HomeMy WebLinkAbout2017-09-20 Council Packet
Kenai City Council Meeting Page 1 of 3
September 20, 2017
KENAI CITY COUNCIL – REGULAR MEETING
SEPTEMBER 20, 2017 – 6:00 P.M.
KENAI CITY COUNCIL CHAMBERS
210 FIDALGO AVE., KENAI, AK 99611
http://www.kenai.city
A. CALL TO ORDER
1. Pledge of Allegiance
2. Roll Call
3. Agenda Approval
4. Consent Agenda (Public comment limited to three (3) minutes per speaker; thirty
(30) minutes aggregated)
*All items listed with an asterisk (*) are considered to be routine and non-
controversial by the council and will be approved by one motion. There will be no
separate discussion of these items unless a council member so requests, in which
case the item will be removed from the consent agenda and considered in its normal
sequence on the agenda as part of the General Orders.
B. SCHEDULED PUBLIC COMMENTS (Public comment limited to ten (10) minutes per
speaker)
1. Larry Persily, Chief of Staff, Kenai Peninsula Borough – Information Regarding
the Sales Tax Ballot Proposition on the Kenai Peninsula Borough Ballot.
C. UNSCHEDULED PUBLIC COMMENTS (Public comment limited to three (3) minutes
per speaker; thirty (30) minutes aggregated)
D. PUBLIC HEARINGS
1. Ordinance No. 2981-2017 – Amending Kenai Municipal Code, Chapter 1.15 –
Rules of Order, to Change Gender Specific Language to Gender Neutral, Provide
Consistency in the References to the Chair of a Meeting, and Other Housekeeping
Changes. ...................................................................................................... Pg. 23
2. Ordinance No. 2982-2017 – Amending Kenai Municipal Code Section 7.30.010 –
Airport Land Sale Permanent Fund, to Eliminate References to the Airport
Enterprise Fund which is No Longer Utilized. ................................................ Pg. 32
3. Ordinance No. 2983-2017 – Accepting and Appropriating a Donation to the Kenai
Parks & Recreation Department for the Purchase of Bleachers. ................... Pg. 35
4. Ordinance No. 2984-2017 – Amending Kenai Municipal Code Section 23.55.060 –
Stand-By Pay, to Amend the Rate of Stand-By Pay and Increasing Water & Sewer
Fund Estimated Revenues and Appropriations to Provide Standby Pay for Certified
Water and Wastewater Operators that was Not Included in the FY2018 Budget.
....................................................................................................................... Pg. 38
Kenai City Council Meeting Page 2 of 3
September 20, 2017
5. Ordinance No. 2985-2017 – Amending Kenai Municipal Code Section 13.20.035-
Camping, Fires and Other Activities on City Beaches, to Prohibit the Burning of
Pallets and Other Wood Materials Containing Metal Fasteners on City Beaches.
............................................................................................................Pg. 43
6. Resolution No. 2017-60 – Declaring Equipment, Supplies, and Materials Surplus
or Obsolete, and to be Sold as Allowed in Kenai Municipal Code 7.15.090.
............................................................................................................Pg. 46
E. MINUTES
1. *Regular Meeting of September 6, 2017 ......................................................... Pg. 54
F. UNFINISHED BUSINESS
1. Resolution No. 2017-57 – Consenting to a Renewal of Lease of Certain Airport
Lands within the Airport Reserve Between the City of Kenai, Lessor, and SOAR
International Ministries, Inc., Lessee, on Property Described as Lot 2, Block 3,
General Aviation Apron Number One. (Clerk’s Note: This item was originally on the
August 16 meeting agenda where it was postponed to September 6 and was
postponed on September 6 to this meeting; a motion to adopt is on the floor.)
..................................................................................................................... Pg. 64
• Substitute Resolution No. 2017-57 – Consenting to a Second Amendment
of Lease of Certain Airport Lands within the Airport Reserve between the
City of Kenai, Lessor and SOAR International Ministries, Inc., Lessee, on
Real Property Described as Lot 2, Block 3, General Aviation Apron Number
One, According to Amended Plat No. 2004-20. .............................. Pg. 105
G. NEW BUSINESS
1. *Action/Approval – Bills to be Ratified. .................................................... Pg. 110
2. *Action/Approval – Purchase Orders Exceeding $15,000.
3. *Action/Approval – Kenai Precinct Election Boards for the October 3, 2017
Election. ..................................................................................................... Pg. 111
4. *Ordinance No. 2986-2017 – Increasing Estimated Revenues and Appropriations
in the Water and Sewer Special Revenue and Water and Sewer Capital Project
Funds and Authorizing Redirection of Funds Previously Appropriated to the
Reservoir Number One Recoating Project to a Project to Replace the Water Main
Under the Kenai Spur Highway at Shotgun Drive and Beaver Loop. .......... Pg. 112
5. Action/Approval – Consent to Assignment of Lease of Airport Lands or Facilities
between Kenai Aviation Leasing Company, LLC., and Schilling Rentals, LLC., on
the real property described as Lot 2, Block 2, and Lot 2, Block 4, General Aviation
Apron No. 1, according to Amended Plat No. 2004-20. .............................. Pg. 115
6. Action/Approval – Consent to a Sublease of Certain Airport Lands within the
Airport Reserve between Schilling Rentals, LLC and Hilcorp Alaska, LLC. on the
Kenai City Council Meeting Page 3 of 3
September 20, 2017
real property described as Lot 11A, FBO Subdivision No. 9, according to Plat No.
2009-54. .................................................................................................... Pg. 123
7. Action/Approval – Schedule a Work Session for City Council Training on
Navigation and Use of the iLegislate Mobile Device Application. ............... Pg. 143
8. Action/Approval – Request for Innovative Readiness Training Civil – Military
Partnership for the Kenai Bluffs Stabilization Project. ................................ Pg. 146
H. COMMISSION/COMMITTEE REPORTS
1. Council on Aging
2. Airport Commission
3. Harbor Commission ................................................................................... Pg. 153
4. Parks and Recreation Commission ............................................................ Pg. 156
5. Planning and Zoning Commission ............................................................. Pg. 158
6. Beautification Committee ........................................................................... Pg. 162
7. Mini-Grant Steering Committee
I. REPORT OF THE MAYOR
J. ADMINISTRATION REPORTS
1. City Manager ............................................................................................. Pg. 164
2. City Attorney
3. City Clerk
K. ADDITIONAL PUBLIC COMMENT
1. Citizens Comments (Public comment limited to five (5) minutes per speaker)
2. Council Comments
L. EXECUTIVE SESSION – None.
M. PENDING ITEMS – None.
N. ADJOURNMENT
****************************************************************************************************
INFORMATION ITEMS
1. Purchase Orders between $2,500 and $15,000 for Council Review.
The agenda and supporting documents are posted on the City’s website at www.kenai.city.
Copies of resolutions and ordinances are available at the City Clerk’s Office or outside the
Council Chamber prior to the meeting. For additional information, please contact the City
Clerk’s Office at 907-283-8231.
[PAGE LEFT BLANK INTENTIONALLY]
4
Ballot proposition to increase
the cut-off on borough sales tax
from $500 to $1,000
Kenai City Council –Sept. 20, 2017
Kenai Peninsula Borough Mayor Mike Navarre 15
Sales tax proposal on Oct. 3 ballot
•Increase the cut-off at which borough sales taxes stop
•The $500 limit has been in effect since 1965
•Borough assembly is asking voters Oct. 3 to increase
the taxable limit to $1,000 —effective Jan. 1, 2018
•Higher cut-off would only affect purchases over $500
•The increase would not apply to residential rent
•New cut-off would earn $3.6 million a year for borough
•Funds are needed to help cover $4 million budget gap 26
FY 2018 APPROVED
EXPENDITURES
$81,849,051
3
FY 2018 PROJECTED
REVENUES
$76,789,362
FY18 FUND BALANCE
WITHDRAWAL
$4,152,291
*Fund balance withdrawal number projects $907,398 lapse
7
Why the budget gap
Seasonal sales tax exemption on non-prepared food
$3.3 million in lost revenue annually since Fiscal Year 2009
4
Residential property tax exemption increase
Exemption increased from $20,000 to $50,000 per home
= $1.3 million in lost revenue annually since Fiscal 2015
Sales tax receipts have been flat since Fiscal 2014
Borough-wide taxable sales down almost 2% last year
Borough assembly this year rejected a property tax increase 8
Borough finances 2000-2018
5
56%
42%
(2.3% per
year)
-44%
Number of
borough
employees
Total
borough
budget
Population Inflation
3%
Population
+
inflation
39%
17%
Property
tax mill
levy
9
Education is the biggest borough expense
Education funding takes up almost 2/3 of borough budget
The $54.6 million total borough funding for education in FY2018 includes
three components: school operations, debt service and capital projects.
Operations funding has increased
Kenai Borough funding for school district operations increased from 2000
to 2018, continuing as the largest piece of the borough budget. BUT ...
Capital and debt service spending has decreased $10 million
Fewer new schools —along with lower spending on capital projects and
less owed for previous construction borrowing —reduced borough
spending in those education categories by $10 million from 2000 to 2018.
610
FY18 school expenditures
7
3.1% increase FY17 to FY18
11
FY18 total borough expenditures
8
2.3% increase FY17 to FY18
Total spending has grown 15% since FY09 (1.9% average annual growth)
School funding has grown 20% since FY09 (2.2% average annual growth)
All other spending has grown 14% since FY 09 (1.5% average annual growth)
12
Fund Balance impact
9
If the sales tax cut-off is not raised
and there are no other new revenues
If the sales tax cut-off
is increased to $1,000
$0
$8 million
minimum
balance
13
The Fund Balance –Why it’s important
Protect against reduction of services due to unplanned events
Revenue shortfalls (sales tax), unexpected expenditures (boiler failure), unexpected
state/federal changes (state school debt service reimbursement cut 25% in FY17), voter
referendums (seasonal food exemption from sales tax), emergencies and natural disasters
(Funny River Fire, Card Street Fire), arbitrations, litigation, weather-related damages, etc.
10
Maintain favorable credit rating and low interest rates
Each time the borough borrows money or issues bonds, its financial health and credit
worthiness are evaluated. Because fund balance is so critical to financial health, it is a
major factor in the borough’s credit rating. A lower rating means higher interest rates.
Avoid annual audit “Adverse Opinion”
An adverse opinion in the borough’s annual audit creates a “high-risk” designation, which
makes the borough less likely to receive grants and also subjects the borough to more
oversight and reporting requirements.
Ensure adequate cash flows
Fund balance serves as a cash-flow margin for the months of July through October.
These are very low cash-flow months due to reliance on property tax revenues,
which are received in September, October and November. And federal receipts often
are uncertain —or late.
14
Kenai Borough sales tax cap at low end statewide
11
NO LIMIT
$12,000
$10,000
$3,000 $3,000
$2,000
$1,200 $1,000 $1,000 $750 $500 $500 $200
Some municipalities have different limits for specific items. Kotzebue has a $1,000 tax cap on boats, cars, trucks, ATVs and snowmobiles; Nome has a
$1,500 limit on cars, trucks, ATVs and snowmobiles; Bethel has a $3,500 cap on ATVs, boats and motors, snowmobiles; Haines ha s a $5,000 limit on
several types of sales
15
What is the revenue gain?
✓Under their city codes, the sales tax cut-off in Soldotna,
Kenai and Homer would increase to $1,000 along with the
borough’s tax limit, unless the city council votes otherwise.
✓Under its municipal code, Seward’s tax limit would remain
at $500 unless the city council votes the change to $1,000.
✓Estimated annual revenues from the $1,000 taxable limit:
✓Kenai Peninsula Borough: $3.6 million
✓Soldotna: $235,000
✓Kenai: $433,000
✓Homer: $358,000
✓Seward: $203,000
✓Seldovia: $5,600 1216
How does the sales tax cap work?
Does not affect sales tax on purchases under $500
This proposition does not change the 3% borough sales tax rate.
For example, for a $300 shopping trip, the sales tax would stay at $9.
✓Current sales tax: $300 x 3 percent = $9
✓If approved: $300 x 3 percent = $9
Only purchases over $500 would pay more
This proposition would make the first $1,000 of a sale taxable, rather
than stopping at $500. For example, for a $25,000 vehicle, there would
be an additional $15 in borough sales tax due.
✓Current sales tax: $500 x 3 percent = $15
✓If approved: $1,000 x 3 percent = $30
(No change in tax on the purchase price above $1,000)
1317
Also on ballot: New heating system
•Boilers, heat and ventilation systems
in the borough building in Soldotna
are in need of cost-effective replacement
•Boilers are original from 1971 building opening
•Upgrade to more energy-efficient equipment
•Borough would take on $5 million in debt
•Energy savings would help pay for upgrade
•Repayment of full $5 million estimated at $14
a year in property taxes on a $200,00 residence 1418
Kenai Peninsula Borough Mayor’s Office |Voter Proposition Information | www.kpb.us | 907-714-2150
RAISING THE MAXIMUM AMOUNT
SUBJECT TO BOROUGH SALES TAX
BALLOT PROPOSITION #3 October 3, 2017 Election
Voting information
• Election day is Tuesday
October 3, 2017
• Polls will be open
7 a.m. to 8 p.m.
• A list of polling places
can be found at
www.kpb.us/pollingplaces
• Absentee ballots
can be found at
www.kpb.us/absentee
• For more information
about voting contact
the borough clerk’s office
at 714-2160
For more information
on this proposition:
Larry Persily
KPB Chief of Staff
714-2158
lpersily@kpb.us
Proposition Overview
1. Currently, borough sales tax is charged on the first $500 of
a purchase.
2. This proposition would raise the taxable limit to $1,000
effective Jan. 1, 2018.
3. The taxable limit on residential rent would remain at $500.
Does this increase the sales tax rate?
No: This proposition does not change the 3%
borough sales tax rate. For example, for a $300
shopping trip, the sales tax would remain at $9.
Current sales tax: $300 x 3 percent = $9
If approved: $300 x 3 percent = $9
Where would the change make a difference?
Impact on purchases over $500: This
proposition would make the first $1,000 of a sale
taxable, rather than stopping at $500. For
example, for a $25,000 vehicle, there would be
an additional $15 in borough sales tax due.
Current sales tax: $500 x 3 percent = $15
If approved: $1,000 x 3 percent = $30
(no change in tax on purchases above $1,000)
Why is this needed?
The borough is spending its savings:
Rather than increase property taxes, the borough
assembly this year drew more than $4 million
from the borough fund balance. That is not
sustainable; the borough needs to match annual
revenues with expenses. By code, 100% of sales
tax revenues goes toward education.
19
Kenai Peninsula Borough Mayor’s Office |Voter Proposition Information | www.kpb.us | 907-714-2150
What is the revenue gain?
Revenues for cities and borough: Under
their respective city codes, the sales tax limit
in Soldotna, Kenai, and Homer would increase
to $1,000 along with the borough’s tax limit,
unless the city council votes otherwise. Under
its municipal code, Seward’s tax limit would
remain at $500 unless the city council voted to
make a change. Estimated annual revenues
from going to a $1,000 taxable limit are:
Kenai Peninsula Borough: $3.6 million
Soldotna: $235,000
Kenai: $433,000
Homer: $358,000
Seward: $203,000 (assumes $1,000 cap)
Seldovia: $5,600
Kenai Borough sales tax cap is at the low end statewide
Note: Some municipalities have different limits for specific items. Kotzebue has a $1,000 tax cap on boats, cars, trucks, ATVs and
snowmobiles; Nome has a $1,500 limit on cars, trucks, ATVs and snowmobiles; Bethel has a $3,500 limit on ATVs, boats and motors, and
snowmobiles; and Haines has a $5,000 limit on several types of sales
20
Kenai Peninsula Borough Mayor’s Office |Voter Proposition Information | www.kpb.us | 907-714-2150
BOROUGH BUILDING HEATING AND
VENTILATION SYSTEM UPGRADES
BALLOT PROPOSITION #2 October 3, 2017 Election
Voting information
• Election day is Tuesday
October 3, 2017
• Polls will be open
7 a.m. to 8 p.m.
• A list of polling places
can be found at
www.kpb.us/pollingplaces
• Absentee ballots
can be found at
www.kpb.us/absentee
• For more information
about voting, contact
the borough clerk’s
office at 714-2160
For more information
on this proposition:
Larry Persily
KPB Chief of Staff
714-2158
lpersily@kpb.us
Proposition Overview
1. The boilers and hot-water heat distribution systems in the
borough and school district administration building in Soldotna
are almost a half-century old and in need of upgrade.
2. The proposed upgrades would replace the nearly 50-year-old
system with a new, more efficient money-saving system.
3. The proposition, if approved by voters, would authorize the
borough to take on $5 million in debt to cover the costs.
Why are the upgrades needed?
Safety and Security: Because of the system’s
lack of adequate heat flow in the winter,
employees have little option to keep warm but to
plug in electric space heaters. On the coldest days,
there are several dozen space heaters strung out
around the building. This raises energy costs and
can pose a fire risk.
In the summer, the building’s ventilation system is
so inadequate that employees resort to leaving all
the doors open, which is not ideal from a building
security perspective.
Efficiency: The project would replace the
antiquated system that provides 180-degree
heating supply water building-wide with newer
technology, satisfying the same heating goals with
much cooler water. This would allow the use of
smaller, less expensive boilers, vastly improving
energy efficiency. Additionally, the new system
would be capable of providing heating and cooling.
Dependability: At almost 50 years old, the
building’s boilers present repair and maintenance
challenges. It is both difficult and expensive to find
replacements parts for the 1970s’ era boilers. 21
Kenai Peninsula Borough Mayor’s Office |Voter Proposition Information | www.kpb.us | 907-714-2150
Why this system?
Proven technology: The boiler system
would be replaced with variable refrigerant
flow units (VRFs). This technology is
effective and efficient and was the chosen
heating and ventilation technology for the
recent expansion projects at Central
Peninsula Hospital.
What will it cost?
Costs spread over 10 years: If
approved, this proposition would authorize
$5 million in borough debt to pay for the
needed improvements over a phased-in,
three-year construction schedule in order to
minimize disruption and loss of productivity
at the workplace. The project estimate is $5
million, with $1.7 million the first year and
$1.65 million each of the next two years.
At current interest rates, a loan for this
project, issued through the Alaska Municipal
Bond Bank with a 10-year payment
schedule, would cost about $590,000 a year.
This would be repaid through the borough
general fund. The money-saving efficiency of
the upgrade would help cover the costs.
The borough
administration
building
opened in
1971 — the
boilers are
the originals
22
_____________________________________________________________________________________
New Text Underlined; [DELETED TEXT BRACKETED]
Sponsored by: City Clerk
CITY OF KENAI
ORDINANCE NO. 2981-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KENAI
MUNICIPAL CODE, CHAPTER 1.15 – RULES OF ORDER, TO CHANGE GENDER SPECIFIC
LANGUAGE TO GENDER NEUTRAL, PROVIDE CONSISTENCY IN THE REFERENCES TO
THE CHAIR OF A MEETING, AND OTHER HOUSEKEEPING CHANGES.
WHEREAS, consistent with the ongoing effort to gender neutralize Kenai Municipal Code when
opportunities present themselves, several amendments to KMC Chapter 1.15- Rules of Order,
are required; and,
WHEREAS, KMC Chapter 1.15 – Rules of Order, also has numerous inconsistencies in its
references to ‘presiding officer’ and ‘chair’ and amendments are needed to provide consistency
and clarity; and,
WHEREAS, other housekeeping changes are needed to replace antiquated language and correct
scrivener errors.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
Section 1. Form: That this is a code ordinance.
Section 2. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.010 – Presiding Officer, is hereby amended as follows:
(a) The Mayor shall preside at all meetings of the Council. He or she shall preserve order
and decorum among the Council Members and is responsible for conduct of all meetings in
compliance with these rules. He or she may, at any time, take such reasonable action as he
or she deems proper to preserve order among the spectators in the Council Chamber during
sessions of the Council. He or she may speak to points of order in preference to other
members, and shall decide all points of order, subject to appeal to the Council by motion
duly seconded as herein provided. He or she may participate in the debate on any matter.
He or she may, at any time, call any member to the Chair during any meeting, such
substitution to discontinue when he or she elects to resume the Chair, and in no event
beyond adjournment of the meeting at which such substitution is made.
(b) In the temporary absence or disability of the Mayor and Vice Mayor, any member of the
City Council may call the Council to order at any regular or duly called special meeting to
elect a president pro tempore from among its numbers; and the president pro tempore shall
exercise all powers of Chair[MAN] during temporary absence or disability of the Mayor and
Vice Mayor, and may vote on questions before the Council.
23
Ordinance No. 2981-2017
Page 2 of 8
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New Text Underlined; [DELETED TEXT BRACKETED]
Section 3. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.060 – Motions, is hereby amended as follows:
(a) A motion to amend an amendment shall be in order, but a motion to amend an
amendment to an amendment shall not be entertained.
(b) No appeal from any decision of the Chair [PRESIDING OFFICER] shall be entertained
unless it is seconded, and no other business shall be in order until the question on appeal
has been decided. The question on appeal is not debatable and shall be put as follows:
“Shall the decision of the Chair stand as the judgment of the Council?” It shall be deemed to
be decided in the affirmative unless a majority of the votes given are to the contrary.
(c) Any member may make a parliamentary inquiry of the Chair[MAN] at any time during
the meeting.
(d) Any member may make a point of order without a second at any time. The Chair
[PRESIDING OFFICER] may speak to points of order in preference to other members, and
shall decide all such questions, subject to appeal to the Council by motion duly seconded;
and no other business shall be in order until the question on appeal has been decided.
(e) When the previous question is moved by any member, all debate on the main question
shall be suspended immediately and the Chair [PRESIDING OFFICER] shall put the
question to the following form: “The previous question is moved on (specifying the motion on
which the previous question is demanded). As many as are in favor of ordering the previous
question will so indicate.” If four (4) members vote affirmatively, the affirmative has it, the
previous question is ordered, and the Chair[MAN ] will proceed immediately to put to a vote
the question on which the previous question was ordered. If less than four (4) members so
indicate, the negative has it, the motion is lost, and the question reverts to the immediately
pending question, which is again open to debate and amendment as if the previous question
has not been demanded.
