airport Terminal MOTION: Councilman Dlueller moved, seconded by Councilman Ambarian, to approve the resolution. There was no public response. Councilman Ambarian said he felt the same as he did (on salary rate increases). We are jumping the gun setting rates before the budget is approved. Finance Director agreed it could be too soon. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, to postpone the resolution until May 21, 1980. Motion passed unanimously by roll call vote. 0-20 Resolution 80-60 - Transfer of Funds, Membership Fee to Pacific NW Waterways Association for Harbor Commission - $100. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, to approve the resolution. There was no public comment. Motion passed unanimously by roll call vote. (1-21 Action Concerning Administrative Assistant Contract Resolution 80-81 - Authorizing and Providing Funds for Obtaining Secretarial and Administration Services - $5, 500. I- .._----.- -- C 3 KENAI CITY COUNCIL "1IAY 7, 1980 Page 14 Councilman A4alston moved, seconded by Councilman Ambarian, to approve Resolution 80-81. Councilman Ambarian asked what is the level of experience we have asked for? Are we combining secretarial and administrative help? Mayor O'Reilly asked Public Works Director Kornelis, who was in- volved in screening of applicants? Mr. Kornelis replied the job description was written by the Mayor. He and Councilman Malston met, Commissioner Peterkin could not come. There were three applicants. One individual was a Clerk -Typist in the Navy, he had secretarial and construction background, he came closest to the requirements. Councilman Malston added they were looking at the requirements listed. They felt the crunch is over as for as legislative work is concerned. Jan (Taylor) is leaving on preg- nancy leave. Thgfelt the one who was hired could take her place and do the work Mayor O'Reilly was doing as a temporary position. The Committee felt hiring as originally intended was not necessary. Mr. Kornelis said the position as originally set up is not needed. But all the grants are going to be sent to the City, we will need someone to get this out. Jan (Taylor) is overloaded. They are all working hard. The projects will all come in this summer, and they will have no girl. The position has opened up at the next step above the one originally requested. Mayor O'Reilly noted we have gone from the original request and gone to the second, now we are on the 3rd situation. Mr. Kornelis noted we do not need lobbying in Juneau any more. Councilman Ambarian asked are we hiring someone to replace the Public Works secretary and when the Public Works secretary comes back, she will be working at a higher rate? Mr. Kornelis replied no, He has selected a girl to take Jan's place. This will be a job in a higher position to handle grants. There are $4 Million worth of work to be handled. After a short recess, Mr. Kornelis spoke. He said there are two things to stress: 1. He will be required to type 2. It will not be a permanent position, it will last 9 weeks. Commissioner Peterkin wants the $500,000 used to give him a perm- anent position. Mr. Kornelis said he felt this $500,000 is different funds. At the and of 9 weeks the Council could re-evaluate and hire him under new budget. Councilman Malston said he wanted to empha- size there is no intent to create a new position. Mayor n'l;eilly asked AT KENAI CITY COUNCIL. MAY 7, 1980 Page 15 are there any funds? Councilman Malston replied that is a bridge we will come to later. Mayor O'Reilly agreed if there are funds available we can discuss that at a later date. Motion passed with Councilwoman Glick voting no. Atty. Delahay said regarding the agreement to furnish services. the Council should review to begin services right away. MOTION: Councilman Mueller moved, seconded by Councilman Measles, to allow the City to enter into an agreement to furnish services. Motion passed unanimously by roll call vote. G-22 Licensed Day Care Center Discussion City Manager Brighton said he did not want to put Mrs. Hinrichs on the spot by asking her to make a talk, only if she wants to. Sandra Hinrichs spoke. She explained the program. She then said the Borough had told her they do not have the powers to use these funds. Community a Regional Affairs says they can, but the Borough Attorney says they cannot. Mayor O'Reilly asked if local government must stand the cost of administering in the old plan, has this been changed? Mrs. Hinrichs replied yes, there are funds for administering. Funds would still have to be funnelled through the City. City Manager Brighton said on May 15 he sent a letter asking for information in order to eliminate the out -off date and to give the Council more time. Mrs. Hinrichs explained the Community a Regional Affairs audits very frequently, if they don't pass an audit, then the Care Center would not be paid. It is audited every month, the City would not have to do it. Community a Regional Affairs are willing to come down and speak to the Council but they must have a formal invitation. City Manager Brighton said the pro- gram is designed for low-income people to get them trained to get into the work force. Piro. Hinrichs said it first came toher attent- ion by people asking if there was a program. 5 people have asked her. The Community College feels it would raise their enrollment by 1/3. Councilwoman Glick asked why is the Council being faced with this again, it was rejected. Mrs. Hinrichs asked, was it re- jected? She did not think it had been voted on. Councilwoman Glick said yes, it was. She continued, 0 - She doesn'tthink the City should be involved with this. A - She resents the letter being :r. KBNAI CITY COUNCIL MAY ?, 1980 Page 18 sent without Council being asked. Airs. Hinrich said she was not here when this was voted on. Mayor O'Reilly explained he disagreed with Councilwoman Glick. The meeting was set for the necember meeting and Mrs. Hinrich did not come. "Ira. Ilinrich replied she thought it was just postponed. She did not come because the require- ments had been changed. Councilman Malston said he did not agree with programs like this, but if it could be provided at little or no expense, it will make a better community. City Manager Brighton said he would not ask Community a Regional Affairs to come down until he got the feel of Council. Councilman Malston said they did make a presentation once. Councilman Hall asked what are the administration costs? Mrs. Hinrichs replied they will be doing that for nothing. The administration of the City would be to pass the checks through on a monthly basis. Councilman Hall asked what about reports? Mrs. Hinrichs replied they would make them up and send them to Community a Regional Affairs, with a copy to the City. Councilman Ambarian said his objection to the City to willing to take up a Borough -wide program. It would have to be given to the people of the Borough. Mrs. Hinrich said it would only be for residents of the City. Councilman Ambarian asked Mrs. Hinrichs was that her rule? Mrs. Hinrichs replied that is a State rule. Mayor O'Reilly suggested the Council consider the problem when the applications are received. G-23 Council agreed. Borough Ordinance Regarding Harbor Ordinance Councilman Ambarian explained the Borough program. The let Borough ordinance provides for acquisition of municipal powers necessary to provide ports and harbors in the Borough outside the cities. This is a result of a study by the Borough. The Bor- ough at present does not have port and harbor powers outside cities. If passed, the Borough would either have power over ports outside cities or would have joint power with the cities over ports. The 2nd ordinance - W34 - establishes the North Borough port and harbor service area. The purpose is to create a port and harbor service area for N. Kenai, Kenai and Beluga. The purpose of the ordinance was to follow up on report V ) received by Borough two years ago for port and harbor service area for Kenai, N. Kenai, Soldotna and Kasilof. Soldotna was left out by writers of ordinance. Kenai Harbor Commission was notified of the ordinance. The Harbor Commission members are afraid they will lose the powers of the City. In the future, he suggests the Harbor Commission contact the City representatives. W (I KENAI CITY COUNCIL MAY 7, 1980 Page 17 The Mayor will hold public hearings on the petition submitted several years ago. Ordinance 80-33 may be on the Fall ballot. The Harbor Commission asked to discuss Borough Ordinance 80-34, in a meeting. Mayor O'Reilly asked if Mayor Oilman will be there too. Councilman Ambarian replied yes, it will be next Tuesday night (5-13-80) . Councilwoman Glick said regarding Ordinance 80-34, on the radio she heard Mr. Arness was not only including port and harbor but usurping airport land as well. Councilman Ambarian said he had heard that too, but they did not discuss this. Atty. Delahay said he had talked with the Borough attorney regarding statutes concerning powers. They will have a meeting Friday afternoon and he will get a memo to Council. He asked the Council to note that in the ordinance by Arness and Hills there is a section that states the ordinance is contingent upon transfer to the Borough by the City of Kenai of its power. He suggested the City not approve the section regard- ing powers and duties where the Borough can over -rule a service area. We all recognize the port would be of value to the entire community. Mayor O'Reilly asked Atty. Delahay if he could have an opinion to the Harbor Commission by 8-13-80. Atty. Delahay replied he will have the other attorney's opinion in. His opinion may be at the Harbor Commission meeting, but not in the packet. He will be at the meeting. Councilman Ambarian said the Council should note this is just an introduction and could be changed. Mayor O'Reilly suggested the Council attend the Harbor Commission meeting of 5-13-80. 0-28 Recommended Budget for Harbor Commission - 1980-81 Mayor O'Reilly suggested this be put in the budget session. Council agreed. i H REPORTS H-1 City Manager City Manager Brighton reports on the Oberts property. He and Public Works Director Kornelis looked at the road. • He talked to Mr. Oberts and he was not mad. Mr. Oberts thought there was more damage than there was, and asked for summer work be done on the road. City Manager Brighton then discussed the names for the personnel `� board. The names should be submitted to the City Clerk and she L KENAI CITY COUNCIL. MAY 7, 1980 Page 18 will report on them at the next meeting. Councilwoman (click asked if the City manager could follow up on the Department of Revenue office to be located in the City Hall. It was planned to be placed on Kalifonsky Road, the City would like it to stay in Kenai. Mr. Brighton said he will handlt it. H-2 City Attorney Atty. Delahay spoke regarding the Constellation. Auer he was given authority to sue, Atty. Baldwin received word from Mr. MacNamara that he would consent to requests from Atty. Delahay. Atty. Delahay asked it to be in writing. He has not received this yet. He then listed the stipulations. He said he has contacted several people regarding this plane. MOTION: Councilman Ambarian moved, seconded by Councilman Measles, to accept Mr. MacNamara's offer or Mr. Pleyerhofer's (at reduced bond) Motion passed unanimously by roll call vote. , The ports and harbor discussion was already done. The work on Bidarka, Barnacle, etc. streets was put out. He feels the contractors should check the utilities upon excavation. The utilities companies told the contractors the City should pay for relocation. The past history to that we have not paid. He would recommend to Council that he write letters denying liability. We may have a court trial at some future date, but it should be settled. Council had no objection to this proposed action. H-3 Mayor Mayor O'Reilly discussed the Capital Budget from Juneau. There are some disappointments, the airport terminal, the $8 Million culture center in Juneau, ours is in a bond issue. Councilman Ambarian noted the Kalifonsky intersection was dropped by DOT, but with Representative Malone'a work, it was put back in. Mayor O'Reilly said Municipal Sharing was still at last level. Municipal Assistance is not settled. Val KENAI CITY COUNCIL MAY 7, 1980 Page 19 Mayor O'Reilly referred to the letter to FAA discussing their re- i cent meeting. He asked for Council approval before sending. i MOTION: i Councilman Ambartan moved to approve the letter to the FAA. I j Council approved unanimously by roll call vote. Councilman Ambarian asked what about the land that has been re- leased? Mayor O'Reilly and Atty. Delahay agreed there was no problem. Mayor O'Reilly reminded the Council that May 18 to May 21 there will be meetings on the Culture center, in Juneau. We will need Council representation. He suggested Councilwoman Glick. Council- man Ambarian asked the Mayor to elaborate on the Kenai High Audi- torium. Mayor O'Reilly replied the School Board needs the #3 item. Councilman Ambarian asked how does this relate to the Cult- ure Center. Mayor O'Reilly replied somewhere we can get an aud- itorium. Councilwoman Glick said she would check the next day. i H-4 City Clerk None H-5 Finance Director • None H-8 Planning 6 Zoning Councilwoman Glick said there were two leases discussed, the appraisals have not been done. H-7 Kenai Borough Assembly Councilman Ambarian said the Council has already discussed the important items. The Kenai River Subdivision has proposed a service area for road maintenance. There will be an election. Mayor O'Reilly asked if this is close to the City boundaries. Council- man Ambarian replied yes, the Borough feels this is a bad trend. i �ti.i H-8 Harbor Commission KENAI CITY COUNCIL ( MAY &. 1980 Page 20 Mayor O'Reilly noted there would be a meeting the following Tuesday night. Councilwoman Glick said regarding the Harbor Commission not communicating with the Assembly. The Harbor Commission felt they were not being communicated with. We should all work for the City. I PERSONS PRESENT NOT SCHEDULED TO BE HEART) Councilman Measles spoke. He said he had a visit from EPA and Environmental Conservation. They were complimentary of our Sewer Treatment Plant. Mayor O'Reilly reminded the Council to submit their selections for the Personnel Board to the Ciy Clerk. Mayor O'Reilly also reminded the Council of the budget sessions. ADJOURNMENT Meeting adjourned 10: 00 PM. Respectfully Submitted, Jr Whelan. City Clerk l �r I DEPARTMENT OF THE ARMY ALASKA DISTRICT, CORPS OF ENGINEERS P.O. BOX 7002 ANCHORAGE, ALASKA 99510 411PLY TO ATTIINT10N OF: NPAEN-PL-R ei V", 11:3i3U Bob Peterkin, Chairman Kenai Harbor Commission Star Route fl, Box 25 Kenai, Alaska 99611 Dear Mr. Peterkin: We have made a preliminary design and cost estimate for a 20 acre, dredged boat harbor in the Kenai River (Inclosure). This design will be used in the reconnaissance report for determining economic feasibility of a harbor project. The costs for construction of this harbor are allocated as follows: Federal Local First Cost $1,666,000 $7,963,000 (Includes land rights -of -way for Federal portion, excludes inner harbor facilities, floats, utilities, etc.) Maintenance $300,000/yr. $245,000/yr. (Dredging) The local portion of costs, that portion which the Corps of Engineers cannot pay, must be borne by the city or the State. The State usually does not fund maintenance dredging for small boat harbor projects. Thus, the city should be aware that about $246,000 per year may be needed from the city to maintain depths in this type harbor. Further, we need a letter stating your awareness of these costs, your willingness and ability to cover them, and your desire that we continue this study. Your letter will be forwarded to North Pacific Division, Corps of Engineers, along with the draft reconnaissance report. NPAEN-PL-R Mr. Bob Peterkin If you have any questions or need further information, please contact Captain Reynolds of the Reports Section at 752-3461. Sincerely, 1 Incl 4�LANE.YRIP" As stated Chief, Engineering Division 2 f n I :r. .. r..t.. -.r• Q� ENTRANCE CHANNEL i � tic SHEET PILE BASIN RETAINING WALL o l00 200 Goo +oo FEET t i PROPOSED i SMALL BOAT HARBOR I KENAI, ALASKA _ k �r R fr. r• .' CITY OF KENAI "Od (?ap ,al a/i ,Q"„ _ P. O. 60X NO N[NAI, AIASNA 99611 TRIPNONE 20' • 1636 May 14, 1980 Mr. Harlan E. Moore Chief, Engineering Division Dept. of the Army Alaska District, Corps of Engineers P. 0. Box 7002 Anchorage, Alaska 99501 Dear Mr. Moore, The Kenai City Council has received a copy of your letter to Mr. Robert Peterkin, Chairman of the Kenai City Harbor Commission. ;- This letter, approved by Council at the regular meeting of May 21, 1980, if offered as evidence of the City of Kenai's awareness of current main- tenance cost estimates, and of our willingness and ability to meet such costs. We also wish to express our desire that the Corps of Engineers continue the necessary studies. We thank you for your continuing interest in'thislvery important matter. Sincerely, Vincent O'Reilly Mayor VOR:kh 't i G j, �l MP 391E FOLLOWINR TTFNS ARE OVrR 01,000.00 WHICH NEED (:uuNt;iL APPROVAL OR RATIFICATION 5/21/RO _ VENDOR AMOUNT DP.CRIPTION _,-- PRO.IF.CT/DEPARTMENT ACCOUNT CHARGE AMOUNT P.O. FOR APPROVAL Alaska Dept. of Labor 3,675.30 lot qunrter ESC Various EEC 3.675.30 � Blue Croon of Alaska 8,722.84 .ruse Insurance Premium Various Health Insurance 8,722.84 Chevron 1.558.75 O4e011no shop Operating Supplies 1,558.75 12229/12135 Coopers b Lybrand 4,765.00 LPW Audit Well O1 Renovate Admin-Other 2,600.00 01891 LPW Audit 5 Streets Admin-Other 2,165.00 01891 Fiscal Agency Department 5,812.50 Revenue Bond Interest Terminal Interest 5,812.50 Glacier State Telephone Co. 2,079.74 May Phone Service Various Co municatione 2,079.74 Homer Electric Association 7,499.54 April Electricity Various Utilities 7,499.54 Ron's Rent -It Center 2,415.45 Steam Boiler Parts shop Repair/Heint. Supplies 51.15 11985 Pumphoueing Shop Repair/Maint. Supplies 141.30 11632 Steam Boiler Repair Shop Repair 6 Maintenance 28.00 12057 Jackhammer Water 6 Sower Machinery 6 Equipment 795.00 11888 Pump/Hoses Water '6 Sewer Machinery 6 Equipment 1,400.00 11933 Servicemaster 3,159.20 May Bldg. Maintenance Police Professional Services 266.20 10054 May Bldg. Maintenance Library Professional Services 400.00 IU056 F. May Bldg. Maintenance Terminal Professional Services 2,493.00 10059 Ed Warfle Real Estate Appraisals 1.350.00 Narrative Appraisals Airport Lend Professional Services 1,350.00 12124 Y Yukon Equipment 3,038,77 Turbo-Charger(Pump Shop Repair/Haut. Supplies 2,818.02 12121 Pump Beals Shop Rapair/Maint. Supplies 33.59 12203 Water Pump shop Repair/Hain. Supplies 177.14 12129 Dozer Manual shop Miscellaneous 10.02 12045 FOR RATIFICATION Clary Insurance Agency 3,413.00 April W/C Various Workmen's Compensation 3,415#00 National Bank of Alaska 375,000.00 Cart. of Deposit 5/9/80 TCD Central Treasury 375,000.00 Alaska StateBank 300,000.00 Cart. of Deposit 5/15/80 TCD Central Treasury 300,000.00 , REQUISITIONS OVER $1,000.00 WHICH NEED COUNCIL APPROVAL 5/21/80 R—DESCRIPTION- _ —_ DEPARTMENT ACCOUNT AMO Cary L. Davie Admintatratton Coordinai-or Contract PW-Administration Professional Services 3,600.00 Air-Tek, Inc. Maintenance on Street Lights Street Lighting Repair 6 Maintenance 2,485.00 Alaskasun Meeting Exhaust Pan Installation Terminal Buildings 2.090.00 Kenai Electric Replace electrical Box WHO Water 6 Sewer Repair 6 Maintenance 2,198.00 IT . . }. !� f } .#i 8 I CITY OF KENAI ORDINANCE NO. 572-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE FEDERAL REVENUE SHARING FUND BY $16,000 FOR PURCHASE OF A WORD PROCESSING SYSTEM FOR THE LEGAL DEPARTMENT, A SATELLITE WORD PROCESSING SYSTEM FOR THE DEPARTMENT OF PUBLIC WORKS, AND TWO SCANNER RADIOS FOR THE FIRE DEPARTMENT. WHEREAS, the Kenai City Council has determined that it is in the best interest of the City to purchase a Word Processing System (including related supplies and table) for the Legal Department, a satellite word processing system for the Department of Public Works, and two (2) scanner radios for the Fire Department, and WHEREAS, approximately $58,000 of expected FY 1979-80 Federal Revenue Sharing revenues have not yet been appropriated, and WHEREAS, proper accounting practices require that all ap- propriations of City monies be made by ordinance. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING INCREASES IN ESTIMATED REVENUES AND APPROPRIATIONS BE MADEs Federal Revenue Sharing Special Revenue Fund Increase Estimated Revenues: Federal Revenue Sharing $16,000 Increase Appropriations% Transfer to General Fund $160000 General Fund Increase Estimated Revenues% Transfer from Federal Revenue Sharing Fund i $l6,000 i 1� Ordinance No. 572-80 Page 2 Increase Appropriations: Legal - Machinery & Equipment $ 6,700 Legal - Office Supplies 300 Public Works -Machinery & Equipment 3,440 Public Works -Office Supplies 560 Fire - Machinery & Equipment 50,000 16, 000 4 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASRA this 4th day of June, 1980. r. VINCENT 0 REILLY, MAYOR ATTESTS Janet Whelan, City Clerk First Reading: May 21, 1980 Second Reading: June 4, 1980 Approved by Finances Effective Dates June 4, 1980 4 r CITY OF KENAI lod ea#� 4 4" /. 0. BOX 580 KIWAI. ALASKA 99611 TR PORMI 283 • 7535 HPIO TOs Kenai City Council FROM Charles A. Brown, Finance Director DATES May 20, 1980 The following is being prepared to explain and clarify the estimated revenues and appropriations in the proposed 1980-81 Annual Budget (through the 5-15-80 worksession) in conjunction with proposed Ordinance No, 573-80. General Fund w Estimated revenues, proposed 1980-81 budget $ 3,612,010 Add State Revenue Sharing increase 210,548* Less distributable to other funds (15%) (31,582) Add Municipal Assistance increase 20,965 Total Estimated Revenues 3 811 941 Appropriations, proposed 1980-81 budget $ 3,612,010 Additions through 5-15-80 59,150 Less effect of 2% sales tax dedication to operations (383,333) Total AppropriationsJ $ 3.287,827 Revenues Available S24 114 The following table shows various possible action under different service levels that may be taken, assuming (1) State Revenue Sharing as indicated above becomes a reality, (2) two percent (2%) of sales tax are dedicated to operations, and (3) no significant changes result from review of the remainder of the proposed budget. * Not yet passed by State Legislature; proposed amount of at least $359,645 at this time. Per Legislative Affairs, should have passage by 6-1-80.. a 2 3 - Dad c r i, 00 - Lao M A-G'r --J- Fo #o! c a ri 9 )IN fr. r. /,q ke rxi I x 1111 pot 0.0.0 t 0.0 - Y< ,4JJ J"14 vivo Co. )x .140 >X @.*I A�a , >1 i 4 I,FJJ xi X< 0 >< 00 '09.0'0 20 OV& op C.i. r 'W I : IT ,4jj r F >-< lo X x< ,4JJ X. DIR J—, /0 7 34 7 I � I I �' I ;` 4 1 I rl II 'I � + !I I } ;� r II CITY OF KENAI "Od eap" a/ 4".. /. 0. 50% 660 MAI, ALASKA 99611 f6Li/NON1 983 • 7666 9iJT. TO: HONORABLE MAYOR & CITY COUNCIL FROM: BEN T. DELAHAY, CITY ATTORNEY RE: POSSIBLE AMENDMENT OF ORDINANCE NO. 573-80 REPEALING ORDINANCE NO. 475-79 ADDING A NEW SECTION 7.30.015 DATE: MAY 14, 1980 The above numbered ordinance is being brought before you for introduction on May 21, 1980, in order to repeal Ordinance No. 475-79 and reallocate funds in time for the beginning of the next fiscal year in the event that Council finds it - desirable. It is the intent of this ordinance to repeal uncodified Ordinance No. 475-79 (copy attached) which provides that interest revenues earned from City investments be dedicated to retire 1967 G 0 Bonds in order to dedicate only that portion of such interest revenues to payment of the bonds as is necessary for the annual debt service requirements, and to provide the balance to be dedicated to a reserve for capital improvements. The purpose of this rededication is to allow rededication of IS of the sales taxes (being one half of the 2% sales tax provided by KMC 7.10.010-2) which is now dedicated to reserves for capital improvements under KMC 7.10.030-2 to be rededicated to be applied against current operating expenses. - - However, if the Council desires to leave unchanged the provision dedicating 1% of sales tax revenues to capital ----- improvement reserves, then the above numbered ordinance could still be utilized to change the dedication under Ordinance No. 475-79 so that only the interest revenues necessary for annual debt service requirements would be so applied and the balance could be dedicated to be used toward - current operating expenses. In order to accomplish this the I! following amendments should be made to Ordinance No.573-80: ' 1. In the fifth "Whereas" clause the wording "Reserve for Capital Improvements, and" should be deleted and replaced by the wording "to be used toward financing current operating expenses." 2. The sixth "Whereas" clause should be deleted in its entirety. 3. The new section 7.30.015 should be amended by deleting all of the wording following the words "General Fund" in the second sentence of Sub -section (a) and substituting therefor the wording "to be used toward current operating expenses" and by deleting all of Sub -section (b). 4. Section 3 and Section 4 should be deleted. if it is the decision of Council to make the change of revenues from the sales tax available for current operating expenses and replace it with interest revenues going to capital improvement reserve, then the Ordinance 573-80 should be enacted without the above suggested amendment. If it is the desire of Council however to leave the dedication of sales taxes to the Capital Improvement reserve, then the Council would still have the option to amend Ordinance No. 573-80 as set forth above in order to provide for a portion of the interest revenues to be used towards current operating expenses. If this ordinance is to be enacted in any form, then it is essential that there be no delay in its consideration in order that it may become effective early in July with the new fiscal year. BTD/md Enclosure , f Tj - CITY OF KENAI ORDINANCE NO. 475-79 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA DEDICATING INTEREST REVENUES FROM CITY INVESTMENTS TO THE RETIREMENT OF 1967 GENERAL OBLIGATION BONDS. WHEREAS, the 1967 General Obligation Bond Issue has some $1,700,000 of principal and interest remaining to be paid, and WHEREAS, the present funding sources for these future debt payments are primarily (1) the 1967 Water, Sewer and Streets Special Assessment Fund, and (2) the 1967 Water, Sewer and Streets Debt Service Fund, and WHEREAS, these funding sources are insufficient to meet the total debt obligations of the 1967 General Obligation Bond Issue, and WHEREAS, it is estimated that interest earnings on City investments will be sufficient to meet these debt obliga- tions. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that interest revenues earned from City investments be dedicated to retire the 1967 General Obligation Bonds authorized at that certain special election held in the City of Kenai on February 28, 1967, except for those interest revenues required by Federal or State statute or other authority to be allocated otherwise. It is intended that this dedication be accomplished by allocating interest revenues to the 1967 Water, Sewer and Streets Debt Service Fund, beginning with fiscal year 1978-79. PASSED BY THE COUNCIL OF THE.CITY OF KENAI, ALASKA this 21st day of February, 1979. VINCENT O'REI.LLY,-. YOR ATTES s C 6.6 Sue C. Peter, city C erk First Readings February 7, 1979 Second Readings February 21, 1979 Effective Dates February 21, 1979 Approved by Finance s G94 r" CITY OF KENAI ORDINANCE NO. 573-80 / AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA ,�...-RECINDING ORDINANCE NO. 475-79, DEDICATING INTEREST REVENUES FROM CITY INVESTMENTS TO THE GENERAL FUND RESERVE FOR CAPITAL IMPROVEMENTS, REPEALING KMC 7..10.030-2 AND AMENDING KMC 7.10.030-3 TO DEDICATE ALL OF THE REVENUES OF THE CONSUMERS' SALES TAX LEVIED BY KMC 7.10.010-2 TO CURRENT OPERATING EXPENSES. WHEREAS, Ordinance No. 475-79 dedicates interest revenues earned from City investments except for those interest revenues required by Federal or State statute or other authority to be allocated otherwise, to retire 1967 General Obligation Bonds, and WHEREAS, beginning July 1, 1980, it will be sufficient to dedicate interest revenues to retire 1967 General Obligation Bonds only in the amount of the annual debt service payments, and WHEREAS, it will be necessary to dedicate interest revenues to retire the 1980 General Obligation Bonds (those related to financing a new City Administration Building) in the amount of the annual debt service payments, and WHEREAS, the balance of interest revenue earned, except for those interest revenues required by Federal or State statute or other authority to be allocated otherwise, may be dedicated for purposes other than debt service, and WHEREAS, the Council desires that the balance of interest revenue earned be dedicated to the General Fund Reserve for capital improvements, and WHEREAS, the Council further desires that once -half of the revenues of the consumers' sales tax levied by KNC 7.10.010- 2 now being dedicated to the General Fund Reserve for capital improvements be dedicated to current operating expenses. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that% Ordinance No. 573-80 Page 2 Section 1: Ordinance No. 475-79 be, and it hereby is, repealed. Section 2: That the City of Kenai Code of Ordinances is hereby amended by adding a new section to be numbered 7.30.015 which shall read as follows: 117.30.015 Interest -Revenue: (a) Those interest revenues earned from City investments that are not required by Federal or State statute or other authority to be allocated otherwise, shall be dedicated first to the 1967 and 1980 General Obligation Debt Service Funds in the amount of the respective annual debt service requirements. Interest revenues remaining after the above dedication requirement is satisfied, shall be dedicated to.the General Fund Reserve for capital improvements. (b) Revenues dedicated to the General Fund Reserve for capital improvements in this section may not be appropriated for any purpose other than for purchases or improvements of a capital nature except by non -emergency ordinance passed at a regular Council meeting (after opportunity for public hearing on such other purpose has been afforded) on the favorable vote of at least 5 members of the Council. This section may be amended or repealed only by non -emergency ordinance. - Section 3s That KMC 7.10.030-2 be, and hereby is, repealee Section 4s That KMC 7.10.030-3 is hereby amended as follows`- 2 13I. (ONE-HALF OF A] All revenues of the consumers' sales tax levied by Section 77.10.010-2 are dedicated to be applied against current operating expenses. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 4th day of June, 1980. VINCENT O REILLY, MAYOR ATTEST s Janet Whelan, City Clerk First Reading: May 21, 1980 Second Readings June 4, 1980 Effective Dates July 4, 1980 �r. -- --- -- -.-- ". ._ - - i ,.' -V . CITY OF KENAI ORDINANCE NO. 574-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA AMENDING TITLE 23 OF THE KENAI MUNICIPAL CODE TO PROVIDE FOR A PAY RANGE INCREASE FOR THE SENIOR CITIZEN COORDINATOR. WHEREAS, beginning July 1, 1980, the City of Kenai is assuming responsibility of the nutrition program as well as the senior citizen program which'is currently under its control, and WHEREAS, adding the nutrition program to the senior citizen coordinator's responsibilities will require more work and expertise on her part, and WHEREAS, the position is fully funded by the State of Alaska Office on Aging• who has agreed to fund the position at a pay range 10F. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as follows: Section 1: That KMC 23.50.010(e) is hereby amended as follows: (e) SOCIAL SERVICES 501 Librarian* 14 502 Sr. Citizen Coordinator 10 (8) 503 Parks & Recreation Director* PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 4th day of June, 1980. ATTEST: Janet Whelan, City Clerk VINCENT O REILLY, MAYOR First Reading: May 21, 1980 Second Reading: June 4, 1980 Effective Date: July 4, 1980 W r CITY OF KENAI ORDINANCE NO. 575-80 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA AMENDING ORDINANCE NO. 533-79 TO INCLUDE IN THE CATEGORY OF STREETS - MACHINERY AND EQUIPMENT THE PURCHASE OF A COMPACTION ROLLER AND A PICK-UP WITH FEDERAL REVENUE SHARING MONIES. WHEREAS, Ordinance No. 533-79 appropriated $134,300 of Federal Revenue Sharing monies for specific items of machinery and equipment in the Street Department, and WHEREAS, due to favorable bids and purchase prices, all of the items listed in "Exhibit All of Ordinance No. 533-79 for the Street - Machinery and Equipment account have been pur- chased, and a balance of approximately $26,850 remains, and WHEREAS, the Public Works Department has requested that the remaining monies be used to purchase the followings Department Item Estimated Cost Streets - Machinery & Equipment Compaction Roller $15,000 Streets - Machinery & Equipment Pick -Up 11,000 26 000 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that "Exhibit A" which is a part of Ordinance No. 533-79 be amended to include in the category of General Fund, Streets the machinery and equipment items of a compaction roller and a Pick-up. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 4th day of June, 1980. ATTEST: Janet Whelan, C ty Clerk Approved by Finances—" VINCENT O'REILLY, MAYOR First Readings May 21, 1980 Second Readings June 4, 1980 Effective Dates June 4, 1980 . 14 CITY OF KENAI RESOLUTION NO. 80-54 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA CHANGING THE NAMES OF CERTAIN EXISTING STREETS AND NAMING CERTAIN NEWLY ESTABLISHED STREETS. WHEREAS, Section 14.15.140 of the Kenai Code authorizes the Council of the City of Kenai to name and rename streets, and WHEREAS, certain ambiguities exist on certain existing street names resulting in confusion for police, fire, and ambulance response to emergency calls, and WHEREAS, certain streets have not yet been named according to Ordinance. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA: Section 1 - That the street names be changed and/or established according to the attached Exhibit "A" and that said names be incorporated on the Master Street Plan. Section 2 - That the City of Kenai's Public Works Department keep and update a Master Street Plan drawing that includes all roads that are accepted and maintained within the City of Kenai and that such roads on the drawing will be considered the official names of these roads. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. Vincent O'Reilly, Flayor ATTEST: anet Whelan, City Clerk t CITY OF KENAI RESOLUTION NO. 80-54 Exhibit "A" Street Name Changes Change To Easy Street Kiana Lane Kaknu Place Kulila Place - Primrose Avenue East Aliak Drive Spruce Avenue Wildrose Avenue Spruce Drive Kiana Lane Sandpiper Court Kittiwake Court Broadway Court Nikolai Place Redoubt Way Attla Way F Street Fox Avenue M Street Mink Avenue U Street Muir Avenue 2nd Avenue Ketch Street 13th Avenue VIP Drive 16th Avenue Deepwood Court 17th Avenue (VIP) Bowpicker Lane 17th Avenue (Dragnet) Royal Street 19th Avenue Dolly Varden Street 85th Avenue Chisik Street �_ J• �1% v Unnamed North Strawberry Road �x ' Unnamed (VIP) Baleen Avenue CITY OF KENAI RESOLUTION NO. 80-78 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, ESTABLISHING TERMINAL LEASE RATES AND A FEE SCHEDULE FOR THE PERIOD OF JULY 1, 1980 THROUGH JUNE 30, 1981 IN THE KENAI MUNICIPAL AIRPORT TERMINAL. WHEREAS, annually there is a review of the lease and fee rates for the Kenai Municipal Airport Terminal, and WHEREAS, the following rates and fees have been reviewed and found to be economically sound. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that'the following minimum lease rate/ fee schedule for the period of July 1, 1980 through June 30, 1981 is adopted: Lease Space Counter -Public Service Areas $.99/sq.ft. Office Space With Custodial Service $.86/sq.ft. Without Custodial Service $.72/sq.£t.. Work Area Without Custodial Service $.57/sq.ft. Commission -Rental Cars & Related operations 10% of gross (minimum) Direct.Dial Phone & Poster Space $108/yr. Poster Space $40/yr. Other fees as negotiated and approved by Council. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 7th day of May, 1980. VINCENT O'REILLY, MAYOR ATTEST: Janet Whelan, City Clerk Approved by Finance: e%l - 1 AIIA , 07F�/�l�/�d!/l� .�,d!/i=dz`•�/Ji�,�� -6,st� �i 2.5'+� �i7 sTFi4�o o.T cc�� � �ti ,; r�CiJrf;•=� 75Z X37X �-,FejFi, ,JTr��"c i a. /YOUR T2/�ft/�p2/7�2�tay�/1 �' 814 70 (i1J1� i0',cY.�Jh,T10,�A7 k,E.ATdif�TJ . G(Jf 7!AE/7 1,VJ7)5Aho,rL 6 ujf d• G pia zr"jrWAa oX 04k /6B0 /SO el S7hmp,*ty ljfvU,& tJ HpwL 7r,?AmF•j 7,o4a 47,240.- G3 Sajo s"l too / oS7, O&0 "/53, oar 27 3 oao t � CITY OF KENAI Resolution No. 80-79 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA AWARDING A CONTRACT FOR THE CONSTRUCTION OF CITY ADMINISTRATION BUILDING TO OMNI NORTH. WHEREAS, the following bids were received for the above mentioned project: A.A.#1 A.A.#2 A.A.N3 Contractor Basic Bid Council Chamb. Parking Air Cond. TOTAL Omni North $1,104,300 $159,300 $ 26,400 $ 15,000 $1,306,000 ' Sandland Constr. 1,178,000 175,000 26,000 12,000 1,391.000 Woodard Constr. 11181,000 220,966 37,815 14,500 1,454,281 Moneymaker Constr. 1,229,583 188,909 29,660 14,849 1,463,001 Unit Company 1,297,858 248,704 31,804 13,718 1,592,084 w Architect's Estimate 950,000 250,000 12,000 15,000 1,227,000 WHEREAS, the recommendation from Carmen Gintoli, the project design architect, is to award the contract to Omni North for a total project cost of $1,263,600 which includes the ` basic bid and additive alternate number one, and 'WHEREAS, Omni North's total bid of $ is the lowest responsible bid and consists of the following: BASE BID: S 1,104,300 ADDITIVE ALTERNATE NO. 1: l ADDITIVE ALTERNATE NO. 2: .±.. ADDITIVE ALTERNATE NO. 3: NEGOTIATED DEDUCTION: , and " - WHEREAS, sufficient money is being appropriated for this project and award to the lowest bidder is in the best interest of the City, and y =- - WHEREAS, the Notice to Proceed will not be given until the money is appropriated. -= ---- NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that the Contract for the Construction of City Administration Building be awarded to Omni North J in the amount of $ subject to the appropriation of monies by the Council of the City of Kenai. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 7th day of ellay, 1980. f 'ATTEST: J _V.1FENT 0 1 REI , IJanet WhAlan, City er Y M- i i I I • j CITY OF KENAI I i RESOLUTION NO. 80-82 I t 4 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, ACCEPTING A GRANT OFFER FROM THE U.S. ENVIRONMENTAL PROTECTION �. AGENCY IN THE AMOUNT OF $3,406,230 TO BE APPLIED TOWARD THE FINANCING OF A NEW SEWAGE TREATMENT PLANT. WHEREAS, the U.S. Environmental Protection Agency has of- i+ fered the City of Kenai a grant in the amount of $3,406,230 I' to be applied toward the financing of a new sewage treatment plant, and WHEREAS, the State of Alaska has offered the City of Kenai a G grant for such purpose in the amount of $567,705, which will be combined with local monies in the amount of 0567,705, for a total estimated project cost of $4,541,640. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that this grant offer from the U.S. Environmental Protection Agency in the amount of $3,406,230 ' be hereby accepted. " r PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this -� 21st day of May, 1980. i VINCENT O REILLY, MAYOR ATTEST: � 4 Janet Whelan, City ClerkS F r � _ i, f. j I I i i 66" ,-% .- - 1 0- I CITY OF KENAI RESOLUTION NO. 80-83 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA APPROVING THE AGREEMENT BETWEEN THE KENAI PENINSULA BOROUGH AND THE CITY OF KENAI FOR THE PROVISION OF DATA PROCESSING SERVICES. WHEREAS, currently the Kenai Peninsula Borough is providing data processing services to the City of Kenai without a written agreement in existence which clearly defines the benefits and obligations of the parties, and WHEREAS, it is in the best intarest of the City of Kenai to enter into such an agreement to, among other benefits, define the City's cost and liability for the service and establish a minimum time period for cancellation of the service by the Kenai Peninsula Borough. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that the attached document entitled "Agreement Between Kenai Peninsula Borough and the City of Kenai For the Provision of Data Processing Services" be hereby approved. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. ATTESTS Janet Whelan, City Clerk INCENT O'REILLY, MAYOR 0 DUPLICATE • ORIGINAL. AGREEMENT BETWErC FNAI PENINSULA BOROUGH AND THE CITY OF FOR THE PROVISION OF DATATROCESSINC This agreement is made as of the .L.2 day of , hj u, 1980, the parties to this agreement are the eclat Fe—ninsula Borough, P. 0. Box 850, Soldotna, Alaska, and the City of Kenai P. 0. Box 580 , Kenai as a. In consideration of the mutual promises set forth below, the parties agree as follows: . 1. The Borough will provide data processing services .to the City of Kenai utilizing the Borough's central computer facilif'les an3-`terminal equipment installed at the City's offices. Central computer processing time shall be provided to the City' at no cost. 2. If a specific data processing requirement of the City requires the Borough to secure special central equipment or additional computing capacity, then the City shall reimburse the Borough for the entire cost within 30 days after a billing is rendered. Prior to procuring additional equipment,, the Borough will provide the City with a firm quote of the cost. 3. The Borough will provide the City with a video terminal at a cost of $187.00 per month. The Borough shall also arrange for the leasing of the terminal and the provision of necessary communication lines and equipment with full cost thereof to be borne by the City, which shall • reimburse the Borough within 30 days after a bill has been rendered. 4. The provision of, and payment for, special forms such as checks, notices, and bills will be the responsi- bility of the City. 5. The City will bear any additiomal personnel cost incurred in order to process City work at other than normal working hours at City request; i.e., call back on weekend, weekend maintenance or overtime operator charges. Billing will be based on actual direct charges. 6. Programs that are in routine use by the Borough are available to the City at no charge. 7. The Borough shall train City operators from time to time in the use of each program available to the CLty and will advise the City promptly of any changes to the program. 8. The City will take measures adequate to safeguard the confidentiality of any sales tax or personal property tax data available to the City through the computer system. The City will defend and indemnify the Borough against any claim arising against the Borough because of the failure of the City to safeguard the confidentiality of such data. 9. In order to assure that the Borough operations are not adversely affected, special programs that are to be implemented by the City must be approved by the Data Processing Manager before they are implemented. Co- ordination between the Borough and City will be established as soon as new City applications are considered. 10. Programs to be implemented on the Borough computer by the City must conform to the Borough programming, file structure, -and usage standards. It. No liability shall be asserted against 'the Borough for any claims by the City arising from the City's use of the computer, programs, or the data contained therein. 12. This agreement can be cancelled by either party with six months advance notice. • 13. Cancellation with less than six months notice may be made with mutual consent of the parties. 14. City programs and applications will be processed - by the Borough only after all pending Borough work'has been .completed, unless the Data Processing Manager agrees to process a specific City job by an agreed time. 15. The City will reimburse the Borough for any loss or damage to the terminal. This Agreement made as of the i_ day of ,� a 1980. - ' KENAI PENINSULA BOROUGH CITY OF KENAI ' By: tiayor Pursuant to Borough Resolution ATTEST: Borougn ULerK ATPROvED AS TO LEGAL FORM AND SUFFICIENCY: nrew H. Sarisky norough Attorney -2- By: Title: " ?tt Pursuant to ResoluYion ATTEST: . Cy Clerk IN a t` TA 1 CITY OF KENAI ? RESOLUTION NO. 80-84 I BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THAT THE FOLLOWING TRANSFER OF MONIES BE MADE IN THE 1979-80 AIRPORT TERMINAL FUND BUDGET: From: j Airport Terminal - Contingency ($2,090) TO: Airport Terminal - Buildings $2,090 I This transfer is needed to install an exhaust fan for the Kenai Flight Service Station. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. VINCENT O'REILLY, MAYOR ATTESTS Janet Whelan, City Clerk Approved by Finance: ( g ,a TA CITY OF KENAI RESOLUTION NO. 80-85 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THAT THE FOLLOWING TRANSFER OF MONIES BE MADE IN THE 1979-80 STATE JAIL CONTRACT SPECIAL REVENUE FUND BUDGETS From: Jail - Contingency ($1,200) To s Jail - Improvements other than Buildings $1,200 This transfer provides money to install a chain link fence to enclose the area between the Police garage and the end of the cell block wing. The area can then be used to secure recovered property that cannot be otherwise stored. Formerly, the Police Garage had been used for this purpose, but Jail operations have expanded into the garage making it unavailable to the Police Department. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. VINCENT 0 REILLY, MAYOR ATTEST: Janet Whelan, City Clerk Approved by Finance: Card r-/ �r I r_ CITY OF KENAI RESOLUTION NO. 80-86 i BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING TRANSFER OF MONIES IN THE 1979-80 GENERAL FUND BUDGET BE MADE: c t i Proms l Parks -Salaries ($100) To: Parks -Professional Services $100 This transfer provides additional monies for the appraisal of certain park lands as required by the State of Alaska. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 21st day of May, 1980. VINCENT 0 REILLY, MAYOR • i ATTESTS Janet Whelan, City clerk Approved by Finances CITY OF KENAI RESOLUTION NO. 80-87 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING TRANSFER OF MONIES BE MADE IN THE 1979-80 GENERAL FUND BUDGET: From: Parks - Operating Supplies ($800) Tot Parks - Repair & Maintenance $800 This transfer provides.monies for fertilizing, aerating, and over-seeditig three (3) Little League Fields. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. VINCENT O'REILLY, MAYOR ATTESTS Janet Whelan, City Clark Approved by Finances CITY OF KENAI RESOLUTION NO. 80-88 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING TRANSFER OF MONIES BE MADE IN THE 1979-80 GENERAL FUND BUDGET: From: Parks - Repair & Maintenance Supplies ($100) To: Parks - Improvements other than Buildings $100 This transfer provides monies to construct one (1) portable backstop. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 21st day of May, 1980. VINCENT 0 REILLY, MAYOR ATTEST: Janet 'Whelan, City clerk Approved by Finance: CITY OF KENAI RESOLUTION NO. 80-89 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, FOR AWARDING THE BID FOR 7,000 c.y. OF GRAVEL TO BORGEN $ SONS. WHEREAS, the Public Works Department and the Airport Department , solicited bids for gravel for Airport fill and for repairs and maintenance of City streets, and WHEREAS, the following bids were received, yl ?v0_ c.y. 2,300 c.y. A 2,300 c.y. B Bidder Airport Fill PW Fill to Shop PW Fill in Pit Chester Cone $30,550.00 $13,800.00 $4,025.00 Be -Co -Pro 28,200.00 13,800.00 4,025.00 Jackson Q Garland 25,615.00 12,535.00 NO BID H-I-M Const. $ Rentals 46,906.00 2S,87S.00 NO BID Ross Services 22,S60.00 12,075.00 NO BID Northern Oil Prop. 28,200.00 14,260.00 2,300.00 Borgen 4 Sons 20,915.00 10,235.00 NO BID 1 Brown Const. Co. 22,79S.00 12,075.00 4,025.00 and WHEREAS, Borgen & Sons bid is the lowest responsible bid. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Kenai, Alaska, that Borgen $ Sons be awarded the contract to furnish and deliver 4,700 c.y. of gravel at $4.4S/c.y. Airport Fill, and 2,300 c.y. of gravel at $4.45/c.y. for delivery to the City Yard for a Total Bid Price of $31,iS0.00. i PASSED BY THE COUNCIL OF THE CITY OF KENAI this 21st day of May, 1980. O ATTEST *Janet Whelan, City er CITY OF KENAI RESOLUTION NO. 80-90 A RESOLUTION OF THE COUNCIL. OF THE CITY OF KENAI, ALASKA, FOR ACCEPTING THE AMENDMENT TO THE KENAI WASTEWATER FACILITIES PLAN APRIL 1980. WHEREAS, the Kenai Wastewater Facilities Plan, published in September 1971 recommen e a route a ongT Spur Highway for the Central Kenai Bypass Interceptor, and WHEREAS, a change was approved by the City of Kenai revising the original route of the Central Kenai Bypass Interceptor to a route designated as the Mission -Cook Route, and WHEREAS, a Public Hearing for this amendment was held on April 16, 1980, and WHEREAS, no comments have been received by the May 12, 1980 date for closing of Public Hearing. NOW, THEREFORE, BE IT RESOLVED by the Council of the City of Kenai, Alaska, that the City of Kenai accept the "AMENDMENT KENAI WASTEWATER FACILITIES PLAN APRIL 198011, which is attached and made part of this resolution. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 21st day of May 1980. ATTEST anet Whelan, city clerk ('(] AMENOMENT • KEfJAI !!'n'iT1:1':nrER FArILITII:S PLAN APRIL 1980 i INTRODUCTION f 3 The Kenai Wastewater Facilities Plan, published in September 1978, recommonded that a Centra-1-- enai Interceptor be constructed to alleviate overloading in the existing sewer system. The City of Kenai received a Step 2 grant to design the interceptor and CH2M HILL was authorized to begin final design in April 1979. i The facilities plan recommended that the. interceptor be constructed in two phases. The first phase would relieve existing sewer overloading and the second phase would relieve overloading estimated to occur in 1985 to 1990. During the final design of the interceptor, revisions to the original facilities plan route alignment were necessary because of construction costs and easement acquisition difficulties. Also, it was concluded during final design that an all -gravity interceptor would be too costly and that an alternative gravity and pump station -pressure line inter- ceptor would be the more cost-effective solution. The Alaska Department of Environmental Conservation on March 10, 1980, requested an amendment to the facilities plan be prepared for the route modification, another public hearing be held, and that a negative ` declaration be issued by EPA. ` BACKGROUND INFORMATION (' Facilities Plan ' 1 Central Kenai Bypass Interceptor The facilities plan recommended, as shown on Figure 1, that the Central . i Kenai Bypass Interceptor be constructed to alleviate overloading in the existing Central Kt.:iai sewer system and relieve dependency on the erod- Ing bluff sewer. The existing system was estimated to be near capacity it about the year 1980. j To accomplish this, it was recommended that the existing 16-inch-diameter - - . gravity East Kenai Interceptor be extended 2,400 feet westward along Kenai Spur Road and then connected by a 14-inch-diameter, 2,300-foot-longoi ; r. gravity pressure line to the existing interceptor at South Spruce Street and Kenai Beach Road. The 16-inch-diameter gravity sewer was recom- mended to be laid at minimum slope to provide sufficient elevation (static head) for the 14-inch-diameter gravity pressure line. i - i r I e a I i It was also recommended that a 10-inch-diameter line be constructed parallel to the interceptor along Kenai Reach Road from South Spruce Street to the treatment plant. The Central Kenai Bypass Interceptor order -of -magnitude construction cost was estimated to the facilities plan to be $370,000 based on January 1978 dollars. The costs fdr gravity pipelines included excavation to a depth of 8 feaat and compacted backfill. The pipe was assumed to be ' asbestos concrete. No trench dewatering or difficult excavation condi- tions were anticipated. Pipeline costs were increased by 10 percent to cover difficult traffic control and pipe -laying conditions for the Central Kenai Interceptor. Costs of laying the pipe down the bluff were assumed to be five times the costs of laying the pipe in flat ground. Surface restoration costs were included where appropriate. Gravity lines were assumed to have manholes at a maximum spacing of 400 feet. s i Central Kenai Rerouting To relieve overloading of the existing Central Kenai Interceptor in Old Kenal, estimated to occur to 1985, the wastewater facilities plan also recommended that a new pump station be constructed at. Cook and Main Streets to intercept flow in the existing interceptor and pump it through a new 10-inch-diameter, 1,000-foot gravity line running along Plain Street to the Central Kenai Bypass Interceptor. Rerouting the existing sewage flows into the new pump station would require construction of 1,400 feet of 8-inch-diameter gravity sewer. The Central Kenai rerouting order -of -magnitude cost was estimated to be $300,000 based on January 1976 costs. This cost was developed on the same criteria as the Central Kenai Bypass Interceptor. Design Predesign Report The preliminary design of the interceptor indicated that the facilities plan recommended interceptor route along the Kenai Spur Road would require substantially higher construction costs because of poor soils conditions along the ravine bottom and deep excavation depths along the Kenai Spur Road. Also, acquisition of property right-of-way easements 4 for the Kenai Spur Road route were started. The location where the pipeline drops from central Kenai to the creek ravine bottom crosses private property. Pipeline right-of-way easements were denied by the r owner because the route travels near a private cemetery. = Thus, an alternative route as shown on Figure 1 (Mission -Cook route) was investigated as an alternative with fewer easement conflicts. 2 a i' The filssion-Cook route was an all gravity route. It was recommended because it had the lowest total present worth cost, no annual operation and maintenance costs for pump station operation, eliminated the need for pump station 2, and required no phased construction for future growth in the old Central I:enai town area. The route consisted of 4,150 feet of 16-inch-diameter gravity sewers, 300 feet of 8-inch- diameter gravity sewer, and 2,000 feet of 14-inch-diameter pressure line. The estimated construction cost was $835,000 based on estimated July 1980 dollars. The predesign of the iAlssion-Cook route was based on ground -level topographic survey and limited soils investigation. The costs for gravity pipelines were based on trench excavations of 18 to 20 feet deep with a trench box and a maximum trench width of 30 feet. It was assumed that the native soils could stand at side slopes of 1:1. The backfill was to be compacted and the pipe was assumed to be ductile Iron. No trench dewatering was anticipated. Costs of laying the pipeline In the creek ravine were based on open -cut trench excavation to a depth of 10 feet and unrestricted trench widths. The backfill was compacted and the pipe was ductile iron. Ground water was assumed to occur in the bottom 2 feet of trench. Surface restoration costs were included where appropriate. Gravity lines were assumed to have manhole spac- ings of 400 feet. Final Design The final design was based on the Mission -Cook route recommended to the predesign report. The interceptor consisted of* 4,500 feet of 16-inch- diameter gravity sewer, 350 feet of 8-inch gravity sewer, 2,150 feet of 14-inch-diameter pressure line, and abandonment of pump Station 2. The 16-inch-diameter gravity sewer and 350 feet of 8-inch-diameter grav- ity sewer would be constructed with an average trench depth of 20 to 22 feet and maximum trench width of 20 feet. The 2,150 feet of 14-inch- diameter pressure line would have an average trench depth of 8 to 10 feet and unrestricted trench widths. The final design proceeded based on the assumption that the gravity sewer could be constructed with a trench box and cutting the side slopes back. However, as the final design progressed, it was deter- mined that the native sandy soil for -the gravity sewer will not stand at steep side slopes and that the trenches will require bracing (sheeting and shoring). The deep trench excavation depths may also cause a potential settlement of adjacent utilities. Gravity sewer construction costs were based on sheeting and shoring for all trench depths greater than 10 feet. The backfill was compacted and no trench dewatering was anticipated. A 20-foot trench width restriction was assumed. Costs of laying the pipe down the ravine were 3 based on open -cut trench excavation to a depth of 10 feet and unrestricted trench width. The backfiil was uncompacted and trench dewatering was assumed to be required. Surface restoration costs were included where appropriate. Gravity lines were assumed to have manhole spacings of 340 feet. The estimated order -of -magnitude construction cost is $4.2 million, based on January 1980 dollars. ALTERNATIVES Because of the anticipated high construction costs resulting from the deep construction required for a gravity system in difficult soil condi- tions, alternative methods of achieving the City's goal of relieving dependency on the bluff sewer were explored. These alternatives Included various route . variations incorporating pump stations and shallower pressure lines' as well as breaking the project into two separate schedules for bidding. Separate schedules would allow the possibility of the City awarding a contract for only a portion of the project (to relieve the bluff sewer) if bids for the entire project are beyond the City's present financial capabilities. The most feasible alternative to the all -gravity sewer (alternative 1) is a combined gravity sewer and pumped pressure line (alternative 2). This alternative would follow the same route as the Mission -Cook gravity Interceptor but would incorporate a pump station to, reduce trench depths on part of the route. Both this alternative and the gravity interceptor are shown on Figure 2. The alternative 2 project will be separated into two schedules: Schedule A - Mission and Main Street to the sewage treat- ment plant Schedule B - Bluff and Front Avenue to Mission and Main Street Schedule A would allow the City of Kenai to relieve overloading in the existing Central Kenai sewer system. Schedule B would be constructed to relieve future overloading estimated to occur in 1985 to 1990. Alternative 2, Schedule A would consist of 350 feet of 8-inch-diameter gravity sewer (20 to 22 feet deep), 2,150 feet of 14-inch-diameter gravity pressure line (8 to 10 feet deep), 1,350 feet of 8-inch-diameter pressure line (8 to 10 feet deep) , and a new 1,100 gpm pump station. Schedule B would consist of 1,950 feet of 8-inch-diameter pressure line (8 to 10 feet deep), 1,100 feet of 16-inch-diameter gravity sewer, (14 to 16 feet deep) and a new 930 gpm pump station. 4 -� COST I:S'fiMATE AND EVALUATION OF ALTERNATIVES Order -of -magnitude construction costs were estimated for the gravity interceptor (alternative 1) and the gravity sewer pump station -pressure line (alternative 2) and are shown on Table 1. All costs aro for con- struction in Kenai in January 1980 dollars. From a cost standpoint alone, alternative 2 has the lowest construction cost and total present worth cost. Alternative 1 has the lowest annual average operation and maintenance cost. The advantages of alternative 1 are the elimination of pump station 2, elimination of future phased construction, and no annual pump station operation and maintenance costs. Disadvantages include its high con- struction cost and interference with existing utilities. The major advantage of alternative 2 is its low construction cost. A disadvantage is operating and maintaining two pump stations. Alternative 2 Is recommended as the cost-effective solution based on its low construction and total present worth costs. IMPLEMENTATION The following steps are necessary to implement the recommended facilities plan revisions. o Conduct a public hearing. o Kenai City Council adoption of the changes in the facilities plan. o Submit this amendment with the adoption resolution to the DEC and EPA for approval. o Obtain a declaration of nonsignificant impact from the EPA. The following project schedule has been developed for construction of the interceptor in the 1980 construction season. April IS, 1980 Start design modifications June 1, 1980 Advertise for bids June 24, 1980 Open bids July 14, 1980 Start construction October 1, 1980 Construction completed !1 J ENVIRONMENTAL ASSESSMENT A review of the environmental assessment presented in Appendix E of the facilities plan indicates that there are minimal changes In the environ- mental impacts caused by implementing the recommended interceptor alter- native discussed in this amendment. The Russian Orthodox ChLrrch has Indicated that the original route Is not acceptable because it would traverse near an old cemetery. The Mission -Cook alignment near the Church and shrine are acceptable. An archaeologist will be on site during construction in the areas that have been designated as archaeologically sensitive. Because alternative 2 provides for shallower excavation, construction disruptions will be less severe, and property and utility damage liability will be reduced. �I i L • • •••� -CENTRAL KENAI , ••• uYPASS INTERCEPTOR ••� oVE NO Facilities Plan Route N P ftAO OOp CENTRAL KENAI �j INTERCEPTOR ►• ,�Si .47 AS • . •J�7t .at � mil•'" Predesign and Final Design — " (Mission —Cook) Route ..... GRAVITY SEWER i 0 400' e00' ..... PRESSURE LINE 1 _A PUMP STATION `II Figure 1 i CENTRAL KENAI INTERCEPTOR ALTERNATIVE ROUTES I i F ' Table 1 Order of Magnitude Cost1 .