(f) The Chair [PRESIDING OFFICER] shall put all questions in the order in which they are
moved unless a subsequent motion shall be previous in its nature, except in naming sums
and fixing times, the largest sum and the longest time shall be put first.
(g) When a vote has been taken, any member who voted on the prevailing side may move
a reconsideration thereof at the same meeting or at the next succeeding meeting whenever
motions are in order, provided that the subject matter has not passed out of the control of
the Council.
(h) A motion to reconsider requires four (4) votes; if such motion thus prevails, the subject
shall be open to debate and amendment in the same manner as the original question. Debate
on motions to reconsider shall be limited to twenty-five (25) minutes, and no member shall
speak more than five (5) minutes. No motion shall be reconsidered more than once.
(i) A motion must be reduced to writing if the presiding officer so requires or any member
so demands, and no other motion shall be entertained until reasonable time (not over ten
(10) minutes) if afforded for compliance with this rule.
(j) Any previous vote may be rescinded by vote of four (4) members of the Council at any
time, provided the subject matter has not passed out of the control of the Council.
24
Ordinance No. 2981-2017
Page 3 of 8
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New Text Underlined; [DELETED TEXT BRACKETED]
(k) All motions shall require a second, unless otherwise provided.
(l) Any member may require the division of a question when each part is capable of
standing alone [THE SENSE OF IT WILL ADMIT].
(m) When a question is under debate, the presiding officer shall receive any of the following
motions but no other:
(1) To adjourn;
(2) To recess;
(3) To raise a question of privilege;
(4) To call for the order of the day, or the regular order;
(5) To lay on the table;
(6) For the previous question;
(7) To limit or extend limits of debate;
(8) To postpone to a certain time;
(9) To refer;
(10) To postpone indefinitely.
(n) When one of the above motions has been made, none of the others inferior to it in the
order in which they stand above shall be made; and in proceeding to vote, motions pending
shall be put in the order of their rank as above arranged. The first seven (7) are not subject
to debate. A motion to postpone to a certain time, refer, amend, or to postpone indefinitely
may be amended; the previous question may be demanded before an amendment, which
motion shall be decided without debate. A motion to adjourn shall always be in [OTHER]
order, provided that business of a nature to be recorded in the journal has been transacted
since any previous motion to adjourn has been defeated. No motion or proposition of a
subject different to that under consideration shall be admitted under [COLOR OF] an
amendment. When a matter has been especially assigned to be taken up at a fixed time, or
at a certain stage of proceedings, such matter shall, at the appointed time, or at any time
subsequent thereto, be in order upon the call of any member, and take precedence over all
of the business.
(o) After a motion is stated or read by the presiding officer, it shall be deemed to be in the
possession of the Council, and shall be disposed of by vote, but the mover may withdraw it
at any time before decision or amendment, by consent of the second.
(p) The motion “to postpone to a certain time” is the motion by which action on a pending
question or agenda item can be deferred beyond the next meeting to a definite day, meeting
or hour, or until after a certain event.
Section 4. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.070 – Ordinances – Procedure in passing, is hereby amended as follows:
(a) Every ordinance shall be introduced in writing and shall be orally read before any vote
for passage thereof is taken. After passage on first reading, the ordinance shall be published
by posting a copy thereof on the Council bulletin board, together with a notice of the time
and place when and where it will be given a public hearing and be considered for final
passage. The first such publication shall be at least five (5) days prior to the time advertised
for public hearing.
25
Ordinance No. 2981-2017
Page 4 of 8
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New Text Underlined; [DELETED TEXT BRACKETED]
(b) At the time and place so advertised by posting, or at any time and place to which such
hearing shall from time to time be adjourned, all persons interested who appear shall be
given an opportunity to be heard. Before the hearing begins, the ordinance shall be read a
second time by title or in full.
(c) After such hearing, the Council may finally pass such ordinance with or without
amendments. The vote on final passage shall be by roll call, and the vote shall be entered
in the journal.
(d) No ordinance, except an emergency ordinance or an ordinance making, repealing,
transferring, or otherwise changing appropriations, may be finally passed on the same day
that it is introduced. By unanimous consent of all Council[MEN] Members present, such
ordinances may be read a second time and then, by the required vote, be passed, on the
same day on which they are introduced. All persons present shall be given an opportunity to
be heard before the vote on final passage.
(e) After final passage, every ordinance shall be published by posting it in full on the
Council bulletin board.
(f) Emergency ordinances and ordinance making, repealing, transferring, or otherwise
changing appropriations, shall go into effect immediately upon passage unless they specify
a later time. All other ordinances shall go into effect one month after passage and publication
unless they specify a later time, or unless they are referred to the voters by the referendum.
(g) Within a reasonable time after final passage of an ordinance, the City Clerk shall cause
it to be recorded and indexed with the other ordinances of the City.
Section 5. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.090 – Ordinances and resolutions, is hereby amended as follows:
Oral reading in full of an ordinance or resolution may be waived by unanimous consent of all
Council[MEN] Members present, but in such case the ordinance or resolution shall be read by
title.
Section 6. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.100 – Speaking, is hereby amended as follows:
(a) A member about to speak shall respectfully address the Chair, and shall not commence
to speak until recognized by the Chair [PRESIDING OFFICER]. When two (2) or more
members request to speak at the same time, the Chair [PRESIDING OFFICER] shall
determine which one is recognized.
(b) Every member while speaking shall confine himself or herself to the subject under
debate, shall refrain from personalities, and shall not refer to any other member of the
Council except in a respectful manner.
(c) Unless a member who has the floor yields for that purpose, no member shall interrupt
another while speaking, except to propound a parliamentary inquiry or make a point of order.
(d) No member shall speak more than twice or for more than ten (10) minutes continuously
to any one question, except that one or more additional periods of ten (10) minutes may be
26
Ordinance No. 2981-2017
Page 5 of 8
_____________________________________________________________________________________
New Text Underlined; [DELETED TEXT BRACKETED]
granted by unanimous consent. The reading of papers desired by any member shall be read
by himself or herself or by the City Clerk within the member’s time limitation unless
permission for the Clerk to read such paper outside the time limitation is unanimously
granted.
Section 7. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.110 – Voting, is hereby amended as follows:
(a) The Chair [PRESIDING OFFICER] shall declare all votes; but, if any member doubts a
vote, the Chair [PRESIDING OFFICER], without further debate upon the question, shall
request the members voting in the affirmative and negative respectively to indicate by show
of hands, and he shall declare the result.
(b) In all meetings of the City Council, the vote shall be taken by yeas and nays on the
passage of all ordinances, resolutions, and authorizations for the payment of money, and on
the passage of any motion, order, or resolution when called for by any member of the
Council, and such yea and nay vote of each member shall be permanently entered on the
record of the proceedings of the Council by the City Clerk. Other voters may be by voice or
show of hands.
(c) No member shall vote on any question in which he or she is pecuniarily interested
directly or indirectly and in which his or her vote may be decisive, except as herein set forth.
Should any member desire to intend to have business dealings with the City whereby he or
she may derive income and benefits other than those provided as remuneration for his or
her official duties, he or she shall file with the City Clerk, in such form as the Clerk may
prescribe, a statement under oath which shall include the nature of the proposed transaction
and the extent of the interest, direct or indirect, which said officer or employee has in said
transaction. The City Clerk shall publish a copy of such statement in a newspaper of the City
qualified by law to publish legal notices if one is published in the City and shall, in addition,
post a copy of said statement on the Council bulletin board. The cost of said publication shall
be borne by the member who desires to enter into the transaction, and the City Clerk may
require a deposit to insure payment thereof. The Council shall take no action with regard
thereto until at least ten (10) days shall have elapsed after the filing of the statement by the
member and until at least seven (7) days shall have elapsed after the publishing and posting
of said statement as required herein. (See also Chapter 1.85.)
(d) Every member who shall be present when a question is put, when he or she is not
disqualified by personal interest, shall vote, unless the Council for special reason excuses
him or her. Applications to so excuse must be made before the vote, and shall be decided
without debate.
(e) Anything to the contrary in these rules notwithstanding, in all cases where an
extraordinary majority is not required, and when no motion is before the Council, the Chair
may, in lieu of calling for or waiting for a motion to be made, put the question in the following
form: “Without objection, it will be so ordered.” If no objection is heard, he or she shall
announce: “It is so ordered,” which will have the same effect as if a motion to that effect has
been made and voted upon favorably. If a single objection is reasonably expressed when
the question is put, the Chair shall not proceed further under this rule, but instead shall call
for a motion, which motion shall be handled in the regular manner. (KC 1-18)
27
Ordinance No. 2981-2017
Page 6 of 8
_____________________________________________________________________________________
New Text Underlined; [DELETED TEXT BRACKETED]
Section 8. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.120 – Voting, is hereby amended as follows:
(a) A proposed amendment to, or repeal of, any rule in this chapter shall be submitted in
writing as a non-emergency ordinance, and may be passed in the same manner as other
non-emergency ordinances.
(b) Robert’s Rules of Order Newly Revised, 11th Edition, shall govern in all cases to which
they are applicable and in which they are not inconsistent with City Charter or ordinance and
any special rules of order the Council may adopt.
(c) The Council rules shall be observed in all cases unless suspended temporarily for a
special purpose of an emergency nature by a vote of five (5) members present. Any member
may move, at any time, for the suspension of any rule, and such motion must be seconded
to entitle it to consideration.
(d) If any member, in speaking or otherwise, transgresses the rules of the Council, the
Chair [PRESIDING OFFICER] shall, or any member may, call the member to order; in which
case the member so called to order shall immediately cease discussion unless permitted by
the Chair [PRESIDING OFFICER] to explain; and the Council, if appealed to, shall decide
the question without debate. If the decision be in favor of the member so called to order, the
member shall be at liberty to proceed; if otherwise, the member shall not proceed without
leave of the Council to proceed in order. (KC 1-19; Ord. 2614-2012)
Section 9. Amendment of Section of the Kenai Municipal Code: That Kenai Municipal Code,
Section 01.15.130 – Telephonic participation, is hereby amended as follows:
(a) A member of the Council may participate via telephone in a Council meeting, if the
member declares that circumstances prevent physical attendance at the meeting. If the
Mayor chooses to participate via telephone, the Vice-Mayor or president pro tempore shall
preside.
(b) No more than the first three (3) members to contact the Clerk regarding telephonic
participation in a particular meeting may participate via telephone at any one (1) meeting
unless it is a special meeting called to consider an emergency action, in which case all
members may participate telephonically.
(c) The member shall notify the Clerk’s office as soon as reasonably practical, but not less
than two (2) hours prior to the start of the Council meeting that the member proposes to
attend by telephone. Such notification shall state the reason for telephonic participation and
shall provide the telephone number, and any available facsimile, email, or other document
transmission service. Failure to provide the notification within the period of time provided
herein shall result in the member’s exclusion from attendance of a Council meeting through
telephonic participation. The Clerk shall notify all Council members of the request.
(d) At the meeting, the Clerk shall establish the telephone connection when the call to order
is imminent.
(e) A member participating by telephone shall be counted as present for purposes of
discussion, voting, constituting a quorum and attendance.
28
Ordinance No. 2981-2017
Page 7 of 8
_____________________________________________________________________________________
New Text Underlined; [DELETED TEXT BRACKETED]
(f) The member participating by telephone shall make every effort to participate in the entire
meeting. From time to time during the meeting, the presiding officer shall confirm the
connection.
(g) The member participating by telephone may ask to be recognized by the Chair
[PRESIDING OFFICER] to the same extent as any other member.
(h) To the extent reasonably practicable, the Clerk shall provide backup materials to
members participating by telephone at the member’s expense.
(i) If the telephone connection cannot be made or is made and then lost, the meeting shall
commence or continue as scheduled and the Clerk shall attempt to establish or restore the
connection.
(j) Meeting times shall be expressed in Alaska time regardless of the time at the location
of any member participating by telephone.
(k) Participation by telephone shall be allowed for regular, special and work session
meetings of the Council.
(l) Remarks by members participating by telephone shall be transmitted so as to be
audible by all members and the public in attendance at the meeting, provided that in
executive session the remarks shall be audible only to those included in the executive
session.
(m) As used in these rules, “telephone” means any system for synchronous two (2) way
voice communication. “Mayor” includes the Vice-Mayor or any other member serving as
president pro tempore.
(n) Each Council member may attend a maximum of four (4) regular meetings by
teleconference during the twelve (12) month period starting November 1st of each year
unless an exception provided below applies and any number of special meetings or work
sessions.
(o) A Council member may attend an additional two (2) meetings by teleconference during
a twelve (12) month period starting November 1st of each year if the member declares that
he or she is physically unable to attend the meeting due to the need for extended medical
care and treatment of the member or extended medical care and treatment or death of the
member’s immediate family.
(p) A Council member may attend an additional two (2) meetings by teleconference during
a twelve (12) month period starting November 1st of each year when the member is traveling
on Council approved City business.
(q) In this section, “immediate family” means the spouse of the person, another person
cohabitating with the person in a conjugal relationship that is not a legal marriage, a child
(including a stepchild or foster child) of the person, a parent, sibling, grandparent, aunt or
uncle of the person, or a parent or sibling of the person’s spouse.
29
Ordinance No. 2981-2017
Page 8 of 8
_____________________________________________________________________________________
New Text Underlined; [DELETED TEXT BRACKETED]
(r) In this section “City business” means anytime a member is traveling or in a location
outside the City on behalf of the City or attending training, as approved by Council and in
compliance with the Council Travel Policy.
(s) In this section “emergency action” means any action which in the judgment of Council
is necessary for the immediate preservation of public peace, health or safety. (Ords. 2130-
2005, 2168-2006, 2203-2006, 2701-2013, 2813-2015)
Section 10. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction, such
judgment shall be confined in its operation to the part, provision, or application directly involved
in all controversy in which this judgment shall have been rendered, and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or circumstances.
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provision, or application.
Section 11. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 20th day of September,
2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
___________________________________
Jamie Heinz, Acting City Clerk
Introduced: September 6, 2017
Enacted: September 20, 2017
Effective: October 20, 2017
30
MEMORANDUM
TO: Mayor Brian Gabriel and Kenai City Council
THROUGH:
FROM: Jamie Heinz, Acting City Clerk
DATE: August 31, 2017
SUBJECT: Ordinance No. 2981-2017 – Gender Neutrality and Chair References
When considering Ordinance No. 2971-2017 at the August 2 City Council Meeting, it was noted
there were several gender specific references to Council members and several inconsistent
references to the meeting chair and presiding officer in KMC Chapter 1.15 – Rules of Order.
This ordinance changes gender specific language to gender neutral language and provides
consistency to the references to the meeting chair.
Your consideration is appreciated.
31
tltu ityof,
KENAI, ALASKA
~
CITY OF KENAI
ORDINANCE NO. 2982-2017
Sponsored by: Administration
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KENAI
MUNICIPAL CODE SECTION 7.30 .010-AIRPORT LAND SALE PERMANENT FUND, TO
ELIMINATE REFERENCES TO THE AIRPORT ENTERPRISE FUND WHICH IS NO LONGER
UTILIZED.
WHEREAS , The City operates a permanent fund which invests the proceeds from the sale of
property deeded to the City by the Federal Aviation Administration for the use and benefit of the
Kenai Municipal Airport; and,
WHEREAS, in July 2008 via Ordinance 2326-2008, a new investment methodology was
authorized for the Airport Land Sale Permanent Fund; and,
WHEREAS, Ordinance 2326-2008 also established a percent of market value distribution
methodology for the fund by which the annual transfer from the permanent fund to the Airport
Special Revenue Fund, for airport operations and capital purchases, cannot exceed five (5)
percent of the five (5) year average of the fund 's calendar year end market value; and ,
WHEREAS , KMC 7.30.010 references an Airport Enterprise Fund and should be amended as
operations of the airport are accounted for utilizing a special revenue fund; and,
WHEREAS, this is essentially a housekeeping amendment as there will be no change in the
management of, accounting for, or distributions from the Airport Land Sale Permanent Fund .
NOW , THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
Section 1. Form: That this is a code ordinance.
Section 2. Amendment of Section 7.30.010 of the Kenai Municipal Code: That Kenai
Municipal Code, Section 7 .30.010 , is hereby amended as follows :
7 .30.010 Airport Land Sale Permanent Fund.
(a) A separate fund of the City of Kenai is hereby established as the Airport Land Sale
Permanent Fund . The purpose of the fund is to account for the principal proceeds of the sale of
Airport Land. Airport Lands shall consist of all land owned by the City of Kenai and held by it for
the use or benefit of the Kenai Municipal Airport under the terms of the 1963 Quitclaim Deed from
United States of America recorded at Book 27, Page 303 at the Kenai Recording District, Kenai ,
Alaska . Additionally, any other land owned by the City and acquired with airport funds shall be
Airport Lands.
(b) The Airport Land Sale Permanent Fund shall be a restricted fund . The establishment of
the fund known as the Airport Land Sale Permanent Fund is within the discretion of the Kenai City
New Text Underlined ; [DELETED TE XT BRACKETE D]
32
Ordinance No. 2982-2017
Page 2 of 2
Council. Deed restrictions , Federal regulations and grant assurances require that airport funds be
used for the use and benefit of the Kenai Municipal Airport.
(c) The net proceeds received by the City on closing sale of Airport Lands shall be deposited
in the Airport Land Sale Permanent Fund. Where notes are taken in payment for Airport Lands ,
all [PRINCIPAL] payments on said notes shall be deposited in the Airport Land Sale Permanent
Fund . [INTEREST ON NOTES TAKEN IN PAYMENT FOR AIRPORT LANDS SHALL BE
TRANSFERRED TO THE AIRPORT ENTERPRISE FUND .]
(d) Money placed in the Airport Land Sale Permanent Fund shall not be available for use by
the City for any purpose other than for investments in accordance with City ordinances.
(e) [INTEREST OR INCOME EARNED BY THE AIRPORT LAND SALE PERMANENT FUND
SHALL BE DEPOSITED IN THE AIRPORT ENTERPRISE FUND.] The City Council may, by
ordinance , transfer funds from the Airport [ENTERPRISE] Special Revenue Fund to the Airport
Land Sale Permanent Fund. After such a transfer, the money will become a part of the Airport
Land Sale Permanent Fund to be used only for the investment purposes for which the fund is
established .
Section 3. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction, such
judgment shall be confined in its operation to the part, provision, or application directly involved
in all controversy in which this judgment shall have been rendered, and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or circumstances .
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provision , or application.
Secti on 4 . Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 20 1h day of September,
2017 .
ATTEST:
Jamie Heinz , Acting City Clerk
BRIAN GABRIEL SR., MAYOR
Introduced : September 6, 2017
Enacted : September 20 , 2017
Effective : October 20, 2017
New Text Underlined; [DELETED TEXT BRACKETED]
33
1ll/t'f ~ «1/t/i a Pa~~ 0t'tt «1/t/i a Fu.t~ "
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager "t< O .
Terry Eubank , Finance Director 1£.
August 31 , 2017
Ordinance 2982-2017
The purpose of this memo is to recommend adoption of Ord inance 2982-2017. Ord inance 2982-
2017 will amend KMC 7.30 .010 to reflect current practice and the correct fund title and type .
Currently KMC 7.30 .010 references an "Airport Enterprise Fund ". The Kenai Municipal Airport is
accounted for as a Special Revenue Fund and not an Enterprise Fund . This change is essentially
housekeeping in nature and will not impact any account balances or the methods by which the
operations of the Airport are accounted for.
KMC 7.30 .010 should have been amended with the 2008 change in investment and distribution
methodology . Current practice is to record all investment earnings and land sales in the fund and
base distribution on the average five year ending balance . Discussion of dis tributions was no
longer needed in 7.30 .010 with the adoption of Ordinance 2326-2008 which created KMC
7.30 .020(f) which defines how distribution are to be made from the fund . This ordinance will
remove the distribution provisions from this chapte r.
This ordinance completes the changes started with Ord inance 2326-2008 and the changes refle ct
current practice. Your support is respectfully requested .
34
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2983-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, ACCEPTING AND
APPROPRIATING A DONATION TO THE KENAI PARKS & RECREATION DEPARTMENT FOR
THE PURCHASE OF BLEACHERS.
WHEREAS, the Kenai Rotary Club received a Community Development Renovation grant from
District 5010 in the amount of $1 ,500 ; and,
WHEREAS, the Kenai Rotary Club will match the grant award with funds from their club in the
amount of $1,500; and,
WHEREAS , the Kenai Parks & Recreation Department, pursuant to conditions of acceptance, will
utilize the donated funds to assist with the purchase of a set of new bleachers for the adult softball
fields.
NOW, THEREFORE , BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
Section 1. Form: That this is a non-code ordinance.
Section 2. That estimated revenues and appropriations be increased as follows :
General Fund
Increase Estimated Revenues :
Donation $3,000
Increase Appropriations:
Parks & Recreation -Machinery & Equipment $3,000
Section 3. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction , such
judgment shall be confined in its operation to the part, provision , or application directly involved
in all controversy in which this judgment shall have been rendered , and shall not affect or impair
the val idity of the remainder of this title or application thereof to other persons or circumstances.
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provision , or application .
Section 4 . Effective Date: That pursuant to KMC 1.15.0?0(f), th is ordinance shall take effect
upon adoption .
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 20th day of September,
2017 .
New Text Underlin ed; [DELETED TEXT BRACKETED]
35
Ordinance No. 2893-2017
Page 2 of 2
ATTEST:
Jamie Heinz, Acting City Clerk
BRIAN GABRIEL SR, MAYOR
Introduced: September 6, 2017
Enacted : September 20, 2017
Effective: September 20, 2017
New Text Underline d ; [DELETED TEXT BRACKETED]
36
'lftflate «J/t/i a Pa~~ Ot'tj «J/t/i a h.tll.l"e ''
MEMORANDUM
210 F idalgo Ave , Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907 ) 283-3014
www.kena i.city
TO: Mayor Brian Gabriel and Kenai City Council
THROU~ Paul Ostrander, City Manager ? c.::>.
FROM:~ Robert J. Frates, Parks & Recreation Director
DATE: August 23, 2017
SUBJECT: Ordinance No. 2983-2017 -Kenai Rotary Club Donation
Purpose of this correspondence is to recommend acceptance of a gift of funds from the Kenai
Rotary Club . The funds will be applied towards the purchase of a new set of bleachers.