�...�___ tT erni— ve"7 Gravity and • Alternative 1 Pump Station Gravity Pressure Line Interceptor_ Interceptor Capital Costs 1980 Improvements $1,880,000 $ 690,000 (Schedule A) 1985 Improvements 2,320,000 500,000 (Schedule B) Subtotal $4,200,000 $1,190,000 Annual Average O&M Costs Labor 0 41400 Power 0 700 Subtotal 0 $ 5,100 Total Present Worth Cost 1980 Improvements $1,880,000 $ 690,000 1985 Improvements 2,320,000 500,000 Residual Value (690,000) (180,000) Annual O6M Costs 0 601000 Total $3,510,000 $1,070,000 Relative Cost 3.28 1.00 January 1980 dollars based on Seattle CCI - 3600). ii j I , f • rs� n 1 � V _---J i Existing Rn�� Sowers 1 Alternative 1 :......Gravity Interceptor_ , _ i -..�- .,.�•9•.. �v 1 1 Edi xirti g Pump LL►R�Nt .����,,. se�►`� Station ON SULA NOW S etionm`�Kr Avt. ! PENINSULA AVQ! ` Q0 • ' SCHEDULE A Fj• •, �' SCHEDULE S .s•►' �� . � i�'`•i► •-fir . � • �'N �,�' i VS Alternative 2 . �•J+t••:i �;.::• '•qua .,�� �� Gravity and Pump Station -Pressure Line Q INTERCEPT EXISTING SEWERS 0 400' MEN boa' i^ GRAVITY SEWER ..... PRESSURE LINE ! A PUMP STATION ,! Figure 2 CENTRAL KENAI INTERCEPTOR ALTERNATIVES - - --- ...-Ir LEASE OF AIRPORT LANDS OR FACILITIES THIS AGREEMENT, entered into this 22 day of May , 1980, by and between the CITY OF KENAI, City Hall, P. 0. sox 80, Kenai, Alaska 99611, a home -ruled municiva1Inc- of Alaska, hereinafter called "City," and v ere na ter ca a Lessee. That the City, in consideration of the payments of the rents and performance of all the covenants herein contairc9 by the Lessee, does hereby demise and lease to the Lessee the following described property in the Kenai Recording District, State of Alaskaf to wits Concession area lots 12, 13 and R.O.W. (50' x 150' each), an area 100' x 150' north of Concession Lot 19 and an area 50' x 660' along the east side of the above areas and adjacent to Concession Area Lots 14 thru 19, connecting said arAeas.PURPOSE: The purpose for which this Lease +a issued is: To store building materials and to complete construction of modular units. S. TERM: (1) The term of this Lease is for dais, comment on the -9L- day of -gay , 19 , to the 3e day ofSeptember._,aj8, at the tom rental o09.76 ��i--The -term-of-th4s�,eaae-.may_.be-extended-icy---_ Lessee for _ successive period of years each, by giving written no7einitial to t eaeor not than six (6) months prior to the expio he then existing term. Each extended term shall be onsame termer --and conditions as provided in this Lease fo term. Le will not be permitted to extend t ease beyond the extended term. -Any-termination of this see during the initial term or during any extended term his-O"xtension-hereunder, _•-- C. PAYMENTS ne - of ene - All, The rental specified herein �i�shall • be payable as follows (1) Right of entry and occupancy is authorised as of the �� day of ` , 19�, and the first rent shall be compu-t'e -from suc atT� 8unti Sept. 30,-Jt8�0_ , at the rate of $jD"� 32 per day for 1days, equals $-�6. now due. (2) Annual rent for the fiscal year beginning July 1 and ending June 30 shall be payable in advance on or before the first day of July of each year. If the annual rent exceeds $2,400, then the Lessee may opt at the time of the execution hereof or at the beginning of each new Lease year to pay rent in equal monthly installments, payable in advance on or before the first day of July and on or before the first of each month there- after. (3) Rental for any period which is less than one (1) year shall be prorated based on the rate of the last full year. (4) The rent specified herein is based on a rate of 68 of fair market value and is calculated as followas 5(z,000 square feet at $ .06 per square foot per year, or $ , per year. LEASE - Page 1 INITIALS K/f REVISED 3/6/80 LESSEE: ✓. 7(�„�T LESSOR: ff - (S) In addition to the rents specified above, subject to General Covenant No. 9, the Lessee agrees to pay to the appropriate parties levies, assessments, and charges as hereinafter provided: (a) Assessments for pubic improvements now benefiting property in the amount of $ one (b) Taxes pertaining to the leasehold interest of the Lessee. (c) Sales tax now enforced or levied in the future computed upon rent payable in monthly installments whether rent is paid on a monthly or yearly basis. (d) Lessee agrees to pay all taxes and assess- monts levied in the future by the City of Kenai, as if Lessee was considered the legal owner of record of the Leased Property. (e) Interest at the rate of eight percent (9%) per annum and ton percent (10%) penalties on any amount of money owed under this Lease which is not paid on or before the date it becomes due. (f) Additional charges, if any, as set forth in Schedule A, attached. O. GENERAL COVENANTSs 1. USES$ Except as -regular provided herein, any use of -lands of facilities without ` a�w+-• ••. the written consent of the City is prohibited. This prohibition ` ! shall not apply to use of areas designated by the City for specified hsas passenger terminals, automobile parking public uses, such and 2. USES NOT CONTEMPLATED PAOHiBITEDs solicitation ^ of donations or the promotion or operat ono any part or kind of business or commercial enterprise, other than as specifically set forth herein, upon, in or above airport lands, without the written consent of the City is prohibited. 3. ASSIGNMENT: (Not for collateral purposes) Lessee with City's wr tin consent, which will not be unreason- ( ably denied, may assign, in whole or in part, its rights as � Lessee (Leasehold Estate) hereunder t--to-the-provisi F n-of rein. Any assignee 'atacal @b-4 ! of part or all of the leased premises shall assume the duties and obligations of the Lessee as to the such part or all of the leased premises. No such assignment, however, will discharge Lessee from its duties and obligations hereunder. - -- 4. SUDLETTINGt Lessee may sublet part or all of its interest in the easel�oTd premises Without prior City approval, - except that Lessee agrees to send a copy of his executed sublease - =- to the City within 10 days after its execution. In addition, all li subleases are subject to the terms and conditions of the main lease, and no subletting shall affect the obligation of the Lessee to perform all of the covenants required to be performed by the Lessee herein. i 4. TREATMENT OF DEMISE: The Lessee agrees to keep the premises clean and in goo order at its own expense, suffering no strip or waste thereof, nor removing any material therefrom, without written permission of the City. At the expirati, LEASE - Page 2 INITIALS ,•/� L Revised 2/5/80 LESSEE: ✓ - � LESSSORs w I ` �fw9•.-..•-...•x,.,w�GOWr6'syaina:+sux+t� r i. t -,•,eau;.. _ . Of the term fixed, or any sooner determination of the Lease, the Lasses will peaceably and quietly quit and surrender the premises to the City. 6. PAYMENT OF RENT$ Chocks, bank drafts or Postal money orders shall e ma a payable to the City of Kenai, and delivered to the City Administration Building, Kenai, Alaska. construction shall be neat and presentab o an' com with its uses and surroundings. Prior to pl 1 material andlor construction of builds eased area, the Lessee shall submit a plarn_of.proWdod development of property tc the �" City l Pa ng-Commission which shall be approved in writing for 8. DEFAULT - RIGHT OF ENTRYt Should default be made in the payment o any port ono the rent or fees when due, or in any of the covenants or conditions contained in the Lease or in any regulations now or hereinafter in force, then in such event the City shall give Lessee thirty (30) days after such written notice to cure such default or defaults, after which if the default is not cured, the City may terminate the Lease, reenter and take possession of the premises, remove all persons therefrom. for a term in excess of give 5 years, the amount of rents fees specified herein shall, at the option of either party, subject to redetermination for increase or decrease based n the Percentage rate (set in C4 above) of fair market value intervals of five (5) years from the lot day of July preceding t e effective date of this'Lease. No increase or decrease in the unt of rents or fees shall be effective, except upon thir (30) days written notice. 'Fair Market Value is defined as he highest price estimated in terms of money which a props y will bring if exposed for sale on the open market allowing reasonable period of time to find a purchaser who buys with kn ledge of all the uses to which it is adapted and for which is capable of being used." At each five (5) year terval, the City will have the fair market value determined by qualified independent appraiser. The redetermined lease ate, annual rent, under this Provision shall be limited to a fty (50%) percent increase in the prior lease rate until the Oth year anniversary of the lease after which the 50% cap provi on shall no longer apply and the lease rate shall be redete ned every five years on the basis of fair market evaluation as ndicated above. if the eons does not accept the above appraisal /9,Or e fair market v us as of July 1 of the redetermination Lessee shall ve notice to City of such refusal within 10 after delive to Lessee of the appraised valuation and the l rate der ed therefrom, and within 10 days after such e of ref al, the Lessee or the representative of the Lessee Willeet wi the representative of the City to select an impartial iser the regular Alaska membership of the Society of st a Appraisers or the American Institute of Real Estate is s, or the successor body of either group who has been y designated M.A.I. or S.R.E.A., or S.R.P.A., or any similar designation which denotes proficiency in the isal of commercial property and is recognized as such by her RE the above bwe groups Or —their Meese --- bedleep LEASE - Page 3 INITIALS i` Revised 1/29/80 LESSEEs� � LESSORs� ems_. _ _ .•_ . 8080 as above provided, the City and Lessee shall each submit tje-name of an appraiser from either of the above groups who hol-Ts- any of the above-roquirod designations but who has not retdderod an appraidal on the property subject hereto within ono year prior to selection, the names will be placed in -a -container, and one will be drawn by lot. The parties horeby agree that the appraiser agreed upon or so selected -rill be retained for the redetermination appraisal, that eaS"Ist-ty will pay one-half of the fee and /� expenses of tb�sppraisal, that the appraiser will be informed �'� F that he o e is being jointly retained by the parties, and that �' the raisal rendered will be binding on both parties for that ,s----- - - ° seta atse 10. LEASE UTILIZATION: Leased lands shalt be 1 utilized For purposes within the scope of the application (made a t( part of this Lease and attached hereto) the terms of the Lease, and in conformity with the ordinances of the City and Borough, and in substantial conformity with the comprehensive plan. Utilization or development for other than the allowed uses shall i constitute a violation of the Lease and subject the Lease to ! cancellation at any time. Failure to substantially complete the development plan of the land, consistent with the proposed use and terms of the Lease, shall constitute grounds for cancellation. 11. CONDITION OF PRENISESc The promises demised herein are unimprov an are ease on an "as is, where is" basis. ""+"��• d-., 12. PROTECTION OF AIRCRAFT s No building or other permanent structure _87MM be p ace w t In fifty (50) feet of the Property line fronting a landing strip, taxiway, or apron without the written approval of the City. This area shall be used for f" parking aircraft only. , 13. OFFER TO LEASE ACCEPTANCES The Offer to lease is made subject to applicable laws and regulations of City, and may be withdrawn without notice at any time after thirty (30) ' days from submission thereof, unless within such thirty (30) days the Lessee executes and returns the lease to the City. 14. UNDERLYING TITLES The interests transferred, or conveyed by this ease are subject to any and all of the covenants, terms or conditions contained in the instruments conveying title or other interests to the City. 1S. RIGHT OF INSPECTIONS City shall have the right of all reasons e t mes to enter the premises, or any part thereof, for the purposes of inspection. 16. INSURANCE: Lessee covenants to save the City harmless from all act ones suits, liabilities, or -damages resulting from or arising out of any acts of commission or omission by the Lessee, his agents, employees, customers, invitees, or arising from or out of the Lessee's occupation, or use of the premises demised, or privileges granted, and to pay all costs connected therewith. In this connection, the Lessee agrees to arrange and pay for all the followings (a) Public liability insurance protecting both the City and/or its agents and the Lessee, such insurance to be evidenced by a certificate showing the insurance in force. The amount of such public liability insurance shall have limits not less than those known as $250,000/$500,000/$100,000. LEASE - Page 4 INITIALS REVISED 2/29/80 LESSEES ,<4.VI-11 LESSORV. _::% _ VV_TV L . - H" - - - -- - --- -- r e (b) Leanen agreen to carry employer's liability r-, insurinau and Workmen's Cumponnation insurancu, and to furnish a certificate thereof to the City. (c) Insurance contracts providing liability insurance and ViorY.mon'c Compensation shall provide for not less than thirty (30) days written notice to the City of cancellation or expiration or substantial change in policy conditions and coverage. (d) Lessee agrees that waiver of subrogation against the City shall be requested of Lessee's insurer, and shall be providod at no cost to the City. (e) Cross Liability: It is understood and agreed that the insurance afforded by this policy or policies for more than one named insured, shall not operato to increase the limits of the company's liability, but otherwise shall not operate to limit or void the coverage of any one named insured as respects claims against the same named insured or employees of such other named insured. (f) The insurance procured by Lessee as herein required shall be issued in the name of the Lessee and the City ' by a company licensed to do business in the State of Alaska, and shall contain endorsements that (1) such insurance may not be cancelled or amended with respect to the City without thirty (30) days written notice by registered or certified mail to City by the insurance company; and (2) Lessee shall be solely responsible for payment of premiums and that City shall not be required to pay any premiums for such insurance. (9) The amount of insurance coverage required above may be subject to review for increase at each five (5) year renegotiation of the Lease. 17. ACCOUNTING OBLIGATION: Lessee agrees to furnish the City an annual sworn statement of gross business receipts and/or an annual sworn statement of the number of gallons of fuel and oil sold and/or any certificate or statement to substantiate the computation of rents or foes, including reports to other governmental agencies. 16. COLLECTION ON UNPAID MONIES: Any or all rents, charges, fees or other consideration whroh are due and unpaid at the expiration of voluntary or involuntary termination or cancellation of this Lease, shall be a charge against the Lessee and Lessee's property, real or personal, and the City shall have such lien rights as are allowed by law, and enforcement by distraint may be made by the City or its authorized agent. 19. EASEMENT GRANTS' RESERVEDs City reserves the right to grant and control easements in, or above the land leased. No such grant or easement will be made that will unreasonably interfere with the Lessee's use of tho land, and Lessee shall have free access and use of any and all parking and loading rights, rights of ingress and egress now or hereafter appertaining to the leased promises. 20. LEASE SUBORDINATE TO FINANCING REOUIREHENTS: Lessee agrocs that City may modify thlo Lease to meet rev se requirements for Federal or State grants, or to conform to the requirements of any revenue bond covenant. However, the modification shall not act to reduce the rights or privileges granted the Lessee by this Lease, nor act to cause the Lessee financial loss. 21. SURRENDER ON TERMINATION: Lessee shall, on the last day of the term of�this Lease or upon any earlier termination of this Lease, surrender and deliver upon the promises into the possession and use of City without fraud or delay in good order, condition and repair, except for reasonable wear and tear since LEASE - Page 5 Revised 3/30/79 INITIALS LESSEE: � � LESSORS the list noces::ary ri�pair, replauamont, rentoration or arenewal, �, fruc and clear of all lettings and necupancien unleuu oxprosaly ( 1 pormitted by City in wc[ti-ng, and free and clear of all liens and encumbrances other than those created by for loans to City. Upon tho end of the term of this Lease or any earlier termination thereof., title to the buildings and improve_ monta and bui.ldinq equipment shall autsomatLeal ly vent in City without requirement of any deed, conveyance or bill of sale thereon. However, if City should require any such document in confirmation hereof, Lesnoe shall execute, acknowledge and deliver the same and shall pay any charge, tax and foe asserted or imposed by any and all governmental unitn in connection herewith. 22. RULESs Lessee shall obsorvo, obey and comply with all applicable rules+, ate., of the State or Federal Govern- ments. 23. AIRCRAFT OPERATIONS PROTECTEDs (a) There is hereby reserved to the City, its successors 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 and all improvements approved by the City of the promises herein conveyed, together with the right to cause in said airspace such noise as may be inherent in the operation of aircraft, now or hereafter used for navigation of or flight in the air, using said airspace of landing at, taking off from, or operating on the Kenai Airport. (when plans for improvements pursuant to paragraph 7 are approved by the City, the City to the extent of those improvements releases the easement here expressed.) (b) The Lessee by accepting this conveyance expressly agrees for itself, its representatives, successors, and assigns, that it will not erect nor permit the erection of any �a structure or object, nor permit the growth of any trees on the C land conveyed hereunder, which would be an airport obstruction within the standards established under the Federal Aviation Administration Regulations, Part 77, as amended.' In the event the aforesaid covenant is broached, the City reserves the right to enter on the land conveyed hereunder and to remove the offending structure or objoct, and to cut the offending tree, all of which shall be at the expense of the Lessee or its heirs, or successors, or assigns. 24. RIGHT TO ENJOYFIENT AND PEACEABLE POSSESSIONS City hereby agrees an covenants that the Lessee, upon paying rent and performing other covenants, terms and conditions of this Lease, shall have the right to quietly and peacefully hold, use, occupy and enjoy the said leased promises, oxcept that any in- convenience caused by public works projects in or about the leasehold promises shall not be construed as a denial of the right of quiet or peaceable possession. 25. LESSEE TO PAY TA%ESs Losses shall pay all lawful taxes and assessments wh c , uring the term hereof may become a lien upon -or which may be levied by the State, Borough, City or any other taxlevying body, upon any taxable possessory right which Lessee may have in or to the reason of its use or occupancy, provided, however, that nothing herein contained shall prevent Lessee from contesting any increase in such tax or assessment through procedures outlined in State statutes. 26. SPECIAL SERVICES: Lessee agrees to pay City a reasonable charge for any apoci al services or facilities required by Lessee in writing, which services or facilities are not provided for herein. LEASE - Page 6 IN I IT ALS Revised 3/30/79 LESSEE: iCLESSOR: 11 t i 1 27. NO PARTNERSHIP OR JOINT VENTURE CREATED; It is expressly understoodthat the C ty shall not be construed or hold to be a partner or joint venturer of Lessee in the conduct of business on the demised promisoai and it is expressly understood and agreed that the relationship between the parties hereto is, and shall at all times remain that of landlord and tenant. 28. DEFAULT BANKRUPTCY EIf the Losses shall make any assignmont or t e ens t TCo.; creditors or shall be adjudged a bankrupt, or if a receiver is appointed for the Lessee or Lessee's assets, or any interest under this Lease, and if the appointment of the receiver is not vacated within thirty (30) days, or if a voluntary petition is filed under Section '"A) of the Bankruptcy Act by the Lessee, then and in any event, the C:ty may, upon giving the Lessee thirty (30) days' notice, terminate this Lease. 29. NONDISCRIMINATION: The Lessee, for himself, hie heirs, personal representat ves, successors in interest, and assigns, as a part of the consideration hereof, does hereby covenant.and agree as a covenant running with the land, than (a) No person on the grounds of race, color, or national origin shall be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in the use of said facilitiesi 111; (b) In the construction of any improvements on, over, or under such land and the furnishing of services thereon, no person on the grounds of race, color, or national origin shall be excluded from participation, denied the benefits of, or otherwise be subjected to discrimination; i (c) The Lessee shall use the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination tt in Federally -assisted Programs of the Department of Transportation— Effectuation of Title VI of the Civil Rights Act of 1964, and as ) said Regulations may be amendedi. (d) In the event facilities are constructed, maintained, or otherwise operated on the said property described in this Lease, for a purpose involving the provision of similar services or benefits, the Lessee shall maintain and operate such j facilities and services in compliance with all other requirements t imposed pursuant to Title 49, Code of Federal Regulatione, Department of Transportation, Subtitle A. Office of the Secretary, Part 21, Nondiscrimination in Federally -assisted Programs of the Department of Transportation -- Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended; i F 30. PARTIAL INVALiDiTYt if any term, provision, ^"•• condition or part oft s Lease s eclared by a court of competent • jurisdiction to be invalid or unconstitutional, the remaining terms, provisions, conditions or parts shall continue in full force and effect as though such declaration was not made. - 31. PAROLE MODIFICATIONSt it is mutually understood and agreed that this agreement, as wwrtten, covers all the agreements ' and stipulations between the parties; and no representations, ` I oral or written, have been made modifying, adding to, or changing ; { the terms hereof, or may be made except in writing, signed by all i parties in interest, and approved by the City Council of the City. r 32. WARRANTY; The City does not warrant that the property which is the su ect of this Lease is suited for the use I i authorized herein, and no guarantee is given or implied that it shall be profitable or suitable to employ the property to such € ! use. LEASE - Page 7 INITIALS Revised 1/21/80 LESSEEt .�/ f Y LESSORt I ' I { t (a) Vor the purp000 of inLerim or pormancnt financing or refinancing from time Lo tiu:u of. Lilo Improvemo'L. to be placed upon Lite leaser) prominen, and for no ot/Plated purpor e, Lessee, after giving written notice therauf to thity, y t oncumbor by morMigo, deed of trust, anui(inraont oher ppropr ate J instrument, Les:;eels interest in the lear..ud promiraid in and to thin Lease, provided such encumbrance portainaly to nuc loasohold interest and does not portain to or cretiny int out y in City'a title to the leased promises. Ir su:sh gago, od of trust, or a.:aignment shall be hold by a bank oher a ah- lished lending or financial institution (which teshal include an established insurance company and qualified pen o profit ? sharing trust) and such institution shall acquire L asoo's interest in such Lease as a result of a sale. undei eneum- branco pursuant to a foreclosure or.okhor remedy e secured party, or through any transfer in liou of foreclo, or through settlement of or arising out of any pending or coplatedforeclosure action, such lending institution shalve theprivilege of transferring its interest in such Lto a nominee or a wholly owned subsidiary corporation with t prior consent of the City, provided, however, such transfero shall assume all of the covenants and conditions required to b performed by the Lessee, whereupon such landing institution s all be relieved of any further liability under such lease from any after such transfer. Such lending institution or the nominee or wholly owned subsidiary corporation to which it may have transfer ad such Lease, or any other lending institution which may at y time acquire such Lease, shall be relieved of any furthe liability under such Lease from and after a transfer of su Lease. (b) A leasehol mortgages, beneficiary of a deed of trust or security assignee , shall have and be subrogated to any and all rights of the Less a with respect to the curing of .any default hereunder by Lessee. (c) if t holder of any such mortgage, or the beneficiary of any such ad of trust, or the security assignee shall give the City before y default shall have occurred in the I•ease# a written notice co aining the name and post office address of such holder, a City shall thereafter give to such holder a copy of each no co of default by the Lessee at the same time as any notice of d fault shall be given by the City to the Lessee, and the City w 11 not thereafter accept any surrender or enter into any modifi ation of this Lease without the prior written consent of a holder of any first mortgage, beneficial interest under a f at dead of trust, or security assignee, in this Lease. (d) If, by reason of any default of the /ttorms , either this Lease or any extension thereof shall be nte4 at the election of the City prior to the stated ex- ...w.�...�;,.,"..-a on the efor, the City will enter into a new Lease with the old rtgagoo for the remainder of the term, effective as da of such termination, at the rent and additional rent, t torms hnrain contained, subject to the following i ss(1) Such mortgages, beneficiary or ty assignee,shall make written request to the City for ow Lease within twenty (20) days after the data of such ation and such written request shall be accompanied by a t to the City of all sums then due to the City under this Man LEASE - Page B Revised 3/30/79 INITIALS/ LESSI:I;s- LESSOR:1.. security asnignee, shall hay to the City, at the time of the execution and delivery of such now ]care, any and all nums theroundur in addition to then. which would at the times o the oxocuti.on and dclivory thereot bo due undor this s.oasos ut for such termination and in addition thereto, any reason. a exhonscse including legal and attorneyn' fees, to which the ty shall have been subjected by reason of such default. (3) Sucl; mortgageo eneficiary or security assignee shall, on or before the ecution and delivery of such now Lease, perform all the other onditions required to be performed by the Lessee to the oxte that the Losses shall i have failed to perform such conditio ; (e) If a le ing institution or its nominee or wholly owned subsidiary cor ratioh,shall hold a mortgago, deed of trust, or similar so rity interest in and to this Lease and shall theroafter acqui a leasehold estate, derived either from such instruments or rom the City,'and if such institution, nomi.nce, or corporatio shall desire to assign this Lease or any new Lease obtained f m the City (other than to a nominee or to a wholly owned subsi ary corporation as permitted by the above provisions) to a assignee who will undertake to perform and observe the ca itione in such Lease required to be performed by the Leaeeo, a City shall not unreasonably withhold its eonsontl, to such as gnment and assumption, and any such lending insti- tution, omince, or subsidiary shall be relieved of any further liabi ty under such Lease from and after such assignment. If the pro sod assignor shall assert that the City in unreasonably • ,;r�;.;,� w holding its consent to any such proposed assignment, such 34. 1?-I;RitSB & Netwibits eandi tel-eenyb! to the contrary, in order to aid the Lessee in the financing the improvements to be situated heroin, City agrees that the event the proposed mortgagee, beneficiary or securit ssignee under any interim or permanent loan on the seen of the lease- hold interest of the Lessee and the improv9peffts to be situated thereon so requires, the City will mak roasonablo effort to amend this Lease in order to satisfy -'such requirements upon the 11 express condition and underst ng, however, that such variance w ` in language will not mate ly prejudice the City's rights hereunder nor be sue to alter in any way the rental obliga- tions of the Les ereunder nor its obligations to comply with all oxistin we and regulations of the City relating to the l loasin airport lands, and to all applicable Poderal statutes, rui , and regulations, and all covenants and_conditiona of the j 35. COMPLIANCE WITH LAWS: Losses shall comply with all applicable aws, ordinances, and 'regulations of public authorities now or hereafter in any manner affecting the loosed promises or the sidewalks, alleys, streets, and way adjacent � thereto or any buildings, structures, fixtures and improvements or the use thereof, whether or not any such laws, ordinances and regulations which may be hereafter enacted involve a change of i policy on the part of the governmental body enacting the same. Lessee agrees to hold City financially harmless: (a) From the consequences of any violation of such laws, ordinances and/or regulations; and (b) Prom all claims for damages on account of injuries, death, or property damage resulting from such violation. Lessee further agrees it will not permit any unlawful occupation, business or trade to be conducted on said premises or any use to be made thereof contrary to any law, ordinance or regulation as aforesaid with respect thereto. LEASE - Page 9 INITIALS / Revised 3/30/79 LESS11C LESSOR: 36. CARI: r+1' PI?Ia11:;1::;i I,ofise+-, at: it.:i own coat and vmpun:iv, f;11.