The Club would like the gift to be used to assist with the cost of two new bleachers for Field #3
located at the adult softball fields . Both the Kenai Softball Association and the Kenai Central
High School softball team use this field.
The resulting bleacher replacement will increase spectator capacity, safety and comfort; lower
maintenance costs are expected as well.
Thank you for your consideration.
37
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2984-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, AMENDING KENAI
MUNICIPAL CODE SECTION 23.55 .060-STAND-BY PAY, TO AMEND THE RATE OF STAND-
BY PAY AND INCREASING W ATER & SEWER FUND ESTI MATED REVENUES AND
APPROPRIATIONS TO PROV IDE STANDBY PAY FOR CERTIFIED WATER AND
WASTEWATER OPERATORS THAT WAS NOT INCLUDED IN THE FY2018 BUDGET.
W HEREAS, changes to the State of Alaska Water and Wastewater Operator Certification and
Tra ini ng reg ulations, 18 AAC 74, became effective on November 26 , 2016 and in cluded a
requ irement for a certified operator to be either onsite at the system or ava ilable by rad io or
telephone, and able to be onsite within one ho ur at all times; and ,
WHEREAS, th e City does not currently utilize stand-by pay as provided fo r in the City's Code of
Ordinan ces or require certified wa ter and sewer employees to be on standby; however,
employees are required to respond to emergency call outs when available and recei ve "ca ll-out"
pay-a minimum of two hours pay at overtime rates; a nd ,
WHEREAS, in order to comply with 18 AAC 74, the City must have a certified operator availab le
to be onsite wit hin one hou r ; and ,
WHEREAS , un der the FLSA and due t o the co nstraints placed on the employee 's freedom , the
Ci ty must compe nsate employees who are placed on standby duty; and ,
WHEREAS , amending th e KMC definiti on of sta nd-by pay and paying employees placed on
stand-by at a rat e of 5% computed against Step A of t he employee 's pay ra nge for eac h hour in
stand -by sta tu s wi ll a ll ow th e City t o comp ly with DEC regulations at a rate comparable to other
municipalities; and,
W HEREAS , th e adopted FY2018 Budget did not includ e funds fo r st andby pa y, and an in c rease
in the Water & Sewer Fund is necessary to provide for the cost of stand-by pay at the above rate
for the remainder of F Y2018 ; a nd ,
W H ER EAS , p rovidin g sufficient funds for stand-by pay for certified water and sewer operato rs
and amend in g th e Ke na i Municipal Code wi ll brin g the City into compliance with DEC regulations ,
prov ide flexibility for staffing , and is in the best interest of the City.
NOW, THEREFORE , BE IT ORDAINED BY THE COUNC IL OF THE CITY OF KENAI,
A L ASKA, as follows:
Section 1. Form : That th is is code o rdin ance.
Section 2 . Amen dment of Section 23.55.060 of the Kenai Municipal Code: T hat Kenai
Municipal Co d e, Section 14.20.151 -Stand-by Pay, is amended as follows:
New Text Und erli n ed; [D ELET ED TEXT B RACK ET ED]
38
Ordinance No. 2984-2017
Page 2 of 3
23.55.060 Stand-by pay.
(a) Where employees are [REGULARLY] placed on a stand-by status [ON A DAY WHEN
THEY ARE SCHEDULED TO BE OFF DUTY], they shall be entitled to a 5% rate of pay
computed against Step A of the pay range of the employee [TWO (2) HOURS PAY] for
[SUCH ST AND-BY STATUS] each hour in stand-by status .
(b) To be eligible for stand-by pay , an employee must formally be placed on stand-by
status , with the approval of the City Manager, and the proper documentation indicating such
approval placed in the employee 's personnel records . An employee in stand-by status must
be a vailable for call-outs [AND]J. must be in a location whereby the respons ible City personnel
can communicate with him or her[.], and comply with any other requirements of the approved
stand-by pay.
Section 4. That estimated revenues and appropriations be increased as follows:
Water & Sewer Fund
Increase Estimated Revenues -
Appropriation of Retained Earnings
Increase Appropriations:
Water:
Wages
Overtime
Medicare
PERS
Workers ' Compensation
Total Water
Sewer:
Wages
Overtime
Medicare
PERS
Workers' Compensation
Total Sew er
Wastewater Treatment Plant
Wag es
Overtime
Medicare
PERS
Workers ' Compensation
Total Water
Total Water & Sew er Fund
$24,156
$4,633
250
71
1,075
2 88
$6 ,317
$4 ,633
250
71
1,075
288
$6,317
$8,408
500
129
1,960
~
$11 ,522
$24, 156
Sectio n 3. Sev erability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction , such
New Text Underlined; !DELETED TEXT BRACKETED)
39
Ordinance No . 2984-2017
Page 2 of 3
judgment shall be confined in its operation to the part, provision , or application directly involved
in all controversy in which this judgment shall have been rendered, and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or
circumstances. The City Council hereby declares that it would have enacted the remainder of
this ordinance even without such part, provision , or application .
Section 4. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 20 1h day of September,
2017.
ATTEST:
Jamie Heinz, City Clerk
Approved by Finance _______ _
BRIAN GABRIEL SR., MAYOR
Introduced: September 6, 2017
Enacted: September 20 , 2017
Effective: October 20, 2017
New Text Und erlined ; [DE LETED TEXT BRA CKE TE D]
40
"Vtlltlje with a Pas; City with a Future"
210 Fidalgo Avenue , Kenai , Alaska 99611-7794
Telephone: 907-283-7535 I Fa x: 907-283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager -:P. c.::::>.
Christine Cunningham , Assistant to City Manager/ HR~
August30, 2017
Ordinance No. 2984-2017 -Stand-by Pa y
The purpose of this memo is to provide support for Ordinance No . 2984-2017, amending Kenai
Municipal Code (KMC) section 23.55.060 , Stand-by pay .
Changes to the State of Alaska Water and Wastewater Operator Certification and Tra ining
regulations , 18 AAC 7 4, became effective November 26 , 2016. The amended regulations specify
that a large water treatment , water distribution , wastewater treatment , and wastewater collection
system must have an operator certified at a level equal to or greater than the classificati on of the
system, either onsite at the system or available by radio or telephone , and able to be onsite within
one hour at all times .
At this time, the City employs seven full-time certified operators in the water and sewer and
wastewa ter divisions of the Public Works Department. These employees are required to respond
to emergency call outs when available . However, certified operators have not been placed on a
stand-by status in the past.
If an employee is required to remain on ca ll whi le not scheduled to work , whether or not the time
should be compensated under the Fair Labor Standards Act (FLSA ) depends on the constraints
on the employee 's freedom . For certified utility operators, being on call means being able to be
available by radio or telephone and able to be on-site at the system within one hour at all times .
The employee 's activities are restricted so that during the time the employee is on stand-b y, he or
she is prohibited from consuming alcohol or engaging in other acti vi ties , such as travel, that would
inhibit the employee 's immediate availability .
The City's Code currently pro vides for stand-by pay w hich would entitle an employee placed on
stand-by status to two hours of pay. A recent salary and benefits comparison for public utility
positions in which other cities provided information on their stand-by or on -call rates show most
cities surveyed pay an hourly rate ranging between $1.50 -3.50 per hour. The 5% rate of pay
computed against Step A of the pay range of the employee for each hour in stand -b y status
proposed in Ordinance No . 2984-2017 , averages to approximately $1 .60 per hour. The benefit of
41
setting the rate at a percent of the employee 's base pay is that it allows the rate to automatically
adjust over time with amendments to the City's salary schedule , such as cost-of-living adjustments
(COLAs) or re-classifications.
Amending the KMC definition of stand-by pay and paying employees placed on stand-by at a rate
of 5% computed against Step A of the employee's pay range for each hour in stand-by status will
allow the City to comply with Department of Environmental Conservation (DEC) regulations at a
rate comparable to other municipalities and with the flexibility to automatically adjust without
requiring subsequent changes to the City 's Code . Employees who respond to emergency call outs
would still be eligible to receive "call-out" pay - a minimum of two hours pay at overtime rates, as
provided in the City's Code .
The most recent update to the 2016 18 AAC 74 Regulation Changes was published on April 18,
2017, and a recommendation for an amendment to the KMC section 23 .55.060 -Stand-by pay,
was not completed in advance of the deadline to submit for inclusion in the FY18 Budget , and
compensation to certified utility operators for stand-by pay was not included in the FY18 Budget.
42
New Text Underlined; [DELETED TEXT BRACKETED]
Sponsored by: Administration
CITY OF KENAI
ORDINANCE NO. 2985-2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KENAI
MUNICIPAL CODE SECTION 13.20.035-CAMPING, FIRES AND OTHER ACTIVITIES ON CITY
BEACHES, TO PROHIBIT THE BURNING OF PALLETS AND OTHER WOOD MATERIALS
CONTAINING METAL FASTENERS ON CITY BEACHES.
WHEREAS, burning of pallets and other wood materials containing metal fasteners on City
beaches often results in nails and screws left behind after the fire is extinguished and abandoned;
and,
WHEREAS, nails, screws and other metal fasteners left on City beaches can not only be unsightly,
but present a hazard to vehicles, pedestrians and animals; and,
WHEREAS, the City receives complaints about metal fasteners left on the beaches from fires and
expends resources to clean the beaches; and,
WHEREAS, it is in the best interest of the City to prohibit the burning of pallets and other wood
materials containing metal fasteners on City beaches.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
Section 1. Form: That this is a code ordinance.
Section 2. Amendment of Section 13.20.035 of the Kenai Municipal Code: That Kenai
Municipal Code, Section 13.20.035- Camping, fires and other activities on City Beaches, is hereby
amended as follows:
Camping, [F]Fires, and [O]Other [A]Activities on City [B]Beaches.
(a) The intent of this section is to regulate camping, fires and other activities on City beaches
that threaten or have the potential to threaten or damage public and private property, use and
enjoyment of the beaches, public safety, health and welfare, and other City interests.
(1) Camping, starting or maintaining open fires, and parking on City beaches is prohibited as
follows:
(A) On that portion of the South Beach beginning at the line common to the NE ¼, and SE ¼,
of Section 7, Township 5 North, Range 11 West, Seward Meridian Alaska South to the City of
Kenai boundary, located on Section 7 and 18, Township 5 North, Range 11 West, Seward
Meridian, as shown on Appendix V of Title 13 of the Kenai Municipal Code.
(B) On all City Beaches, the burning of pallets and other wood materials containing metal
fasteners.
(2) With reasonable public notice, and without further authorization, the City Manager may
temporarily close City beaches or portions thereof to camping, starting or maintaining open fires,
43
Ordinance No. 2985-2017
Page 2 of 2
New Text Underlined; [DELETED TEXT BRACKETED]
parking, vehicular access and other similar activities. Causes for such temporary closures include
but are not limited to extreme high tides, conditions creating high fire dangers, health hazards,
high waters or flooding or other risks to public safety, health or welfare or for the maintenance of
City owned or managed property.
(A) Any temporary closure described in subsection (a)(2) above authorized by the City
Manager must be reported to Council at the next Council meeting after the temporary closure
takes effect.
(B) Temporary closures authorized by the City Manager as described in subsection (a)(2)
above may not exceed thirty (30) days. The Council may extend and modify closures by
resolution.
(b) “City beaches,” for purposes of this section, means the areas of the North and South
Beach as shown on Appendix III of Title 13 of the Kenai Municipal Code.
(c) A violation of this section shall be punishable as provided in KMC 13.05.010.
(d) The provisions of this section do not apply to governmental officials in the performance of
their official duties, or to private property owners otherwise lawfully engaged in activities on their
private property.
Section 3. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction, such
judgment shall be confined in its operation to the part, provision, or application directly involved
in all controversy in which this judgment shall have been rendered, and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or circumstances.
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provision, or application.
Section 4. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
30 days after adoption.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 20th day of September,
2017.
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz, City Clerk
Introduced: September 6, 2017
Enacted: September 20, 2017
Effective: October 20, 2017
44
'Viti'~ «1/t/i a Pacf~ Ct'tf «1/t/i a rat(IJ<1!, II
210 FidalgoAve, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO :
FROM :
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager Y · O ·
August 29 , 2017
Prohibition of burning wood materials containing metal fasteners on City
beaches
The City has received numerous complaints about nails and screws being left on City Beaches
from pallet fires, creating a hazard for vehicles , pedestrians and animals. This ordinance will
prohibit the burning of wood materials containing metal fasteners on City beaches.
Your consideration is appreciated.
45
'""''°!Jg(,
KENAI, ALASKA
~
Sponsored by : Administration
CITY OF KENAI
RESOLUTION NO. 2017-60
A RESOLUTION OF THE COUNCI L OF THE CITY OF KENAI , ALASKA, DECLARING
EQUIPMENT, SUPPLIES , AND MATERIALS SURPLUS OR OBSOLETE, AND TO BE SOLD AS
ALLOWED IN KENAI MUNICIPAL CODE 7.15 .090.
WHEREAS , the pieces of equipment , supplies , and materials listed on Attachment A have
reached the end of their useful life and no longer needed by the City of Kenai ; and ,
WHEREAS , Kenai Municipal Code 7.15.090 allows the sale of surplus or obsolete equipment,
supplies and materials by auction, competitive sealed bid or an internet sale process ; and ,
WHEREAS , a competitive sealed bid auction or internet sale process are reasonable and
acceptable means of disposal of surplus and obsolete City property ; and ,
WHEREAS , the recommendation from City Administration is to change our current method of
disposing surplus or obsolete items and to move forward using an online public auction service
provider, Publicsurplus.com ; and ,
WHEREAS , Publicsurplus .com is created and targeted for government agencies ; and
WHEREAS , there are numerous government agencies around the state who utilizes this online
auction service provider; and ,
WHEREAS, the Kenai Peninsula Borough Purchasing and Contracting Department is currentl y
using Publicsurplus .com and have had great success implementing the online public auction
method ; and ,
WHEREAS , Publ icsurplus .com is a great tool that can help us operate more efficiently,
consistently , and allow us to reduce cost and gain revenue .
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA ,
Secti o n 1. That the items listed on Attachment A be declared surplus or obsolete, and that
the items on Attachment A may be sold as provided in KMC 7 .15 .090 .
Section 2. That City Administration requests authorization from City Counc il to utilize
Publicsurplus .com to dispose surplus or obsolete items no longer needed by the
City of Kenai.
Sectio n 3. That this resolution takes effect immediately upon passage .
46
Resolution No. 2017-60
Page 2of2
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA , this 20th day of September,
2017 .
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz , City Clerk
47
Department Quantity
Airport 2
Airport 1
Aircort 1 Lot of 43
WWTP 1
Streets 1
Streets Approx. 80
Streets 3
Streets 2
Streets 1
Streets 2
Streets 1
Streets 24
Streets Approx. 10
Streets 1
Streets 3
Streets 18
Streets 1
Streets 1
Streets 1
Streets Approx. 2S
Streets Approx. lS
Streets 6
Streets 8
Streets 1 set
Streets 1
Streets 1
Streets 1
Streets 1 pair
Streets 1
Streets 2
Streets 1
Streets 2
Streets 1
Streets 1
Streets 11
Streets 7
Streets 9
Streets Approx. 300
Streets 2
Streets 16
Streets 1
Shop 1
Shop 1 lot of 2
Shop 1 lot
Shop 1
Shop 1
Shop 1
Shoo 1
Shoo 1
Shop 1
Shop 1
Shop 1
Finance
Police 1
Library 1
Animal Control 1
Administration 1
Senior Center 1
Streets 1
Streets Approx. 84
Streets s
Streets 1
Streets Approx. 4
Streets Approx. 12
2017 City of Ke na i Auction ITEMS
Attachment A
Resolution No. 2017-60
Item Description
40ft light poles 7 in base and 3 in top
Lincoln Welder SP-13ST 120 volt Wire feed flux-cored welder
24in X 24ft metal culverts
New loading and transfer conveyor belt SS ' long and 24" wide
4'high by 6' wide heavy duty basketball backboard (no hoop)
Pallet of 2"x 10" X 6' boards
Old blade mount snow gates
New Hvdraulic Rams appr ox. 6' long
8' bv 10' Metal Roof Structure
6' tall bv 3' wide expanded metal locke r s
6' tall, 4' wide, 3' deep safe Herrin11. Hall. Harvin Safe Co . Vin# 343649
S: 1.S'xSO ' and 19: 3"x SO' Pallet of fire hose
Box of 16" tall toilet paper holders model VuALL
1912 Era Mechanica l Hacksaw
18" Diameter fuel fill containment cans
Metalux 4' long, 4 l amp wraparound overhead light lens
Campbell Hausfeld SSSNXHBT-7224 Ai rl ess Paint Sprayer
Dayton 3Z663D Diesel Hot water pressure washer
Large Oxy/Acetylene Cart
Metal hangers
Pa llet of assorted telesoar/tubing
Model# 17 .SR2S Used Grader Tires
Model# 11R22.SHankook Truck Tires
Gara11e door uooer rails
Construction Site Power Tree Multiple Outlet Power Tree for Under11round Power
Al emite Grease pumo for SS Gallon Dru m
Grease Pum o Set Uo for SS Gallon Drum
Pair of metal shelves for inside a van
The hammerblow Corp. Model# 180 Series 6 Ton Tra iler Jack
Pair of Safetv Jack Stands Approx. 6'tall
Terex Telelect Man Basket for Bucket Truck 24"x28"x42" 4001b.capacity
Fish Brailer Aluminum Frame 36" diameter x 36 " tall complete with all lifting chains
36" wide bv 84 " tall with 3 shelves Metal shelf unit
1991 Truck mount water tank Transport Equioment WT Serial #41191000S
Heavv dutv steel ladders to attach to a structure. 24" w ide bv 10' to 30'1ong
Galvanized l i11ht ooles 30' tall Sold as one lot
Power Poles 7 approx. 30' lonl!, 2 approx. 20'1onl!
Ril! Mats 10' lonl! bv 16" wide each
24" diameter, 5/8" sidewall. 1-4" lonl! and 1-13' lonl! steel pipe
9-40" bv 10 diameter. 3-20" bv 8" diameter. 4-16" culvert assorted lenl!ths
Truck Mount Hvdraulic Sand Spinner
2014 SkeeterVac Mosauitio Exterminator Model# SCSlOO
2014 Air Qualitv Monitor ToxAlert GVU-1
Huskavarna CRT SO tiller 17 inches wide
1994 Balderson B66-10Q Vin# 3TL043S6 Snow Bucket, 10 vard
1994 Balderson BD966U-1S'Q Vin# 3TL0463S lS foot Snow Push U-Blade
1994 Caterpillar 966F Series II 1SL01047 Cat 966F Series II Loader 12,904 hours w/Svd Bucket
Craftsman LTlOOO ri ding mower 42 inch with 6 speed transmissi on and iuass bagger
Craftsman 4ho 18 inch walk behind trimmer Model# 5367734000 Vin# 0091029016
Craftsman riding mower auto mati c transmiss ion 42 inch cut
Rid 11id 14 inch fan model # AM25000 Vin# 0329SAA0102
Champion 7000 watt generator Model# 41532 12AUG09011030
First Data FD 100 Terminals & FD-3S Pin PadsCredit Card Terminals with Pin Pads & Thermal Paper
Office Desk, two drawer
1982 Pelouze v-2S 1 2Slb x 1 oz Pos tal Scale made in the USA
Haier Mini Fridl!e with Freezer slot Model# BC-Sl
Wooden Bookshelf
Glass from t he demolished Sr. Center atrium
Building with approximately: 12 vents, 2 36" security doors, 8 36" solid core doors, approx. 6 boxes of 6x6
tile 2 fire extin11uisher boxes 2 stackable chairs and o t her misc. stuff
Assorted Street Light ltemsStreet lighting fixtures plus a commercial power meter pedesta l measuring 20"
wide x 17" deep by S2" tall.
2" x 9 1/2" x 78"1nterlocklng benches on pedestals
Old tank 1/2" sidewall x S4" diameter x 96" lo ng Has holes in it
Pallet with Buckets of nuts, bolts and assorted items
Tote with cordles s hand tools, grease guns and pair of Truck MirrorsBosch 18V cordless: Circular saw, Drill,
Reciprocating saw, Work light, Charger and 1 Battery. 2 Pneumatic grease guns, 3 Lever grease guns, 1 Small
lever grease 11un .
Minimum Bid
s S0.00
s 100.00
s S0.00
s S.00
s S.00
s S.00
$ S.00
s 20.00
s S.00
s S.00
s S.00
s 5.00
s S.00
s S.00
s S0 .00
s S.00
s S.00
s 20.00
$ S.00
s S.00
s 5.00
s S0.00
s S0.00
s S.00
$ 20.00
$ S.00
$ S0.00
$ S.00
$ S.00
$ S.00
$ 20.00
s S0.00
s S.00
s S0.00
$ 20.00
$ 20.00
$ 20.00
$ 100.00
$ S.00
$ 20.00
$ S.00
$ S.00
$ S.00
$ S.00
$ 2,S00.00
$ 2,S00.00
$ 10,000.00
$ 2S .00
$ S.00
s 10.00
s S.00
s 90.00
s S.00
$ S.00
$ S.00
$ S.00
s S.00
s 100.00
$ S0.00
$ S0.00
s S.00
$ 20.00
s S.00
s s.oo
48
Streets 1
Parks & Recreation 1 lot
Parks & Recreation llot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 1
Parks & Recreation 1 lot
Parks & Recreation 1 lot
Parks & Recreation 16 {1 lot)
Finance llot
Fiance 1 l ot
2017 City of Kenai Auction ITEMS
Attachment A
Resolution No . 2017-60
Greer used oil collection tank 200 Gallon
Three (3) microwaves {Emerson, Panasonic and Sharp models), onl (1) Epson desk top printer and two (2)
televisions (Sharp and Zenith models)
One (1) Dvna Glo orooane heater and one (1) Eden Pure Infrared Portable Heater
Four (4) fire extinguishers and one (1) furnace system (manufacturer unknown)
One (1) Craftsman gas trimmer, one {1) Featherl ite gas trimmer, one {1 ) Zip Start gas trimmer, and two (2)
Homelite gas trimmers. Lot includes one (1) CS Mac 3200 chainsaw and one (1 ) Red devil spreader.