+1J. kcoli tlur lv.rcvJ j;acmisn::, all iml,ruvementn Which at any thno durinci .thrr term of' thin I. --am, may ho Rituatud thorvon, and any and all appurtcnr.ncxi:+ Lherounto bolonging, in good condition and repair cluring thu entire Lean of thin Leasu. 37. LE ,Frr' S OBLIOATTOU TO Mr.30%. 1,1 WIS i Lessee will not permit any Bunn ipcluiliii.i,-tist nil ltinftuct t©, machr►n- ies', laborers', or maturialmon's lions obtainable or available under the then exintinq laws, to stand againut: the leased promiucs or improvementu for any Labor or material furnished to Lessee or claimed to havo boon furnished to Losson or. to Lossoc's agents, contractors, or sublesscou, in connection with work of any character parformod or claimed to have boon parformod on said promises or improvomonts by or at the direction or sufferance of Lessee, provided, however, Lessee ohall have the right to provide a bond as contemplated by Alaska law and coritor:t the validity or amount of any such lion or claimed lien. On final determination of such lion or such claim for lien, Le3oee will immediately pay any judgment rendered with all 'proper costs and charges and shall have such lion released or judgment satihfied at Lessce's own expense. 38. CONDEDINATIONs In the event the leased premises or any part thereof shall bo condemned and taken for a public or a quasi -public use, then upon payment of any award or compensation arising from such condemnation, there shall be such division of the proceeds, such abatement in rent payable during the term or any extension of tha term hereof, and such other adjustments as the parties may agree upon as being just and equitable under all the circumstances. If the City and Lessee are unable to ae roe within thirty (30) days after such an award has been paid .nto Court, upon what division, annual abatement in rent, and other adjustments are just and equitable, the dispute shall be deter- mined by arbitration provided in Item 39 hereof. 1 39. ARBITRATION: - (a) In the event the parties shall be unable to agree as to any matter provided for in this Lease such dispute shall be determined by three (3) disinterested arbitrators, one of them shall be chosen by each of the parties hereto and the third by the two (2) so.choson. (b) The party desiring arbitration, as aforesaid, shall give notice in writing to the other party of such desire, naming the arbitrator selected by it, and five (5) days after giving of such notice the other party shall select its arbitrator and in the event the two arbitrators chosen shall fail, within fifteen (15) elays after their selection, to agree upon the third, then the Superior Court of the State of Alaska shall, on request of the party not in default, or upon the request of eithor party if neither is in default, appoint within fifteen (15) days after such request, an arbitrator, or arbit- rators, to fill the place or places remaining. . (c) The decision of any two (2) of the arbitrators in conformity with the foregoing direction shall be final and conclusive upon the parties hereto. The decision of the arbitrators shall be in writing, signed in duplicate by any two (2) of said arbitrators, and one copy shall be delivered to each of the parties hereto. (d) Except as specifically provided for in subsection (a), (b) and (c), the Uniform Arbitration Law of Alaska shall govern the arbitration(:) contemplated herein. 40. SURFt13P1nf•:Rs At the expiration of the term fixed or any sooner termliia—tTon of the Lease, the Lessce will 1 d i 1 i d peaceab y an qu et y qu t an surrender tho premises to the City. LEASE - Page 10 INTTIALS Revised 3/30/79 LESSEBs ,r LESSORS 41. PROTECTION OF SUBTENANTS$ To protect the position of any subtonantls) erea•tar properly obtaining any interests in the leasehold estate granted Lessee hereunder, City agrees that in the event of the cancellation, termination, ex- piration or surrender of this Lease (the ground lease), the City will accept the Subtenant, its successors and aasigns, as its Lessee for a period equal to the full elapsed portion of the term of the sublease, including any extensions or renewals thereof not exceeding the term of this Lease, upon the same covenants and r conditions theroin contained, to the extent that said covenants and conditions are not inconsistent with any of the terms and conditions of this Lease, provided such subtenant shall make full and complete attornment to the City for the balance of the term of ouch sublease so as to establish direct Privity of estate and i contract between the City and the subtenant with- the same force t and effect as though such sublease was originally made directly 1 between the City and such subtenants and further provided such subtenant agrees to comply with all the provisions of the ground Lease and all the terms of any mortgage, deed of trust or security assignment to which such leasehold estate is subject, except the payment of rent under the ground Lease and the payment of any debt service under any such mortgage, deed of trust or security assignment. 42. SUCCESSORB IN INTERESTS This Lease shall be ' binding upon and sha pure to t o benef it of the respective - successors and assigns of the parties hereto, subject to such specific limitations or assignment as are provided for herein. 43. GOVERNING LAWS This indenture of Lease shall be governed in all respects by the laws of the State of Alaska. 44. NOTICESs (a) Any notices required by this Lease shall „ be in writing and shall be deemed to be duly given only if deliv- ered personally or mailed by certified or registered mail in a prepaid envelope addressed to the parties at the address set forth in the opening paragraph of this lease unless such address has been changed pursuant to cub -paragraph (b) hereafter, and in that case to the most recent address so changed. The City shall also mail a copy of any notice given to the Lessee, j by registered or certified mail, to any leasehold lender (mortgagee, J beneficiary of a deed of trust, security assignee) who shall have given the City notice of such mortgage, deed of trust or security assignment. (b) Any such addresses may be changed by an appropriate notice in writing to all other parties affected ! provided such change of address is given to the other parties by the means outlined in paragraph (a) above at least fifteen (15) -.•.,.�..,•.+• -, - �.+.�:v.- ._+...5 days prior to the giving of the particular notice in issue. 45. RIGHTS OF MORTGAGEE OR LIENHOLDERs In the event of cancellation or ore taro o a ease ror cause, the holder of a properly recorded mortgage, deed of trust, conditional assignment or collateral assignment will have the option to acquire the Lease for the unexpired term thereof, subject to the terms and conditions as in the original Lease. 46. ENTRY AND RE-ENTRY$ In the event that the Lease should be terminated as ere n eforc provided, or by summary proceedings or otherwise, or in the event that the demised lands LEASE - Page 11 INITIALS /$ 6 REVISED 1/21/8O LESSEES, LESSORS R f r f i t I• t VyM f ti• F ' } 1 or any part thcruc.f :Awitild 1,'! .tbandunt d by th.• t.erfaco durin�l th.: said term, Lhe iwr.:,uf: or it.:: agentn, ❑rrvant.n, or rupre:tentativa: may, immediately or any tiuw nerual:t.cr, rc-uneur and renusro I'M..- neuuion of :said tandu or melt part. thereof, and rcmove all pctrs„n:: and property therefrom, cithor by sm-.,n.try procvedinga or by a suitable action or proeeedincl at: lav witlsout bai.nq liable for any damages therefor. No re-entry by thu by rrsor rshall be doemod an acceptance of a surronder of the Lear,u. 47. FORI'CV111H.F OF RENTAL: In the event that the Lease should be tursn nntud t;ucauu� oti nny broach by the Lessee, as heroin provided, the rental payment last made by the Lessee shall be forfoited and retained by the Looser an partial or total liquidated damages for said breach. 48. WRITTEN WAIVER: The receipt of rent by the Lessor with knowl.edga of any breach of the Leano by the Lessee, or any default on the part of the Lesusie in observance or performance of any of the conditions or convenants of the Lease, shall not be doomed to be a waiver of any provisions of the Lease.- No failure on the part of the Lessor to onforco any.covenant or provision on contained, nor any waiver of any right thereunder by the Lessor,.unless in writing, shall discharge or invalidate such covenants or provisions, or affect the right of the Lessor to enforce the same in the event of any subsequent broach or default. The receipt, by the Lessor, of any rent or any other sum of money after the termination, in any manner, of the term therein demised, or after the giving by the Lessor of any notice thereunder to affect such termination, shall not reinstate, continue, or extend the resultant term therein demised, or destroy, or in any manner impair the efficacy of any such notice of termination as may have been given thereunder by the Lessor to the Lessee prior to the receipt of any such sum of money or other consideration, unless so agreed to in writing and signed by the Lessor. 49. EXPIRATION OF LEASEi Unless the Lease p renewed or sooner terminated as prov ed heroin, the Lessee shall t peaceably and quietly leave, surrender and yield up unto the Lessor all of the leased land on or before the last day of the term of the Lease. 50. BUILDING AND ZONING CODESs Leased lands shall be utilized in accordance w t t►e bu ding and zoning ordinances and rules and regulations of said authority. Failure to do so shall constitute a default. 51. FIRE PROTECTIONS The Lessee will take all reasonable precaution to prevent and take all necessary action to suppress destructive or uncontrolled grass, brush or other fires on leased lands, and comply with all laws, regulations and rules promulgated and enforced by the City, for fire protection within the area wherein the leased promises are located. 52. PERSONAL USE OF MATERIALS: All coal, oil, gas, and other minerals and -all deposits of stone or gravel valuable for extraction or utilization and all materials subject to Title 1I, Divinion I, Chapters 4, 5 and 6 of the Alaska Adminis- trative Code arc excepted from the operation of a surface Lease. Specifically, the Lessee of the surface rights shall not sell or remove for use elsewhere any timber, stone, gravel, peat moss, topsoil, or any other material valuable for building or com- mercial purposess provided, however, that material required for the dovolopment of the leasehold may be used if its use is first approved by the City Manager. 53. MUTUAL CAIMMLATIO:is Leases in good standing may be cancelled in whole or In pari it any time upon mutual written agreement by Lessee and the City Council. LEASE - Pago 12 INITIALS �/ RCVISED 3/30/79 LESSEE• s . �I 1.::SSOR s W 1 1 54. UNLAWFUL USE PROHIBITED: Lessee shall not allow the lea:aohold premiues to be used for an unlawful purpose. 55. APPROVAL OF OTHER AUTHORITIES: The issuance by the City of Loases does not re ievo the Lessee of responsibil- ity of obtaining licenses or permits as may be required by duly authorized Borough, State or Federal agencies. t= wary to re -assign �Lessee to a d f cror` nt Oros of the airpo terminal, the parties agree as follows: At least t 30) days n written notice, in advance of such reasaignm , shall be provider to Lessee. The costs of relocation, i ng the costs of moving and setting up counter iD ated facilities, shall be borne by the airport ter and may, upon' the agreement of the parties, be subtra rom the monthly rent due by Lessee to the Airport ter . Should reassignment and relocation be necessary, Less a 1 be provided and afforded equivalent space, in terms IN WITNESS WHEREOF, the parties hereto have here- t unto set their hands, the day and year stated in the individual t acknowledgments below. LESSOR: CITY OF KENAI By: LESSEE: (If Lessee is a corporation) ATTEST: Executive Vice-president/operations Title STATE OF ALASKA ) THIRD JUDICIAL DISTRICT )sa f Before me, the undersigned, a Notary Public in and for the State of Alaska, on this day personally appeared Wm. J. Brighton, City Manager of the City of Kenai, known to be the person who executed the above Lease and acknowledged that he had the authority to sign the same, for the purposes stated therein. , GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of 19 ' Notary Public in and for A as a My Commisnion Expirea: I I LEASE. - Page 13 141TIALS REVISED 11/13/79 LESSEE L«Sa"G:. � � ..yi:j.%r: • sLN.::s1�{c'Ylrp-. .o..(..Iiji`ny.,/4;�{I :.• CORPORATION ACVNOWLI±D MENT STATE OF ALASKA ) )RS THIRD JUDICIAL, DISTRICT ) Before me, the undersigned, a Notary Public in and for the State of Alaska, on this day personally appeared Rod V. Christ and , known to mo to bo tFe persons and officers whose names are subscribed to the foregoing Lease, who being duly sworn, did say that they arc the Pmeaddljoat ZrA Exec. Vice President , respectively, of co. Inc. Company, a corporation, and acknowledged to me that they executed said Lease as their free act and dead in their said capacities, and the free act and deed of said corporation, for the purposes stated therein. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this 14 day of may , 19 90 otary Public In and for Alaska My Commission Expires:_ :e-s-az INDIVIDUAL ACKNOWLEDGMENTS) LESSEE STATE OF ALASKA ) )as THIRD JUDICIAL DISTRICT ) On this day of , 19', before me personally appeared — , known to be the person who executed We above Lease and ac now edged that he (she) had the authority to sign the same, for the purposes stated therein. Notary Public in and for A aska My Commission Expires: ACKNOWLEDGMENT FOR 'HUSBAND AND WIFE STATE OF ALASKA ) ... tP.rr•.S81natYIY'ct:v.r^r-•:.v,;.M�'4'•![M) )8H THIRD JUDICIAL DISTRICT ) 13eforo me, the undersigned, a Notary Public in and for the State of Alaska, on this day personally appeared and , husband and wile, both known to a the porsons whose names are subscribed to the foregoing Lease, and acknowledged to me that they executed the same as their free and voluntary act and deed, and for the purposes and considerations therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this _ day of 19i Notary Public in and for Alaska My Commission Expires: LEASE - Page 14 INITIALS / f r REVISED 11/13/79 LESSEE: ,/qt/ LESSOR::., art Approved as to Lease form by City Attorney /" (Initials) Approved by Finance Director (Initials) - Approved by City Manager n t s) LEASE APPROVED BY City Council this , day of City Clerk LEASE • Page 15 REVISED 11/13/79 I9ITIALS- , LESS EE i LESSORS ,e Ru5SIA4 CR1lA nISS10A � � - •` ` • ' ~ 1 �� �• VS 1at/1 h0197 °n.l Elm SVIM/M 191 '�•♦ , /f• A•1f11OR�fi/ AIAiRA ' :Iff", V0tqMASTER PLANRA" AIRCRAFT- PARKINO ARF►$1: ;y Si '� v{wAe1/ ►lRYII 10 VA va R KENAI f ALASKA` ., I � �7pYIt ii SN• !/,•>r ii .• + d.w.9Att 1.0 I . �Jr Y � / 1 01{r,Yl/t A. IrY/nr r A w / � •�hi 1i../A In.0 1 �'� ,�. r.A, nb•t � 1 I •+1 • +�� 1, r,032PARICCL N b 1 I Inb. , :� to cA• vARY1� ANtA o _ 9w ro ar19rA •+oo �L4+°—r� 1 i rlwni$ .. I 1 rA •%e ;; Aoee IwO/ob[m y.-_ � eru I,or eowna• wlrAtnfwlwoi Inn N f%1 y Q ur d'i�A•iA1L 6nw W go 4 PAR99 01 1 +{f /)){{ii� ��i 3 1 t f Al 4 • 1 • •O 10 'll It 1 It w/r 11 It Ifair H 1• H b Mtge, DUILIIING I. pig _. ./ __.._ i . _ _� \ . 1.. IAQNT t0/ ••• YMStO t%ITM UY OAW NAGN919 01LTS t Asa, AIALINt AIMS A/AOII 'Ot AIIKRA' r* /�A,MO LA * 1 1 /J / / ) fit OOM'N CA•L• 600' � i � � ) I • 1 r O �p } 1 � 1 44f 4 va e• _ ._ - - --- -- - -- ��,.1lwQINe s•A7► _IIpYJO•.[. f090;_ .— .. � ....... ,....... -� - MAYtL �. j• if SILT N "NOA g ' F ' 1 11 i e 1 i `11 -YA /1 i LEASE OF AIRPORT LANDS OR FACILITIES THIS AGREEMENT, entered into this day of . 19 ► by and between the CITY OF KENAI, City Hall, P. O. Box SO► Kenai, Alaska 99611, a home -ruled municipal corporation of Alaska, hereinafter called "City," and Andy 's Flying Service, Inc. , hereinafter cal o Lessee. That the City, in consideration of the payments of the rents and -performance of all the covenants herein contained by the Lessee, does hereby demise and lease to the Lessee the i following described property in the Kenai Recording District, State of Alaska; to wits an area 9.5' x 6' (57 square feet) located along west wall of terminal { building, running North -South, facing East. adjoining the hallway to passenger gate N2. not to block or interfere with said hallway. issued iaS A. PURPOSES The purpose for which this Lease is To conduct ticket sales and small freight handling for scheduled commuter airline. B. TERMS (1) The term of this Lease is for 1 year, 23 dayss eomn�nq on the 8 day of June IS 80 ► to the 30 day of-7unnee, 1981 , , at the annua3 rental oTZi"l1.16 (2) The term of this Lease may be extended by Lessee for 1 successive periods of 1 year each* by giving written notice to the Lessor not? ss than six (6) months prior to the expiration of the then existing term. Each extended term phall be on the same terms and conditions as provided in this Lease for the initial term. Lessee will not be permitted to extend the Lease beyond the extended term. Any termination of this Lease during the initial term or during any extended term shall terminate all rights of extension hereunder. C. PAYMENTS _. The rental specified herein shall t be payable as followaS 4 1 (2) Right of entry and occupancy is authorized as of the 8 day of June , 1980 ► and the first rent shall be computed from suchate until June 30, 81 , at th rate of '� ^^-��-�•�! 677.16 per year. plus $ 1.80 per day for 23 dayd. aqua I3 5.719.94 now due. n (2) Annual rent for the fiscal year beginning July 1 and ending June 30 shall be payable in advance on or q before the first day of -July of each year. If the annual rent exceeds $2,400, then the Lessee may opt at the time of the execution hereof or at the beginning of each new Lease year to pay rent in equal monthly installments, payable in advance on or before the first day of July and on or before the first of each month there- after. (3) Rental for any period which is less than one (1) year shall be prorated based on the rate of the last full year. -rent-speoified--herein-is-based on a rate.. oar -� t f-fefr me`ricet-va-lue-and -is calculated as followes square `set-et-8--- per square foot per year, or 8 •pCr-�FBr.S LEASE - Page 1 INITIALS REVISED 3/6/80 LESSEES ! LESSORS Y- (5) In addition to the rents specified above, 04 subject to General Covenant No. 9, the Losaee agrees to pay to the appropriate parties levies, assessments, and charges as hereinafter provideds (a) Assessments for public improvements now benefiting property in the amount of $ (b) Taxes pertaining to the loasehold interest of the Lessee. (c) Sales tax now enforced or levied in the future computed upon rent payable in monthly installments whether rent is paid on a monthly or yearly basis. (d) Lessee agrees to pay all taxes and assess- ments levied in the future by the City of Kenai, as if Lessee was considered the legal owner of record of the Leased Property. (a) Interest at the rate of eight percent (88) per annum and ten percent (10%) penalties on any amount of money owed under this Lease which is not paid on or before the date it becomes due. (f) Additional charges, if any, as set forth in Schedule A, attached. D. GENERAL COVENANTS$ 1. USES: Except as provided herein, any regular use ol lands or facilities without ` -:} = •-:••»..= the written consent of the City is prohibited. This prohibition shall not apply to use of areas designated by the City for specified ! public uses, such as passenger terminals, automobile parking ' areas, and streets. f'�! 2. USES NOT CONTEMPLATED PROHIBITED: Solicitation of donations or the promotion or operation aany part or kind of business or commercial enterprise, other than as specifically set forth herein, upon, in or above airport lands, without the written consent of the City is prohibited. i 3. ASSIGNMENT: (Not for collateral purposes) Lessee with City's written te`n consent, which will not be unreason- ably denied, may assign, in whole or in part, its rights as Lessee (Leasehold Estate) hereunder . i An assignee daWwaa691,-billerpasagr r) of part or all of the leased premises shall assume the dut ee and obligations of the Losses as to the ,,,,�, ,F.,,�t�:�� w, ,•.,;,,�.„ such part or all of the leased premises. No such assignment, however, will discharge Lessee from its dutisa and obligations hereunder. -,- - 4. SUBLETTINGs Lessee may sublet part or all of its interest in the leasehold premises without prior City approval, except that Lessee agrees to send a copy of his executed sublease -- - - , to the City within 10 days after its execution. In addition, all subleases are subject to the terms and conditions of the main lease, and no subletting shall affect the obligation of the Lessee to perform all of the covenants required to be performed by the Lessee herein. S. TREATMENT OF DEMISES The Lessee agrees to F" keep the premises clean and in good order at its own expense, suffering no strip or waste thereof, nor removing any material therefrom, without written permission of the City. At the`e�xpiratii j LEASE - Pago 2 INITIALS i Revised 2/5/80 LESSEES LESSSOR i t � f ! I I of the term fixed, or any sooner determination of the Lease, the Lessee will peaceably and quietly quit and surrender the promises to the City. 6. PAYMENT OF RENTt Checks, bank drafts or Postal money orders ssa a made- payable to the City of Kenai, and delivered to the City Administration Building, Kenai, Alaska. 7. CONSTRUCTION APPROVAL AND STANDARDS Building i construction shall neat an pre table a and compatible with its uses and surroundings. Prior to placing of fill material and/or construction of buildings on a leased area, the Lessee shall submit a plan of proposed development of property to the City Planning Commission which shall be approved in writing for all permanent improvements. S. DEFAULT - RIGHT OF ENTRY: Should default be made in the payment of any port ono t o rent or fees when due, or in any of the covenants or conditions contained in the Lease or in any regulations now or hereinafter in force, then in such event the City shall give Lessee thirty (30) days after such written notice to cure such default or defaults, after which if the default is not cured, the City may terminate the Lease, reenter and take possession of the premises, remove all persons therefrom. t: WAS be • I for a term in excess o ve () years, the amount of rents o fees specified herein shall, at the option of either party, e subject to redetermination for increase or decrease based the percentage rate (set in C4 above) of fair market value a intervals of five (5) years from the 1st day of July preceding t effective date of this'Lease. No increase or decrease in the unt of rents or fees shall be effective, except upon thirt (30) days written notice. 'Hair Market Value is defined as " he highest price estimated in terms of money which a props . will bring if exposed for sale on the open market allowing a.Aeasonable period of time to find a purchaser who buys with knoQledge of all the uses to which it is adapted and for which is capable of being used." At each five (S) year terval, the City will have the fair market value determined by qualified independent appraiser. The redetermined lease to, annual rent, under this provision shall be limited to a fty (80%) percent increase in the prior lease rate until the Oth year anniversary of the lease after which the SO cap prov on shall no longer apply and the lease rate shall be redeter ned every five years on the basis of fair market evaluation as ndicated above. If the ease does not accept the above appraisal as the fair market v us as of July 1 of the redetermination .....�c;..,K,.,....•.,,.,...V .», year, Lessee shall ive notice to City of such refusal within 10 days after deliv y to Lessee of the appraised valuation and the rental rate der ed therefrom, and within 10 days after ouch notice of ref al, the Lessee or the representative of the Lessee will meet w h the representative of the City to select an impartial 1 appraiser rom the regular Alaska membership of the Society of Real Est a Appraisers or the American Institute of Real Estate Apprai rot or the successor body of either group who has been prop ly designated M.A.I. or S.R.E.A., or S.R.P.A., or any fu re similar designation which denotes proficiency in the a raisal of commercial property and is recognized as such by LEASE - Page 3 INITIAL Revised 2/29/80 LESSEEt LESSORS �I t I as above provided, the City and Lessee shall each submit t ame of an appraiser from either of the above groups who s any of the above -required designations but who has not ored an appraisal on the property subject hereto w n one year prior to selection, the names will be placed i contains:, and one will be drawn by lot. The parties h-exAWY agree that the appraiser agreed upon or so selected Tr be retained for the redetermination appraisal, that each y will pay one-half of the fee and i expenses of the raisal, that the appraiser will be informed i that he o is being jointly retained by the partiesdnd that _ a i the sal rendered will be binding on both pa Ap*s d.. 'Qr .. wl- �S- 10. LEASE UTILIZATION: Leased iafwis shall be ! utilized for purposes within the scope of the appli ation (made a part of this Lease and attached hereto) the terms of the Lease, and in conformity with the ordinances of the City and Borough, and in substantial conformity with the comprehensive plan. Utilization or development For other than the allowed uses shall constitute a violation of the Lease and subject the Lease to cancellation at any time. lIV-compieta-the d , -ee"048tent-Mtth-the- proposed-ase a onstiruto-grounds-for-aanocl.-latioa. i 11. CONDITION OF PREMISES: The premises demised herein are unimproved and are ease on an "as is, where is,, basis. , permanent structure property line front Ded within a of the axiway, or apron without . This area shall be used for 13. OPPER TO LEASE ACCEPTANCE: The offer to lease is made subject to appl cab a laws and regulations of City, and may be withdrawn without notice at any time after thirty (30) days from submission thereof, unless within such thirty (30) days the Lessee executes and returns the lease to the City. 14. UNDERLY NO TITLE: The interests transferred, or conveyed by this ease are su ect to any and all of the covenants, terms or conditions contained in the instruments conveying title or other interests to the City. 15. RIGHT OP INSPECTION: City shall have the right of all reasons e t me8 to enter the premises, or any part thereof, for the purposes of inspection. 16. INSURANCE: Lessee covenants to save the City harmless from•ail act ono, suits, liabilities, or damages resulting from or arising out of any acts of commission or omission by the Lessee, his agents, emp10yee8, Customers, invitees, or arising from or out of the Lessee's occupation, or use of the premises demised, or privileges granted, and to pay all costs connected therewith. In this connection, the Lessee agrees to arrange and pay for all the following: (a) Public liability insurance protecting both the City and/or its agents and the Lessee, such insurance to be evidenced by a certificate showing the insurance in force. The amount of such public liability insurance shall have limits not less than those known as $250,000/$500,000/$100,000. LEASE - Page 4 INITIAL REVISED 2/29/80 LESSEE: LESSOR: `-- (b) Lesnon agreva to carry employer'n liability insurance and Workmen's Compensation insurance, and to f.urniuh a certificate thereof to the City. (c) Insuranco contracts providing liability insurance and PtorPmon's Componsation shall provide for not less titan thirty (30) days written notice to the City of cancellation or expiration or substantial change in policy conditions and coverago. (d) Lessee agroas that waiver of subrogation against the City shall be requested of Lessee's insuror, and shall be provided at no cost to the City. (a) Cross Liabilityt It is understood and agreed that the inouranco afforded by this policy or policies for more than ono named insured, shall not operate to increase the limits of the company's liability, but otherwise shall not operate to limit or void the coverage of any bqe named insured as respects claims against the same named insured or employoes of such other named insured. (f) The insurance procured by Lessee as herein required shall be issued in the name of the Lessee and the City by a company licensed to do business in the State of Alaska, and shall contain endorsements that (1) such insurance may not be cancelled or amended with respect to the City without thirty•(30) days written notice by registered or certified mail to City by the insurance company; and (2) Lessee shall be solely responsible for payment of premiums and that City shall not be required to pay any premiums.for such insurance. (9) The amount of insurance coverage required - above may be subject to review for increase at each five (5) ye� renegotiation of the Lease. 17. ACCOUNTING OBLIGATIONS 0 to f of - press -btrs taws rrigts and/or an meat-of-the-number-of-garlona �°.:te►-a'�'. told end{sr-any-sertificato-or-statement-to subs"DU thA Cemp'.tat4on-gg„-vents-©r- •fees; #ncluding -reports t s. i 18. COLLECTION ON UNPAID MONIESt Any or all ;i rents, charges, fees or other cone era; on which are due and unpaid at the expiration of voluntary or involuntary termination or cancellation of this Lease, shall be a charge against the Lessee and Lessees property, real or personal, and the City shall have such lien rights as are allowed by law, and enforcement by distraint may be made by the City or its authorized agent. t right to grant and control eaaemen-05-1n-,orabove easedk�j' � - ( No such grant or easement will be mad; th_anreasonably(/t�,//�� / interfere with the Lessee's us and, and Lessee shall have free aceoss an any and all parking and loading rights ngress and egress now or hereafter appertaining Wased 20. LEASH SU80RDINATE TO FINANCING REOUIRHNENTS1 Lessee agrees that City may mod fy t s Lease to meet revised requirements for Federal or State grants, or to conform to the - requirements of any revenue bond covenant. However, the modification I� shall not act to reduce the rights or privilegos granted the Lessee by this Loase, nor act to cause the Lessee financial loss. a J 21. SURRENDER ON TERNTNATION. Lessee shall, on the last day of the term of this Lease or upon any earlier termination of this Lease, surrender and deliver upon the promises into the possession and use of City without fraud or delay in good order.... condition and repair, except for reasonable wear and tear since LEASE - Pago 5 INITIALS Revised 3/30/79 LESSEE; LESSOR. ■ , the last noces!wry repair, replacvmont, reztoration or renewal, free and clear of all lrttinya and occupancies unli:us exprcrnly parmItted by City in writing, and free and clear of all lions and encumbrances other that% those cro,tted by for loans to City. Upon the end of the term of this Lease or any earlier termination thereof, title to the buildings and impro:•c_ ments and building equipment shall automatically vest in City without regcirement of any dead, conveyance or bill of sale thereon. However, if City should require any such document in confirmation hereof, Lessee shall execute, acknowledge and deliver the same and shall pay any charge, tax and fee asserted or imposed by any and all governmental units in connection herewith. 22. RULES: Lessee shall obsorvo, obey and comply with all applicable rules, etc., of the Stake or Federal Govern- ments. 23. AIRCRAFT OPERATIONS PROTECTED: (a) There is heroby reserved to the City, its successors 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 and all improvements approved by the City of the promises herein conveyed, together with the right to cause in I said airspace such noise as may be inherent in the operation of aircraft, now or hereafter used for navigation of or flight in the air, using said airspace of landing at, taking off from, or operating on the Kenai Airport. (When plans for improvements pursuant to paragraph 7 are approved by the City, the City to the extent of those improvements releases the casement hero expressed.) (b) The Lessee by accepting this conveyance expressly agrees for itself, its representatives, successors, and assigns, that it will not erect nor permit the erection of any structure or object, nor permit the growth of any trees on the land conveyed hereunder, which would be an airport obstruction within tho standards established under the Federal Aviation Administration Regulations, Part-77, as amended. In the event the aforesaid covenant is breached, the City reserves the right to enter on the land conveyed hereunder and to remove the offending structure or object, and to cut the offending tree, all of which shall be at the expense of the Lessee or its heirs, or successors, or assigns. i 24. RIGHT TO ENJOYMENT AND PEACEABLE POSSESSIONS City hereby agrees and covenants t at t e Lessee, upon paying rent and performing other covenants, terms and conditions of this Lease, shall have the right to quietly and peacefully hold, use, occupy and enjoy the said leased promises, except that any in- eonvonionce caused by public works projects in or about the leasehold premises shall not be construed as a denial of the right of quiet or peaceable possession. 25. LESSEE TO PAY TAXES': Lessee shall pay all lawful taxes and assessments which, during the term hereof may ► become a lien upon -or which may be levied by the State, Borough, -.- -- City or any other taxievying body, upon any taxable possessory right which Lessee may have in or to the reason of its use or occupancy, provided, however, that nothing herein contained shall ----- prevent Lessee from contesting any increase in such tax or assessment through procedures outlined in State statutes. j 26. SPECIAL SRRVICES: Lessee agrees to pay City a reasonable charge for any spec al services or facilities required by Lessee in writing, which services or facilities are not provided for herein. LEASE - Page 6 INITIAL _ Revised.3/30/79 LESSEE: LESSOR: �- .. t i i . i , 5 i II 27. NO PARTNERSHIP OR JOINT VENTURE CREATED: It is expressly understood that the city shallnot be construed or hold to be a partnor or joint venturer of Losses in the conduct of business on the demisod promises; and it is expressly understood and agreed that the relationship between the parties hereto is, and shall at all times remain that of landlord and tenant. 28. DEFAULT BANKRUPTCY ETC.: If the Lessee shall make any assignment or the bone t o creditors or shall be adjudged a bankrupt, or if a receiver is appointed for the Losses or Lessee's assets, or any interest under this Lease, and if the appointment of the receiver is not vacated within thirty (30) days, or if a voluntary petition is filed under Section 18(a) of the Bankruptcy Act by the Lessee, then and in any event, the City may, upon giving the Lessee thirty (30) days' notice, terminate this Lease. 29. NONDISCRIMINATION: The Lessee, for himself, his heirs, personal representat ves, successors in interest, and assigns, as a part of the consideration hereof, does hereby covenant.and agree as a covenant running with the land, than 1 (a) No person on the grounds of race, color, or national origin shall be excluded from participation in, denied the benefits of, or be otherwise subjected to discrimination in the use of said facilities; (b) In the construction of any improvements on, over, or under such land and the furnishing of services thereon, no person on the grounds of race, color, or national origin shall be excluded from participation, denied the benefits " of, or otherwise be subjected to discrimination; (c) The Lessee shall use the premises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally -assisted Programs of the Department of Transportation -- Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended;. (d) In the event facilities are constructed, maintained, or otherwise operated on the said property described in this Lease, for a purpose involving the provision of similar services or benefits, the Lessee shall maintain and operate such facilities and services in compliance with all other requirements imposed pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally -assisted Programs of the Department of Transportation -- Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended; 30. PARTIAL INVALIDITY; If any term, provision, { condition or part of this Lease is declared by a court of competent jurisdiction to be invalid or unconstitutional, the remaining terms, provisions, conditions or parts shall continue in full force and effect as though such declaration was not made. 31. PAROLE MODIFICATIONS: It is mutually understood and agreed that this agreement, as written, covers all the agreements and stipulations between the parties; and no representations, oral or written, have been made modifying, adding to, or changing the terms hereof, or may be made except in writing, signed by all parties in interest, and approved by the City Council of the City. 32. WARRANTY: The City does not warrant that the property which is the subject of this Lease is suited for the use authorized herein, and no guarantee is given or implied that it shall be profitable or suitable to employ the property to such use. LEASE - Page 7 INITIALS Revised 1/21/80 LESSEE: LESSOR: (a) t•or the purpose of interim or permanent finaneinry or refinancing [ram time to t113a of. ihu Lnq,rovemonts to be placed upon the laaaud premium, and for no other purpose, Leflovu, after giving written notice thereof to the City, may encumber by mortgago, dead of trust, anuignmont or other appropr a inotrument, Lessac's interest in the leased promises and in in to thin Lease, provided r,uch encumbrance por.tains only to sue leasehold interont and does not pertain to or create any int .ant in City's title to the Inannd praminnn. Ir such mortgage, ad of trust, or assignment shall be hold by a bank. or other a ab- liohod lending or financial institution (which terms shal include an established innuranco company and qualified pension o profit sharing trust) and such institution shall acquire the L sseo'o interest in such Lease as a result of a sale under sal encum- brance pursuant to a foreclosure or.okher remedy of t o secured party, or through any transfer in lieu of foreclosur , or through settlement of or arising out of any pending or con mplatod foreclosure action, such lending institution chat have the privilege of transferring its interest in such so to a nominee or a wholly owned subsidiary corporation with t prior consent of the City, provided, however, such transfers shall assume all of the covenants and conditions required to b performed by the Lessee, whereupon such lending institution s all be relieved of any further liability under such lease fro any after such transfer. Such lending institution or the nominee or wholly owned subsidiary corporation to which it may have transfa ad such Lease, or any other lending institution which may at y time acquire such Lease, shall be relieved of any furthe liability under such Lease from and after a transfer of su Lease. (b) A loasehoi mortgagoo, beneficiary of a dead of trust or security assignee , shall have and be subrogated to any and all rights of the Loss o with respect to the curing of any default hereunder by Lessee. (a) if t holder of any such mortgago, or the beneficiary of!any such Dad of trust, or the security assignee shall give the City bofore y default shall have occurred in the Lease, a written notico co taining the name and post office address of such holder, a d City shall thereafter give to such holder a copy of each n Lee of default by the Lessee at the same time as any notice of fault shall be given by the City to the Lessee, and the City 11 not thereafter accept any surrender or enter into any modif ation of this Lease without the prior written consent of a holder of any first mortgago, beneficial interest under a f rat deed of trust, or security assignee, in this Lease. (d) If, by reason of any default of the /ono , eitho this Lease or any extension thereof shall be ated a the election of the City prior to the stated ex- piration th efor, the City will Doter into a now Lease with the ld ortgagoo for the remainder of the term, effective as da o of such termination, at the rent and additional rent, o terms heroin contained, subject to the following not(1) Such mortgages, beneficiary or ty assignee, shall make written request to the City For ew Lease within twenty (20) days after the data of such ation and such written request shall he accompanied by at to the City of all sums then due to the City under this �f I 9 LEASE - Page 8 INITIAL ? Revised 3/30/79 LESSo, LESSOR: • •rim•'* , a- security aazillnre, shall hay to Lhc City, at the ti meER execution and clulivery of uuch tiew leano, u►y and thereunder. in addition to those which would at the execution and delivery thereof be due under thin Lr such termination and in addition thereto, any roassincluding legal and attort►oya' fees, to whi.eh theave been subjected by reason of such default. (3) Such mortgage , beneficiary or security assignee shall, on or before the xecution and delivery of such now Lease, perform all the othe conditions required to be performed by the Lessee to the ext t that the Lessee shall have failed to perform such conditi a. 1 • (e) If a 1 ding institution or its nominee or wholly owned subsidiary co oratioh,shall hold a mortgage, i dood of trust, or similar s unity interest in and to this Lease i and shall thereafter acqu e a leasehold estate, derived either from such instruments o from the City, and if such institution, nominee, or corporatiph shall desire to assign this Lease or any new Lease obtaimL14.fifom the City (other than to a nominee or to a wholly owned subs iary corporation as permitted by the above provisions) to assignee who will undertake to perform and observe the c ditions in such Lease required to be performed by the Lessee, he City shall not unreasonably withhold its consent to such sigmnent and assumption, and any such lending insti- tution ominee, or subsidiary shall be relieved of any further liab ty under such Lease from and after such assignment. If the pro sed assignor shall assert that the City in unreasonably .zthholding its consent to any Buell proposed assignment, such to the contrary, in or -der to aid Me —Lessee in the financin the improvements to be situated heroin, City agrees tha the event the proposed mortgagee, beneficiary or sees assignee under any interim or pormanont loan on the Bec y of the lease hold interest of the Lessee and the improyoRdate to be situated thereon so requires, the City will ma reasonable effort to amend this Lease in order to sati such requirements upon the express condition and underst ng, however, that such variance in language will not mat—qpwfly prejudice the City's rights hereunder nor be sue to alter in any way the rental oblige- tions of the Les hereunder nor its obligations to comply with all existin ws and regulations of the City relating to the lesn airport lands, and to all applicable Federal statutes, ruso, and regulations, and all covenants and conditions of the 35. COMPLIANCE WITH LAtlSt Lessee shall comply with all applicable laws, ordinances, and regulations of public ���„_ •:ram, ate.:authorities now or hereafter in any manner affecting the leased premises or the sidewalks, alloya, streets, and way adjacent thereto or any buildings, structures, fixtures and improvements or the use thereof, whether or not any such laws, ordinances and regulations which may be hereafter enacted involve a change of policy on the part of the governmental body enacting the same. Lessee agrees to hold City financially harmlesst (a) From the consequences of any violation ! of such laws, ordinances and/or regulations; and (b) From all claims for damages on account of injurica, death, or property damage resulting from such violation. Lessee further agrees it will not permit any unlawful occupation, busincan or trade to be conducted on said promises or any use to be made thereof contrary to any law, ordinance or regulation as aforesaid with respect thereto. ,J LCAS8 - Page 9 INITIALS/ Revised 3/30/79 t --1r,�^ ,r� e 36. CAM:In' ILoftl:::n,r•, at its uWn Cl1nt and nx)wn.o, : nll improvamontn which -it any ti;nv dur.in(1 th(. Corm of thir, Wane may ho situatud thereon, and :ut, Wid all appurtertane(!nt thoraurtto bolon(linol, in good condition and repair during tho entiro term of this Lcanu. 37. LESf P%If. 011I.IGATION TO IMMOVI: LI1::I5s Lesroe will not permit any lien!: includiiid, bul lull liin�tvd-lo, mechan- ics', laborers', or materialmonlu lions obtainable or available under the then erinting lawn, to stand against the leased promisos or improvements for any labor or material furnished to Lessee or claimed to have boon furnished to Lesson or to I.ossoo's agents, contractors, or sublossces, in connuction with work of any character performed or claimed to have boon porformed on said promisor or improvoments by or at tile direction or sufference of Loosen, provided, however, Lessee shall have the right to provide a bond as contemplated by Alaska law and content the validity or amount of any such lion or claimed lions On final determination of such lien or such claim for lion, Lessee will immediately pay any judgment rendered with all 'Proper costs and charges and shall have such lien released or judgment satibfied at Lessee's own expense. 38. CONDEMNATIONS In the event the leased premises or any part thereof shall be condemned and taken for a public or a quasi -public use, than upon payment of any award or compensation arising from such condomnation, there shall be such division of the proceeds, such abatement in rent payable during the term or any extension of the term hereof, and such other adjustments as the parties may agree upon as being just and cquitablo under all the circumstances. If the City and Lessee are unable to agree within thirty (30) days after such an award has been paid into Court, upon what division, annual abatement in rent, and other adjustments are just and equitable, the dispute shall be deter- mined by arbitration provided in Item 39 hereof. �. 39. ARBITRATIONS (a) In the event the parties shall be unable to agree as to any matter provided for in this Lease such dispute shall be determined by three (3). disinterested arbitrators, ono of them shall be chosen by each of the parties hereto and the third by the two (2) so chosen. (b) The party desiring arbitration, as aforesaid, shall give notice in writing to the other party of such desire, naming the arbitrator selected by it, and five (5) days after giving of such notice the other party shall select its arbitrator and in the evont the two arbitrators chosen shall fail, within fifteen (15) days after their selection, to agree upon the third, then the Superior Court of the State of Alaska shall, on request of the party not in default, or upon the request of either party if•noither is in default, appoint within fifteen (15) days after such request, an arbitrator, or arbit- rators, to fill the place or places remaining. (c) The decision of any two (2) of the arbitrators in conformity with the foregoing direction shall be final and conclusive upon the parties hereto. The decision of the arbitrators shall be in writing, signed in duplicate by any two (2) of said arbitrators, and ono copy shall be delivered to each of the parties hereto. (d) Except as specifically provided for in subsection (a), (b) and (c), the Uniform Arbitration Law of Alaska shall govern the arbitration(s) contemplated herein. 40. SURRMIDERt At the expiration of the term fixed or any sooner term rwe3Ton of the Learo, the Lessee will bly and itly quit and City. quu surrender the promires to the City. � LEASE - i'.Sge 10 LS Revised 3/30/79 INITIAIXITrA LESSEEt LESSOR: C 0 41. PROTECTION OF SUDTENANTSt To protect the position of any subtenant(s) erea for properly obtaining any interests in the leasehold estate granted Lessee hereunder, City agrees that in the event of the cancellation, termination* ex- piration or surrender of this Lease (the ground lease), t.a city will accept the Subtenant, its successors and aasigns, as its losses for a period equal to the full elapsed portion o,; the term of the sublease, including any extensions or ronewalQ thereof not exceeding the term of this Lease, upon the same covenants and conditions therein contained, to the extent that said covenants and conditions are not inconsistent with any of the terms and conditions of this Lease, provided such subtenant shall make full w complete attornment to the City for the balance of the term of eu-h sublease no as to establish direct privity of estate and contract between the City and the subtenant with - the same force and effect as though such sublease was originally made directly between the City and such subtenants and further provided such ' subtenant agrees to comply with all the provisions of the ground ' Lease and all the terms of any mortgage, deed of trust or security assignment to which such leasehold estate is subject, except the payment of rent under the ground Lease and the payment of any i debt service under any such mortgage, deed of trust or security assignment. 42, SUCCESSORS IN INTEREST: This Lease shall be binding upon and shall inure to the benefit of the respective successors and assigns of the parties hereto, subject to such specific limitations or assignment as are provided for herein. 43. GOVERNING LAW: This indenture of Lease shall be governed in all respects by the laws of the State of Alaska. 44. NOTICES: (a) Any notices required by this Lease shall be in writing and shall be deemed to be duly given only if deliv- ered personally or mailed by certified or registered mail in a prepaid envelope addressed to the parties at the address set forth in the opening paragraph of this lease unless such•address has been changed pursuant to sub -paragraph (b) hereafter, and in that case to the most recent address so changed. The City shall also mail a copy of any notice given to the Lessee, i by registered or certified mail, to any leasehold lender (mortgagee, beneficiary of a deed of trust, security assignee) who shall have given the City notice of such mortgage, deed of trust or security assignment. (b) Any such addresses may be changed by an appropriate notice in writing to all other parties affected provided such change of address is given to the other parties by the means outlined in paragraph (a) above at least fifteen (15) i days prior to the giving of the particular notice in issue. 1 t event of cancellation orforfeiture o a ease , he holder of a properly recorded mor of trust, conditional j assignment or collate nment will have the option to acquire or the unexpired term thereof, subject to the 46. ENTRY AND RE-ENTRYs In the event that the Lease should be term nated as here nbe fore provided, or by summary proceedings or otherwise, or in the event that the demised lands LEASE - Page 11 INITIALS ,( J REVISED 1/21/80 LESSEE: ���/// LESSOR: ff-, -.- t s - - _ -A or any Dart tile :.I ::hrntw I-': abandon:d by thy• LcE::;t•v •.luring t11 said term, the l.•ts:;ctr or it:: sgent.q, n,•rvanto, or repre•;entativ.:. /� may, itmnt:di..stely or any th.1c thcreaio-r, re-enter and ronumo hoc - session a[ said lands or such part tlscr.:of, and rurtove, all peruvn:. and proporty thvrefrom, vi.ther by n uranary procecding:t Or by a suitable action or proccedinq at las: t:i.thnut b.:in.l liahlo for any damages therefor. No re-entry by the Lornor rhall be doemod an acceptance of a ssurronder of the Wane. 47. 1701WP1'i'IIKF; OP HVNTALs In the ovent that the Lasso should be termitiakuit l;ecauaa o[ any broach by the Losses, as heroin provided, the rental payment last made by the Lessee shall be forfeited and retained by the Lessor an partial or total liquidated damages for said breach. 48. WRITTEN WAIVERS The receipt of rent by the Lessor with knowlcdgo o'L lily 'breach of. the Lea:o by the Lcrseo, or any default on the part of the Lessueo in observance or performance of any of the conditions or convenants of the Lease, shall not be deemed to be a waiver of any provisions of the Lease. No failure on the part of the Lessor to enforce any.covenant or provision on contained, nor any waiver of any right thereunder by the Lessor, unless in writing, shall discharge or invalidate such covenants or provisions, or affect tho right of the Lessor to enforce the same in the avant of any subsequent broach or default. The receipt, by the Lessor, of any rent or any other sum of money after the termination, in any manner, of the term therein demised, or after the giving by the Lessor of any notice thereunder to effect such termination, shall not reinstate, continue, or extend the resultant term therein demised, or destroy, or in any manner impair the efficacy of any such notice of termination as may have been given thereunder by the Lessor to the Lessee prior to the ;nm.a • • ..tW;1^'xmar-n.cfa5wa. .x..ti receipt of any such sum of money or other consideration, unless so agreed to in writing and signed by the Lessor. - 49. EXPIRATION OP LEASEi Unless the Lease fr .. renewed or sooner terminated as prov ed herein, the Lessee shall peaceably and quietly leave, surrender and yield up unto the Lessor all of the leased land on or before the last day of the term of the Lease. SO. BUILDING AND ZONING, CODESS Leased lands shall be utilized in accordance with the bu lding and zoning ordinances and rules and regulations of said authority. Failure to do so shall constitute a default. S1. FIRE PROTECTIONS The Lessee will take all reasonable precaution to prevent and take all necessary action to suppress destructive or uncontrolled grasc, brush or other fires on leased lands, and comply with all laws, regulations and rules promulgated and enforced by the City for fire protection within the area wherein the leased premises are located. ,,,,.•,::•«>�,rv.e�...,,.,www+� gas, and other minerAls and all dopesCts of stone or grav valuable for extraction or utilization and all mate subject t to Title 1I, Divigion I, Chapters 4, 5 and 6 a Alaska Admini trative Code are excopted from the op e n of a surface Lease. , Specifically, the Lessee of the ace rights nhall not sell or t remove for use elsowhore tuber, stone, gravel, peat moss, topsoil, or any of aterial valuable for building or com- mercial pur provided, however, that material required for tho_49matUpment of the leasehold may be used if its use is first 53. MUTUAL CANC11MAT101i Leasos in good standing may be cancelled in whoJo or in part at any time upon mutual written agreement by Lessee and tlse City Council. I LEASE - Page 12 INITIALS REVISED 3/30/79 LUSSEEs LCSSOR S Jn 0 rO 54. UNLAWF•UL USE PROHIBITEDs Lessee shall not allow the leasehold ' premises to be used for an unlawful purpose. i 55. APPROVAL OF OTHER AUTHORITIESs The issuance by the City of Lenses does not relieve the Lessee of responsibil- ity of obtaining licenses or permits as may be required by duly authorized Borough, State or Federal agencies. 56. REASSIGNMENT/RELOCATION: Should it be neces- sary to re -assign Lessee to a di forent aroa of the airport terminal, the parties agree as followst At least thirty (30) days written notice, in advance of such reassignment, shall be provided to Lessee. The costs of relocation, including the costs of moving and setting up counter and related facilities, shall be j borne by the airport terminal and may, upon the agreement of the 11! parties, be subtracted from the monthly rent duo by Lessee to the Airport terminal. Should reassignment and relocation be necessary, Lessee shall be provided and afforded equivalent space, in terms of both area and location, as that which it presently occupieq. IN WITNESS WHEREOF, the parties hereto have here- ! unto set their hands, the day and year stated in the individual acknowledgments below. LESSORt CITY OF KENAI By s _ LESSEES 1 (If Lessee is a corporation) ATTESTS I STATE OF ALASKA ) )as -:,....••..,:...••�....a...r.wr.-{:••• THIRD JUDICIAL DISTRICT ) Before me, the undersigned, a Notary Public in and for the State of Alaska, on this day personally appeared {Vm. J. Brighton City Manager of the City of Kenai, known to be the person who executed the above Lease and acknowledged that he had the authority to sign the same, for the purposes stated therein. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of 19 "— LEASE - Page 13 REVISED 11/13/79 ,� Notary Public in and for Alaska My Commission Expires: INITIALS LESSEES LESSOR: 91� 1 1 11 M . . . ... .. CORPORATION ACKNOWLEDGMENT STATE OF ALASKA ) )RS THIRD JUDICIAL DISTRICT ) Before me, the undersigned, a Notary Public in and for the State of Alaska, on this day personally appeared ,MOwo) and known to me to be the persons and officers whose names are subscribed to the foregoing Lease, who being duly sworn, did say that they are the President and , respectively, of Company, corporation , and acknowledged to me that they executed said Lease as their free act and deed in their said capacities, and the free act and deed of said corporation, for the purposes stated therein. GIVEN 19 evl� MY NAND AND SEAL OF OFFICE► this /� day of �y"jj"/��'�7vj►�'r 19 QV . to PzblLc in and or Alaska My Cgmission Expirea;,c- 9--d-2— INDIVIDUAL ACKNOWLEDGMENTS) LESSEE STATE OF ALASKA ) )ss 2 THIRD JUDICIAL DISTRICT ) ;� On this day of , 19_, before me personally appeared known to be the person who executed tfte above Lease and ackaow edged that he (she) had the authority to sign the same, for the purposes stated therein. Notary Public in ana for Alaska My Commission Expires: ACKNOWLEDGMENT FOR HUSBAND AND WIFE r STATE OF ALASKA ) )8a THIRD JUDICIAL DISTRICT ) Before me, the undersigned, a Notary Public in and for the State of Alaska, on this day personally appeared and , husband and wife, both known to a the persons whose names are subscribed to the foregoing Lease, and acknowledged to me that they executed the same as their free and voluntary act and deed, and for the purposes and considerations therein expressed. GIVEN UNDER MY HAND AND SEAL OF OFFICE, this day of Notary Public in and for Alaska My Commission Expiress LEASE - Page ld •• ~" REVISED 11/13/79 LESSEEs LESSOR:OR211 \1` Approved an to Lease form by City Attorney & (Initials) - Approved by Finance Director In tia a Approved by City Manager , 'wu LEASE APPROVED BY City Council this _ day of 19__ City Clerk LEASE - Page 15 REVISED 11/13/79 3 � f i - t. INITIALS LESSEES L"SSORS r ups op CH2M HILL ers planners planners economists scientists Anchorage Office 310 K Street, Suite 602 Anchorage, Alaska 99501 907/279.6491 Date Job No. City of Kenai Client Ref. No. Eox 580 Invoieo No. Kenai, Alaska 991311 Attn: Mr. Charles Srom, Acting City Manager April 15, 1980 K12720.Z2 loll)$ For professional services through March 24, 1980 regarding the Sewage Treatment Plant services during construction. For detail regarding this billing refer to Progress Report No. 12. Professional Services $4,754.40 Expenses 3,425.91 (xi doc.,prep,� Less Cash Received (Contract Douments) (1,728.50) Fee 948.19 i Total $7,400.00 AMWNTDUE . .. . . . . . . . . . . . . . . . . . . . . . . $7,400.00 �. 1 �N (1�'la Pole' try Cr 'ea.. % a �t APPRO /FD OY =7 OP PrM.,41 :✓~���;aeaatrR.....«...L...».».«.....« 1�nrrat�rr .....�<<�«..............,. f3 ATTOPNZY................. ......«..«......� 011101RAL C9PY TO »«Jt`b %a &je.............««. Jvi, Oyr, ai �; COwJ/t'Mr.7i0„ Sr+!/ls�,Ow OtA�r is 84/4 i DUE AND PAYABLE ON RECEIPT OF STATEMENT. FINANCE CHARGES, COMPUTED BY A "PERIODIC RATE" OF 1% PER MONTH, WHICH IS AN ANNUAL PERCENTAGE RATE OF 12% (APPLIED TO THE PREVIOUS MONTHS BALANCE AFTER DEDUCTING PAYMENTS AND CREDITS FOR THE CURRENT MONTH(, WILL BB CHARGED ON ALL PAST -DUE AMOUNTS UNLESS OTHERWISE PROVIDED BY LAW OR BY CONTRACT. K11 INA oMj- 41IC-lo f CH2M AP? IIH I LL Anchorage Office Ow.CITY OF pu,C WWOR IM engineers 310 K Street, Suite 602 Anchorage, Alaska 99501 I ew) planners 907/2794A91 economists scientists Date April 15, 1980 Job No. K12720.00 a • City of Kenai client Ref. No. ' BOX 580 Invoice No. 10109 � < ,. Kenai, Alaska 99611 .,...,.,� Attn: Mr. Charles Brown, Acting City Manager irnairmSr Aw I - F ' STATEMENT For professional services from February. 