Craftsman 19 Bushel Capacity sweepe r/catcher; four (4) push lawn mowers {three (3) Craftsman and one {1)
KGro models)
Table saw, belt sander, hand saws, propane burner, tool bag w/misc. tool s, work light, anti-theft bard and
electric paint sprayer.Task Force table saw, Black and Decker belt sander, Ryobi tool bag w/misc. tools, crow
bars, propane weed burner hose, Club anti-theft bar, and electric paint sprayer
Bench cress wei11ht bar w/wei11hts, heavy dutv stroller and 36" t rampoline w /legs
Three (3) shop vacs {Wet Dry) and two (2) upright vacuums {Bissell models)
40+ tires of various sizes and manufacturers, five {S) aluminum alloy rims of various sizes
Round metal upward vent wood stove
Five {S) Jencraft 64" window blinds 1", one (1) Jencraft 23" window blind 1", installation kit for glueless
laminate flooring, {17) boxes of Oak gluel ess laminate flooring {Traffic Master and Highland Oak brands),
(12) 4 'x8' sheets ofTlll, bathroom window and frame, shower door w/trim
1989 Gametime 10' elastic double children's slide {chute only)
Galvanized round oioes (6.5" lonl! x 2" diameter) with Galvanized Flat Bars 16' lon11 x 4" wide)
Galvanized round oioes (1 2.S" long x 2" diameter) with concrete footers.
Lot of plastic and metal fuel cans . Lot includes six S gal cans, two 2.S gal cans, five 2 gal cans and three 1.25
11al cans
14 old computers and 8 LCD monitors with assorted mice, keyboards, hard dr ives, and other misc.
peripherals.
4 Nortel Phone Svstems and mi sc comoonents with aooroximatelv SS assorted teleohones
$ S0.00
$ 10.00
$ 10.00
$ 10.00
$ lS.00
$ 2S .00
$ 2S.OO
$ 10.00
$ S.00
$ S0.00
$ 15.00
$ lS .00
$ 5 .00
$ S.00
$ S.00
$ 5.00
$ 200.00
$ 200.00
49
Frequently Asked Questions
Q. Are Internet Auctions legal?
A . Absolutely! There are no regulations or statutes in any State prohibiting the use of Internet
Auctions as a tool in the bidding process. Point of fact, the Federal Government and most States
encourage Public Agencies to adopt modern technology to reduce costs and increase efficiency.
The primary legal and operational concerns are related to the prevention of collusion between
bidders , and public employees and bidders. A third-party enabled Internet Auction inherently has
more protection against collusion than the traditional methods used by Agencies for procurement
and sales.
Q . Why should an Agency use Public Surplus?
A . Public Surplus was designed specifically for Public Agencies. It is the only automated system
available that enables Agencies to manage their entire surplus inventory, while at the same time
maintaining compliance with their State's regulations and policies . The system's specific features
allow the reallocation or auctioning of surplus items without actual, or the appearance of, waste,
favoritism , or collusion.
Most States require, either by regulation or policy, that Public Agencies maintain audit-
records detailing the disposition of every surplus item of a certain type and value. Public
Surplus satisfies this requirement with its automated Inventory Control component, which gives
Agencies the ability to easily provide a printed record for any surplus item disposed of during the
preceding 7 years.
Most States require through regulation or policy that Public Agencies, whenever possible,
reallocate items that are declared surplus, within the Agency. Public Surplus specifically
designed its Reallocation component to satisfy this requirement. We provide a way for Agencies
to instantly and automatically notify all appropriate departments within the organization of surplus
items available for redistribution. Interested departments are then allowed to easily and
automatically request these surplus items on a "first come, first served" basis.
Public Surplus also provides a COMMUNITY-based auction that increases the contact
between an Agency and the community it serves. One of Public Surplus' most important
services is helping Agencies attract larger numbers of community members to their surplus
auctions. By being accessible 24 hours, 7 days a week, an Agency 's auctions via Public Surplus
allow a larger percentage of the community to take advantage of the bargains surplus items
provide.
Q . What kind of surplus items can be sold on Public Surplus?
A. Just about anything! Mousetraps, portable classrooms , automobiles , buses, heavy equipment,
shop equipment, kitchen equipment, athletic equipment, musical instruments, computers ,
printers, furniture, etc, etc. It's amazing! Almost everything listed, no matter how old or odd, sells.
Q. How often can auctions on Public Surplus be held?
A. No limit! For most Agencies continuous auctions are best. No need to pile up an in ventory of
surplus to have enough for a live auction or sale . Instead of waiting , Agencies are able to list
items for internal reallocation or public auction as soon as any item is declared surplus. This
keeps warehouses and inventories streamlined and organized , allowing Agencies to operate
more efficiently and save costs.
Q. How much more revenue do Public Agencies generate using Public Surplus compared
to traditional methods?
A. Based on experience so far, it is expected that Agencies using Public Surplus' "dynamic"
auction will increase total net revenue from surplus sales by at least 30 % and , in some cases,
50
exceed 200%. This occurs for many reasons, but mainly because Public Surplus br ings a larger
buyer base for Agencies' auctions. Also more and more people are using online commerce to
meet their selling and purchasing needs.
Q. What is the cost of using Public Surplus?
A. There are three components to Public Surplus:
The first is its ability to manage an Agency's entire surplus inventory operations , from the time an
item is declared surplus, to its ultimate disposition; and this includes a complete audit history file.
This component is Free.
The second is Public Surplus' "reallocation " capability. This feature allow s surpl us items to be
automatically reallocated to other departments within an Agency. Th is component is also Free .
The th i rd component is the public auction feature. There are two ways an Agency can set up their
auction fees:
1. The Agency elects to collect the monies themselves from the buyer. For this method there is
a 7% transaction fee percentage charge. Many Agencies prefer to pass this fee percentage
to the buyer in the form of a "Buyer's Premium " so it ultimately does not cost the Government
Agency any money to sell on Public Surplus.
2. The more preferred option by Government entities is to have Public Surp lus collect the
monies for the Agency. Public Surplus deals with collecting the money from the buyer, sa vi ng
the Agency time. If the Agency elects to have Public Surplus collect payment there is an
additional 3% fee to cover the costs of accepting payment via credit card , Paypal and w ire
transfer. The total fee percentage for having Public Surplus collect is 10%. Again, the Agency
can pass the whole percentage on to the buyer if they would l ike.
The best part about Public Surplus is that YOU are the boss. The Government Agency can
charge the fee percentage using the method they would like. They can pass all the cost onto th e
buyer, they can take on all the cost themselves , or they can split up the fee percen tage betw een
themselves and the buyers. Also , a fee percentage is only collected on items SOLD. T here is no
charge for simply listing, or re-listing, an item.
We also have existing contracts that other Agencies have established w ith Pub lic Surp lus that
include different fee percentages and features. If you are interested in learning more about these ,
please contact your Public Surplus Representati ve.
Q. Does Public Surplus require a long-term contractual commitment?
A . No! Public Surplus is available on an at-will basis . Public Surplus is designed to be , now and in
the future, the most attractive means available for the management of the entire surplus invento ry
operations of Public Agencies. It is expected that Agencies will use Public Surplus only so long as
it is better than any other alternative available to them . This provides our motivation to
continuously provide the best service and technology available . If an Agency requires a contract
in order to use Public Surplus , this can be arranged .
Q. How does Public Surplus' system compare with other companies' surplus inventory
management systems?
A. To our knowledge , no other company offers an automated system that manages an Agency's
entire surplus inventory operation from the moment an item is declared surplus to its final
disposition .
Q. Does Public Surplus have a way to attract buyers to an Agencies' auctions?
A. Most definitely. This is a service that really sets us apart from other compa nies. We have a
specific department designed to generate interest on Government Agencie s' auctions .. Publ ic
51
Surplus's auction system is focused on pick-up buyers located within an Agency's Community, as
well as "specialty" buyers from across the nation. We are very successful in helping Agencies
attract large numbers of these buyers to their auctions.
Q . Is trai ning and customer support provided?
A. Yes! Free Training and Custo mer Support is provided. Public Surplus is so easy to learn and
use that it only requires a short amount of training.
Q . Can Agencies use Public Surplus without RFP?
A . There are seve ral reasons why Age nc ies can use Pu b lic Surplus wi t hout going through the
RFP process , including:
A ll costs of using Publ ic Surplus can be passed to the buyer through a buyer's premium
charge on your auctions . Typically, the Agency will not pay a percentage and the buyer pays
us a 7% premium plus the pass-through costs associated with the collections services of 3%.
There a re easi ly accessible printable and aud it-ab le re co rd s establish ed when using Pub lic
Surplus, making the audit experience less stressful. The P ublic Surplus system establishes
tracking of ite ms from the moment they are declared as su rp lus to their ultimate dispositio n .
• No commitme nt is required. Use by Agencies is so le ly at the ir d iscretion. The Seller ass umes
no risk at a ll when using Public Surplus for th e comp lete management and disposa l of
surplus inventories.
52
"(lttl~ «1/t~ a PaJ'~ Ct'tj «1/t~ a ra ttl.l"e IJ
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax : (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager Y. c.::> ~
Sean Wedemeyer, Publi c Works Director 5/fAW
Kayla Feltman , Public Works Administrative Assistant KF
September 14, 2017
Supporting and Authorizing Resolution No. 2017-60
Resolution No . 20 17-60 with Attachment A requests authorization from City Council. These items
have reached the end of their useful life and are no longer needed by the departments listed. City
Administration plans to change our current method of disposing surplus or obsolete items and
wou ld li ke to move forward using an on line public auction service provider, Publicsurplus.com .
The leading overhead cost of using Publicsurplus .com will be allocated to the buyer through a
buyer's premium charge on our auction.
Publicsurplus.com is specifically created and targeted for government agencies. There are
numerous government agencies around the state who utilizes this on line auction service provider.
The Kenai Peninsula Borough Purchasing and Contracting Department is currently using
Publicsurplus .com and have had great success implementing the online public auction method.
Since there are several other agencies statewide using this online auction forum this may give
the City a larger audience of potential buyers from other cities , municipalities , and boroughs .
Publicsurplus .com is a great tool that can help us operate more efficiently, consistently , and allow
us to reduce cost and gain revenue .
Thank you for your s upport on this Resolution .
Attachment:
1. Attachment A
2. Public Surplus Frequently Asked Questions
53
KENAI CITY COUNCIL – REGULAR MEETING
SEPTEMBER 6, 2017 – 6:00 P.M.
KENAI CITY COUNCIL CHAMBERS
210 FIDALGO AVE., KENAI, AK 99611
MAYOR BRIAN GABRIEL, PRESIDING
MINUTES
A. CALL TO ORDER
A Regular Meeting of the Kenai City Council was held on September 6, 2017, in City Hall Council
Chambers, Kenai, AK. Mayor Gabriel called the meeting to order at 6:00 p.m.
1. Pledge of Allegiance
Mayor Gabriel led those assembled in the Pledge of Allegiance.
2. Roll Call
There were present:
Brian Gabriel, Mayor Robert Molloy
Henry Knackstedt Tim Navarre
Jim Glendening Glenese Pettey
Mike Boyle (telephonic)
A quorum was present.
Also in attendance were:
Paul Ostrander, City Manager
Scott Bloom, City Attorney
Jamie Heinz, Acting City Clerk
3. Agenda Approval
Mayor Gabriel noted the following additions to the packet:
Add to Item D.4. Resolution No. 2017-59
• Informational Memo
MOTION:
Council Member Molloy MOVED to approve the agenda with the requested revisions to the
agenda and packet and requested UNANIMOUS CONSENT. Council Member Knackstedt
SECONDED the motion.
VOTE: There being no objections, SO ORDERED.
4. Consent Agenda
MOTION: 54
City of Kenai Council Meeting Page 2 of 10
September 6, 2017
Council Member Knackstedt MOVED to approve the consent agenda and requested
UNANIMOUS CONSENT. Council Member Molloy SECONDED the motion.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, the public
hearing was closed.
VOTE: There being no objections, SO ORDERED.
*All items listed with an asterisk (*) are considered to be routine and non-controversial
by the council and will be approved by one motion. There will be no separate
discussion of these items unless a council member so requests, in which case the item
will be removed from the consent agenda and considered in its normal sequence on
the agenda as part of the General Orders.
B. SCHEDULED PUBLIC COMMENTS
1. Tim Dillon, Executive Director, Kenai Peninsula Economic Development District
– City, Borough, and State Economic Update.
Tim Dillon, Executive Director, Kenai Peninsula Economic Development District provided an
overview on the work that they’re doing noting how they’re funded, the reports they produce, and
the five year plan that they’ve provided to the federal government; reported the Industry Outlook
Forum was scheduled for January 10, 2018; noted he would be meeting with the Secretary for
the US Economic Development Administration and would be providing him a list of shovel ready
projects on the Kenai Peninsula and in Kenai.
2. Johna Beech, Executive Director and COO, Kenai Visitor and Cultural Center –
Second Quarter 2017 Statistics Report.
Johna Beech, Executive Director and COO, Kenai Visitor and Cultural Center provided an
update on the second quarter Visitor Center statistics noting the number of visitors into the center,
guides provided, and facility usage; also noted the upcoming Silver Salmon Derby, helping with
Fall Festival planning, candidate forums ongoing, and an upcoming adult Halloween Party.
C. UNSCHEDULED PUBLIC COMMENTS
Joe Harris spoke on behalf of the historical society noting the boat near Moosemeat John’s Cabin
continues to be knocked over; asked that a permanent fence be put into place.
Janice Chumley noted that invasive plants had a negative effect on economics of communities;
had seen W hite Sweet Clover on Marathon Road and pointed it out to the Parks and Recreation
Director who pulled it and had it burned. After revisiting the area she noted seedlings that will
need to be dealt with next year because it is a biennial plant; thanked for the prompt attention.
Jacqueline VanHatten thanked the Council for the opportunity to work for the City; noted she was
leaving the state; gave a history of her lineage. Also noted she was honored to perform at the
2011 All-American City Award banquet and re-performed the song as a gift to the Council.
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September 6, 2017
D. PUBLIC HEARINGS
1. Ordinance No. 2977-2017 - Amending Kenai Municipal Code Sections 14.20.151 –
Application for Conditional Use Permit for Surface Extraction of Natural Resources,
14.20.152 – Review of Application, 14.20.153 – Public Hearing, 14.20.154 – Issuance
of Permit, 14.20.155 – Operation, 14.20.156 – Yearly Review, 14.20.157 –
Termination, 14.20.158 – Amendment or Transfer, to Allow the City Planner to
Determine Application Completeness and Making Other Housekeeping Changes.
(Clerk’s Note: This item was postponed to this meeting at the August 16 meeting for
the purposes of preparing a substitute ordinance and a second public hearing; a
motion to enact is on the floor.)
• Substitute Ordinance No. 2977-2017 – Amending Kenai Municipal Code
Sections 14.20.151 – Application for Conditional Use Permit for Surface Extraction
of Natural Resources, 14.20.152 – Review of Application, 14.20.153 – Public
Hearing, 14.20.154 – Issuance of Permit, 14.20.155 – Operation, 14.20.156 –
Yearly Review, 14.20.157 – Termination, 14.20.158 – Amendment or Transfer, to
Allow the City Planner to Determine Application Completeness, Impose Onsite
Clearing Limit Delineations and Making Other Housekeeping Changes.
MOTION TO AMEND:
Council Member Glendening MOVED to amend by substitute Ordinance No. 2977-2017 and the
motion was SECONDED by Council Member Navarre who requested UNANIMOUS CONSENT.
VOTE ON THE AMENDMENT: There being no objection; SO ORDERED.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
It was noted there had been a need recognized to be more efficient in the process for considering
Conditional Use Permits for Natural Resource Extraction and the ordinance did that by reducing
the number of hearings without precluding the Planning and Zoning Commission from asking for
more information. An overview of the inclusion of clearing limit delineations and other
amendments made was provided.
It was noted that in section 2, there was a reference to a plan for regarding and shaping the land
for future use that may need to be changed to regrading. The attorney noted the scrivener’s error
could be corrected administratively.
MOTION TO AMEND:
Council Member Molloy MOVED to amend Section 6 of the ordinance which titled KMC 14.20.155,
“Year Review” by replacing the word, “Year,” with the word, “Annual,” and requested
UNANIMOUS CONSENT. The motion was SECONDED by Council Member Glendening.
VOTE ON THE AMENDMENT: There being no objection; SO ORDERED.
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Clarification was provided that as long as the property owner could delineate their property
boundary, they could delineate the clearing limits onsite, however a land surveyor would need to
be involved at some point.
VOTE ON THE MAIN MOTION:
YEA: Molloy, Knackstedt, Gabriel, Pettey, Navarre, Boyle, Glendening
NAY:
MOTION PASSED UNANIMOUSLY.
2. Ordinance No. 2979-2017 – Amending KMC 14.20.330 Standards For Commercial
Marijuana Establishments, to Change how Buffer Distances are Measured from
Commercial Marijuana Establishments to Post-Secondary Schools, Recreation or
Youth Centers, Churches, Correctional Facilities, and Substance Abuse Treatment
Facilities and Approving a Policy to Provide Guidance in Measuring Pedestrian
Routes.
MOTION:
Council Member Molloy MOVED to enact Ordinance No. 2979-2017 and the motion was
SECONDED by Council Member Navarre.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
It was noted that after implementation of the initial regulations, issues had been discovered with
measuring buffer distances and the ordinance and associated policy had provided for measuring
by pedestrian routes as opposed to linear routes.
There was suggestion that the topic was confusing due to the Borough voting on development
and it wasn’t fair to the businesses that were already open and those going through the process
already that could have selected a newly available area but had made investment elsewhere.
It was pointed out there had been a Board of Adjustment hearing on measuring buffer distance
due to a Right-of-W ay dedication and that the intention was to seek a recommendation from the
Planning and Zoning Commission.
MOTION:
Council Member Molloy MOVED to postpone Ordinance No. 2979-2017 for a second public
hearing at the October 4 meeting and refer to the Planning and Zoning Commission to provide a
recommendation to the Council for Council’s October 4 meeting. The motion FAILED for lack of
a second.
It was pointed out that in the statewide vote, the City voters approved commercial marijuana by a
narrow margin and the regulations in place reflected that; the Planning and Zoning Commission
spent a year developing the regulations, including the measuring methodology, and sending it
back to them again may not be productive. It was suggested that utilizing the pedestrian route
measuring methodology would liberalize where establishments could be, was a big change to
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September 6, 2017
regulations that substantially worked. It was also suggested that the timing was poor with the
upcoming borough vote.
It was noted that there was ambiguity in the pedestrian route measuring methodology; the party
that appealed the decision to the Board of Adjustment wasn’t in favor of the change; the dedication
of the public Right-of-Way was the issue.
Reluctance to change the rules after some operators had invested in the City was noted, as was
the consideration by the Marijuana Control Board to provide onsite consumption.
The intent was to make the adjustments discussed in the Board of Adjustment deliberations was
noted as was the intent to make opportunities more welcoming and encourage additional
investment.
VOTE:
YEA: Boyle, Molloy
NAY: Knackstedt, Gabriel, Pettey, Navarre, Glendening
MOTION FAILED.
3. Ordinance No. 2980-2017 – Declaring that Lot 9, Block 8, Original Townsite of Kenai,
According to Plat No. K-2970, Located within Section 5, Township 5 North, Range 11
West, Seward Meridian, also Known as 612 Inlet Street, Kenai, Alaska, whose Last
Recorded Owner Under Borough Assessment Records was Billy A McCann, Po Box
92, Kenai, Alaska, Shall be Retained by the City Of Kenai for a Public Purpose.
• Substitute Ordinance No. 2980-2017
MOTION:
Council Member Molloy MOVED to enact Ordinance No. 2980-2017 and the motion was
SECONDED by Council Member Knackstedt.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
MOTION TO AMEND:
Council Member Molloy MOVED to amend by substitute Ordinance No. 2980-2017 and the motion
was SECONDED by Council Member Knackstedt. UNANIMOUS CONSENT was requested.
VOTE ON THE AMENDMENT: There being no objections, SO ORDERED.
It was pointed out the property was adjacent to the Bluff Erosion Project, would be utilized by the
Parks and Recreation department, and encompassed a small portion of Meeks Trail.
Vice Mayor Navarre noted Billy McCann had been Vice Mayor of the City and would be happy
that his property would be going to the City.
VOTE ON THE MAIN MOTION:
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September 6, 2017
YEA: Molloy, Knackstedt, Gabriel, Pettey, Navarre, Boyle, Glendening
NAY:
MOTION PASSED UNANIMOUSLY.
4. Resolution No. 2017-59 – Authorizing the Use of the Equipment Replacement Fund
to Purchase Two Trucks, With Attachments, for the Streets Department to be used as
Snow Plows, Dump Trucks, and Sanders Utilizing the Alaska Department of
Transportation & Public Facilities Fleet Procurement Contract.
MOTION:
Council Member Knackstedt MOVED to adopt Resolution No. 2017-59 and the motion was
SECONDED by Council Member Molloy.
Mayor Gabriel opened the public hearing; there being no one wishing to be heard, public comment
was closed.
It was noted that the unit it was a slip in unit, which was economical, versatile, and provided rust
prevention and administration was thanked for the additional information.
VOTE:
YEA: Molloy, Knackstedt, Gabriel, Pettey, Navarre, Boyle, Glendening
NAY:
MOTION PASSED UNANIMOUSLY.
E. MINUTES
1.*Special Meeting of August 11, 2017
Meeting minutes approved by the consent agenda.
2.*Regular Meeting of August 16, 2017
Meeting minutes approved by the consent agenda.
F. UNFINISHED BUSINESS
1. Resolution No. 2017-57 – Consenting to a Renewal of Lease of Certain Airport Lands
within the Airport Reserve Between the City of Kenai, Lessor, and SOAR International
Ministries, Inc., Lessee, on Property Described as Lot 2, Block 3, General Aviation
Apron Number One. (Clerk’s Note: This item was postponed to this meeting at the
August 16 meeting; a motion to adopt is on the floor.)
MOTION:
Council Member Knackstedt MOVED to postpone to the September 20 meeting and the motion
was SECONDED by Council Member Molloy. UNANIMOUS CONSENT was requested.
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VOTE: There being no objection; SO ORDERED.
G. NEW BUSINESS
1. *Action/Approval – Bills to be Ratified.
Approved by the consent agenda.
2. *Action/Approval – Purchase Orders Exceeding $15,000.