25, 1980 through March 24, 1980 regarding the Sewerage Projects design. For detail regarding this billing period refer to Progress Report No. 12. Professional Services s $5,864.65 Expenses 1,669.18 Fee y /T;p, _1,116.17 Total $8,650.001110, r - AMOUNTDUE . . . . . . . . . .'. .. $8�650.00 M Pd /� Or � ��09 •ZOO r ' K li i s APP1101 1 sy S:1't 0F ....t.t14M.c�...........». f DUE AND PAYABLE ON RECEIPT OF STATEMENT. FINANCE CHASGES, COMPUTED BY A "PERIODIC RATE" OF 1% PER MONTH, WHICH IS i AN ANNUAL PERCENTAGE RATE OF 1296 IAPPL1E0 TO THE PREVIOUS MONTHS BALANCE AFTER DEDUCTINO PAYMENTS AND CREDITS FOR THE CURRENT MONTH), WILL 8E CHARGED ON ALL PAST -DUG AMOUNTS UNLESS OTHERWISE PROVIDED BY LAW OR BY CONTRACT, I I I � w • ( (•1_ �IhI� 1'lli�ll)1'l'fs • I)IJillll'I'S 1111t H1114S ti( Il'illltit5 April 23, 1980 K12720.00 Mr. Bill Erighton, Manager City of Kenai P.O. Box 580 Kenai, Alaska 99611 Dear Mr. Brighton: Re: Kenai Sewerage Projects Progress Report No. 12 Progress on the design and construction services for the interceptor, sewage treatment plant, and outfall continued during March 1980. During this time we assisted the City in preparing the grant increase request documents for an additional $25,000 for the interceptor design and received the State certification of the Step 3 grant for the sewage treatment plant construction. Major progress during March 1980 is summarized as follows: Sewage Treatment Plant o Construction bid advertisement continued through March. Distributed two addenda. Bid opening held in Kenai as sched- uled on April 3, 1980. o Attended prebid conference and construction site tour in Kenai on March 20, 1980. o Received approval of the contract documents from the ADEC. o Documented resolution of ADEC comments in Leman/Britt letter of March 4, 1980. Responded to telephone and written questions/ comments by the ADEC. o Received letter from the ADEC regarding preliminary user charge analysis. o Responded to Kornells' letter of February 19, 1980 with our letter of March 11, 1980. Anchorage Office Denali Towers North, 2550 Denali Street, eth Floor, *chorage, Alaska 99501907/278-2551 /T '••r'. Fill � r i�llrt��r�, '�.,r:,,,l,�r Kil/10.D0 April 23, 1,1t1.0 P.,rue z. Activities anticipated during April 1980 inrlude ADFC and CPA review of the award of the contract to grown Construction, and scheduling of preconstructjon conference. Interceptor o Our in-house review concluded that an alternative shallower design with an additional lift station would be a better, lower - cost solution. On this basis we prepared the Amendment to the Wastewater Facilities Plan and assisted the City in adver- tising for the public hearing. o Researched survey data for the area near the Russian Orthodox Church and the Bay Arms Apartments. 1!le anticipate that Kenai will receive approval of the grant increase request from the ADEC and that the requested additional soils work and redesign of portions of the interceptor can begin in late April or early May. Ou—tfall o Visited the proposed outfall location with the ADEC on March 20. The , ADEC performed dye studies and collected samples for conform tests as a basis for accepting or rejecting the proposed location. o Received preliminary verbal recommendations for outfall location. Written confirmation of the ADEC recommendations was received during April. We expect that when EPA funds become available, final design and con- struction for the outfall can proceed. It appears at this time that outfall construction will be delayed until 1981. Sincerely, Loren D. Leman, P.E. bja cc: Keith Kornells c a► s�n� ci;�k H May 9, 1980 A•» A&-; Av. T0: Bill Brighton FROM: John Amundsen Subject: Committee Representing Citizens Living Southeast of Beaver Creek On May 6, approximately 30 residents of the City of Kenai residing southeast of Beaver Creek attended a taxpayer's meeting at the Eagles Lodge. The purpose of this meeting was to discuss the level of services, or lack of services, that were being provided by the city at taxpayer's expense. The subject as how to approach the City Council and city administrators to rectify the existing problems and meet those that might arise in the future was of prime concern. It was decided that a committee of four people would carry our appeals to the council and administration. This committee would be responsible to the larger committee and would express the group's concerns. The four that were chosen are as follows: John Amundsen 283-7763 (Home) Box 602 283-7505 (Work) Kenai, Alaska 99611 Thompson Park Tom Wagoner 283-4930 (Home) Box 3969 Thompson Park Kenai, Alaska 99611 Bob Smith 283-4160 (Home) Box 3204 Valhalla Heights Kenai, Alaska 99611 Buz Wylie 283-4466 (Home) Box 3501 Valhalla Heights Kenai, Alaska 99611 As you know, the committee addressed the Kenai City Council on Wednesday evening, May 7. The council was informed of the organization and some of the requests that would be forthcoming. Mayor O'Reilly recommended that the committee work with the city administration, specifically the two of you. Toro Wagoner then announced that we would be bringing you this letter and a list of problems that we would like to see alleviated. We would like to bring your attention to the following problems that exist and request that equal services be provided as in other areas of the City of Kenai as paid for in our property and sales taxes. 1. Street Improvements - Many areas do not have adequate "all-weather" roads. Residents are not able to procede to their homes in their vehicles year round. The City of Kenai needs to accept the main- tenance and upgrading of roads in Valhalla and other like areas to meet this "all weather" standard. The main side streets need dust control agents applied to them during the summer months. 2. Fire Protection - A fire house should be manned on a 24-hour basis ana locate on the easterly edge of the city. The possibility of contracting this'service out with the expenses shared by the un- incorporated town of ttidgeway should be explored. 3. Beaver Creek Water Line Ri ht of Way - Very little has been done To -Maintain the hill leading to Beaver Creek along the right of way. The hilt is eroding from water run-off along with damage caused by cars and motor bikes using it as a driveway to the creek. This area should be blocked off or other means used to prevent further erosion. 4. Parks - The Boy Scout Park that was set up between Thompson Park and Beaver Creek has received no maintenance. We would like to see this area upgraded to incorporate baseball fields and other such items to make this a useful recreation area. This could possibly be accomplished in cooperation with local service groups, clubs or Little League organizations. Currently, this area is in shambles and practically a wasteland. 5. Sewer and Water - We would like to see an engineering and feasibility study concern ng the installation of sewer and/or water in the areas without these services. Our fire rates are high and the property value lower because of the lack of these services that have been afforded other areas in the city. 6. Street Li hts - We would like to see street lighting installed within e su v sons. These lights should initially be installed at the main intersections. 7. S eed�Zoness - The subdivisions need adequate speed zone marking an e� n of rcfng. The city should request a lowered speed zone or no passing zones along the Spurr Highway. High speed passing along the east side of the curve by Beaver Creek makes it extremely hazardous to enter or exit the subdivisions in this area. S. Highway Crossing - Designated highway crossings should be established y Thompson Park, Strawberry Road and Highlands Trailer Court. These areas have high children traffic and their safety is of high concern. We do not feel that it is unreasonable to expect an answer to this letter within two weeks of this date. If we can be of any help, or 1f we can expand on any of these points, please feel free to call on us. f1 . ...... . .... ....... .�... ...�.........�. .. ...NH:•.:r.tir.9:t V.4,AMLM3"grp "lip•/.:.-....�:'.'.:�i�'�_..�.....�r.....'�:.w.1 irk• ,w'v �*Fy% E 1 � C 0 V $11c; l pPYovekI CITY OF KENAI P. 0. BOX 380 • KENAI, ALASKA - PHONE 283.7535 To, Bill Brighton, City Manager • _ _ _ '`ter'._ FRONIs Pat Porter, Senior Director DATE REFERENCE UMTA Vehicle Mr. Brighton, The following tiems are needed to transfer title of the UMTA vehicle: 1) a memorandum of understanding between the Salvation Army and the City of Kenai (this memorandum should state that the vehicle will be used to serve the same clients identified in the original application, although additional clients may also be served). 2) a letter showing written evidence of financial capability. 3) the Operating Agreement for the vehicle needs to be filled out (Ben Delahay, has this agreement). The Salvation Army, has the matching funds for the vehicle in a local Kenai bank. Should the_pjt funds be transfered to the City of Kenai before July 1. 1980? 1-, .J t. SIGNED DATE DATE NAME RECEIVED Larry Attleson 314180 Sherie Douthit 3/4/80 Marilyn Thomas 3/4/80 Mrs. Oshourne 3/10/80 Sandra Votar 3/10/80 Lorretta Bredden 3/13/80 Debbie Adamson Mrs. Coonrod Mr. Black Mrs. Cowans Mr. Bailey L.R. Thomas 3/24/80 3/24/80 3/25/80 CITY OF KENAI CITIZEN PETITION MONTHLY REPORT DATE DATE INVEST. CITIZEN SERVICE REQUESTED COMPLETED NOTIFIED DEPARTMENTAL REPORT Berm off Tern Street collecting water. 3/12/80 Street has been plowed. Walker Lane needs graded. 3/4/80 Street has been sbrape4. i •Walker Lade needs to bo drained• lake forming. 3/10/86 Wafer has been drained. •, ' off of road surface, and ditches cleaned out. Needs grading really badly. Rogers Rd. 3/12180 Street has been plowed., Mission Avenue behind Toyon Villa, needs to be grades - lots of slush. 3/12/80 Street has been plowed. Intorsection of Barabara•Drtve needs 'scraped. sand badly. 3/21•/80 Street has been and sanded.. Welker Lane needs to be graded. 4/2/80 ,. ,Street has been.graded. Silver Salmon and 88th.needs. to be.plowpd.'-'4/?/80 Street has been plowed. r Water running into basement at Salvatioh 4 Army, Frontage Road -.needs dirt. „ 4/2/80 Water on.Frontage Road y has been pumped. several.r f• times and we are pumpin¢r i now. 1. 3/25/80 high ridges and puddles Redoubt Terrace Forest Drive Ext. 4/4/80 Street has been scraped and plowed. .„ 3/25/80 Walker Lane needs to be drained. • 4/2/60 Ditch has been•'oPened and•'• is drsi►sing now. , 3/25/80 Walker Lane is flooding. .4/2/80 Ditch opened and is draining. ' CITY OF ENAI CITIZEN PETITIL ONTHLY REPORT DATE DATE DATE INVEST. CITIZEN NAME RECEIVED SERVICE REQUESTED COMPLETED LETED NOTIFIED DEPARTMENTAL REPORT Pete Evans 3/25/80 Tinker Lano is flooding. 4/2/80 The ditch has been opened and street is dra4ning • .now. •. all, Mrs. Attleson 3/25/80 �Cal do Sac between Sterling P, Harbor ` needs to be graded again. 4/14/80.• Street has boon plowe& j John Sivloy 3/25/80 Largo puddle at Birch 4 2nd intersection 4/14/86 Water drained. Nick Longhitano 3/25/80 A lake at Forest Drive 4 Redoubt 4/7/80 Water has been drained.' Tamera Santigago 3/25/80 Street 4 her carport flooded at Redoubt Terrace. 4/21/80 Water drained. Mrs. Osbourno 3/25/80 Rogers Road needs to bo.plowed.. 4/2/.80 ' Street has beon'plowod. Judy DeVito 3/26/80 Drain needs to be broken loose across from Lupine North. 4/14/80 , Drain opened. Mr. Sparks 3/26/80 Sth $ Hemlock needs to be graded, :.-4/4/80 Street has been plowed. Mr. Shearer 3/26/80 Sth 4 Pine needs' to be graded. 4/4/$0 Street has been plowed. 1 Mr.• Dinger 3/26/80 All main V.I.P. slush gott.ing'deep: 4/2/80 . Sub. has 'been •plowed. !� Jim Hansen 3/26/80 Woodland needs grading -'Maple in particular'4./4/80 Woodland Sub. has, been A4: plowed several times, y; , -we are doing -all we can:, Mrs. Wells 3/26,[80 Pine $Redoubt need to be graded. 4/14/8A Streets have been plowed:! �. Mrs. Spor Mrs. Walker 3/26/80 Salmo Circle needs graded.. 4/14/80 StreetPlowed;. Linda Swarner 3/26/80 Sth 4 Ash needs graded. 4/7%80 Woodland Sub. has been plowed and water drained.. I GITT OF KENAI CITIZEN PETITION MONTHLY REPORT DATE DATE DATE INVEST. CITIZEN ► _ „t:A�tE RECEIVED SERVICE REQUESTED COMPLETED NOTIFIED DEPARTMENTAL REPORT Juanita Dunn 3/26/80 Roduubt 4 Forest flooded, 4/7/80 Water drained. Mr. Lovett 3/26/90 Main entrance,on Woodland off Forest is flooded. 4/7/80 .' .Water has been ,drainod.' ;,!r - Dena Gabbett 3/26/80 Maple and Oak need plowed. 4/7/80•:'" Road ploved. .i Kathy Fay. 3/26/80 Redoubt -Fathom Drive needs to be graded. Road graded. Vernon Darrell 3/26/80 Large hole in dip between Forest R Spruce needs a barrier. 4/7/80• Hole, has been barri- caded. Carol Seymore 3/26/80 First Street in Mommsen needs tC be blockaded and drains•need to he opened. 4/4/80 1st Street has been blockaded. Mr. 11ondorson 3/26/80 VIP Estates needs graded, 4/2/80 Sub. has been plowed. Allen Houtz 3/27/80. Corner of Maple 4 Walnut neede to be plowed.4/8/80 ". Street has b6en•plowed. Valerie Williams 3/27/80 Inlet View-Rogora needs.plowed. 4.114180 Sb.,plowed, Rogers road ' .. graded. Mrs-. Attelson 3/27/80 Called last week - needs eul de sac on left of Sterling Street in'Central y: Heights graded. 4/14/80 Sub. has been plowed. .I�f rnrs,Ernie Rimer 3/27/80 Redoubt Sub needs to be plowed. 4/4/80 Sub. has been plowed. }; Joyce Billings- 3/27/80 1st Street - Mommsen Subdivision is impassable, -'.needs graded. 4/7/80- Road plowed. Naomi Lindsey 3/27/90 2nd 4 California Streets really bad - f: needs graded. .4/7/80 Mommsen .Sub. has',bebn (; plowed.' Rose Navarre 3/27/80. Maple 6 Ash in..Woodland need graded. 4/7,/BO Woodland Sub. has been plowed. #. - I 0 CITY OPT NAI CITIZEN PETITIG,. MONTHLY REPORT DATE DATE DATE INVEST. CITIZEN NAME RECEIVED SERVICE REQUESTED COMP, LETED NOTIFIED DEPARTMENTAL REPORT Mccee 3/27/80 Pores Drive going into Woodland from Redoubt -.Maple Street I.- had. 4/7/80 Redoubt and Forest are State highway roads. Rocky Thompson 3/27/80 ,Gradets came by -and filled driveway I on Walnut. 4%4/80 ,' ' We do not- have the 'man- power to be cleaning o driveways. Pierce 3/27/90 Woodland -Maple needs grading. •4/4/80 Has been plowed. Vic Segurd 3/27/80 Beaver Loop off .Jultson side 'streets ' are bad. 4/4/80 All city side streets off Reavor Loop have been plowed today. Sherry Pate 3/27/70• Tinker Lane needs grading 4/218a• Street has been smoothed out as good as possible. Kathy Heus 3/27/80 Woodland-Rodoubt extended, needs work. ..4/7/80 Woodland Sub. has boon plowed. ' Nu State Nursery 3/27/80 Second Street needs to he graded. 4/21/80 Street Graded. Mrs. Burnett 3/27/80 Nuge lake in street Spruce off - Candlelight 4'/21/80 `.. Water draine4. !}! G Wilson 3/27/80 Left a pile of ice in drive at Woodland •� Circles 2nd. 4/2/80' We do not have the man - power to 'be cleaning drib: ways. . Marge O'Reilly 3/27/80 Ash $ Laurel hasn't Been graded for four days. 4/2/80• Woodland. has beWplowed. Jerry Andrews 3/27/80 UP needs grading badly. '4/2'180 Sub. -has been plowed. i 4 • ;y t - r F i i t CITY OF KBNAI CITIZEN PETITION MONTHLY REPORT DATE DATE DATE INVEST. CITIZEN NAME RECEIVED SERVICE REQUESTED COMPLETED NOTIFIED DEPARTMENTAL REPORT Carol Ambarian 3/28/80 Ames' Road needs"grading. 4/4/80 Street has boon plowed. Thomas Stroman 3/29/80 plooded:rood, ngeds.bledod at National Guard Armory. 4/7/80 Road bladed, water 4*5 ' drained. Irvine Crane 3/28/80 Davidson Division - Hi•ghbush needs drained. 4/2/80 ' Water has been pumped severai times. Young 3/31/80 Cottonwood and Forest Drive needs to •. be graded. 4/2/80 Street -.has been plowed. Oskolkoff 3/31/80 Birch, 4th 4 Sth Streets need to be plowed and not in drive. 4/2/80 Street'has boon plowed. f Mrs. Burgess 4/4/80 Needs her driveway plowed out. Heavy snow from plow at Redoubt - Tanaga. 4/4180 The City street department does not have the man- power to be cleaning drive ways. ,..Stan Thompson 3/31/80 Deep, hole and ditch needs unplugged. -at , Thompson Park. Fern $ Primrose, 4/7/80 Ditch has been cleaned... , i We are pumping water now.., Lil flakkinen 3/31/80 'Evergreen, 4th 4 McKinley Streets need• fy': graded. 4/14/80 Streets have been graded ::. Water has been -drained off - of McKinley Street. c Jackie Imle 3/31/80 Cyprus needs :to be graded. 4/14/80• Street plowed. Thompson 3/31/80 Deep water at Thompson'Park - Primrose/ , Fern. 4/14/80 •, Water drained. t Hinricks ,n� 3/31/80 Grader not dropping blade at Woodland - • Walnut. 4/14/80 Woodland Sub. has been plowed ileveral times. We - .: . cannot rip up'the ice - tnn hard nn enninmolit. iE'.F `) •�..._»... ..tea. ... _. _ 1 1} � • I Y } f CITY OF KENAI , CITIZEN PETITION MONTHLY REPORT ' DATE � DATE DATE INVEST. CITIZEN XAME RECEIVED SERVICE REQUESTED COMPLETED NOTIFIED DEPARTMENTAL REPORT Hrving Crane 3/31/80 Cdlvert filled with ice, needs to be. cleaned. out on Bumblebee and Highbush. The water on Highbush hes been drained. •'�� Mrs. Bailio 3/31/80 grains'at lat and Florida need to be . opened. 4/21/80. Drains opened. �,. t I i r CITY OF KENAI CITIZEN PETITION MONTHLY REPORT DATE DATE DATE INVEST, CITIZEN "AME RECEIVED SERVICE REQUESTED COMPLETED NOTIFIED DEPARTMENTAL REPORT Bob Dubois 3/3/80 Lost German Shepard puppy. 3/3/80 Lost Dog Pile. ` (i Mrs. Lockhart 3/3/80 Dogs running loose at Birch and Sth St. 3/3/80 Patrol area daily -as tloo permits. Greg Gabriel 3/3/80 Lost dog - lab mix, Kalifonsky Beach Rd. 3/3/80 Lost Dog Tile. t Audrey Schwartz 3/3/80 Dogs running loose in Woodland. 3/3/80 Patrol area daily as time . permits. Roland Cussow 3/3/80 Dogs still in green house. 3/3/80 Checked out. Dogs not 'in green house when I arrived Brian Johansen 3/4/80 Dogs running loose V.I.P.* 3/4/80 Patrol area daily as time ; permits. }; Joe Terrell 3/4/80 Dogs running loose Birch Street between t 3rd and 4th. 3/4/80 Patrol daily as -time f �. permits. ° 1: Vince Stroman 3/4/80 Dogs running loose chasing moose in V.I.P. Subdivision. 3/4/80 Patrol area daily as time r►,. permits. _ .oland Cusson 3/4/80 Probably should be some additional help and stronger laws for dog -control. He is in favor of increasing taxes io help pay ti Jw• for additional help in animal control. 3/4/80 Comments noted. Mrs. Lockhart 3/4/80 Having problems with other people's -dogs after hers. Birch Street has too many ddgs running loose. 3/4/80 Will have animal control''. t officer patrol area morg often. n CITY OF KENAI CITIZEN PHTITION MONTHLY REPORT i DATE DATE DATE INVEST. CITIZEN RECEIVED SERVICE REQUESTED COMPLETED NOTIFIED DEPARTMENTAL REPORT Mrs. Terrell - 3/4/80 . Dog catcher not doing his job t i at far end of Birch Street, and complains of not having 'enough help. .3/4/80 Pill talk to animal' ' y, control'officer and heye him patrol area more / often. # i Gail Watkins 3/5/80 Lost Husky Birch' 3/5/80 Lost.Dog File. t I Brad Cason 3/S/80 Found Samoyed dragging chain. Have j anyone losing such an animal•contdct him. 3/S/80 Lost -Dog File. ' 3/6/80 Mr. Cason called bacX to I have me pick up dog because'no one claimed it. Theresa Courtney 3/6/80 Dggs running loose, dogs at her house now Cinderella Street. 3/6/80 'Check out. Dogs were ggone when I arrived. i 4ocated owners and dia- 1 cussed, situation. Carol Taylor 3/7/80 Lost Norwiegen Elkhound, Boluga Bay- Estates.- 3/7/80 Lost dog File. j Phil Bryson 3/10/80 killed by dogs 3rd and Birch.. 3/10/80 Contactod Phil regard- n tF .Goat ing incident. i Verlin Darrell. 3/10/80 Stray dog tied up in his parking lot. ^! Please pick-up - looks like a pt bull.• 3/10/80 Picked up dog. Gayle Newmire 3/10/80 Lost St. Bernard and'Newfoundland by E Eagles.. 3/10/80 Lost Dog. File. Robin Bedunmah 3/10/80 Lost Poodle. 3/10/80 Lost Dog File. i FI { i fT ` CITY OF KENAI CITIZEN PETITION MONTHLY REPORT DATE DATE DATE INVEST. CITIZEN NA%IP RECEIVED SERVICE REQUESTED COMPLETED NOTIFIED DEPARTMENTAL REPORT Pat Zursluh - 3/10/80 Dogs running loose Maple Street and Oak: 3/10/80 Parol area daily as time .permits. Margo•Zuelon 3/10/80Lost black Lab.Sth and Ash. 3%30/80 Lost Dog -File. Sandy Miilor 3/10/80 Dogs•rudning loose Cypress St: 3/10/80 Patrol area. i Francis Jones 3/1'1/80 Dogs running loose Linewood Lane. 3/il/80 Patrol area daily as time• permits. Lori Johnson 3/11/80 Lost Siberian Husky. 3/11/80 Lost Dog File. j i Lee Sinclair 3/11/80 Lost McKeAnze River 11u81cy and•.Poo'dle.. 3/11./80. Lost Dog File. Skyline Drive.' Mary Toutonghi 3/12/80 Lost female spayed -Samoyed. 8 miles South of Sooldotna 3/IZ/80 Lost Dog File. { David Haberman 3/14/80 Lost Lab Mix Lilac Street. 3/14.80 Lost Dog File. 'teve Reynolds 3/17/80 •Lost.Australian Shephard Kiwi•Apts. 3/14/80 Dog impounded 3/14/80 C } Picked up 3/17./80 Penny Francisco 3/19/80 Lost Lab -Irish setter puppy Linwood Lane. 3/19/80 Lost Dog Pilo. tti! t Mindy Morning 3/21/80 -St. Bernard bothering her and her dog. 3/21/80 Patrol aroa as time permits. ' - Harold Allen 3/24%80 Lost German-Shephard. North Kdnai 3/24180 Lost Dog File. Kathy Brockton 3/24/80 Dogs running looses V.T.P.. Wind Jammer Ct.' 3/24/80 Patrol area da•ily�ss t •_ ;_ .� time permits. 1 Douglas Wi rs 3/24/80 host pit bull Redoubt Townhouses 3/24/80 Lost Dog File.. • R r 4 i; .y s t�. CITY OF KBNAI CITIZEN PETITION MONTHLY REPORT DATE DATE DATE INVEST. CITIZEN NAME RECEIVED SERVICE REQUESTED -COMPLETED NOTIFIED DEPARTMENTAL REPORT Karen Rouse r 3/25/80 Lost Norweigen'Elkhound Katmai. 3/25/80 Lost Dog File. John Catheart 3/26/80 Lost St. Bernard Salamantoff Lake. .3/26/80 Lost Dog File.' � 'lave Burnett .3/26/80 Lost German Shephard Redoubt 6 Cyprosa .3/26/80 Lost Dog. File. . 1'am Hambrick 3/27/80 Dog is in host 'several dogs w/o togs are hanging around. Can you come and pick up? 3/29/80. Checked out apartments.' so view Apartment's. Tried contacting her , Ester Rhines, 3/21/80 Lost Airedale-Lab'mix Cresent Subdivision by phone with -no answer. 1 Salamantoff. 3/27/80 Lost -Dog File. Cindy Rose .3/28/80 Neighbors dog barking all-night.- 3/29/80 Owners wore contacted about''keeping dogs quiet at night. �., - If __ - - ____ - - --- - — u�u ^"' - - - "3:.•• of . ..,. .. - � .. _ _ I ANIMAL CONTROL REPORT MONTH IMPOUNDED DESTROYED D.O.A. ADOPTED CLAIMED March 80 48 11 3 4 I = i .. ®im xethd P0„I112u ity .ciAuzy A DUf31.IC 1.111HAHV IN SERVICE SINCE 1040 BOX 157 KENAI. ALASKA 99611 REPORT FOR THE MONTH OF APRIL 1980 Circulation Adult Juvenile Easy Books Fiction 1413 348 1170 Non-fiction 1769 144 247 Total Book Circulation 5091 Films, Phonodiscs, Pamphlets, Periodicals 500 Total Circulation 5091 Additions Adult Juvenile Easy Books Total Gifts 77 2 79 Purchases 98 37 6 141 Total Additions 220 Remedial and Re -worked Books Adult Juvenile Easy Books 169 3 3 Interlibrary Loans Ordered Received Returned Books 38 21 35 Phonodiscs/AV 36 43 29 Interlibrary Loans by our Library Films 34 AV Equipment 23 Books/Periodicals 40 Total Interlibrary loans 97 Volunteers Number 21 Total Hours 267 Income • Fines and Sale Books $ 490.90 Lost or Damaged Books 47.50 Xerox 221.75 Donations 25.00 Total Income for April $ 785.15 Total 175 BORROWERS CARDS ISSUED FOR APRIL 1980 Kenai 96 North Kenai 7 Soldotna 26 Clam Gulch 1 Sterling 2 Kasilof 10 Ninilchik 2 Total cards issued for April (includes renewal applications) 144 s 0� May 21, 1980 City of Kenai P. O. Box 580 Kenai, Alaska 99611 To: Honorable Mayor and City Council In January of 1980 a proposal was submitted to the Council, offering to sell the Trading Bay Professional Center to the City for use as a City Halt. A copy of that proposal is attached. Also attached is a copy of the Summary of the city engineer which deals with the feasibility of renovating the building for City purposes. The owners by this letter reiterate their offer to sell, with the following modifications, which we hope make the offer more attractive. The original offering price was $575,000. The city engineer found that the cost of removing and replacing 25% of the partitions would be approximately $50,000. We offer to deduct this amount from the original asking price, and offer the building to the City for a total price of $525,000. Also, in the event the City determined that it required occupancy of the building in advance of the previously suggested August 15th occupancy date, we would agree to provide the City with earlier possession. The.report of the city engineer alluded to the possibility that the City might realize significant savings in remodelling costs by negotiating with the owners to provide the building to the City in a remodelled condition. We would certainly be willing to entertain such a proposal in the event the City wished us to remodel the structure according to its specifications. We hope that the Council will consider the foregoing alternative in planning for a new City Hall. Ver trul your . C. R. BALDWIN For the Owners p �rrnari.r. January 10, 1980 City of Kenai P. 0. Box 580 Kenai, Alaska 99611 To: Honorable Mayor and City Council The undersigned understand that the City Council has determined that the City of Kenai is in need of a new City Hall, and that plans for construction of such a building is are being prepared. We understand that the projected cost j of such building is in the neighborhood of $1 million, and that such a cash outlay may hamper the City in taking on other projects in the near future which would also require ; outlays by the City of large amounts of cash. In this connection, we would like to offer to the City the following alternative proposal for a new city hall building. We offer to sell to the City of Kenai for $575,000.00 the building known as Trading Bay Professional Center, located within the City of Kenai upon Lots Five (5) and Six (6), Block Three (3), Cook Inlet Industrial Air Park. Occupancy of the building will be.guaranteed on or after i August 15, 1980. Title to the building could be transferred earlier at the option of the City. Attached are structural and operational specifications for the building. A portion of the building is presently leased by three parties: Rogers G Baldwin, Attorneys at Law (month -to -month lease); Arness G Carlisle, Certified Public Accountants (month -to -month lease); and Marathon Oil Company (five-year lease). All tenants except Marathon oil Company will vacate the premises on or before August 15, 1980 in the event of sale to tpe City. The owners believe that the premises can be readily modified to fill the immediate and long-term future needs of the City of Kenai. The owners hold themselves available at any time to discuss this proposal in further detail with the Council or Administration. w n L! A N 1 L y i i • City of Kenai i January 10, 1980 Page Two Thank you for the opportunity to present this proposal to you. Very truly your , BALDWIN_,•-Owner m 1� 0 JAMES A. ARNESS, Owner JOSEPH C. ARNESS, Owner • aj • r� CITY OF KENAI \ T `•Mr. T �,✓ ��/h� VWJy��lj1 Mad4a// P. O. BOX 580 KENAI. ALASKA 99611 TELEPHONE 783 • 7535 SUMARY j REVIEW OF TRADING BAY PROFFESSIONAL CENTER FOR CONVERSION TO CITY HALL On January 16, 1980, I personally visited Trading Bay Proffessional Center. I have reviewed the'building according to the following criteria. 1. Conformance -to 1976 Uniform Building Code zoning Code. 2. Description and tabulation of physical features and construction of building. 3. Capacityof the building to provide square footage required by the City. - 4. Remodeling/Renovation -costs based on the assumption of varying percentage of remodeling. (100%, 75%, SOU _- S. Suitability of the building•*•to function as intended including efficiency of, form,,energy..costs,insurance costs and annual maintenance costs: I REVIEW OF TRADING BAY PROFFESSIONAL BUILDING CONSTRUCTION TYPE: Wood frame, non -fire resistive UBC Type V-N i CLASSIFICATION B-2 Office Space f FOR INTENDED USE: • AREA: 8500 sq. ft. (6S00 sq. ft. available immediately) FOUNDATION: 4011 concrete block stem wall on 8" x 1611 - continuous concrete footing. EXTERIOR WALL: 5/8" T-111 plywood (channel cedar on front) over 2 x 6 studs, 1/2" sbeetrock & 1,4" paneling on interior finish. Sheetrock not fire taped. FLOOR: 18" deep floor truss at 24" on center with 3/4" T i, G plywood, design load - 100 psf total } f. tp ( i! } f , II t - 1 r Review of Trading Bay Professional Center Page 2 36" deep roof truss at 24" on center with ROOF: 1/21' plywood sheathing, design load 55 psf tota-& CEILING: Suspended, fiber file on metallic grid. PARTITIONS: 2 x 4 studs with sound board and 1/41' paneling, sheetrock in restrooms. INSULATION: Foundation - 2" beaded styrofoam Walls - R19 fiberglass Ceiling - R38 fiberglass WINDOWS: Wood casement thermopane. LIGHTING: --pended flourescent panels. FLOOR FINISH: offices - Carpet Restrooms - Linoleum Tile HEATING/MECHANICAL 220 VAC Baseboard electric heat. SYSTEM: STRUCTURAL INTEGRITY This building conforms to 1976 Uniform Building Code Chapter 25 i According to the truss requirements for wood frame construction. manufacturer,the roof design Live Load was 40 psf, and Total Load was 55 psf. The truss manufacturer also stated 'that the floor was designed to carry a 100 psf load. These figures are in conformance with applicable U.B.C. design standards. Both the attic space and crawl space were dry and showed no signs of rot i or decomposition. FIRE RESISTANCE No code requirements are in effect which require fire resistive construction or fire Protection for structural members. This structure conforms to U.B.C., Type V-N ►.o.odf.rame non -fire resistive 1 construction., According to Insurance Services Organization in av Anchorage, a non -fire resistive combustible building could nave up to 35 percent higher fire insurance rates than a similar building of non-combustible construction and equal occupancy. INSULATION/HEATINGiAtECHANICAL/VENT ILATION With R-19 walls and R-38 ceiling insulation this building meets the'ASHRAE 71 guide standards. for energy conservation in buildings.i 220V baseboard electric heaters are the prime heating system. Ventilation for this building is supplied by openable casement windows primarily along the west side of he building. The Uniform; Building Code Section 1105 requires All portions of -Groupnatural Division 2 Occupancies shall be provided with . 