Approved by the consent agenda.
3. *Ordinance No. 2981-2017 – Amending Kenai Municipal Code, Chapter 1.15 – Rules
of Order, to Change Gender Specific Language to Gender Neutral, Provide
Consistency in the References to the Chair of a Meeting, and Other Housekeeping
Changes.
Introduced by the consent agenda and public hearing set for September 20, 2017.
4. *Ordinance No. 2982-2017 – Amending Kenai Municipal Code Section 7.30.010 –
Airport Land Sale Permanent Fund, to Eliminate References to the Airport Enterprise
Fund which is No Longer Utilized.
Introduced by the consent agenda and public hearing set for September 20, 2017.
5. *Ordinance No. 2983-2017 – Accepting and Appropriating a Donation to the Kenai
Parks & Recreation Department for the Purchase of Bleachers.
Introduced by the consent agenda and public hearing set for September 20, 2017.
6. *Ordinance No. 2984-2017 – Amending Kenai Municipal Code Section 23.55.060 –
Stand-By Pay, to Amend the Rate of Stand-By Pay and Increasing Water & Sewer
Fund Estimated Revenues and Appropriations to Provide Standby Pay for Certified
Water and Wastewater Operators that was Not Included in the FY2018 Budget.
Introduced by the consent agenda and public hearing set for September 20, 2017.
7. *Ordinance No. 2985-2017 – Amending Kenai Municipal Code Section 13.20.035-
Camping, Fires and Other Activities on City Beaches, to Prohibit the Burning of Pallets
and Other Wood Materials Containing Metal Fasteners on City Beaches.
Introduced by the consent agenda and public hearing set for September 20, 2017.
H. COMMISSION/COMMITTEE REPORTS
1. Council on Aging – A reminder was provided for Vintage Pointe’s 25th Anniversary
celebration on September 7; next meeting September 14.
2. Airport Commission – No report; next meeting September 14.
3. Harbor Commission – No report; next meeting September 11.
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September 6, 2017
4. Parks and Recreation Commission – No report; next meeting September 7.
5. Planning and Zoning Commission – It was reported that the Commission met August
23 and approved a plat vacating a section line easement near Royal Street and a held
a public hearing and subsequently approved a Conditional Use Permit for Eagle Rock
Boat Launch Rehabilitation; next meeting September 13.
6. Beautification Committee – No report; next meeting September 12.
7. Mini-Grant Steering Committee – No report.
I. REPORT OF THE MAYOR
Mayor Gabriel reported on the following:
• Met with a student regarding recycling fishing web into skateboards,
sunglasses, etc.; they’re now considering setting up a recycling
center in Alaska;
• Attended the Kenai Sportfish Association banquet;
• Attended Industry Appreciation Day;
• Coffee with the Mayor was held at the Art Guild and was well
attended;
• Floated the river in a duck raft for the Lions Club Duck Race and
won the Mayor’s race;
• Delivered a Suicide Prevention Awareness Proclamation;
• Thanked all that spoke to Council at the meeting.
J. ADMINISTRATION REPORTS
1. City Manager – P. Ostrander reported on the following:
• The comment period was closed in the Bluff Stabilization Project
and provided an overview of the remaining process;
• He and the Public Works director met regarding selling surplus
items in online auctions and found that the selling agencies were
selling more and making more money;
• Was provided an update from Alaska Gasline Development
Corporation and noted they were still hopeful for finding a market;
• Received grant approval from FAA for terminal rehabilitation;
• Met with Senior Connections regarding the atrium project and
sought approval to utilize some of the funds donated by them for
the atrium project to improve the sound system;
• Process for selling off-airport properties, previously approved for
sale, was being finalized and a recommendation coming forth;
• Noted the Spur View Motel was being marketed for sale and if not
sold, would be burned or destructed;
• Provided an update on the Kenai Performers property; finding
alternative property as airport owned previously donated property.
2. City Attorney – City Attorney S. Bloom reported on the following:
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September 6, 2017
• The leasing policy process was moving forward; held meetings with
stakeholders and is reviewing the need for code amendments;
• Participated at the state level on legislation allowing liens on past
due accounts or abatement issues and, after reviewing Kenai
Municipal Code, found no need for code amendments; unless there
was objection he would renew the practice of putting liens on
property;
• Noted there was a request for surplus items to be auctioned
continually but was problematic with the way the code was written
requiring that Council surplus the items.
3. City Clerk – Acting City Clerk J. Heinz reported on the following:
• Absentee voting was to begin on September 18;
• An audit of the Cemetery was nearing completion, the map, the
files, and the electronic files had all been updated and matched;
ready to onboard and sell the Columbarium Niches.
K. ADDITIONAL PUBLIC COMMENT
1. Citizens Comments (Public comment limited to five (5) minutes per speaker)
None.
2. Council Comments
Vice Mayor Navarre Thanked those that helped with Industry Appreciation Day; noted the Alaska
Gas Line Development Committee’s Community Advisory Board was still moving ahead;
expressed appreciation that Mayor Porter was in town, visiting.
Council Member Pettey thanked VanHatten for her service to the City.
Council Member Glendening noted his grandson had demolished a hotel in mid-town Anchorage
that he had built and another grandson had been chosen to participate studying abroad in
Germany.
Councilor Knackstedt noted the Historical Foundation would begin their monthly meetings at
Kenai Historical Society and he would be attending the Vintage Pointe Anniversary party;
commended Student Representative Gilman’s rendition of the star spangled banner.
L. EXECUTIVE SESSION
1. Action/Approval - Hiring, Recruitment, and Contract Discussion and Negotiation for
a City Clerk. [Clerk’s Note: Council May Convene into Executive Session to Discuss
this Agenda Item which Pursuant to AS 44.62.310(C)(2) May be a Subject that Tends
to Prejudice the Reputation and Character of the Applicant and per AS 44.62.310(c)(1)
is a Matter of which the Immediate Knowledge may have an Adverse Effect Upon the
Finances of the City.]
MOTION:
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September 6, 2017
Council Member Molloy MOVED to convene in executive session to discuss hiring, recruitment,
and contract discussion and negotiation for a City Clerk, a subject that tends to prejudice the
reputation and character of an applicant and matters which law, municipal charter, or ordinance
are required to be confidential per AS 44.62.310(C)(1)(2) and requested the City Attorney and
applicant, Jamie Heinz, be available as needed and the motion was SECONDED by Council
Member Knackstedt.
VOTE:
YEA: Gabriel, Knackstedt, Navarre, Pettey, Molloy, Glendening
NAY:
MOTION PASSED UNANIMOUSLY.
Council reconvened in regular session and it was noted a contract discussion took place with
applicant Jamie Heinz, and an employment contract was negotiated successfully.
MOTION:
Council Member Navarre MOVED to appoint Jamie Heinz as City Clerk and award an employment
agreement and requested UNANIMOUS CONSENT. Councilor Glendening SECONDED the
motion.
VOTE: There being no objections; SO ORDERED.
M. PENDING ITEMS – None.
N. ADJOURNMENT
There being no further business before the Council, the meeting was adjourned at 9:33 p.m.
I certify the above represents accurate minutes of the Kenai City Council meeting of September
6, 2017.
_____________________________
Jamie Heinz, CMC
City Clerk
63
thedtyo(,
KENAI, ALAS KA
~
CITY OF KENAI
RESOLUTION NO. 2017-57
Sponsored by: Administration
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, CONSENTING TO A
RENEWAL OF LEASE OF CERTAIN AIRPORT LANDS WITHIN THE AIRPORT RESERVE
BETWEEN THE CITY OF KENAI , LESSOR , AND SOAR INTERNATIONAL MINISTRIES, INC .,
LESSEE , ON PROPERTY DESCRIBED AS LOT 2, BLOCK 3, GENERAL AVIATION APRON
NUMBER ONE.
WHEREAS, on November 2, 2004, the City entered into a Lease of Airport Lands with SOAR
INTERNATIONAL MINISTRIES, INC. and RICHARD PAGE , Individually, Lessee, for City-owned
lands described as follows :
Lot 2, Block 3, General Aviation Apron No. 1, according to the amended Plat
thereof, filed under Plat No. 2004-20, Records of the Kenai Recording District,
Third Judicial District, State of Alaska; and ,
WHEREAS , the term of the orig inal Lease was 13 years , and expired on June 30 , 2017; and
WHEREAS , on June 21 , 2017, the Lessee, SOAR INTERNATIONAL MINISTRIES , INC.
submitted an appli c ation to renew the Lease ; and ,
WHEREAS , the Lessee 's application does not include a proposal to construct new impro vements
on the premises , or a proposal to add, delete, or alter a business authorized under said Lease ,
the ma ximum lease term provided under Kenai Municipal Code 21 .10.090(d )(1) is five years; an d ,
WHEREAS , on August 9, 2017 , the Planning and Zoning Commission recommended a pproval of
the Lease renewal ; and
WHEREAS , on August 10, 2017, the Airport Commission recommended ______ of the
Lease rene wal.
NOW , THEREFORE , BE IT RESOL VED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA :
Section 1. That a Lease of Airport Reserve Land s be executed by the CITY OF KENAI ,
Lessor, and SOAR INTERNATIONAL MINISTRIES, INC . Lessee , on certa in
Ai rport Lands described as Lot 2, Block 3, General Aviation Apron No. 1. Furt her,
the City Manager is authorized to execute said Le a se of Airport Reserve La nds
on behalf of the City.
Section 2. That this resolution takes effect immediately upon passage .
64
Resolution No . 2017-57
Page 2 of 2
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA , this 16th day of August , 2017 .
BRIAN GABRIEL SR., MAYOR
ATTEST :
Jamie Heinz, Acting City Clerk
65
1V/tf~ t<J/th, a Pa.r~ Ct'tj t<J/th, a rat~ 11
210 Fidalgo Ave , Kenai, Alaska 99611 -7794
Telephone : (907) 283-7535 I Fax : (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and City Council
Paul Ostrander, City Manager 7, O ~
Matthew Kelley, City Planner /f-/L
Augusta, 2017
Lease Renewal -Lot 2 , Block 3 , General Aviation Apron No. 1
The purpose of this communication is to provide information to the C ity Council regarding the
Lease Renewal of Lot 2, Block 3, General Aviation Apron No. 1 .
SOAR Internati ona l Ministries, In c ., currently leases the above-described property located inside
the Airport Reserve for "aircraft storage and maintenance". The initial term of the lease was for
13 yea rs and expired on June 30 , 2017. Richard Page, President of SOAR International
Ministries, applied to renew the lease for a period of 55 years on June 21 , 2017.
KMC 21.10.090(c) outlines the maximum lease term requiremen ts based on total investment.
The applicant has requested to renew the term of lease for 55-years with no additional
investment. The applicant has indicated that they do not wish to make any additional in v estment
into the subject parcel ; therefore, the lease renewal can only be for a period of 5-years.
The application has been reviewed by the Airport Manager for conformance wi th the Ai r port Land
Use Plan , Airport La yout Plan , Airport Master Plan, FAA regulations, AIP grant assura nces, and
airport operations. The Airport Manager re commended entering into a new lease agreement for
a maximum term of five years .
The application has been reviewed by the City Planner for conformance with the Airport Land
Use Plan, municipal zoning , and the Comprehensive Plan . The C ity Planner found that the
continued use of the subject parcel as an aircraft hangar is consistent w ith the A irport Light
Industrial Comprehensive Plan Land Use designation and the A irport Light Industrial Zone .
The Plann ing & Zoning Commission recommended approval of the Lease renew al at their
meeting on August 9 , 2017.
The Airport Commission will review the lease application at their meeting scheduled for
Thursday, August 101h. City Council will be advised of their recommendation at the City Council
meeting on August 16, 2017.
66
Memorandum to City Council
Lease of Airport Lands -SOAR International Ministries, Inc.
Lot 2 , Block 3, General Aviation Apron No. 1
It is my recommendation that the Ke nai City Council , pass Resolution 2017 -5 7 authorizing
execution of the Lease of Airport Reserve Lands by the CITY OF KENAI, Lessor, and SOAR
IN TERNATIONAL MINISTRIES, INC., Lessee , on certain Airport Lands described as Lot 2, Block
3, General Aviation Apron No . 1.
Thank you for your consideration .
67
FOR CITY USE ONLY
Date -------CITY OF KENAI · Signature------
210 Fidalgo A venue, Kenai, Alaska 99611 -7794
(907) 283-7535 Ext. 223
LEASE APPLICATION
For Land Inside the Kenai Municipal Airport Rese e
RECEI VED
CITY OF KENAI
JUN 2 I 2017
1. Name of Applicant 1?1 CH A-&.D °PAe:i-e
PLANNING DE~RTMENT
2. Business Name SOAR \ "JTEJ?-NfD]cNAL M1N15TY?1E~
3. Business Type (circle one) so le proprietor partnership~L.L.C. 4 . AK Business License No .. ____ _
5.MailingAddress \3S: C:S-AA~ITE Pt:)\N=( C...OUR._.J:, !<ENA),. ALAsl:;f\ 9~611
6. Telephone '101-2.83-(')'"'I 7. Email Address R.1cttAi212~ <$) 5QAl2..INT~ATlpNl\L ,0 ~
8. Kenai Peninsula Borough Sales Tax No. (if applicable) 0 O <:::>, .S-9 'E \I
9. Land Requested :
If platted, give legal description LOT '2..-, 8~ 3 ~ frVIA-JTllN lf®N Jkb:i¥.'prt.JG-In~ ND. 73-(,.~
If not platted, attach a site plan showing the proposed dimensions and location on the Airport.
10. Proposed Use of the Property (Be specific) CON1]k)Qe C<.Jf."'2.~NT VSe -A\l2cgA-:Pf :s-rc:::if2,.Ac::,.e AflJ.l)
<>tA11,rret-.i.ANce /hJf) fa.lff'ct STQ~ 11. Lease Term Desired 5 S-years
12. If you plan to base or service aircraft on the property, give
a . Make, type, & wingspan of the largest aircraft fl Pe@.. NA\JA.Jo f'A -3 \
b. Total number of aircraft you expect to b e based or serviced on the property at one time
13. If you plan to construct improvements or otherwise develop the property:
a. Attach a Development Plan (see attached checklist)
b. Describe the building type, construction materials, size, etc .. _______________ _
c.:. Construction beginning date--------
d. Construction completion date (maximum of two years) ______ _
e. Estimated total cost of the proposed development & improvements $ ___________ _
14. If you plan to operate a business on the property, attach a business plan (See application instructions).
15 . If you would like the City to consider any additional infonnation relating to your proposal , please put it in writing and
submit it with this application. So/\'2-Wc.0LD L\ \<E It::> Rs;;::"New/ CONTI rJ VE. o~R.
Cv R"f2-eNI Le:-A~€ .
APPLICANT'S SIGNATURE: ~ci~-....!...!2_~~·~-.------· Date: o'-fts;/.zoa_
T . 1 I fj Printed name: --~l±Af<D L. ffi\....£ ___ it e: {'t?es 1 aeisn: D 1Rlf0-V~
APPLICANT'S SIGNATURE:----·---------
Printed name:------------
PA I D · JUN 2 S 2017'
Title:
I
Date:
---68
(t) 2
Lot 2, Block 3
GAA SUBD.
NO. 1
. _tkeify•/, .
KENAl"'lASKA v
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s
100'
1 inch equals 104 feet
The information depicted here
on is for graphic representation
only of the best av ailable sources .
The City of Ken ai assumes no
responsibil ity for errors on thi s
map .
Date: 8/9/2017
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KENAI MUNICIPAL AIRPORT
LEASE OF AIRPORT RESERVE LANDS
THIS LEASE AGREEMENT entered into this day of , 2017, by
and between the CITY OF KENAI, ("City") 210 Fidalgo A venue, Kenai, Alaska 99611-7794, and
SOAR INTERNATIONAL MINISTRIES, INC. whose address is 135 Granite Point Court, Kenai,
AK 99611 ("Lessee").
DEFINITIONS
For the purposes of this Lease the following terms are defined as follows:
1. Airport -the Kenai Municipal Airport, including all the runways, taxiways , aprons, water
lanes, water taxiways, and all City-owned real estate located within the boundaries of the
Airport Reserve as defined in KMC 21.05.010-020.
2. Airport Manager -the official to whom the City Manager of the City has del egated the
authority and responsibility of managing and directing the activities of the Airport.
"Airport Manager" includes that person's authorized representative.
3. City -the City of Kenai, Alaska, a home rule municipal corporation of Alaska.
4. City Manager-the official to whom the Kenai City Counci l has delegated the responsibility
of managing and directing all activities of the City.
5. Contamination -the unpermitted pr esence of any released Hazardou s Substance.
6. Enviromnental Law -any applicable federal , state, or local statute, law, regulation,
ordinance, code, pennit, order, decision, judgment of any governmental entity relating to
environmental matters, including littering and dumping.
7. FAA -the abbreviati on for the Federal A via ti on Administration.
8 . Hazardous Substance -any substance that is defined under an En v ironmental Law as
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hazardous waste, Hazardous Substance, hazardou s material, toxic, pollutant, contaminant,
petroleum, petroleum product, or oil.
9. KMC -the abbreviation for the Kenai Municipal Code.
10. Permanent Improvement - a fixed addition or change to land that is not temporary or
portable, including a building, building addition, gravel fill, paving, retaining wall, storage
tank, and wel l.
ARTICLE I
PREMISES LEASED
A. PREMISES: In consideration of Lessee's payment of the rents and performance of all the
covenants of this Lease, the City leases to the Lessee, and the Lessee leases from the City, the
following described property ("Premises") in the Kenai Recording Di strict, Third Judicial District,
State of Alaska and located on the Airport; to wit:
Lot 2, Block 3, General Aviation Apron No. 1, according to the amended Plat
thereof, filed under Plat No . 2004-20, recorded in the Kenai Recording District,
Third Judicial Di strict, State of Alaska.
B. NO WARRANTY: Except as may be provided in this Lease, the City makes no specific
warranties, expressed or implied , concerning the condition of the Premises including, su rvey, soil s,
wetlands, access, and suitabi lit y or profitability for any use including those authorized by thi s
Lease, its environmental condition, or the presence or absence of Haza rdous Substances in, on,
and under the surface. The Lessee takes the Premises on an "as is" basis and without warranty,
subject to any and all of the covenants, tenns, and conditions affecting the City's title to the
Premises.
A. AUTHORIZED USES:
ARTICLE II
RIGHTS AND USES
1. USE OF PREMISES: The City auth01izes the Lessee to use the Premises for the
following purposes only:
Aircraft Storage and Maintenance.
2. CONTINUOUS OPERATIONS: Unless the City approves otherwise in writing,
the Lessee wi ll operate its business on the Premises on a continuous basis,
uninterrupted by any period of closure over 15 consecutive days or 30 aggregate
days within any 12-month period of the tenn of this Lease. The Lessee will give
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the City written notice before closing the Lessee's business on the Premises for
more than ten consecutive days. The notice must state the reason for the closure
and the date on which the Lessee will re-open for business. This provision does
not apply to any period during which the Lessee is unable to operate its business as
a result of an act or directive of the City, or as a result of a closure of the Airport or
loss of the Lessee's buildings on the Premises due to fire or natural disaster or order
of public authority.
B. RIGHTS RESERVED TO THE CITY:
I. RIGHT TO GRANT TO OTHERS: The City reserves the right to grant to others
any rights and privileges not specifically granted to the Lessee on an exclusive
basis. The rights and privileges granted to the Lessee in this Lease are the only
rights and privileges granted to the Lessee by this Lease.
2. EASEMENTS: The City reserves the right to make grants to third parties or reserve
to the City easements or rights of way through, on, or above the Premises. The City
will not grant or reserve any easement or right of way that unreasonably interferes
with the Lessee's authorized uses of the Premises.
3. INGRESS , EGRESS AND INSPECTION: The City reserves the right of ingress
to and egress from the Premises and the right to enter any part of the Premises,
including buildings, for the purpose of inspection or environmental testing at any
time. Except in the case of an emergency, all inspections and enviromnental testing
will be coordinated with the Les see to minimize interference with the Lessee's
authorized uses of the Premises.
4 . RIGHT OF FLIGHT: 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 of the Premises. This public right of flight
will include the right to cause in the airspace any noise inherent in the operation of
any aircraft used for navigation or flight through the airspace or landing at, taking
off from , or operation on the Airport.
C. PROHIBITED USES:
Unless specifically authorized by this Lease or an amendment to this Lease, the following are
prohibited:
1 . Any use of the Premises other than those authorized in this Lease.
2. Any use of the Premises that is in v iolation of a City Ordinance or an Airport
regulation.
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3. The outside storage on the Premises of junk, salvage aircraft or vehicle parts, non-
operational support equipment, unused or damaged equipment or material, or solid
waste or debris unless allowed pursuant to a conditional use pem1it under KMC
14.20.
4 . The disposal on the Premises or the Airport of waste materials generated by the
Lessee, including any Hazardous Substance, slash, overburden, and construction
waste.
5. The stripping, wasting, or removing any natural material from the Premises without
the prior written approval of the City.
6. Erecting structures or allowing growth of natural objects that would constitute an
obstruction to air navigation, or allowing any activity on the Premises that would
interfere with or be a hazard to the flight of aircraft, or interfere with air navigation
or communication facilities, serving the Airport.
7 . Any use or activity that is prohibited by applicable law or regulation.
ARTICLE III
TERM & HOLDOVER
A. TERM: The tenn of this Lease i s for five years , from Jul y 1, 2017 to June 30, 2022.
B. HOLDOVER: If the Lessee holds over and remains in possession of the Premises after the
expiration , cancellation or termination of this Lease, the holding over will not operate as an
extension of the tenn of this Lease, but only creates a month-to-month tenancy, regardle ss of any
rent payments accepted by the City. The Lessee's obligations for perfonnance under this Lease
wi ll continue during the month-to-month tenancy. The City or Lessee may te1minate the Lessee's
holdover with ten days' advance written notice.
ARTICLE IV
RENTS AND FEES
A. RENT: The rent fo r the Premises is $7, 103 .34 per year, as established by the City pursuant
K.MC 21.10.100 and as s ubject to adjustment under Article V of this Lease, plus applicable sales
tax. The rent shall be payable annually in advance of the first day of each year of the term of this
Lease. All payments required b y this Lease must be ma de in U.S . dollars. If the annual rent
exceeds $2,400.00, the Lessee may, upon written notice to the City, choose to pay the rent in equal
monthly installments, payable in advance on or before the anniversary date of the term of this
Lease and thereafter at monthly intervals. No conversion of the payment schedule from annual to
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monthly shall result in the City receiving less rent than it would have received had the conversion
not taken place.