0 • ' Review of Trading Bay Professional Center Page 3 ventilation by means of exterior openings with an area not less than one twentieth (5%) of the total floor area, or . . . a mechanically operated ventilation system . . ." Offices in the rear of the building do -not have natural light or ventilation required in offices under this Section of the U.B.C. nor has a mechanical ventilation system been provided. Many of the heating units are located on interior partitions of the structure which would have to be removed and reinstalled when partitions are relocated. WORKMANSHIP/APPEARANCE The general appearance of the workmanship in the building is good although the suspended tile ceiling is noticeably uneven. Apparently, interior partition settlement has caused the grid system near wall/ceiling intersections to sag. This in turn leads to an uneven appearance of the ceiling system. PARKING There is 17,000 square feet of paved parking, enough for - approximately 48 automobiles - 33 spaces are required. AREA/CAPACITY This structure contains 8500 square feet of floor space. Until the expiration of an existing lease, approximately 6500 square feet are available to the City. Currently, the City requires 4500 square feet for offices and 1300 square feet for storage according to the Program for a new city hall. This totals 5800 square feet leaving 700 square feet that could be used for the Revenue Department if necessary. Upon expiration of the Marathon Oil lease in the North Wing, this might be converted to Council Chambers. There does not appear to be enough area to include both the Council Chambers and the Health Center at this time. RDIODELING/RENOXIATION COSTS Structural renovation of this building would not be necessary for the conversion to City Offices. The building is relatively new and as stated earlier shows no signs of rot or structural decay totheextent that it was investigated. Remodeling costs would be encountered if the City chooses to move partitions to accomodate City departmental functions. 9 1 • Review of Trading Bay Professional Center Page 4 Remodeling costs are studied in eight major categories as follows. 1. Ceiling the replacement. 2. Carpeting replacement. ' 3. partition demolition and replacement. • 4. Lighting relocation. S. Electrical relocation. G. Baseboard heater relocation. 7. Ventilation equipment. S. Contingency. { CEILING TILE REPLACEMENT As noted earlier the suspended the ceiling is uneven. In addition to this, the grid system for the ceiling tile is disconbetween inuous between rooms. When a partition is moved a 4 1/7- gap ceiling tiles will occur, equal in length to the removed partition. For these reasons, it.would be necessary to replace the ceiling grid in the remodeled portions of the structure to achieve a 1 uniform appearance. The cost for this would be about $2.50 per square foot. Total costs are: 100 percent replacement - $21,250 75 percent replacement - $159S0 50 percent replacement - $10:025 CARPETING REPLACEMENT Carpeting is also discontinuous from room to room, thus necessitating replacement of carpet in those areas that are remodeled. Unit costs will be about $2.00 per square foot assuming a medium duty commercial carpet is installed. Total costs are: 100 percent replacement - $17,000 75 percent replacement - $12,750 50 percent replacement - $ 8,500 I PARTITION DEMOLITION/REPLACEMENT Tear out of partitions will cost about $2.50 per lineal foot for an 8-foot high partition and $30 per lineal foot for replacement. This cost will vary depending on the quantity of partitions removed. There are presently 825 lineal feet o f s partitions in the structure. Assuming tear out of p relative to the following schedule, these costs can be expected. 100 percent tear out, 50 percent replacement - $14,450 7S percent tear out, 37h percent replacement - $10225S SO percent tear out, 25 percent replacement - $ r Review of Trading Bay Professional Center Page 5 LIGHTING RELOCATION Lighting relocation is estimated, on the basis of $2S per "bpenin94 for relocation. There are approximately 5S "rooms" with 3 openings per "room" for a total of 165 openings. 100 percent relocation - $4,125 75 percent relocation - $3,100 50 percent relocation - $2,050 ELECTRICAL RELOCATION There are approximately 55 rooms with 4 openings per room at $25 per opening. 100 percent relocation - $S,S00 75 percent relocation - $4,125 50 percent relocation - $2,750 HEATING RELOCATION There are approximately S5 rooms with 2 openings per room at $2S per opening. 100 percent relocation - $2,750 75 percent relocation - $2,050 SO percent relocation - $1,375 VENTILATION SYSTEM If rear offices are used, a ventilation system would be necessary to provide fresh air. A duct system would cost in the neighborhood of $20,000. An alternative would be to install windows in the rear of the building. According to one of the present owners, rear windows were not installed because they were considered a security risk. CONTINGENCY This is used to cover unforseen costs of remodeling. Usually a 10 percent contingency is normal. Contingencies could include telephone, power hookups, etc. CONTRACTORS 0 & P If the City buys the building and contracts for remodeling, the contractor would require a 25 percent overhead and profit �n top of the unit'. costs. An alternative would be to have the seller agree to modify the building before purchase by the City. Review of Trading Bay Professional Center • Page 6 . ENGINEER/ARCHITECT FEE If the City buys the building and contracts for remodeling, detailed plans and specifications would be required for bidding. This cost would be approximately 10 percent of the contract price. SUMMARY OF RENOVATION/REMODELING COSTS 100% 75% 50% 1. Ceiling Tile $21,250 $15,950 $10,625 2. Carpeting 17,000 12,750 8,500 + 3. Partitions 14,450 10,825 71225 E 4. Lighting 4,125 3,100 2,050 i S. Electrical I 5,500 4,125 2,750 - 6. Heating 2,750 2,050 _ 1,375 •7. Ventilation 20,000 - - ` - . Sub Total $8S,07S $48,800 $32,525 Contingency 101 8,500 4,900 3,250 Sub Total $93,575 $53,700 $35,775 - 0 P at 25% 23,400 13,425 i 8,950 , - k- i Sub Total $116,97S $67,125 $44,725 ` Engineer/Architect 11,700 6,700 4,500 at 10% TOTAL $128,675 $73,825 $49,22S� TA - -- G Review of Trading Day Professional Centers Page 7 SUITABILITY TO FUNCTION AS INTENDED From a statistical standpoint, this building provides the square footage required by the City of Kenai to house City Administration, a Health Center, and a Council Chamber if the Marathon Oil Company moves out of the Forth Winf. If the Marathon lease is not canceled prior to 'its expiration date, then either the Council Chambers or the Health Center would have to be deleted from the facility until such time as the additional space becomes available. i Remodeling of the office spaces could vary from making no renovations to completely removing all interior partitions and redesigning the interior.- Somewhere between these extremes lies a scheme which could be used to move the City offices into the Trading Bay Professional Center. This building has been subdivided into six separate suites each Of which has been further subdivided into separate offices and corridors. It would be possible to -place current City Departments into the separate suites with no physical connection between departments. This would result in inefficencies due to the time that would be spent moving from one office suite to the next via the outdoor sidewalk. By penetrating the walls between separate suites with door openings, it would simplify movement from one office to the next. This approach of "opening up" the offices to increase efficiency could be carried to a greater extent by moving partitions and creating spaces more suited to the functions of City government. Referring to. Planning the New City Hall, Report 1212 Management Information Service, International City Managers Association, included in the top ten parameters for planning a new facility is the following statement: Plan the city hall from the inside out with emphasis on work flow, convenience to the public and convenience for employees." Conversely another one of the prime considerations is stated: . i "Don't try to remodel an old post office, school building, ' convention hall, or other building designed for some other special use." i The present configuration of the interior spaces in this building, a grouping of enclosed offices is contrary to Report d212 which further states that: } f k Review of Trading Bay Professional Center Page 8 �. "More space is required for private offices; space utilization is restricted through segregation of areas for private offices; and considerable expense is involved in rearranging.and reerecting partitions. Ventilation, • lighting, and heating problems are complicated by a number of small offices; supervision and coordination of work, flow of work, and communications are made more difficult." From these comments it is apparent that more than a minimal amount of remodeling will be required. Consideration should also be given to the operating costs for energy for an ele••trically heated building. Currently electric power in commercial quantities is approximately 3.5 times as expensive as natural gas which is available to the site. Maintenance costs for major components of this building would be comparable to other buildings of equal size with the exception of the wood siding. Wood siding requires weather protection in the form of stain or other sealant every four or five years. to prevent decomposition or rot. BN/jet �'_ - fir......._.._ ... ... _ ._.._... .. TA TRADING BAY PROFESSIONAL CENTER Box 1059 Kenai, Alaska 99611 Trading Bay Professional Center is an office building in Kenai, Alaska. The building is located on lots 5 and 6, block 3, Cook inlet industrial Air Park Subdivision. The lots on which the building is constructed contain approximately 3.1 acres and front to Trading Bay Road. The building contains 8500 square feet of floor space including a utility room of approximately 80 square feet. General specifications of the building are as follows: 1. Foundation A. 8"X16" concrete footing on native sand B. Concrete block perimeter foundation wall 40" tall. 2. Basic Stucture A. Floor is built of 4"X2" floor trusses 18" thick with 3/4" T&G plywood subfloor B. Exterior walls are 2"X61' wood studs C. Roof is a flat roof built of 2"X4" flat roof trusses 40"thick with 1/2" plywood and hot -mop cover. 3. insulation A. Foundation walls - 21'styrofoam B. Exterior walls - 6" Fiberglass C. Roof - 12" Fiberglass 4. Windows A. Snood frame casement style thermopane 5. utilities ' A. The build+ng'is all electric and metered seperatly for lights and heat. The total energy cost for the year ended December 31, 1979 were : heat - $3,934.26, lights - $ 1,298.18. B. The building contains eight individual bathrooms and one shower and is connected to city rater and sewer. 6. Interior A. Throughout the majority of the building the interior walls are fini4hed with wood paneling. The paneling is over sheetrock on the exterior wall and over soundboard on the interior walls. B. The building is carpeted throughout with a commercial grade tight weave jute back carpet m. v LOT 7 , A. O 0 r • 0 ��f i �N LOT fo a 4 I �v p 46 t •'� LOT a' ~ BLOCK 7J' •►.� 0 - `9 L6GENC> &NA NOTES v FRAME P —Par. .� % U� UNG6Z er"TevertoN ,ap , O FOUND ✓2' 266A2 .ti • s, s:'...• 'TUE-56 LOTS 10 6E hBrN6D 1W LOT 4 Gn'Y WD'L 6Q ANC 519wLscz , DPAWFED c Pod, o `NO 42NESS &S •• NAIL..r ¢OUTS t 50X I(P10 �Kt~NAl , a�. qq�►� ...., q +~G�.OF A44 11 ` 1 horeby e«rlrr that I how swv*W nw rollo.+fq d"~i a y: • � •'.� ll GOOLG Wgj INDUlgoAL AIR PY..Sm 49TH �.. ti ®,..:.... .... ..r oearsd in the....c6N h ��._. Recording OJslrlaf, •;; '�} Alaska, ad ihs Ohs /newiso snte situated thereon ors • �./.t .. ......... •• •••� NAin the owwtr Yves and do not overlap or enerooch ' at P. •: i the pro wtr &ino adjacent thereto, Blot no PRONV. !; �� a' 3932•S : •� o nIs on Me 9rgpsrty "0 edjdeent IAsrata snaroaoA an the Promises 1n pwstion ad that there ors no ►oaA+oro, 1 �f4 •�•. �,, rassrnissbn Ipye ar o/Mr rialele easameMs s� sore O�aperh� A�'rphtt(tsAt►������+ CW os hdlestod Avon. hwad: 4/ toy-i6 p dw Ale 1 e� Iles Registered Land Surveyors __ 1 . r : I .._�"M«'rn„nr• ;v.: . Zy�::-�:.:'• ..:sap t i _ iI I 4 { , f BOND AGREEMENT This Bond Agreement made this _UQ day of May, 1980, between City of Kenai, hereinafter called "City," and AEROBORNE ENTERPRISES, INC., P. 0. Box 22608, Ft. Lauderdale, Florida 33335, hereinafter called "Owner," WITNESSETHs WHEREAS, Owner has purchased one Lockheed Constellation 1649-A, Serial N 1038 from Gerald E. McNamara and John P. McNamara on May 13, 1980, and WHEREAS, City requires posting of cash bond to secure City against cost or expenses in connection with use of the Airport by said aircraft, NOW, THEREFORE, the parties do hereby agree as follows: 1. owner agrees to post a cash bond in the amount of Five Thousand Dollars ($5,000.00) with City, receipt of which on May 15, 1980, is hereby acknowledged by City. 2. Owner has agreed to pay to the City tie -down fees in the amount of $25.00 per day for the number of days after transfer of title to said aircraft until the aircraft is removed from its location on the ramp at the time of transfer f of title to a portion of the airport to be designated by the Airport Manager just west of the taxiway westerly from Arctic Aviation hanger, and in the amount of $5.00 per day while at that location until removed from the airport, and to make payment of all future tie -down fees monthly in fadvance. t 3. Owner also agrees to pay for use of City equipment t and forces in moving said aircraft at the rate of $50.00 per + hour for use of a front end loader, and at the rate of $25.00 per man hour for the use of City employees to be paid promptly on billing. 4. Owner likewise agrees to pay promptly on billing for any future use of City employees or City equipment (except for the use of landing mate which the City agrees to , mil.�,`�1`.....'-y+`Y+7�.2gt':.'`::): •x:S?•':ilwel4 r �3 furnish without charge insofar as they are available and not being used for other purposes by the City) promptly after billing. 5. owner further agrees to reimburse City for any damages to the airport or airport property caused by said aircraft in removal therefrom and in the event that some expense is incurred by City in removal of said aircraft from any runway, -taxiway, or other area where it, in the opinion of City, might be or become a hazard and any clearance t of any such areas. 6. In the event of any suit brought between City and ' G owner for any mason, Owner agrees to pay the City any r costs, including attorney fees, incurred therein if so ordered by the court or agreed upon in any stipulation of settlement. i 7. In the event any payments due City by owner are not paid within thirty (30) days after billing, city may transfer to its general fund such amounts as might be due from the cash bond posted herein, and if at any time the amount remaining of said cash bond is lees than Three Thousand Dollars (03,000.00) owner agrees to post additional cash bond as may be necessary to build the cash bond up to an amount of Five Thousand Dollars ($5,000.00) or more. I j. S. Owner Further agrees that the above -described ! aircraft will be removed from the Kenai Airport within a period of one year from the date hereof. }}' In the event that Owner complies with all the terms of f' Ithis Agreement and removes the above -described aircraft from � the Kenai Airport, then on notice, satisfactory to the City, that said aircraft.has landed at some other airport, City 1 agrees to repay to Owner, within ten (10) days after said notice, any balance then remaining of said cash bond after application of any portions thereof for any of the expenses, costs, or damages suffered by City by reason of said aircraft ) being on Kenai Airport and its removal therefrom during the period beginning May 13, 1980. I BOND AGREEMENT - 2 ` i k _ _. i i Executed on the date first set forth above by Owner by its President, Henry F. Maierhoffer, and axecuted on behalf of City by the City Manager of City, William J. Brighton, on the date set forth below. OWNER: DATE: May _,, 1980 AEROBO E ENTERPRISES, INC. By: GUIM7.a echo CITY: CITY OF KENAI By: j William J. Brighton BOND AGREEMENT•- 3 i. LEASE I THIS INDENTURE of lease made and onterod into this tat day of April, 1980 by and hetweeen PENINSULA ENTERPRISES, INC., a corporation organized and existing under the taws of the State of Alaska, hereinafter called Lessor, and VECO, INC. S1S1 Fairbanks Street, Anchorage, Alaska, an Alaskan Corporation existing under the laws of the State of Alaska, hereinafter called Lessee, W I T N E S S 9 T H: e WHEREAS, Lessee desires to lease the following described i property, and Lessor is willing to lease the same to the I Lessee under the terms and conditions hereinafter stated; The said Lessor, for and in consideration of the rents and eovonants hereinafter mentioned on the part of the Lessee to be paid and performed, has let and leased, and by these presents does hereby let and lease to the said Lessee, the following: Lots 16, 17, 18 and 19, located on the Kenai Airport, Kenai, Alaska, including the hangar and any improvements thereon, to have and to hold for the term of six (6) months, beginning on the let day of April, 1980. ` The Lessee agrees to pay the sum of Two Thousand Five i Hundred Dollars ($2,500.00) per month for. the aforemgentioned 4 premises, the first and last month payments to be made on the lot day of April, 1980, and a like amount on the let day of each month thereafter for the term of this Lease, or an extension thereof. - The Lessee has examinild and knows the condition of said promisee and has received the same in good order and accept "as La." The Lessee may not assign or sublet any portion of the promisee covered by this Lease without first having obtained written consent by the Lessor. 4 The Lessee covenants and agrees that it will not do, or permit anything to be done on said premises, bring or keep k anything thereon, which will conflict with the laws relating to fires, or with the regulations of the fire department. or with any insurance policy or policies upon said building or r any part thereof. The Lessee covenants and agrees that it will not suffer or commfit any waste of #aid premises. and at the expiration of this Lease it will quit and peaceably surrender said premises in as good condition as reasonable use and wear thereof will permit, damage by fire or the elements excepted; and that the Lessor, its agents and servants, may at all reasonable times enter upon said premises to view the same. Lessee shall pay for all heat and utilities necessary to the operation of the leased premises. Lessee agrees to save Lessor harmless from any and all damages arising from personal injuries received by any person or persons whomsoever, whether employed in or about. or visitors or guests to the demised premises or any portion thereof, and from any of the appurtenances thereto incident. j , WK Lessoo agrees to do no act and permit no act to he done to Cause any lien to mature against the above described premises. The Lessor covenants and agrees hereby that the Lessee paying said rent in the manner aforesaid and performing the! other covenants, terms and conditions of this Lease on the part of said Lessee to be kept and performed, may and shall have the right at alt times during the torm of this LSaae to quietly and peaceably hold, possess, use, occupy and enjoy the said leased premises, but if any default be made in the keeping of any covenant agreed to bu kept by the Lessee, then it shall be lawful for the Lessor, at its option, to termi- nate this Lease and reenter upon Said premises and the whole thereof. In the event the above described premises shall be des- troyed or so damaged by fire or other casualty as to become unfit for occupancy thereof by the Lessee, and if they shall become so badly damaged that the premises cannot be repaired within sixty (60) days from the happening of said injury, then at the option of the parties hereto, this Lease shall cease and become null and void from the date of such damage or destruction, and said Lessee Shall immediately surrender Said promises and all interest therein, and rent shall be paid only to the time of such surrender. If said building Shall be destroyed by fire, or partially destroyed ae men- tioned in the preceding sentence, but the building can be repaired within sixty (60) days, then the Lease is to remain ,,.... ,,.., - ,• .,,��.,. in effect, but the Lessee is to pay rent only for the period during which the building is satisfactory for occupancy. Nothing in this clause, however, shall be construed as a release from liability, either under this Lease or otherwise, in the event the toes or damage shall be caused by the wilful acts of the Lessee. - The Lessee covenants and agrees that at the termination of this Lease it will remove from the above described promi- ses all property thereon that does not belong to the Lessor; and, in the event Lessee fails to do so, the Lessor may move the same to a place of storage to be chosen by Lessor, at the risk and expense of the Lessee. Should it be necessary for the Lessor to bring legal action against the Lessee for the collection of monies, waste to premises, legal action in ejectment or any other legal action which may be brought by the Lessor, the Lessee agrees to pay the costs of such legal actions, together with a reasonable attorney's fee. The Lessee hereby covenants and agrees to pay to the Lessor the rental above specified for the full term of this Lease and at the time and in the manner set forth. It is agreed that default in payment of the rent for a period of ten (10) days after notice of said default shall work a forfeiture of the Lease at the option of the Lessor. tt is agreed by and between the parties hereto that in the event of a breach of any of the covenants and provisions hereof on the part of the Lessee, the Lessor may retain such sums so paid by the Lessee to it as advance rent, and the same shalt be deemed to be liquidated damages for such breach of this Lease, and this lease shall be forfeited by Lessee. LEASE - Page 2 Peninsula Enterprises, Inc. r1 Lease - page 3 Peninsula Fnh,rpriscs, Inc. In the event that the Losseo shall become bankrupt tor shall make a voleentary assi;:nment for the benefit of credi- tors, or in the event that a receiver of the Lessee shall be: appointed, then, at they option of the Lessor and upon five (5) days notice to the Lessee of the exercise of such option, this Lease shall cease and come to an end. The Lessee shall have an option to renew this Lease, upon the same terms and conditions herein, for a period of one (1) year, provided, however, that Lessee shall notify Lessor of its intent to exercise said option at least thirty (30) days prior to the expiration of this Lease, said noti- fication to be in writing, addressed to Lessor, c/o P.O. Box 212. Kenai, Alaska 99611, by certified mail. DATED on the date and year hereinabove first written. PENINSULA V TERPRISES, INC..7 Lesso /James E. Carter..," VECO, INC. Lessee Bill J. Allen President STATE OF ALASKA ) )se THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY. that on this loth day of April 1980, before me the undersigned, a Notary Public in and for Alaska, personally appeared JAHES C. CARTER, known to me to be the Secretary/Treasurer of PerAnsula Enterprises, Inc., and he acknowledged to me that he executed the foregoing instrument for and on behalf of said corporation pursuant to authoriza- tion of its Board of Directors, and that he executed the same freely and voluntarily for the intents and purposes therein set forth. WITNESS my hand and seal on the day and year hereinabove last written. ovary Publ c in and or Alaska Hy Commission Expires:/O //-F] STATE OF ALASKA ) )ss THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY, that on this loth day of April 1980, before me the undersigned, a Notary Public in and for Alaska, personally appeared BILL J. ALLEN known to me to be the President of Veco, Line. , and he acknowledged to me that he executed the foregoing Lease and acknowledged that he had the authority to sign, and that he executed the same freely and voluntarily for the intents and purposes therein set forth. WITNESS my hand and seat on the day and year hereinabove last written. Notary Public in and for Alaska Hy Commission Expires:/,,..j. t.y_ i' i' f: •e- s I CITY OF KENAI 0d (%#W 4 4"Po ►. O. BOX 580 KBNA1. A:ASKA 00/11 TRIPHONB 483 • 7635 May 16, 1980 Mr. Lynn Pike District Network Design Manager, OSP Glacier State Telephone Company P. 0. Box 560 Kenai, Ak 99611 Re: Bidarka, Barnacle Way, and Fidalgo Street Project Dear Mr. Pikes Your letter dated April 17, 1980, to Mr. Keith Kornelis, Department of Public Works, has been referred to me and the City Council has directed that I make a reply to it. The letter of Keith Kornelis dated March 31, 1980, regarding engineering and construction on Bidarka, Barnacle Way, and Fidalgo Street (supplemented by his letter of April 21, 1980, to include Cavier and Redoubt Way) was sent to give you notice so that you could "include these projects in our budget for utility line relocations." (emphasis supplied) The City hereby categorically denies any responsibility or liability for any relocation expense incurred by the utility because of work within the City right-of-way. Under Alaska Statutes (A.S. 42.05.251) the telephone company is entitled to a permit to use in the streets, alleys,.and other public ways "upon paXment of a reasonable permit fee and on reasonable terms and conditions and with reasonable exceptions" [emphasis supplied) the City requires. The telephone company never secured a franchise from the City to operate therein (prior to the adoption of the above -cited statute in 1970) nor a permit thereafter and has never reached any agreement as to reasonable terms nor paid any permit fee. (In contrast, it might be pointed out that Kenai Utility Service Corporation pays the City 28 of its gross income within the City for a permit to exercise the privilege which the telephone company exercises without any payment whatsoever.) 12 McQuillin Municipal Corporations, Section 34.72 states, "The grantee of a franchise to use the J May 16, 1980 Mr. Lynn Pike Page 2 streets takes it subject to the right of the municipality to make public improvements whenever and wherever the public interest demands, and if the improvement causes injury to the company, as by requiring it to relay or change the location of its pipes, tracks, or poles, or otherwise, the grantee of the franchise cannot recover damages from a municipality therefor." in this same section it goes on to state that the damages may be recovered from a municipality "if the statutes or the charter of a municipality provide for a recovery of damages resulting from the grading or changing of grade of a street." In Section 34.74A of McQuillan it is stated: "The fundamental common-law right applicable to franchises in streets is that the utility company must relocate its facilities in public streets when changes are required by public necessity. Accordingly, it is generally held that the municipality may require change in the location of pipes or other underground facilities of the grantee of a franchise, where public convenience or security require it, even at the grantee's own expense, ***" In the same section, it is stated the common-law duty of a utility to relocate its facilities at its own expense when public convenience or necessity so requires "may be changed by contract between the utility and a municipality so that relocation expenses are borne by the municipality, or may be changed by statute so that relocation expenses in certain cases are borne by the state." [emphasis supplied] I have found nothing in the state law that requires a munic- ipality to bear such relocation expense, there is nothing in the charter of Kenai that so requires, and since there is no contract between the telephone company and the City, and therefore no agreement for the City to bear such expense, I have advised the Council that the telephone company has no legal grounds for such recovery, and the Council has no authority to make payment of public funds when the City is +I not obligated to do so --in fact, such an expenditure might -- ; be considered a misappropriation of public funds which could be recovered by citizens suit against the company even if -- - paid. If contracts are executed for these construction projects, they will contain provisions that the contractor notify all utilities before doing work in an area. This is done so that you can have some representative present to designate May 16, 1980 Mr. Lynn Pike Page 3 the location of lines and so that you can arrange for relocation with the least possible loss of service to your customers (who are also citizens of Kenai). If you furnish such a representative, and he accurately designates the location of the lines, and you receive damages because of negligence of the contractor, then the contractor will be liable for you for such negligence. However, if you refuse to cooperate by having a representative designate location of lines, or if the lines are found to be in some other location than that designated so that the contractor damages lines and interferes with service because of such erroneous information, then he would very likely have a reasonable defense against claims that you care to make against him. I hope that I have made the position of the City in this matter perfectly clear, but if you have any questions, please do not hesitate to contact me. Sincerely, /� Ben T. Delahay City Attorney BTD/md CITY OF KENAI %od eap" 4 4" F. O. SOX $80 KENAI, AIASKA 99611 TRIPMON1 483 • 7635 May 16, 1980 Mr. Eugene R. Collins District Manager Homer Electric Association P. 0. Box 350 Soldotna, Ak 99669 Res Bidarka, Barnacle Way, and Fidalgo Street Project Dear Mr. Collins: Your letter dated April 3, 1980, to Mr. Keith Kornelis', r Department of Public Works, has been referred to me and the City Council has directed that I make a reply to it. The letter of Keith Kornelis dated March 31, 1980, regarding engineering and construction on Bidarka, Barnacle Way, and Fidalgo Street (supplemented by his letter of April 21, 1980, to include Cavier and Redoubt Way) was sent to give you notice so that you could "include these projects in your budget for utilityline relocations." [emphasis sup- plied] The City hereby categorically denies any responsibility or liability for any relocation expense incurred by the utility because of work within the City right-of-way. Under Alaska Statutes (A.S. 42.05.251) the electric company is entitled to a permit to use in the streets, alleys, and other public ways "upon a ment of a reasonable permit fee and on reasonable terms and con tons and with reasonable exceptions" (emphasis supplied] the City requires. The contract of Homer Electric with the City to operate the electric system of the City contained no agreement as to terms for use of City streets nor did it provide for any permit fee. (In contrast, it might be pointed out that Kenai Utility Service Corporation pays the City 2% of its gross income within the City for a permit to exercise the privilege which Homer Electric exercises without any payment whatsoever.) 12 McQuillin Municipal Corporations, Section 34.72 states, May 16, 1980 Mr. Eugene R. Collins Page 2 "The grantee of a franchise to use the streets takes it subject to the right of the municipality to make public improvements whenever and wherever the public interest demands, and if the improvement causes injury to the company, as by requiring it to relay or change the location of its pipes, tracks, or poles, or otherwise, the grantee of the franchise cannot recover damages from a municipality therefor." In this same section it goes on to state that the damages may be recovered from a municipality "if the statutes or the charter of a municipality provide for a recovery of damages resulting from the grading or changing of grade of a street." in Section 34.74A of Mc4uillin it is stated: "The fundamental common-law right applicable to franchises in streets is that the utility company must relocate its facilities in public streets when changes are required by public necessity. Accordingly, it is generally held that the municipality may require change in the location of pipes or other underground facilities of the grantee of a franchise, where public convenience or security require it, even at the grantee's own expense, ***" In the same section, it is stated the common-law duty of a utility to relocate its facilities at its own expense when public convenience or necessity so requires Umay be changed by contract between the utility and a municipality so that relocation expenses are borne by the municipality, or may be changed by statute so that relocation expenses in certain cases are borne by the state." [emphasis supplied] I have found nothing in the state law that requires a munic- ipality to bear such relocation expense, there is nothing in the charter of Kenai that so requires, and since the contract between the electric company and the City for Homer Electric Association, Inc. to operate the City electric utility contains no agreement for the City to bear such expense, I have advised the Council that Homer Electric has no legal grounds for such recovery, and the Council has no authority -- to make payment of public funds when the City is not obligated -- to do so --in fact, such an expenditure might be considered a misappropriation of public funds which could be recovered by citizens suit against the company even if paid. May 16, 1980 Mr. Eugene R. Collins Page 3 If contracts are executed for these construction projects, they will contain provisions that the contractor notify all utilities before doing work in an area. This is done so that you can have some representative present to designate the location of lines and so that you can arrange for relocation with the least possible loss of service to your customers (who are also citizens of Kenai). If you furnish such a representative, and he accurately designates the location of the lines, and you receive damages because of negligence of the contractor, then the contractor will be liable to you for such negligence. However, if you refuse to cooperate by having a representative designate location of lines, or if the lines are found to be in some other location than that designated so that the contractor damages lines and interferes with service because of such erroneous information, then he would very likely have a reasonable defense against claims that you care to make against him. I hope that I have made the position of the City in this '~ matter perfectly clear, but if you have any questions, please do not hesitate to contact me. Sincerely, &Ben.�r�-84�3a-lthjay10 T. City Attorney BTD/md r CITY OF KENAI Goa oj �4�2 „ _ /. O. SOX $80 KIMAI. ALASKA 99611 TIMMONS 283 • 7536 MEMO TO: Kenai City Council FROM: Charles A. Brown, Finance Director SUBJECT: Proposed Use Hearing for Federal Revenue Sharing, May 7, 1980 DATE: May 9. 1980 On May 7, 1980 at 6:30 pm at the Public Safety Building, Bill Brighton and I conducted a Federal Revenue Sharing Hearing the purpose of which was to provide citizens with the opportunity to make oral and written comments regarding possible uses.of General (Federal) Revenue Sharing Funds. In attendance were Rev. Knight of the Mayors Council on Aging, Pat Porter (Senior Citizen Director), and six (6) senior citizens. They made requests for: Estimated Cost One Senior citizen Van (12 pass.) $ 11,000 Remodel Kitchen (Ft. Kenay) 5,035 Winterize Ft. Kenay windows 3,957 Total 112,992 A copy of written data submitted by Rev. Knight is attached for your review. I advised the group in attendance that their requests would be made known to the Council through this memo to be included in the May 21, 1980 Council packet. I also advised them that, should the Council desire, their requests would be included ou a list of other Federal Revenue Sharing requests to be considered for appropriation at a later date. The meeting ended at 6:45 pm. -77 SENIOR CITIZENS CENTER REQUEST FOR FEDERAL REVENUE SHARING FUNDS One senior citizen van (12 passenger) Remodeling Kitchen Winterize Fort Kenay windows Timberline (low bid) 'dotal requested funding $11,000.00 5*035.00 3,957.00 $19,992.00 1 TO BE REMOVED i -ra Nl 4 I EXISTING PANTRY I ii I I 1 F ►�.1 N` I k itv•1 I —41 tcl Ir I. . KTT HRN Lit t EXPANSIOM x o is i k I � T t c , ENTRANCE i I REMODEL FORT KENAY KITCHEN i i i 12 2x4x8 30.00 10 3/4 AC 230.00 8 lxl2xl6 compine 85.00 IIi 6 3/4 lumber core birch 480.00 I 2 gallon oP varathana 60.00 hardware, bareboard, nails etc. 300.00 ' I counter tops (Formica) 300.00 contingency 200.00 Labor 3,350.00 Total Project $5,035-00 i J f: f FORT KEIvAY REPAIR AND MAINTENANCE Original budget 1,500.00 used 99.00 remaining funds 1,401.00 purchase orders written for remodeling 569.00 unused balance 832.00 SPACE INVENTO Y9 UTILIZATION & VVIALUATION I:au:ti/5oldot.tla with .1 population of of l,l:a, is located south of Anchorage on the Genii I'ouin::ula. A total of Inl .' tte I;overnment employee:{ t:•ork In I:onai.::oldotna ow tied 50 in SCat.e oned hulldings and 51 in leased space. The S:r,te I1reseutly occupies: 17,242 of of f ice ::pace, 7,602 N51? of which is in one State owned building. The State leases space in four build- ings totaling 9.640 NSF. For State owned buildings Lite average area factor is 150 LSF and for leased space it is tti9 NSF (Ellis larger area factor due to the inclusion of some ••uci.tl areas). Kenai/Soldotna an estimated current space defi- ciency of 10,648 NSF. Llmitod office spaco is available for leasing. A 10,4 vacancy rate is esti- mated. Annual leasing costs for new office apace are $13.20 per NSF. i:.-cycled office -pace costs $9.60 per ::::F per I:ew cnatstruetion cu::ts range from $38 to $101 per 6SF for publicly financed buildings and are fiencrally 107. higher than those for buildings in anchorage. Land costs pvr G5F range from $1 00 for it suburban locution to $4.00 for a downLown location. KENAI-SOLDOTNA El STATE OF ALASKA OFFICE SPACE STANDARDS AND NEEDS ANALYSIS FACll'i" `iCIGNCL'S COB11011A PON — CCC/;'OI( If t. ft 4 LEASED 6.SCE 11,11-11h: •I E` 'ISIT 3.2 ' 0 10.74 Plaza 48 t'almcr Business Palmer 2,96 STATE OF ALASKA OFFICE SPACE STAMDARDS AND NEEDS ASUAL'a 10 i'AMIAITY ;CIENCCS CORPORATION - CCC/HOK i. 1 i f I c' 1 1 4, 65 I I v i j, • I LEASED SPACE :Lnr. :AIIY 49 IaIIg.DIt7(1 tU,!g1s ,parr :usln !tall Commutil•ry Fairbanks 50 231 S. FranHi.n Juneau 51 VISA rank Baiidgng .lunoau 52 '1',•neu Biti 1 ding Fairbanks 53 liond Bulldinr Juneau 54 2.9 1.11 , DOTPF Bldg, ttolne 55 Fish f, Camc BUildinp, Anchorage 56 ITT Iuilding Anchura};e 57 Brodahl Snildiny. Anchorage 58 Coldsrein Building Juneau 59 F:uskoltwim College Bethel Building 60 Ala^ka Railroad Bldg; Anchorage 61 Purry Crean Building Anchorage (Ul(1) 62 Gunkt win Building Bethel 63 Varl:g;at.e Bagie River 64 'rocker -Dale Bldg Anchorage 65 Sommers Building Juneau 66 Simpson Building Juneau 67 American Legion Juneau 68 142 H . Third Ave. Anchorage it1(1;:- 69 TroolWr:: I; 11,1ing; SoldOUM /0 M-Mold. ISllilding; Juneau /1 I'mo ocontal llolinc•ss puthcl Clu 1 rch 72 'I'homaa INsilding; .luncau 73 SCOI.Linb Rire Tomple Jnncau 74 !laCI'innon Building, .lunenu 75 ticKay. Bui ldilig Anchorage 76 1'o8L COad/Public Anchorage Snl't•Ly Building•, i OFFICE SPACE STANDARDS ADS AND NEEDS ANALYSIS 56 j FACILITY SCIENCES C011PORATION - CCC/HOK - :t T 1 I I G i r�• • The Marine View Apartments in June.vu and the rlordic Building in Wasilla tare LEASED SPACE not: evaluated or ranked because the n-w- _ occupattt's had uot: moved into Lhetn ;it OW - I1FT TOTAL E: ':11NATION tinge t:11a Consultant was conducting on- Bi pg C01.MU1,1ITY 5 ANNUAL ;;t:ftia: MX :'::I•:':DAT_10,1S_ PItLp1:t7"i I._._.. site building; cvaluat.ions• RANK BUILUINC NAIIG FF.ti'P W.UARF. .S.S. F. N r)PTIO:IAL I The Madsen Bnildi.ng and the building at 9. mile Glacier Highway, both in �- ^77 — Diamonds Queonngate Bl Anchorage 1, U00 y 7.7U �--.. 1'l.9 _._....._ ],0'JO r r .__ .)uneau, were not toured because of their 78 79 St. Ann s Center Three Bedroom (louse Juneau Barrow 5,135 720 10,04 9.16 q9 1..� 1ZU �,13� 720 small size. 80 Artie Bowl Building Fairbanks 1,994 9.59 115 1,994 is Although the Madsen Building and rho 81 32 Old City Hall Bldg Snodgrass Building Soldotna Anchorage 3,334 2,130 10.42 16,33 1)1. 109 2,130 3,.,-,4 ::orlon Sound Regional Hospital in Nome were not evaluated, it is recommended 83 American Legion Palmer 694 10.32 95 694 that the State terminate leasing space In these buildings. This recorunenda- 4.1i, Marine View Apartants Juneau 20,858 8.85 rion is based on a strategy recommend_,d :J.K. 9; t•1i.Glacier Ilighwy Madsen Building Juneau Juneau 720 700 9.69 28.81 700 by the Consultant Co consolidate small leased spaces in these communities into N.E. G. Nordic Building, Wasilla 760 N.A. nccw facilities that could he con- structed by the State. 7.F,. •Norton Sound Reg 1 Hospital Nome 1.552 11.88 1,552 I g :44,r,27 R4.127 TOTAL 549.2.0 10.y,i i 7• STATE OF ALASKA OFFICE SPACE STANDARDS AND NEEDS ANALYSIS 1'7 FACILITY 3ChNCf.S WHI)0f1A110N - CCC/tiOK -- --- -- ' 1 :, r ( kf 4. 1 11 �i I' I I � 1 b i I I f k u �i_ : on LEASED BUILDINGS RECOMMENDED FOR ELIMINATION EY111111T 3.4 W. I:-Iut" I Ty AS -IS VOT'll, 1:!;I.* To BE, ITUORITY OPTIONAL Rk"ASONS FOR EUNEW1,10:1 J W! :, , r 3, k" m" . rl�, 1,11 - r (f) u r, -, "ice:I . "- I., 'f, ''I C"A rl: Vic J Un I vi r:; I tj 11 1x:a !:Id); . Fairbanks 189 H/C 5,362 e • a 29 211 E. Fifth Ave. Anchorage 199 1.: / C 2,000 0 0 32 IShore A-,c. Office Kotzebue 186 P/C 1,792 0 0 a 0 0 33 1,111,11c Safety I'milding Kotzebue 13/11 141C 240 0 0 0 0 0 34 Isl. Lincoln sitka 183 N/C 200 0 a 0 39 Pcrry Crt.(.-ii 11, 1 dg. Anchorage 133 1z,055 0 • 0 Fariif;worth Mdg. so I CIO tna 172 II/C 1120 0 • -!i1111.1th Bid, Anchoral;c 170 141c i. 1C -So:,11 Anchorage 166 -,1/(: 2,370 b 1A1 r. U1- ALA5KA OFFICE SPACE STAPIDAMS AND NEEDS ANALYSIS FACILITY SCLUCES C0111-1011MION - CCC/HOK 3 66wi I LnSED BUILDINGS RECOMMENDED MiR ELIMINATION h-."iirr 3.4 BUILDING 111ME INI., TO RE I'J'ASONS FOR RECOVNENDUIG F,1.1":I::A'r1O:l AS -IS POT'J. PRIORITY OPTIONAL _u) Ill 0 i-j- w p* pm: V. 0 WO (4• uu ')o Allq'-.i Railroad Allig. Ancharaj-.e 152 6 61 1'(:rry Green Bidg. (old) Anchorage 151 j4/c 713 0 0 9 0 • 0 62 Ku-,Lowim !ltdj;. ISCLhel 150 N/c 1,245 0 0 • 0 64 'tucker-j)alc Bldg. Anchorapo 148 H/C 3,745 0 0 0 9 0 65 Sotmucrs Building Juneau 144 .1/c 7,243 0 0 0 0 • (J) :Umj,:;on : i Wing .11111vatl IV, NX 4,148 0 0 0 0 • 67 American Legion J111leall 1111 k"I C 1,(,00 0 0 0 0 0 0 68 142 E. Third Ave. Anchorage 1110 1:/c 1,000 a 0 0 0 0 e a 0 0 0 • Trooper:: 11.141p, it) 11/c •0 0 0 0 0 STATE OF ALASKA OFFICE ISPACE STANDAnDS AN - - - - FACILI rY SCENCES CORPORATION - CCC/flOK � 11 LEASED BUILDINGS RECOMMENDED FOR ELIMINATION EVIIII'M 3.4 AS -IS POVI. IMPTOBI., H I VATED PRIORITY OPTIONAL vi.,m.,mig FOR RE(:0!,Zf1,-NDV1(; F,1.1:;I:IA*1'1()'1 L5 "I'll. cr V) QQ .1(�1 WO 2-1 .4 tow 4, , 10 Artie 110'11 BuildfIll, Fairbanits N/c 1.994 0 0 0 0 • 0 • - Old City 11,111 Soldulna 111 3,334 0 0 0 0 0 0 0 32 Snodgroi;s Blui lding Anchorage 109 1:/(; 2,130 0 0 0 0 Aueric-311 Lcf;ioli Palmer 95 II/c 694 0 0 0 0 o 0 0 0 N. It ::adson fildn. Juneau 11. 1'. 700 :..R. ::or cull S-01111d Rcf'- i1.R. 1,552 0 a Me STATE OF ALASKA OFFICE SPACE-: 51ANIJAI-11JU III'My I4=t:vi3 IMML- 1 o"i FACLIFY SCIENCES CORPORATION — CCC4IOK p rican BUILDINGS Pr-rr)mmr-wnED Fi'o-'R ELIMINATION VY—"',IT 3.4 KIJ 1-1 RKA50115 FOR RFC0t::-1h.1I)I:lG ITY u) AS I par 1. PRIORITY OPTIONAL 3 s0 Artie jj(,%-jj Ilulldinj- Fairl,anks 115 NIC 1.9'14 0 0 0 0 0 0 0 0 0 0 0 0 I old City Hall Soldot-11a III II/c 3. 3.34 0 0 0 0 • 0 0 0 2 Sliodgror.s Bluildinp Anchorage 109 N/c 2,130 0 0 Ancricati Legioll I'a Inior 95 .1/c 094 0 0 0 0 0 Mo 11. ::orton Sound Rog. E.. 1,552 • 0 STATE OF ALASKA OFFICE SPACE STANDAnDS A[,.!D NEEDS ANALYSIS FACILITY scii-r4as CORPORATION — CCC/HOK i . 1,E.VAI/1;01.D0.T:;A RM0..'-0I-*HDATI0l1S (•arrest $nat'r 110IL..I1.1.nn AdjuctiaenLs I1 ,.m I::.lii �• i t .14, rustler Lhv ''uL i 1 i - :ation" column, Lhu current c:.Intiny; sp•ico in Kvil.ii/5oldol.na in 17.210 A:: it re —tilt of t.nuring and evaln:it int; t;tn_ titanic office ::pace, tiled:nn::uiLAnt derormined that there is a current space deficiency in Kenai/Soldotnn Of 10,648 NSF. Also from F.xhihit 2.14, undcs.• the "evaluation" column, Llie total nverat;c annual building cost per NSF in Kenai/ Suldotna is $11.79. The average btti.id- inp, score is 163, which yields An aver- age index of 14. For State owned space t•Itcr local average score per buildi.np in 1'18 pointo, and tho nverage t.otal : mival. :,ul Idini; cost per NSF is $1.7.72. This yield:t sn average value index of 11 points. For leaned space, the average total building score is 1.54 and Lhe average total annual building cost per NSF is $7.12.. This yields an average value index of 2.2. rr,an rh:,pi er 3, 1 t is indical Cad t h•it are no bui ldin� s reconauended for pri,+rIty combination. However, tlm-i•c are three buildings that are recolit- mended for optional el?mination ;it 5,wii =v. This represents approx- il-1-11 ly 357 of the current et:i::Li.nt; space in V.enai/Soldotna. •Total Add l Lional Spec o IlequirC•ta,•nt:: 'Vitr-(ature per.:onnel�levels, li:f,ihit 7.5, column F indicates Lht•re 1 a:e addJLiatsal mJnimum space needs of 2,210 ;.SF, increasing to a max- I:wmi of. 4,420 1:SF. When tht!ne addil-ional r++quirer.WuLs +at•c t +l:rn Into ,•onsiderai Ion, plus current :area adjustments, :space to be eliaainatod and future growth requirements, it is found that Lhc idditlonal r.pacC requirements in Kenai/Soldotnn through 1985 total beLwteen 12,85ENSF :aid 21,043 NSF. This is reflecl.ed in Exhibit 7.5. Coltwin G, and represents an expansion of between 75% and l U..% of the current space inventory of 17,2.42 NSF for 101 State employees. Alternative.,; A majority of current .^.;ease in I'anai/ Soldotna is leased and vacancies in Lhe lease space marketplace of Approximately 10% are cstimnl;vd. 'file t•osL of lea:;ing existing space is relatively modest in comparison to other communities while the cost of construcLing sew State office facilities are estimated at 20% higher than the base in Anchorage. I:c•c•oi:nncnttar fiuts If adequate amounts of apace ire uvallable in the Kenai/Soldotnn area to consolidate most of the Scare government departmentn, then •t leasing strategy would be indicated. in any avenL, it 1.5 believed that a r.i.i:nlficaut eonsolidaLlnll of v..isting facilities is warranted. For example, rile apace currently occupied in the Farnsworth L'uilditir. the old laity !full Building aucl the. Trt+C+perss Pni.ldii Could potentially !, ciov;olldated int• a sini;le leased t ac I i a y. Thus, while it Is. rccos,:rcnde<I that 3,000 0517 be leaned to nccon:nndate current space adiust:arnt: and future growth, an additional 6,000 NSF could be added to inror•porm.e existing ' leases into a comlihic-I facility. ThI would greatly relic ve the overcrow.led conditions in em isting :;paces. In conclusion, we believe that rho combination of Lhe need for c%pansion in existing facilities, the forecasted grouch increases in the Kenai/Soldotnn area, and the ability of the lease market. to provide sufficient :dace ail sugpent that the Slate will probably be required Lo lua•;c an office facility of tip to 20,000 ::Sr rn accotrmnclate it:. sub::tantial future ;.vowth requirement Lip to 6,000 NSF of c:•:Isting State ow; I space should be re•ut-deled. Concepts for small r.au:,jneJ facilitiv. in the nmaller c..r_:::aitics alont; with scout+u,Lc alsd co!:t . m.duation dal.a are presented in H-1 ibit. 9.7 for review. The concept applic:: rn most of the com-nuniti.es wli(-rt• le::,: than 15.000 NGV of :additional ::pace is required. STATE OF ALASKA OFFICE SPACE STANDARDS AND NEEDS ANALYSIS _.— ._ ._._..�.. I A01.1l Y ?;GENCE 8 CORPORATION r.CC/HOK _ V. t } 1 :4 S t ! I ! i scroena, furnllt a and r,ittipment Lo allow tile. do ;ipnent of hi} -Illy RECOMMENDED SPACE r:tfie Iunt npace. ConWrr.ian t.o ACQUISITION ACTIONS nystcne; furniture in smaller vA-TI vey nj•�q'I01"tt'N'f Rl DGET con•nunitict; there service may not N. l O I AL t-- - ---- Iw available is not tccot,nnc:ndr:d. 1• AIII) I t 9.3 thi •t pare, prose,, a — sur.,mary of tilt, rec(IM..' ndrd new State Cc.nrtruct Ik•w State Ocmcrd Spncc C":t::tructiou and spncr renovat:lon--- projccts that .^,hound bc+ initiated A total of 3og,000 ILriF of space rhould in the near future to r,up, ort. 1985 be constructed and added to the State rcyyulrements, to correct current owned ••pace inventory. A budget of for the con - deftciences, and to consolidate $62,313,000 is estimated existing Spaces. SLLneLiott Of these facilities and an The pl.in presented in Exhibit 9.3 allowance of $3,092,000 tr; indicated for furniture. Titus, a total budget constructs o; leases 416,000 of $65,905.000 is indicated. This additional IISF of space which is represents ;t unit cost of $213 per NSF between the minimum and Maximum or $181 per GSF including construction. additional requlrements projected iiSF and 459,404 land acquini.tion and furnishinl;s. De - this cost for 1935 of 263,8U7 tail of the distributicn of NSF at; pro:;entcd in E%Ijibit 7.5.'fhls data for all thirteen c•o!nmunit.ieg is Lratet•yy sugF�at.4 a "cautious" developulcnt in p�esen;od in Exhibit 9.11., pa};e 167. "roach to facility Juneau and the smaller cotnmunities in available, Remodel Cxistinr Space - where lease space even at costs higher than the 0 , r�II'' t Of break-even cost of new construction. for renovationt;il � e in State It Lhua indicates extensive re- construction fofi$3C109,000 novation and rumocleltn}; to er.l,ti.nr b,nl etwned isestabltshrd faci.litie4 will be necessary to ln.;:rovc space utilir.aLion, to avoid for this activity at an average cost CSF. The correction nlhcrt:lse ucc,!n.,:ary Ivasin:; or con- of W i6 por of t'Id sit'aetion of new space and to Improve space ur,ili:.aLton efficiencies. ni[icantll inrrca.^.et Lhcac electrical uvtall costs and any significant or mechanical renovations are beyond Pry pare New Lem'.0 Space - the -'rope of this study. Rini}•.cts In total, an additional 107,000 ::SF do not include their replacement or upgradln; A budges for furniture ould be leased. A total of space Ml;. bu'gt;ut of $7.,005,000 is appropriate and er tlipncnt o£ $2,91)8 000 1' crtab- to be renovated. for the cutapletion of aiteraLious t a -CV wiLterns Iif:erl for the spaee The total remodeling_. budget in CONNU:I I TY LI:A.;I-D W::;0V' 1) JU:IEAU/ DOUGLAS - 70,000 250.000 KETCNIKAN 10,000 - 5.000 SITKA - 9,000 - KODIAK 14,000 - 6,000. 1 AVCHORAGF. 200,000 - -• I I•:ASILLA - 2,00 - PAI?tER - 6,000 - KE::AI / SOLDOTIIA - 20,000 6,000 FAIRBANKS 60,000 - 30,000 BETHEL � , C tJU f - 3,000 t KOTZEBUE 4,000 - - LL::i:Oh 3, 00 - - TOTALS 309,000 1G7,000 300,000 unique to .�Lalr. occcp. 1 and the acquistiOn of 'iccomLiCal $6,677,000 or $22.2G per N91'. STATE OF ALASKA OFFICESPACE STANDARDS AND MEEDS ANALYSIS ICan r � I V i 1 f f laska ,Municiipal a ftRa Me Q 'b n .� QO i -,80 bw UY C.ICTYUt KCTA "LION LEt iStATIVE BWEAN # 33 May S, 1980 SIGNED INTO LAW FCCS SB 447 - DEFINITION OF MUNICIPAL BONDS: This bill was signed into law May I and s now Chapter 23, SLA 1980. ITEMS OF INTEREST HB 192 - STATE REVENUE SHARING: Last week Senate CRA held marathon sessions on this 11 and passed out an amended version on Thursday. The major change is a new "hold harmless" section which guarantees that no municipality will receive less than 90% of what it would have received if revenue sharing dollars were allocated strictly on a population basis. Another change establishes a separate account for the hospital construction grants program so that unanticipated increases in entitlement for that section won't lower payments for other sections of the revenue sharing program. The bill also calls for an evaluation of all the state programs aiding hospitals and health facilities and a study of adding transit operations as a revenue sharing category. HS 192 has a further referral to the Senate Finance Committee. HB 1010 - CAPITAL FOUNDATION FUND: Last Friday House CRA heard testimony on this bill which is very similar to SB 546. Most people liked the idea of state aid for local capital projects, but expressed concern about the formula for distribution of money and other mechanics for implementing the program. The committee took no action on the bill. FLOOR ACTION HB 3 - ELECTION REFORM: The Senate passed the FCC substitute 11-3. The House failed to adopt t e FCC su stitute and a second free conference committee has been appointed: House members - Gardiner, Anderson and Martin; Senate members - Tillion, Mulcahy and Ferguson. CSHB S78 am - STATE GRANTS TO MUNICIPALITIES: (Heretofore called "Municipal Grant Account'.) ThThe Senate adopted the Senate Rules Committee substitute, a Finance Com- mittee amendment and an amendment by Senator Ray. The new bill no longer creates a municipal grant account, but provides for prompt payment to the municipality as soon as an appropriation is made. The Senate passed the committee substitute 19-0, so the bill is now SCS CSHB S78 am S. 204 North Franklin, Juneau, Alaska 99801 - 586-132S ni HB 605 - MUNICIPALITIES PARTICIPATION IN STATE BENEFIT PROGRAM: The Finance Committee recommended the State Affairs Committee substitute, the bill was on the Clouse calendar May 2 and the committee substitute passed 35 to 2. HB 778 - TAXATION OF COOPS: On April 25 the House adopted a committee substitute and the bill passed 35 to 0. It has been referred to the Senate State Affairs Committee. SB 309 - LOCAL GOVERNMENT FISCAL IMPACT STATEMENT: Senate Judiciary passed out this ill which requires the state to prepare f seal notes for regulations affecting municipalities. SB 309 has a further referral to Finance. SB S77 - DEREGULATION OF UTILITIES: On May 2 the bill was on the Senate calendar. The Rules Committee amendment, (see Senate Journal dated May 1, page 921) and an amendment by Senator Bradley, (see Senate Journal dated May 2, page 943) were both adopted and the bill passed 16 to 0. HCR 45 - SENIOR CITIZEN TAX EXEMPTION: The Finance Committee recommended a sponsor su stitute, which the House adopted on May i and passed it 34 to 0. IN COMMITTEE HB 213 - ALASKA POLICE STANDARDS COUNCIL: The Senate Judiciary Committee recommended o pass f teeffective date is changed from July 1, 1979 to July 1, 1980. The bill has been referred to the Finance Committee. HB 698 - ASSEMBLY APPORTIONMENT 6 REAPPORTIONMENT: This bill has been referred to the Senate CRA Committee. CSHB 782 - ROADS AND TRAILS: The Senate CRA Committee recommended do pass and the bill has been referred to t e Rules Committee for placement on the calendar. HB 887 6 HB 888 - MUNICIPAL TRANSIT SYSTEMS: These bills were heard in the State Affairs Committee on April 30. No action was taken. The consensus of the committee was to wait until the results of the public transit project are in. This project is being done by AML with funds from DOT/PF. The results will not be available in time 1. for this legislative session. ' ! HB 762 - FISH TAX CREDITS: The House Finance Committee passed the bill out with f n v ual recommend et ons and it was referred to the Rules Committee. i SB 436 - GRANTS FOR SOLID WASTE: The Finance Committee recommended the CRA Committee .�j su st tute and the bill was referred to Rules. �k CSSB 438 - APUC REGULATIONS: What passed the Senate as a h page bill relating to l APUC regulations has now grown to a 21 page energy conservation bill. The House Resources Committee has attached language to it which originally started as part of the House energy package. The bill does not allow the assessor to include the value of the alternative energy system in the assessement of the full and true value of the building or structure in which it is installed for 15 years after the year of the ' installation. After the House Resources Committee passed the bill out recommending 1 the committee substitute, it was referred to the Finance Committee. / -a NEW BILLS --4B 992 $ SB 562 - COASTAL RESOURCES SERVICE AREAS: Identical bills were introduced n bot houses which would allow existing regional educational attendance areas to divide into coastal resource service areas. Both CRA Committees are recommending committee substitutes which allow division of REAA's, but sot up criteria making the coastal resource service area consistent with borough incorporation standards. SB 562 was on the Calendar May 2, the CRA Committee substitute was adopted and it passed 12 to 6. SB 582 - TAXING TRANSIENT AIRCRAFT: Introduced May 1 by the Rules Committee by Request, this bill relates to t e assessment, levy and collection of property taxes on transient aircraft. The Department of Revenue will assess at full and true value and provide each municipality levying a real property tax a copy of the notice of assessment. This bill provides for appeal by the owner and by the municipality. It has been referred to the Judiciary and Finance Committees. SCR 66 6 HCR 70 - TITLE 29 REVISION: These resolutions call for the Legislative Affairs Agency to prepare a revis to Title 29 with the assistance of a policy+ advisory group made up of two members of each house, plus others recommended by the Department of Community and Regional Affairs, AML, Rural Alaska Community Action Program and other interested parties; and a working group to consist of municipal attorneys, managers, clerks or other municipal staff appointed by the Director of Legal Services, plus representatives of the Department of CRA, the Department of Law and staff members of the Legal Services Division. HCR 70 has been referred to the House CRA Committee and SCR 66 was on the Senate Calendar on May 2, but was returned to the Finance Committee. �MB 1030 -NONPROFIT HOSPITALS: Introduced May 2 by the Rules Committee, this bill would a nonprofit hospitals eligible for assistance. Referred to the HESS and Finance Committees. M LEgiS1ATiVE BuRETIN 934 ITEMS OF SPECIAL INTEREST May 9, 1980 HB SS6 - FY 180 BUDGET: Free Conference Committee, composed of Senators Sackett, Sumner and Hohman and Representatives Meekins, Duncan and Montgomery, has started working on next year's budget. Both the House and the Senate versions contain full funding for school construction debt payments, which represents an increase of about $5 million over the Governor's submittal. Neither version, however, contains any increase for revenue sharing ($26,565,000) or municipal assistance share of corporate income tax ($11,400,000). We had been told that these figures would not be changed until the free conference committee took a look at the total picture. Please contact your Legislators and especially free conference committee members and urge them to increase those allocations to a more reasonable level. HB 192 - REVENUE SHARING: The latest version of this bill is in Senate Finance, and as .been assigned to F Hance Committee Chairman Sackett. If this bill is passed it requires a $33.5 million appropriation before the revised formula goes into effect. HB 947 - ASSEMBLY TERM OF OFFICE APPORTIONMENT $ REAPPORTIONMENT: On Thursday, Senate CRA adopted a committee Substitute for HB 947 whichwhidh incorporates M1L's rec- ommended changes to the assembly apportionment and reapportionment statutes. SCR 66 - TITLE 29 REVIEW: This resolution calling for a comprehensive review of the municipal code, was pulled from the Senate calendar and referred to Finance. HCR 70, the House version is in House Judiciary. It would be helpful if you would indicate your support to your Legislators. FLOOR ACTION SB 436 - GRANTS FOR WATER, SEWER $ SOLID WASTE: On May 7 the Senate unanimously adopted the Senate CRA Committee substitute w ich allows up to 75% state partici- pation in water and sewer projects and 50% participation in solid waste construction projects. It has been referred to House Finance. Although this bill does not appear to have a problem, the companion bond bill, SB 131, does because of the $2SO million limit the Governor has placed on bond bills. The bond subcommittee has to cut down to the Governor's ceiling. It would take an additional $16.5 million in bond author- izations to fund the expanded program. 204 North Franklin, Juneau, Alaska 99801 - 586-1325 CSHB 648 (Finance) - FIRE PREVENTION: The Senate today passed 17 to 1 a Rules Committee substitute which providos a mandatory property tax exemption for fire protection systems, reduced standby water fees and allows for fire protection systems /'• to be eligible for tourist development matching money and small business loans. Kelly gave notice of reconsideration. HB 782 - LOCAL SERVICE ROADS $ TRAILS: The Senate today unanimously adopted an amended version of this bill. CS HCR 34 - SAGEBRUSH REBELLION: This resolution has passed both Houses and has boon sent tote Governor. IN COMMITTEE HB 75 - PRIVACY P PUBLIC INFORMATION: Free Conference Committee held its first meeting on thIs bill on ursday. nicipalities are covered in the (louse version, excluded in the Senate version. The Free Conference Committee has not discused that issue yet. CSHB 60S - MUNICIPALITIES PARTICIPATION IN STATE BENEFIT PROGRAM: This bill has been referred to Senate Finance. HB 1010 - CAPITAL PROJECTS FOUNDATION FUND: The House CRA Committee hold work sessions on this bill Wednesday and Friday, but i not pass it out of committee. w it