B. RENT PR ORA TED: Rental for any period less than one year shall be prorated on the basis
of the rent payable under this Lease in the last full year previous to the prorating.
C. ADDITIONAL RENT: In addition to the rent specified in (A) of this Article, Lessee agrees
to pay to the appropriate parties a ll levies, assessments, and charges as follows:
1 . Taxes pertaining to the leasehold interest of the Lessee.
2. Sales tax now enforced or levied in the future, computed upon rent payable in
monthly installments whether the Lessee pays rent under this Lease on a monthly
or annual basis. All taxes and assessments levied in the future by the City, as if
Lessee was the legal owner of record of the Premises .
3. Reimbursement for City constructed improvements under Article XV.
D. PAYMENTS: The Lessee shall make checks, bank drafts , or postal money orders payable
to the City of Kenai and deliver payments to City of Kenai , Finance Department, 210 Fidalgo
A venue, Kenai , Alaska 99611-7794 or any other address the City may designate in writing to the
Lessee.
E. INTEREST: Beginning the day after payment i s due, all unpaid rents, charges, and fees
required under thi s Lease will accrue interest at the rate of eight percent (8 .0%) per annum. Interest
on disputed amounts will not be charged to the Lessee if the d ispute i s resolved in the Lessee's
favor.
F. LATE PAYMENT PENALTY: In addition to any interest payable under Provi sion (E) of
this Article, each time the Lessee fai l s to pay any rent or fee by the date required in this Lease, the
City will charge, and the Lessee shall pay, an administrative penalty of 10 percent of the amount
due and unpaid .
G. COURTESY BILLINGS: Lessee acknowledges that a n y billing statement is sued by the
City is provided only as a courtesy. The Lessee is obligated to pay all rents and fees when due,
regardless of whether or not the Lessee receives a billing statement from the City.
H. LIEN AGAINST LESSEE: Any rent, charge, fee, or other consideration which is due and
unpaid at the expiration, tern1ination , or cancellation of this Lease will be a lien against the
Lessee's property, real or personal.
I. PAYMENT OF CITY'S COSTS : The Lessee will pay all reaso nable actual expenses,
costs, and attorney fees City may incur, with or without fonnal action , to enforce, defend, or protect
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this Lease or City's rights under this Lease, including any expense incurred with respect to
environmental compliance, bankruptcy or any proceeding that involves the Lessee, the Lease, the
Premises, or improvements or personal property on the Premises. The Lessee will make payment
within 30 days of the date of each notice from City of any amounts payable under this provision.
J. PAYMENT FOR SPECIAL SERVICES: Lessee agrees to pay the City a reasonable fee
for any special services or facilities the City agrees to perform, which the City is not otherwise
obl igated by this Lease to provide and which the Lessee requests from the City in writing.
ARTICLE V
ADJUSTMENT OF RENT AND FEES
A. RENT OR FEE ADJUSTMENT: In years ending in zero and five, rent adjustments will
be made. The first rent adjustment shall be made in 2020. The amount to which the City increases
or decreases any rent or fee shall be established in accordance with KMC 21.10.100 and 21. J 0.160.
Any rent change by the City shall be based on the fair market value of:
1. The Premises in its conditi on on the term beginning date stated in Articl e III or in
the case of a l ease renewal or extension, the beginnin g date for the original l ease;
plus
2. any improvements made by the City subsequent to that date, the cost of which is
not reimbursed by th e Lessee.
No rent or fee change shall be effective until 30 days after the date of the City's written
notice to the Lessee. If the Lessee believes that any changed rent exceeds the fair market ren t for
the Premises, the Lessee may appeal the rent change to the City under KMC 21.10. 160.
B. CITY-CONSTRUCTED IMPROVEMENTS: Improvements constructed by the City on,
or in connection with , the Premises shall not be considered a part of the Premises for the purpose
of es tabli shing the rent under (A) of thi s Article, if the Lessee, as a condition of this Lease,
reimburses the City fo r the City's construction costs pursuant to KMC 21.10.110.
ARTICLE VI
ASSIGNMENT & SUBLETTING
A. INVALID WITHOUT CITY'S CONSENT: The Lessee m ay not assign , sublet, or grant a
secu rity interest in, by grant or implication, the whole or any part of thi s Lease, the Premises, or
any impro vement on the Premises wi thout the written consent of the City. Any proposed
assignment, sublease, or security interest must be written and must be submitted to the City bearing
the original , notari zed signature of all parties . The Lessee may subm it unsigned DRAFT
document s for the C ity's conceptual review. However, the City's conceptual approval of a
DRAFT document may not be construed as the City's consent to any assignment, sublease, or
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security interest. All prov isions in thi s Lease extend to and bind the assignees and sub -lessees of
the Lessee.
B. NO WAIVER OF CONSENT: The City's consent to one assignment, sublease, or security
interes t w ill not waive the requirement for the Lesse e to obtain the C ity's con sent to any other
assignment, sublease, or security interest.
C. ASSIGNEE I LESSEE OBLIGATIONS: An assignment must include a provision statin g
that th e Assignee accepts responsibility for all of the Assignor's (Lessee's) obligations under this
Lease, including e nvironmental liability and responsibility. However, unless the City sp ecificall y
releases the Lessee in writing, the City m ay h o ld th e Lessee responsibl e for performing any
obligation under thi s Lease, which an Assignee fails to perform.
D. OCCUPANCY BEFORE CITY CONSENT: An Ass ignee o r Sub-Lessee may not occu py
the Premi ses before the C ity con sents to th e ass ignment or sublease in writing.
E. CONFLICT OF PROVISIONS: In the event of a confl ict between thi s Lea se and an
assignment or a subl ease, the term s of thi s Lease control.
F. LESSEE NOT R ELI EVED OF OBLIGATIONS: T he City's consent to any subl ease does
not reli eve or otherwise alter the Lessee 's obligations und er th is Lease.
G. SECURITY ASSIGNMENTS AND FIN ANCING:
1. Subject to the req uirem ents of (A) of thi s Article VI, th e Lessee may assign a
securi ty interest in thi s Lease. The securi t y interest may be in the form of a
mortgage, deed of trust, assignment or oth er appropriate instrument, provided:
a. the security interest pertains only to the Lessee's l easehold interest;
b. the security interest does not pertain to or create any interest in City's title
to th e Premises; and
c. the docum ents providing for the securi ty interest are acceptable to the Ci ty.
2. If the assignment of a securit y interest to which the City has consented sha ll be held
by an establi shed lending or fina nc i al institution, including a bank, an establish ed
insurance company and qualified pension or profit sharing tru st, and the lending
institution acqui res the Lessee's interest in this Lease as a resu lt of a foreclosure
action or o th er remedy of the secured party, or through any transfer in lieu of
foreclosure, o r through settl eme nt of or ari sing out of any pending or contemplated
foreclosure action , th e l ending institution may transfer its interest in this Lease to a
nominee or a wholly owned sub sidiary corporation with the prior written consent
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of the City, provided , the transferee assumes all of the covenants and conditions
required to be performed by the Lessee (including payment of any monies owed by
Lessee to the City under the lease). In the event of such a transfer, the lending
institution shall be relieved of any further liability under this Lease.
3. A holder of a security interest in this Lease consented to by the City shall have, and
be subrogated to, any and all rights of the Lessee with respect to the curing of any
default of this Lease by Lessee.
4. If, before any default has occurred in the Lease, the holder of a security interest in
this Lease consented to by the City gives the City a written notice of the holder's
post office address, the City shall thereafter:
a. by regular U.S. mail, send to the holder a copy of each notice of default at
the same time as the City gives notice of default to the Lessee; and
b. not accept any surrender or enter into any modification of this Lease without
the prior written consent of the holder, which the holder shall not
unreasonably delay or withhold.
5. The City will enter into a new lease of the Premises with the holder of a security
interest consented to by the City, if the City terminates this Lease prior to its nonnal
expiration due to a default by the Lessee. The new Lease shall be for the remainder
of the tenn of thi s Lease and shall be effective as of the termination of this Lease.
The City 's grant of the new lease shall be subject to the following conditions:
a. the new lease shall be effective on the date this Lease is terminated ;
b . the new lease shall be for the same rent , additional rent , and covenants as
this Lease;
c. by no later than the twentieth (20th) day following the tennination of this
Lease, the security holder must submit a written request to the City for the
new lease, together with payment of all rent, additional rent and other sums
then due to th e City under thi s Lea se ;
d . the security holder shall pay to the City, at the time of the execution and
delivery of such new Lease any and all sums due thereunder in addition to
those which would at the time of the execution and delivery thereof be due
under this Lease but for such tern1ination, and in addition thereto , any
reasonable expenses, including legal and attorneys' fees , to which the City
shall have been subjected by reason of such default ; and
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e. the security holder shall, on or before the execution of the new lease,
perform all the other obligations of the Lessee under this Lease to the extent
the Lessee failed to perform them prior to the termination of this Lease.
6. A holder of a security interest consented to by the City that takes possession of this
Lease or enters into a new lease with the City shall not be released from the
obligations and liabilities of this Lease or the new lease unless the holder assigns
its leasehold estate to an assignee who is financiall y capable and otherwise qualified
to undertake to perfonn and observe the conditions of this Lease or the new lease
and the City consents to the assignment. The City's consent will not b e
unreasonably withheld. If the security holder asserts that the City is unreasonably
withholding its consent to a proposed assignment, the dispute shall be resolved by
arbitration .
ARTICLE VII
MAINTENANCE, SNOW REMOVAL & UTILITIES
A. MAINTENANCE:
1. At no cost to the City, the Lessee will keep the Premises and all improvements on
the Premises clean, neat and presentable, as reasonably determined by the City.
2. At no cost to the City, the Lessee will provide for all maintenance and ser vices at
the Premises a s may be necessary to facilitate the Lessee's compliance with this
Lease and the Lessee's u se of the Premises .
3. The Lessee shall comply w ith all regulations or ordinances of the C ity that are
promulgated for the promotion of sanitation. At no cost to the City, the Lessee shall
keep the Premises in a clean and sanitary condition, and control activities on the
Premises to prevent the pollution of water.
4. The Lessee agrees to comply with all decisions and directions of the City's Airport
Manager regarding maintenance and operation of the Airport, and the us e of the
Airpo1t b y the Lessee.
B. SNOW REMOVAL:
1 . At no cost to the City, the Lessee is responsible for snow removal on the Premises.
The Lessee shall dispose of snow in an off-Premises location approved in writing
by the City or provide suitable snow storage within the boundaries of the Premises
in accordance with all applicable federal and state laws. At the request of the
Airport Manager, the Lessee shall submit a snow removal plan for the Premises to
the Manager for rev iew. Upon approval of the Lessee's plan by the Airport
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Manager, the Lessee shall conduct all snow removal operations on the Premises in
accordance with the approved plan.
2. Lessee shall not deposit snow on an apron, taxiway, safety area, or other aircraft-
maneuvering surface provided for common use by others without the prior written
approval of the Airport Manager.
3. Lessee agrees to not allow an accumulation of snow on the Premises that would
cause interference with adjoining leaseholders or other users of the Airport.
C. UTILITIES. Unless specifically prov ided otherwise in this Lease, the Lessee shall, at no
cost to the City, provide for all utilities at the Premises necessary to facilitate the Lessee's use of
the Premises.
ARTICLE VIII
OPERATIONS
A. OPERA TIO NS ON THE AIRPORT: The Lessee will ensure that the Lessee, its
employees, guests, contractors, sub-lessees, and vendors that perfonn any activity or function
authorized under this Lease shall do so in a manner that en sures the safety of people, the protection
of public health and the environment, and the safety and integrity of the Airport and the Premi ses.
B. LESSEE'S CONTROL AND RESPONSIBILITY
1. The Lessee will assume full control and sole responsibility as between Lessee and
City for the activities of the Lessee, the Lessee's personnel and employees, and
anyone else acting by, on behalf of, or under the authority of the Lessee on the
Airport, including the Premises.
2. The Lessee will immediately notify the City of any condition, problem , malfunction
or other occurrence that threatens the safety of people or the Airport, hann to public
health or the environment, or the safety or integrity of the Premises.
C. RADIO INTERFERENCE: The Lessee will discontinue the use of any machine or device
that interferes with any government-operated transmitter, receiver, or nav igation aid until the cause
of the interference is eliminated.
D. WILDLIFE: The Lessee acknowledges that a concentration of birds or other wildlife on
an airport constitutes a significant hazard to aircraft operations. The Lessee agrees to keep the
Premises clean of fish slime, fish waste, or any other material that might attract birds or other
wildlife. The Lessee accepts full responsibility to maintain the Premises, control operations, and
take all reasonable measures to prevent a concentration of birds or other wi ldlife on the Premises.
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E. PARKING: The Lessee will provide adequate vehicle, equipment, and aircraft parking
space on the Premises for Lessee's business or activities , or confine parking to such other places
on the Airport as may be approved or designated in writing by the Airport Manager.
ARTICLE IX
ENVIRONMENT AL PROVISIONS
A. HAZARDOUS SUBSTANCE:
1. The Lessee will conduct it business and/or operation on the Premises in compliance
with all environmental laws and permits. If hazardou s substances are handled on
the Premises, the Lessee agrees to have properly trained personnel and adequate
procedures for safely storing, di spensing, and otherwise handling Hazardous
Substances in accordance w ith all applicable federal, state and local laws.
2. Lessee will promptly give the City notice of proceeding to abate or settle matters
relating to the presence of a Hazardous Substance on the Premises or from Lessee's
operations on the Airport. The Lessee will allow the City to participate in any such
proceedings.
B. ENVIRONMENTAL INDEMNIFICATION:
If Contamination of the Premises or other property by a Hazardous Substance occurs from the
Lessee 's operations o n the Premises the Lessee wi ll ind emnify, defend , and hold th e City harmless
from any and all claims , judgments, damages , penalties , fine s, costs, liabilities, or losses,
including, but not limited to , s um s paid in settl ement of claims, attorney's fees, consultant fees,
and expert fees, which arise during or after the tenn of this Lease as a result of such Contamination.
This indemnification of the City by Lessee includes, but is not limited to, costs incurred in
connection with any investigation of site conditions or any cleanup, remediation, removal, or
restorative work required by any federal , state, or local governmental agency because of a
Hazardous Substance being present in the soil or groundwater or under the Premises or other
properties affected by the Contamination.
C. REMEDIATION:
1. In the event of a Hazardous Substance spill on the Premises, the Lessee wi ll
immediate l y notify the City and the Alaska Department of Environmental
Conversati on and act, promptly, at its sole expense, to contain the sp ill , repair, any
damage, absorb and clean up the spill area, and restore the Premises to a condition
sati sfactory to the City and otherwise comply with the app licable portions of any
environmental law.
2. In addition to any notices required by this Lease, the Lessee will immediately notify
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and copy the City in writing of any of the following:
a. Any pennit, enforcement, clean up , lien , removal or other governmental or
regulatory action in stituted, completed, or threatened pursuant to an
Environmental Law.
b. Any claim made or threatened by any person against the Lessee or arising
from the Lessee's operations authori zed by thi s Lease, relating to damage,
contribution, compensation, loss or injury resulting, from, or claimed to
result from any Hazardous Substances in , on, or under the Airport; or
c. Any report made by, or on behalf of, the Lessee to any environmental
agency arising out of or in connection with any Hazardous Substances in,
on, or removed from the Premises, including any complaints, notices,
warnings, or asserted violations.
3. Remediation and restoration of the contaminated area must meet all applicable state
and federal regulations and must meet the requirements of all governing regulatory
authorities.
D. ENVIRONMENTAL AUDIT:
The Lessee will provide the City with all investigative data , test results, reports , and any other
information gathered or analyzed as part of or in relation to any Env ironmental Assessment,
characterization or audit on the Premises or the Airport that Lessee perfom1s or causes to be
perfonned after the s tarting date of thi s Lea se. The Lessee will submit the data , result, report or
infom1ation to the City within 60 day s following the date on which it becomes available to the
Lessee.
E . RELEASE OF LESSEE:
The Ci ty releases the Lessee from liability to the City for Contamination and the presence of
Hazardous Substances that existed prior to the commencement date of thi s Lease unless caused or
materially contributed to by the Lessee.
F. SUR V IV AL OF OBLIGATIONS:
The obligations and duties of the City and Lessee under Atiicle IX of this Lease shall survive th e
cancellation, te1min a tion or expiration of this Lea se .
ARTICLEX
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INDEMNJFICA TION & INSURANCE
A. INDEMNIFICATION:
1. The Lessee will indemnify, hold harmless, and defend the City, its officers, agents,
and employees from and against any and all liabilities, losses, suits, administrative
actions, claims, awards, judgments, fines, demands, damages , injunctive relief or
penalties of any nature or kind to the full extent of the loss or obligation for property
damage, personal injury, death, violation of any regulation or grant agreement, or
any other injury or harm resulting from or arising out of any acts or commission of
or omission by the Lessee, their agents, employees, customers, invitees or arising
out of the Lessee's occupation or use of the Premises demised or privileges granted,
and to pay all costs connected therewith. This indemnification of the City by the
Lessee shall include sums paid in settlement of claims, attorney fees, consultant
fees, expert fees, or other costs and expenses, directly or indirectly arising from ,
connected to or on account of this Lease as it relates to the Lessee, the Lessee 's
activities at or relating to the Airport, or any act or omission by the Lessee, or by
any of its officers, employees, agents, contractors or sub-lessees. These indemnity
obligations are in addition to , and not limited by, the Lessee 's obligation to provide
insurance, and shall survive the expiration or earlier termination of this Lease.
2. The Lessee shall give the City prompt notice of any suit, claim, action or other
matter affecting the City to which Paragraph 1, above, may apply, together with a
copy of any letter b y an attorney on behalf of a co mplainant, any complaint filed in
court, and any notice or complaint by any regulatory agency. The City shall have
the right, at its option, to paiiicipate cooperatively in the defense of, and settlement
negotiations regarding, any such matter, without reliev ing the Lessee of any of its
obligations under this provision.
3. As to any amount paid to others for personal injury or property damage with respect
to which an act or omission of the City is a legal cause, notwithstanding Paragraph 1
of this section , the Lessee and the City shall reimburse each other according to the
principles of comparative fault. If liabilit y to a third party is subject to
ap portionment according to comparative fault under this provision, the Lessee and
the C it y shall seek in good faith to achi eve non-judicial agreement as apportionment
of fault as between themselves. This appo1tionment of liability between the City
and the Lessee shall not be construed to affect the rights of any person who is not a
party to this Lease.
B. INSURANCE: At no expense to the City, the Lessee will obtain and keep in force during
the term of this Lease, insurance of the type and limits required by this provision. Where specific
limits are set, they will be the minimum acceptable limits. If the Lessee's policy contains higher
limits, the City wi ll be entitled to coverage to the extent of the higher limits. At the time insurance
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is obtained by the Lessee, all insurance shall be by a company/corporation rated "A-" or better by
A.M. Best. The following policies of insurance are required with the following minimum amounts:
1 . Commercial General Liability, including Premises, all operations, property
damage, products and completed operations, and personal injury and death, broad-
form contractual, with a per-occurrence limit of not less than $1,000,000 combined
single limit. If this Lease authorizes the Lessee to engage in the sale or the
commercial dispensing or storage of aviation fuel, the policy must not exclude the
Lessee's fuel handling activities. This policy must name the City as an additional
insured.
2. Commercial Automobile Coverage with not less than $1 ,000,000 combined single
limit per occun-ence. This insurance must cover all owned, hired, and non-owned
motor vehicles used by the Lessee.
3. Workers Compensation Insurance. The Lessee will provide and maintain, for all
employees, coverage as required under AS 23.30 .045: and where applicable, any
other statutory obligations. The policy must waive subrogation against the City.
4. The Lessee will provide the City with proof of insurance coverage in the form of
an insurance policy or a certificate of in surance, together with proof that the
premiums have been paid , showing the types and monetary limits of coverage
secured. All insurance required by this provision must provide that the City be
notified at least 30 days prior to any termination , cancellation, or material change
in the insurance coverage.
5. If the Lessee's insurance coverage lapses or is cancelled, Lessee will immediately,
upon written notice by the City, halt all operations on the Airport, including the
Premises. The Lessee will not resume operations until the City receives evidence
that the Lessee has obtained current insurance coverage meeting the requirements
of thi s Lease.
6. The Ci ty may, at intervals of not les s than five years from the beginning date of the
te1111 of thi s Lease and upon yvritten notice to Lessee, rev ise the insurance
requirements r equired under this Lease. City's determination to revi se the
insurance requirements will be based on the risks relative to the Lessee's operations ,
any insurance guidelines adopted b y the Ci ty, and any change in applicable law.
7. If the Lessee subleases all or any portion of the Premi ses under the provis ions of
this Lease, the Lessee will require the Sub-Less ee to provide to the insurance
coverage required of the Lessee w1der this Article X.
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ARTICLE XI
L AWS & TAXES
A. COMP LIANCE WITH LAW: Lessee shall comply wi th all appl icable laws, ordinances,
and regul a tions of public authorities now or hereafter in any manner affecting the Airport, the
Premises or the sidewalks, alleys, street s, and ways adjacent to the Premises, o r any buildings,
structure s, fixtures an d improvements or the use thereof, whether or not any such laws, ordinances,
and r egu l ations w hich may be hereafter enacted invo lv e a change of pol icy on the part of the
governmental b ody enacting the sa me. Lessee agrees to ho ld City financially harmless:
1. From the consequences of any v iolation of such l aws, ordinances, and /or
regulati on s; and
2. From all claims for damages on account of injuries , death, or property damage
re sulting from such viol ation.
B . UNLAWFUL A CTIVITY : The Lessee sha ll not pennit an y unlawful use, occupati on,
business, or trade to be conducted on the Premises co ntrary to any law , ordinance, or regulation,
including zo ning ordinances, rules and regulation s.
C. LICENSES AND PERMITS: The Lessee will obtain all necessar y li censes and permits,
pay all taxes and speci al assess ments l awfully imposed upon the Premi ses, and pay other fees and
charges asse ssed under applicable law . Nothing in thi s Lease prevents the Lessee from challenging
any taxes or special assessments to th e appropri ate auth ority.
D. LI T IGATION : T he KMC , including regul ati on s promul gated thereunder, and th e laws of
the State of Alaska wi ll govern in any dispute between the Lessee and City. If a dispute continues
after ex haustion of admini stration remedi es, any la wsu it must be brought in the courts of the State
of Alask a, in Kenai , Alaska.
E. LESSEE TO PAY TAXES : Le ssee shall pay all lawful taxe s and assessments which,
during the tem1 of thi s Lease may become a li e n upon or wh ich may be levied by the State,
Borough, City, or any other tax levying b ody, upon any taxable possessory right which Lessee
may have in or to the Premises or improvements on the Premises by r eason of its use or occupancy
or the terms of thi s Lease provi ded , however, th a t nothing in th is provision shall prevent Lessee
from contesting any increase in a tax or assessment under any applicable law , ordinance, or
regu l ati o n .
F. PARTIAL INVALIDITY: If an y term, prov i sion, cond ition, or p at1 of th is Lease is
declared by a co urt of competent jmisdiction to be in vali d or unconstitutional, the remaini ng tenns,
provis ions, conditi ons, or parts shall continue in fu ll force and effect as though the declaration had
not b een m ade.
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ARTICLE XII
LEASE TERMINATION
A. CANCELLATION: The City may, after 30 days' written notice to the Lessee, cancel this
Lease and recover pos sessio n of the Premises if any of the foll owin g violations occur, unless the
vio l ation is cured with in the 30 days:
1 . The Lessee fai l s to pay when due the rents, additional rent s, charges, or other sums
specified in this Lease, including any increa ses made under this Lease.
2. The Lessee's check for payment of any sum due under this Lease is returned for
insufficient funds.
3. The Lessee uses or authorizes the use of the Pr emises fo r any purpose not
authorized by this Lease.
4. The Lessee fails to fully perfonn and compl y with any provision in this Lease.
5. The court enters a judgment of inso lvency agains t the Lessee.
6 . A trustee or rece iver i s appointed for the Lessee's assets in a proceeding brought by
or against the Lessee, or the Lessee files a voluntary petition in bankruptcy.
7. Failure by the Lessee to comply with an y land development or permanent
improvement construction required by thi s Lease.
B. ENTRY AND RE -ENTRY: In the event that the Lease should be terminated in accordance
with this Article XII, or by summary proceedings or otherwise, or upon the Lessee's abandorunent
of the Premises or a portion of the Premises, the City or its agents, servants, or representatives
may, immediatel y o r an y time thereafter, re-enter, and resume possessi on of the Premises or
portion thereof, and remove a ll persons and property therefrom , without being liable for any
damages therefore. No re-entry by the City sha ll be deem ed an acceptance of a surrender of the
Lease.
C. CONTINUING OBLIGATIONS UNTIL PREMISES VACATED: The Lessee wi ll
continu e to pay City rent after the expiration, tennination, or cancellation of this Lea se and to abide
by the lease obligations, including providing proof of insurance coverage, through the date Lessee
relinquishes possession of and complet ely vacates the Premises. City will consider the Premises
comp l etely vacated if the Lessee has;
1. Remediated any environmental contamination for whi ch the Lessee is responsible;
and
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2. Restored the Pre mi ses to a neat and clean physical conditi on acceptable to the City.
D . R EAS ONABLE CURE:
I . In the case of a v iolation that cannot be reasonably cured within 30 days, a Notice
of C ancell ati on i ssued by the City to the Lessee under this Article is stayed if, w ithin
the 30-day notice period, the Lessee begins and continues ex pediti ou s action to cure
the vio lation. The City will detennine if a vi olation cannot be reas onabl y cured
w ithin 30 days and what constitutes expeditious action.
2. In the case where, in the City's so le determination, the Lessee's vi o l at ion i s
considered an imminent threat to the Airport, public health or safety, or the
environn1ent, City will direct the Lessee to stop the acti vi ty immediatel y an d may
reduce the period to cure the violati on, or the City m ay correct th e v io lation
purs uant to (E) of thi s Article.
E. RIGHT OF C ITY TO P ERFORM :
1. If, after 30 da ys follow in g notice th e Less ee fai ls or refuses to perform an y action
required b y thi s Lease, the Cit y will have th e right, but not the obligation, to perfonn
any or all such actions r equired b y thi s Lease at th e so l e expense of the Lessee. The
City will no t take action if the Lessee b egi ns and continues expeditious action to
perfonn any action required by this Lease that cannot be reasonabl y completed
within 30 days. The City will , at its so l e discretion , determine what co n stitutes
expediti ous action and if an action canno t be reasonably performed in 30 days . The
City will s ubmit to the Lessee an in vo ice for the expenses incurred by the Ci ty in
th e perfomrnnce b y the City of any r eq uired act ion. The Lessee wi ll pa y the amount
of each invo ice with in 30 days from issuance.
2. If Le ssee fai ls or r efuses to pe rfonn any action that has been deemed an imminent
th reat the City w ill have th e 1i ght, but not the obligation , to perf01m any or all such
action s r eq ui red to ex ped iti ously corre ct the immin ent threat. L essee sha ll
reimburse the City for any cost, including legal fees and administrative costs
rea sonab l y incuiTed by the City in acting to correct the imm inent threat violation.
F. W AIYER: A waiver by the City of any default by the Lessee of any provision of th is Lease
wi ll not op erate as a wai ver of any sub sequent defau lt. If the City waives a default, the City is not
requi red to provide notice to the Lessee to restore or revive any tenn or cond ition under this Lease.
The waiver by the City of an y provision in this Lease cannot be enforced or rel ied upon un l ess the
wai ver is in wri ting and si gn ed o n behal f of the C ity. The Ci ty's fa ilure to insist upon the stri ct
performance b y the Lessee of any provision in this Lease i s not a wa iver or relinquishment for the
future , and the prov ision will continue in full force.
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G. AIRPORT CLOSURE:
1. If the City closes the airport to aircraft operations for 60 days or less, this Lease
will remain in full force and effect without adjustment
2 . If the City closes the Airport to aircraft operations for more than 60 days, but not
permanentl y, and thi s Lease is for aviation or d irect aviation support uses, the
Lessee may, upon written notice to the C ity, either terminate the Lea se o r retain the
Lease and receive a 50 percent rent reducti on or credit for that p ortion of the cl os ure
that exceeds 60 days.
3. If the City pennanently closes the Airport to aircraft operati ons and
a. thi s Lease i s for aviati on or direct aviation support uses , the Lessee may
terminate thi s Agreement by written notice to the C ity; or
b. thi s Lease is for non-a viation uses, the Lessee may r equest i n writing to
h ave the Lease te1minated. Th e Cit y will consider th e Lessee's request in
light of the City's best interest and either te1mi nate the Lease , or deny the
Lessee's request in writing.
H. DISASTERS:
The Lessee or City may cancel thi s Lease upon w1itten notice to th e other paiiy if:
1. th e Premises becomes unusabl e through no fau lt of either party and perfom1ance
und er thi s Lease becomes impossible; or
2. the Airport becomes unusable th.rough no fault of either paii y and the performance
under thi s Lease becomes imposs ible.
If the Le ssee elects in writin g that it w ill continu e to opera te after notice from City to Lessee that
the Airport has become unu sable, the Lessee's obligations under the Lea se will continue, but City
sha ll b e und er no obl igati on to continue to perfo nn.
Cau ses for termination of the Lease under this provision (H) includ e acts of God, the public e nem y,
and the United States.
I. NATIONAL EMERG ENCY : If the federal government declares a national emergency,
n either party m ay ho ld the other liabl e for an y in ability to perfom1 any part of thi s Lease as a r esu lt
of the national emergency.
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J. SURRENDER ON TERMINATION: Except as provided otherwise in thi s Article X II ,
Les s ee shall, on the last day of the term of this Lease (i ncluding any extension or renewal thereof)
or upon any earlier tennination of thi s Lease, surrender and deliver up the premises into the
possession and use of City without fraud or dela y in good order, condition, and r epair, except fo r
reasonable wear and tear si n ce the last neces sa ry repair, replacement, restoration or renewal , free
and clear of all lettings and occupancies unless expressly permitted by the Ci ty in writing, and free
and clear of all liens and encumbrances other than th ose created by and for loans to the City.
K . OWNERSHIP AND DISPOSITION OF IMPROVEMENTS:
1. Ownership of Permanent Improvements: P ermanent Impro vements on the
Premises, excluding Site Development Materials, constructed , placed or purchased
by the Lessee remain the Lessee 's property as long as thi s Lease r emains in effect,
including an y p eri o d of extensio n or holdo ver.
2. Di sposition of Site Development Materials: The Lessee acknowledges that, once
placed b y the Lessee, the removal from the Premi ses of the Site Development
Materials can damage the Premises, adver sely affect surface water drainage
patterns, and d estabili ze adjacent structures. When placed on th e Premises by the
Lessee, Site Development Materials, includin g building p ads, parking area ,
driveways, and similar s tructures:
a. become part of the realty and th e property of the C ity of Kenai;
b. unless otherwi se directed by th e City, mu st be maintained by the Les se e
throughout the tem1 of thi s Lease, including any extens ions and pe1iod
holdo ver s; and,
c. may not be removed by the Lessee wi thout the prior w1i tten appro va l of the
City.
3. Di spos ition of Person a l Property and Permanent Improvements Other Than Si te
Development Material s:
a. U nless the City otherwise directs as provi ded below, when this Lease
expires, tem1inates , or is can cell ed and i s neither extended nor fo ll owed by
a su ccessive lease, the departing Lessee may do one or more of th e
fo ll owing:
1. Remove Lessee-Owned Pemrnn ent Improvements from the
Premises, remed i ate any Contamination fo r which the Lessee i s
responsible, an d restore th e Premi ses to a clean and neat physical
condition acceptable to the C ity within 60 days after the expiration,
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cancellation, or termination date of this Lease
ii. with written approval from the City, sell Lessee-Owned Permanent
Improvements to the succeeding Lessee, remove all personal
property, remediate, any Contamination for which the Lessee is
responsible and leave the Premises in a clean and neat physical
condition acceptable to the City within 60 days after notice from the
City that the City has approved an application for a lease of the
Premises by another person or such longer period specified in the
notice, but in no event more than 180 days after the expiration,
termination, or cancelation date of this Lease;
111. elect to have the City sell Lessee-Owned Permanent Improvements
at public auction as provided below, remediate any Contamination
for which the Lessee is responsible, and restore the premises to a
clean and neat physical condition acceptable to the City. If the City
sells Permanent Improvements under this Paragraph for removal
from the Premises, the departing Lessee 's obligation under this
Paragraph continues until the Premises are remediated and restored
to a clean and neat physical condition acceptable to the City after
the improvements have been removed.
b . If the departing Lessee elects to have the City sell Lessee-Owned Pennanent
Improvements at public auction per this Section, the Lessee shall, within 30
days after the expiration, cancellation, or te1111ination of this Lease:
1. submit to the City a w1itten request and authorization to sell the
Permanent Improvements by public auction;
1i. provide to the City an executed conveyance document transferring
clear title to the Permanent Improvements to the successful bidder
at the public auction, along with authorization to the City, as agent
for the Lessee for purposes of the sale onl y, to endorse the name of
the successful bidder on the conveyance document upon receipt of
payment of the successful bid price; and
111. before the date of the public auction, remove all personal property,
remediate any Contamination for which the Lessee is responsible
and lease the Premises in a neat and clean physical condition
acceptable to the City.
c. Wben selling Lessee-Owned Permanent Improvements at public auction for
the depa11ing Lessee, the City will establish the terms and conditions of the
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sale. The City shall pay the Lessee any proceeds of the sale of the
Permanent Improvements, less the administrative costs of the public auction
and any financial obligation the Lessee owes to the City under this Lease.
Payment will be made within a rea sonable time after the City completes the
sale transaction and receives the proceeds, but not to exceed 60 days. If all
or a portion of the Permanent Improvements do not sell at public auction,
the Lessee will remove those Permanent Improvements, remediate any
Contamination for which the Lessee is responsible and restore the Premises
to a clean and neat physical condition acceptable to the City within 60 days
after the auction.
d. If the Lessee shows good cause to the City and if it i s not inconsistent with
the best interest of the City of Kenai, the City will grant an extension of
time that is sufficient to allow the Lessee to remove or sell Lessee-Owned
Permanent Improvements, remediate any Contamination for which the
Lessee is responsible and to restore the Premises to a clean and neat physical
condition acceptable to the City.
e. The City will, by written notice, direct any departing Lessee to remove
Lessee-owned Permanent Improvements from the Premises, to remediate,
consistent with applicable law , any Contamination for which the Lessee is
responsible and to restore the Premises to a clean and neat physical
condition acceptable to the City if the City detem1ines in writing:
1. that the continued presence of the Pennanent Improvements on the
Premises are not consistent with any writt en Airport program or plan
required for co mpli ance with applicable federal, state, or local law ;
11. that the continued presence of the Permanent Impro vements on the
Premises is not in the best interest of the City of Kenai; or
111. that the Pennanent Impro vements present a hazard to public health
or safet y.
f. The departing Less ee to whom the City has issued direction under
Para graph (e) of this Section shall comply with the City's direction within
60 days after issu ance of the direction and at no cost to the C ity. If the
departing Lessee shows good cause to the City, continues to work diligent
to comply with City's direction, and if it is not inconsistent with the best
interest of the City of Kenai , the Cit y will allow in writing a l onger period
that is sufficient to allow the Lessee to comply with the City's direction. A
departing Lessee who fails to comply with a direction issued by the City
under Paragraph (e) of this Section, shall, within 30 days of being billed by
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the City, reimburse the Ci ty for any costs reasonably incurred by the City,
including legal fees and administrative costs, to enforce the City's direction
or to remove and dispose of unremoved Lessee-Owned Permanent
Improvements, remediate any Contamination for wh ich the Lessee is
responsible and restore the Premises.
g. If the departing Lessee does not timely remove or sell the Lessee-Owned
Pem1anent Improvements on the Premises in accordance with the
requirements of this Section, any remaining Permanent Improvements and
any remaining personal property of the departing Lessee will b e considered
pennanently abandoned. The City may sell, lease, demolish, dispose of,
remove, or retain the abandoned property for Airport use as the City
determines is in the best interest of the City of Kenai. The departing Lessee
shall, within 30 days after being billed by the City, reimburse the City for
any costs, to demolish , remove, dispose, clear title to, or sell abandoned
property and to remediate and restore the Premises.
h. After the expiration, termination, or cancellation of the Lease, including any
holdover, th e departing Lessee lose s all right to occupy or u se the Premises
w ithout the express or implied consent of the City. Except as the City
notifies the departing Lessee otherwise in writing, the Ci ty consents to the
departing Lessee's continued use and occupancy of the Premises to
diligently accomplish the requirement s of this Section. Until the departing
Lessee relinquishes possession of and comp letely vacates the Premises
under Paragraph 9 of thi s Section and notifie s the City in w1iting that it has
relinquished and vacated the Premises, the dep arting Lessee shall perfom1
ilie following as if the Lease were sti ll in effect,
L pay rent to the City;
IL maintain the Premises;
111. provide the City with evidence of each insurance coverage if any required
under the Lease ; and
1v . cease using the Premises other than to diligently accomplish th e
requirement s of thi s Section and to comply with the other requirement s of
the Lease.
J. A depa1ting Lessee will not be considered to have relinquished possession
and completel y vacated the Premises until:
1. the departing Lessee has:
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(a) remediated , consistent with applicable law, any
Contamination for which the Lessee is responsible; and
(b) restored the Premises to a clean and neat physical condition
acceptab le to the City; and
IL either:
(a) removed all of the Lessee's Permanent Improvements and
personal property from the premises or so ld the Permanent
Improvements and personal property to a succeeding Lessee
under the provisions of thi s Lease; or
(b) transferred title to the Lessee's Permanent Improvements and
personal property that remain on the premises to the City.
ARTICLE XIII
GENERAL COVENANTS
A. USE OF THE AIRPORT: Except as provided herein, any regular use of Airport lands or
facilities without the written consent of the City is prohibited. This prohibition shall n ot apply to
use of areas designated by the City for specified public uses, such as passenger terminals ,
automobile parking areas, and streets.
B. COSTS AND EXPENSES: Costs and expenses incident to this Lease, including but not
limited to recording costs, shall be paid by Lessee.
C. CARE OF THE PREMISES: The Lessee shall keep the Premises clean a nd in good order
at the Lessee's own expense, allowing no damage, waste, nor destruction thereof, nor removi n g
any material therefrom , without written pennission of the Ci ty. At the expiration of the term fixed ,
or any earlier termination of the Lease, the Lessee will peaceably and quietl y quit and surrender
th e Premises to the City.
D . CONSTRUCTION APPROVAL AND STANDARDS: Any building construction on the
Premi ses by the Lesse e must be compatible with its smrnundings and consistent with the uses
authorized under thi s Lea se, as detennined by th e City. The Lessee must obtain the City's written
approval before placin g fill m aterial, begimlin g an y land development, or constructing or
demolishing any impro vements on the Premises, and before beginning any alterations,
modifications, or renovation of existing structures on the Premises. The Lessee must submit to
the City detail ed drawings o f the proposed development, alteration, modification, or renovation,
to gether with specifications or any other information the City reasonabl y requires. Further, the
Lessee will submit to City evidence of the Lessee 's compliance with Federal Aviation
Administration regulation 14 CFR Part 77 .
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E. LEASE SUBORDINATE TO AIRPORT FINANC ING REQUIREMENTS: Lessee
agrees that Ci ty may modify thi 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 shall
not act to reduce the ri ghts or privileges granted the Lessee by this Lease, nor act to cause the
Lessee financial l oss.
F. RIGHT TO ENJOYMENT AND PEACEABLE POSSESSION: City hereby agrees and
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
Premises, except that the following shall not c9nstrued as a denial of the right of quiet or peaceable
possess10n:
1. any inconvenience caused by public works projects in or about the Premises; and
2. any o ther entries b y the City on the Premises reserved or auth orized under other
provisions of this Lease.
G. NO PARTNERSHIP OR JOINT VENTURE CREATED: It is expressly understood that
the City shall not be construed or held to be a partner or joint venture of Lessee in the conduct of
the Lessee's activities or business on the Premises. The relationship between th e City and the
Lessee is , and shall at all times remain, strictly that of landlord an d tenant, respecti vely.
H. DIS CRIMINATION: The Lessee will not discriminate on the grounds of race, color,
religion , national origin, ancestry, age, or sex against any patron, employee, applicant for
emp loyment, or other person or group of persons in any manner prohibited by federal or state l aw.
The Lessee recogni zes the right of the City to take any action necessary to enforce thi s provision,
including actions required pursuant to any federal or state la w.
I. AFFIRMATIVE ACTION: If required b y 14 CFR Part 152, subpart E, the Lessee wi ll
undertake an affinnati ve action program to insure that no person will be excluded from
participating in any empl oyment acti vi ti es offered by the Lessee on the grounds of race, creed,
color, national origin, or sex. No person ma y be excluded on these grounds from participating in
or receiving the services or benefits of any program or activity covered by subpart E . The Lessee
fu1ther agrees that it wi ll requ ire its s ub-organi zation(s) provide assurance to the City to th e same
effect that they will also undertak e affinn ati ve acti on programs and require assurances from the ir
sub-organization(s) as required by 14 CFR, Part 152, subpart E.
Tenant shall use the premi ses in compliance with all other requirements imposed by or pursuant
to Title 49 , code of Federal Regulations, DOT, Subtitle A, Office of the Secretary, Part 2 1,
Nondi scri minat ion in Federally-Assisted programs of the Department of Transportation-
Effectuation of Title VI of the Civil Rights Act of 1964, and as the Regulation may be amended.
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J. INTEGRATION, MERGER, AND MODIFICATION: This Lease sets out all the terms,
conditions, and agreements of the parties and supersedes any previous understandings or
agreements regarding the Premises whether oral or written. No modification or amendment of this
Lease i s effective unless in w1iting and signed on behal f of the City and the Lessee.
K. RIGHT TO ADOPT RULES: City reserves the right to adopt, amend, and enforce
reasonable rules and regulations governing the Airport, including the Premises. The C it y shall not
be liable to Lessee for any d iminution or depri vation of possession, or of Lessee's rights under this
Lease, on account of the exercise of the City's authority reserved under this provision.
Furthermore, the Lessee shall not be entitled to terminate the whole or any portion of the leasehold
estate created under this Lease, by reason of the exercise of the City's authority reserved under
this provision, unless the exercise thereof so interferes with Lessee's use and occupancy of the
Premises as to constitute a termination, in whole or in part, of this Lease by operation oflaw under
the laws of the State of Alaska and of the United States m ade applicable to the states.
L. LESSEE'S OBLIGATION TO PREVENT AND REMOVE LIENS: Lessee will not
permit any liens including, but not limited to , mechanics', laborers', or material men's liens
obtainable or available under the then existing l aws, to stand against the Premises or improvements
on the Premises for any l abor or material furnished to Lessee or claimed to have been furnished to
Lessee or t o the Lessee's agents, contractors, or sub-l essees, in connecti on with work of any
character perfomrnd or claimed to have been performed on the Premises or improvements by or at
the direction or sufferance of Lessee. Provided , however, th e Lessee shall have the right to provide
a bond as contemplated by Alaska law and contest the validity or amount of any such lien or
cla imed lien. U pon a final detennination of the li en or claim for lien, the Lessee wi ll immediately
pay any judgment r endered with all proper costs and ch arges and shall have such li en relea sed or
judgment satisfied at Lessee's own expense.
M. CONDEMNATION: In the event the Premises or any part thereof shall be condemned and
taken for a public or a quasi -public use, then upon payment of any award or compensation arising
fro m the condemnation or taking, the C ity and the Lessee shall make a good fa ith effort t o agree
upon:
1. the di v i sion of the proceeds;
2. the abatement in re nt paya bl e during the t erm or an y extension of the tenn of thi s
Lease; and
3 . other adjustments as the parties may agree upon as being just an d equitable under
all the circumstances.
If, within 30 days after the award h as been paid into Court, the City and Lessee are unable t o agree
upon what di v is ion, abatement in rent , and other adjustments as are just and equitable, the dispute
shall be dete1mined b y arbitration.
Lease Of Airport Lands -SOAR International Ministries, Inc.
Lot 2 , B lock 3 , General Aviation Apron No. I
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N. SUCCESSORS IN INTEREST: This Lease shall be binding upon and shall inure to th e
benefit of the respective successors and assigns of the parties hereto, subject to such specific
limitations on assignment as are provided for in this Lease.
0. NOTI CES:
1. Any notices required by this Lease must be in writing and must be deli v ered
personally or mailed b y certified or registered mail in a prepaid envelope. A mailed
notice:
a. must be addressed to the respective party at the address written on the fi rs t
page of this Leas e or to the latest add ress designated in accordance with (2)
of this Provision (O); and
b. shall be deemed delivered on the date it is deposited in a U .S. general or
branch pos t office.
2. The City or the Lessee may, from time to time, designa te a new address at which
they w ill recei v e notices by providing the other party with written notice at least 15
days prior to the effectiv e d ate of the change. An address change notice must b e
delivered according to the procedure set out in (1) of this Provision (0).
P. RETENTION OF R ENTAL: In th e event the City terminates this Lease because of any
breach b y th e Lessee, the C ity s hall retain any unused balance of the rental payment last made by
th e L essee C it y as partial or tota l liquidated d ama ges fo r the b reach.
Q. F IRE PROTECTION: The Lessee wi ll take all r eason abl e precautions to prevent, a nd take
a ll necessary action to suppress d estructi ve or unco ntroll ed fires and compl y w ith all laws,
regul a tions, and rules promulgated and enforced b y the City for fire protection on the A irport.
R. PERSONAL USE OF MATERIALS: N o interest in coal , oil , gas or any other mineral, or
in any d eposi t of st one or gravel v aluabl e fo r extra ction or utili zati on is included in th e Premises
or in th e 1i ghts granted by this Lease. The Lessee sha ll n ot sell or remove fro m th e Premi ses fo r
use el sewh er e any ti mber, stone, gravel , peat moss, top soil or any other materi al valu able for
bui lding or co mmer cial purposes .
S. APPROVAL OF OTHER AUTHORITIES: The granting of this Lease b y the City does
not reli eve th e Lessee of the responsibility to obtain an y li cense or p ermit as may be required by
fe deral , s tate, or local law.
T. EXECUTION B Y THE PARTIES: This Lease i s of no effect unless signed by the Lessee,
o r a du ly authorized representative of Lessee, and an authorized representative of the City .
Lease Of Airport Lands -SOAR International Ministries, Inc.
Lot 2, Block 3, General Aviation Apron No. 1
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U. CAPTIONS: The captions of the provisions ofthis Lease are for conveni ence only and do
not necessarily define, limit, describe, or construe the contents of any provision.
V. RIGHTS OF CONSTRUCTION: Thi s Lease is intended to make public property available
for private u se, while at all times protecting the public interest to the greatest extent possible.
Following th e rul e that transfers of interest in public property are to be strictly con strued in favor
of the public property landlord, all rights granted to the Lessee under thi s Lease wi ll be strictly
co nstrued , and all rights of the C ity and the protections of the public interest will be liberally
construed.
W. LESSEE ACKNOWLEDGEMENT: The Lessee acknowledges that the Lessee has read
this Lease and fully unders tand s its terms, that the Les see has been fully advised or has had the
opportunity of advice by separate legal counsel, and voluntarily executes this Lea se. Lessee also
acknowledges and agrees that the rule of interpretation under which a document is co nstrued
again st the drafter will not apply to this Lease.
X. APPROVAL BY C ITY: Any approval required of th e City b y thi s Lease will not be
unreaso nabl y withheld. The City's approval does not waive the Lessee's legal responsibility or
liability to comply with all applicable federal and state laws and regulations.
ARTICLE XIV
SURVEY, IMPROVEMENTS AND PERFORMANCE BOND
A . SURVEY: Th e Lessee i s solel y respon sible, at it s so le expense, to confom or estab li sh th e
physical location of th e boundaries of th e Premises p1ior to beginning any construction thereon,
including cleari ng grubbing, back-fi lling an d envirorunental sampling . Any survey of the Premises
shall be perfo tmed by a Land Surveyor registered in the State of Alaska. The Lessee shall furnish
the City with a copy of the plat of any survey perfo rmed on the Premises by, or on behalf of the
Lessee.
B. IMPROVEMENTS:
1. REQUIRED IMPROVEMENTS : A t no cost to the City, Lessee agr ees to compl ete
land development and co nstruct ion of Pennanent Impro vements including N I A , by
no l ater than N I A, with an appraised va lu e of at least $NI A. In addi ti o n to the as -
buil t draw ings required by this Lease, the Lessee must submit to the Ci ty written
evidence that the Lessee ha s completed the land development and constructed
improvements on th e Premises with an aggregate cost or investment of not less than
$NI A.
Th e evidence of cost must be s ubmitted to the City within 60 days of the completion
of the d evel opment and improvements, but by no later th an N I A.
Lease Of Airport Lands -SOAR International Mini stries, In c.
Lot 2, Block 3, Gen eral Avi ati on Apron No. 1
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a. Costs considered toward the aggregate cost of Permanent Improvements
include building construction, design, labor, material s, materials shipping,
permits, eq uipm ent, soi l testing, environmental baseline report, and
environmental assessment directly related to the constructi on; premis es and
a s-built surveys; site preparation, including excavation, geotextile fabric,
filling , grading, fill materi a l, gravel, and pavement, remediation o f
env ironmental contamination (unless Lessee caused or materially
contributed to the contamination); and utili ty co nnection costs.
b. The cost o f Permanent Impro veme nts excludes:
i. wo rk performed b y th e City and not reimbursed by the Lessee; and
II. wo rk performed by the Lessee and reimbursed by the C ity.
2 . FAILURE TO COMPLETE IMPROVEMENTS: If the Lessee fa il s to complete
the required construction within the time allo wed under (B)(I) of this Article,
including any extensions granted, the City will execute against and the Lessee w ill
forfeit , an y bond or other guarantee given by th e Lessee and, as appl icable, the City
will:
a. initiate cancellation of the Lease; or
b. reduce the tenn of the Lea se to a period t hat is consistent with th e portio n
of the required construction timel y co mpl eted .
3. APPEARANCE: When completed , all im provements on the Premises must be
neat, presentable, a nd compatib le with the auth orized u se of the Premises under this
Lease, as dete1mined b y the City.
4 . C ITY APP ROVAL R EQUIRED: T he Lessee must fir st obtain the Ci t y's written
approval before beginning any land development, construction or demoliti on of any
improvements on the Premi ses , or before begirmin g any alterations, modification s,
or r enovati on of existing structures on the Premises. The Lessee must submit to
th e C ity detailed drawings of the proposed deve lopment, alterati on, modification,
or renovati on. Further, th e Lessee wi ll su bmi t to City evidence of the Lessee's
compli ance with the FAA regu l atio n 14 CFR Part 77.
5. CITY APPROVAL WITHHELD: Th e City's approva l of any constructi on,
alteration, modification, or r enovati on will not be wi thh eld unless :
a. the Lessee fa il s to demonstra te adequate fi n ancial resources to complete the
Lease Of Airport Lands -SOAR International Ministries , Inc.
Lot 2 , Block 3, General Av iation Apron No. 1
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project ;
b. the project plans, specifi cati ons, and agency ap proval s are incomplete;
c. th e proposed project would result in a v iolation of an applicable ordinance,
regulation , or law;
· d. the proposed project would interfere w ith or is i ncompatibl e with the safety,
securi ty, maintenance, or operation of the airport;
e. the proposed project is incon sistent with the Airport Master Pl an ;
f. the pro posed project i s inconsistent with the tenns of the Lease, zoning
ordinances, or the City's Compreh en sive Plan;
g. the proj ect plans do not make suffic ient provision for drainage, aircraft,
vehicle, and equipment parking, or for snow storage; o r
h. th e proposed proj ect does n ot conform to generally reco gnized engineeri ng
principl es or ap plicabl e fire or building codes .
6. DEMOLITION: Prior to an y d emo liti on of any structure(s) on the Premises, Lessee
will deliver to City a wri tten scope of work that, at a minimum, lists the structure(s)
th at are to be demoli shed and the timeframe for demoli tion and removal of th e
debris from the Airport. C ity will review Lessee's scope for demolition and issue
Lessee written approval for th e work to be done.
7. BUILDfNG SETBACK: No building or other permanent structure m ay b e
constructed or p laced within 20 feet along the iigh t-of-way of Granite Point Comi
and wi thin ten feet of th e rear an d side yard property lin es. Thi s property is not
within the building restriction lin e so I believe the remainder of the p aragraph could
be d eleted.
8. AS -BUILT ORA WfNGS: W ithin 60 days after completion of construction or
placement of improvements up on the Premi ses , the Lessee w ill deli ver to the
City a copy of a n as -built drawing, acc eptable to the City, sh owing the locati on and
d im ensi o ns of the improvements, gi ving di stances to all Premises ' boundaries. If
the Lessee constructs undergro und improvements, the Les see will appropriatel y
mark the s urface of the l and with adequ ate surface markers . The type, qu anti ty, and
distance b etween such markers will be subj ect to approva l of the C ity .
9. AIRPORT SECURITY FENCING: If an y construction by the Lessee requires a
realignment or alter ation of an existing security fe nce on the Premises or boundary
Lease Of A irp ort Lands -SOAR International Mi ni stries, Inc.
Lot 2, Block 3 , General Aviati on Apron No . 1
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of the Premises, the Lessee agrees to realign or alter the fence in a manner approved
in writing by the Airport Manager. Anytime the fence must be breached to allow
the Lessee to complete improvement construction or fence modifications, the
Lessee shall, at the Lessee's sole expense place temporary barriers to maintain the
security of the Airport, as determined by the Airport Manager. If damage occurs
to a security fence on the Premises or boundary of the Premises in connection with
the Lessee's use or occupation of the Premises, the Lessee shall promptly repair
the fence to the satisfaction of the Airport Manager.
10. DAMAGE TO IMPROVEMENTS: If Lessee's improvements on the Premises are
damaged or destroyed, Lessee will cause the improvements to be repaired or rebuilt
and restored to a normal function within two years following the damage or
destruction. If the Lessee fails to timely rebuild or restore the improvements, the
City may, at its sole discretion, either reduce the term of this Lease commensurate
with the estimated value of the Lessee's remaining, fully functional improvements
on the Premises, or cancel this Lease. If a structure is non-conforming, the
requirements of the Kenai Municipal Zoning Code apply (see e.g., KMC
14.20.0SO(d)). If there is any conflict between this Lease and the Kenai Municipal
Zoning Code with respect to repairs or reconstruction of non-conforming
structures, the requirements of the Code shall prevail.
11. DAMAGE NEAR EXPIRATION: If Lessee's improvements are damaged to the
+/-extent that more than 50 percent of the space i s unusable and the damage occurs
within five years of the expiration of the tenn of this Lease, Lessee may remove the
damaged improvements, restore the Premises and tem1inate this Lease.
C. PERFORMANCE BOND: Prior t o beginning the construction of Permanent
Improvements required under (B)(l) of this Article, the Lessee shall submit to the City a
performance bond, deposit, or other security in the amount of$N/A. The fonn of the bond or other
security shall be subject to the City's approval.
D. 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 premises into the
possession and use of City without fraud or delay in good order, condition, and repair, except for
reasonable wear and tea r since the l ast necessary repair, replacement, restoration or renewal, free
and clear of all lettings and occupancies unless ex pres sly pennitted b y the C it y in writing, and free
and clear of all liens and encumbrances other than those created by and fo r loans to City. Upon
the end of the tenn of this Lease, including any extension or renewal , or any earlier tem1ination
thereof, title to the buildings, improvements and building equipment shall automatically vest in
City without requirement of any deed, conveyance, or bill of sale thereon. However, if City should
require any such document in confirmation hereof, Lessee s hall execute, acknowledge, and deliver
the same and shall pay any charge, tax, and fe e asserted or imposed by any and all govemmental
units in connection herewith.
Lease Of Airport Lands -SOAR International Ministries, Inc.
Lot 2, Block 3, General Aviation Apron No. 1
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E. NOTICE OF CONSTRUCTION: The Lessee agrees to notify the City in writing three
days prior to co mmencing an y construction project valued in excess of $1,000 on the Premises.
The Lessee agrees to ass i st in the posting of a notice of non-res ponsibility and maintenance of the
n otice on the Premises during construction. Lessee agrees th at in the event the Lessee fails to
notify the City as required by this Provision, the Lessee shall ind emnify the C ity against any
materialmen's liens as defin ed in AS 34.35 .050 which arise as a result of con struction on the
premises.
ARTICLE XV
SPECIAL PROVISIONS
A . C ITY CONSTRUCTED IMPROVEMENTS.
1. ALTERNATIVE ONE -T he City commits to construct improvements after the
Lease is signed .
a. As part of the exchange of consideration of th is Lease, th e C ity will , at th e
City's expense, cau se the following improvements to be constructed on or
in connection with the Premi ses: N I A
b. The City's total cost of the improvement con s truction shall not exceed $N/ A
without the Lessee's written concunence.
c. The Lessee shall reimburse th e City for the City's cost of constructing the
improvements. The reimbursement shall be made in ten equal annual
payments, plus inter est at 8 percent per year on the unp aid balance. The
Lessee may pay the entire remaining balance t o th e C ity earli er than due.
d . After completing the improvements, the C ity w ill give the Lessee written
notice of the City's t otal cost of constru cting the improvements and th e date
on w hi c h the Lessee's reimbursem ent payme nts sh a ll begi n , which date
shall be no earli er than 60 days after th e date of the City's notice. The
Lessee's annu al reimbursement payment for each succeeding yea r shall be
made to the Ci ty b y no later than t he anni ver sary of date on which the fir st
payment was due.
e. Failure b y the Le ssee t o timely reimburse the City as requi red under (b)
through ( d) of thi s provision sha ll be grounds for te rmin ati on of this Lease
b y the Ci ty.
2. ALTERNATIVE TWO -T he Cit y builds improvements before the Lease i s signed .
Lease Of Airport Lands -SOAR International M ini strie s, Inc .
Lot 2, Block 3 , General Aviation Apron No . 1
Page 3 1 of 34
100
a. The Lessee acknowledges th at pri or to th e execution of thi s Lease; the City
constructed the fo llowing improvements on or in connection with the
Premis es: NIA
b. The C ity's total cost to construct the improvem ents was $NI A.
c. As part of the consideration of thi s lea se, the Lessee shall reimburse the City
for the City's cost of constructing the improvements . The reimbursement
shall b e made in ten equal annual payments, plus interest at 8 percent per
year on the unpaid balance. The Lessee m ay pay the entire remaining
b alan ce to the C ity earlier tha n due.
d. The Lessee shall make the first r eimbursement payment to the City by no
later than the first anniversary of the Lease tenn beginning date given in
Article III of thi s Lease. ·The Lessee's annual reimbursement payment for
each succeeding year shall be made to the City b y no l ater than the
anniversary of date on whi ch the fir st pa yment was due.
e. F a ilure by the Lessee to timel y reimburse the Ci ty as req u ired und er (c) and
( d) of this provision shall be grounds for tennination of this Lease by the
City.
IN WI TN ESS WHEREOF, the parties hereto have h ereunto set their hands, the day and year stated
in the indi v idual acknowl edgments below.
CITY:
C ity of Kenai
Paul Os trander
Its : Ci ty Manager
LESSEE:
Date
SOAR MINISTRIES INTERNA TI ON AL, INC.
R ichard L. Page
Its: Presid ent
Date
Lease Of Airport Lands -SOAR In ternational Ministries, Inc.
Lot 2, Block 3, General Aviati on Apron No. 1
Page 32of34
101
ACKNOWLEDGMENTS
ST A TE OF ALASKA )
) SS.
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this __ day of , 2017, Paul Ostrander, City
Manager of the Ci ty of Kenai, Alaska, being personally known to me or having produced
satisfactory evidence of identification, appeared before me and acknowledged the vo luntary and
authorized execution of the foregoing instrument on behalf of said City.
Notary Public for Alaska
My Commission Expires: _____ _
ST A TE OF ALASKA )
) SS.
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this __ day of , 2017, Richard Page, President
of SOAR INTERNATIONAL MINISTRIES, INC., being personally known to me or having
produced satisfactory evidence of identification, appeared before me and acknowledged the
vo luntary and authorized executi on of th e foregoing instrument on beh alf of said corporation.
Notary Public fo r Alaska
My Commission Expires: _____ _
ATTEST:
Jamie Heinz, Actin g City Clerk
SEAL:
~aseForm:
Scott Bloom, C ity Attorn ey
Lease Of Airport Lands -SOAR International Ministries, Inc.
Lot 2 , Block 3, General Aviat ion Apron No. I
Page 33of34
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After Recording, Return To:
ATTN: Kenai City Planner
City of Kenai
2 10 Fidalgo A venue
Kenai, AK 996 11
Y:\Planning & Zoning\Agreements\2 01 7 072 1 SOAR Le ase L283 GAA (002).docx
Lease Of Airport Lands -SOAR International Ministries, Inc.
Lot 2, Block 3, General Av iation Apron No. 1
Page 34of34
103
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
'Vtffa;e «1/ti a Pa~~ Ct'tj «1/ti a h.tal"e 11
210 Fidalgo Ave , Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager?. t...? ·
Matt Kelley, City Planner /J}f_
August 31 , 2017
Resolution No . 2017-57
This communication provides additional information regarding Resolution No . 2017-57. The
Resolution as presented to the City Council on August 16, 2017 was postponed at the request of
staff, to allow for a meeting with Dick Page of SOAR International Ministries, Inc . Staff met with
Mr. Page on August 25, 2017 to discuss the proposed lease renewal as it was presented to the
City Council. In those discussions , it was mutually agreed that both the City and SOAR
International Ministries, Inc., understand that the lease may be extended for up to five years under
the same terms and conditions of the current lease. It was also agreed that a Second Amendment
to Lease would be prepared for Council consideration that would extend the lease one year in
anticipation of the City revising its leasing practices . The agreement preserves SOAR
International Ministries' ability to pursue a lease extension of at least the remaining four years or
alternatively by mutual agreement, a new lease under anticipated new leasing terms.
Staff has prepared a Second Amendment to Lease , and would like to request that the City Council
postpone Resolution No . 2017-57 to the next regular meeting of September 20, 2017. Staff will
then refer the lease amendment to the Planning & Zoning Commission at their meeting of
September 13 , 2017 and the Airport Commission at their meeting of September 14, 2017 . Staff
will then bring back a Substitute Resolution and a Second Amendment to Lease of Airport Lands
for the City Council to consider at their meeting of September 20 , 2017.
Thank you for your consideration .
104
Sponsored by: Adm in istration
CITY OF KENAI
RESOLUTION NO. 2017-57 (SUBSTITUTE)
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI , ALASKA, CONSENTING TO A
SECOND AMENDMENT OF LEASE OF CERTAIN AIRPORT LANDS WITHIN THE AIRPORT
RESERVE BETWEEN THE CITY OF KENAI, LESSOR, AND SOAR INTERNATIONAL
MINISTRIES , INC., LESSEE, ON PROPERTY DESCRIBED AS LOT 2 , BLOCK 3 , GENERAL
AVIATION APRON NUMBER ONE, ACCORDING TO AMENDED PLAT NO. 2004-20.
WHEREAS, on November 29 , 2004, the C ity entered into a lease with SOAR International
Ministries, Inc. for City-owned lands identified as Lot 2 , Block 3 , General Aviation Apron ,
according to Plat No . 73-68 , and as amended by Plat No. 2004-20, sa id lease was recorded under
document number 2004-012339-0 , on December 6, 2004, in the Kena i Recording D istrict, Third
Judicial District, State of Alaska (the Lease); and ,
WHEREAS , the Lease was mutually amended on June 22, 2009 recorded under document
number 2009-006284-0 in the Kenai Recording District, Third Judicial District, State of Alaska ;
and ,
WHEREAS, pursuant to the Lease terms, SOAR International Ministries , Inc. has requested an
e xtension of the lease for one-year; and,
WHEREAS, the City of Kenai and SOAR International Ministries, Inc., understand that the lease
may be extended for up to five years , but mutually agree to a one-year term in anticipation of the
City revising it 's leasing practices and an additional lease e xtension of at least the remaining four
years or a new lease being agreed to by the Parties under the terms of the City's new leasing
practices; and,
WHEREAS, on September 13, 2017, the Planning and Zoning Comm ission recommended the
City Council the Second Amendment of Lease of Airport Lands; and,
WHEREAS, on September 14, 2017 , the Airport Commission recommended the City Council
____ the Second Amendment of Lease of Airport Lands .
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA:
Section 1. That the Second Amendment of Lease of Airport Reserve Lands to ex tend the
term of the Lease one-year beginning retroactively to July 1, 2017 and with an
add itional option to renew for an add itional term of four yea rs be e xecuted by the
CITY OF KENAI, Lessor, and SOAR INTERNATIONAL MINISTRIES, INC .
Lessee , on certa in A irport Lands described as Lot 2 , Block 3 , General Aviation
Apron No. 1, accord ing to Amended Plat No. 2004-20
Section 2 . The Kenai City Council authorizes the City Manager to execute said Second
Amendment of Lease of A irport Reserve Lands on behalf of the City on a form
approved by the City Attorney. 105
Resolution No. 2017-57 (Substitute)
Page 2 of 2
Section 3 . That this resolution takes effect immediately upon passage.
PASSED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 20th day of September,
2017 .
BRIAN GABRIEL SR., MAYOR
ATTEST:
Jamie Heinz, City Clerk
106
SECOND AMENDMENT TO LEASE OF AIRPORT LANDS
THIS Amendment to Lease Agreement is made as of the __ day of
_____ , 2017 , by and between the CITY OF KENAI (City), a municipal corporation
whose address is 210 Fidalgo Avenue, Kenai, Alaska 99611 , and SOAR International
Ministries, Inc., whose address i s 135 Granite Point Court Kenai , Alaska 99611.
WITNESS ETH
WHEREAS , on November 29 , 2004, the City entered into a l ease with SOAR
International Ministries, Inc. for Ci ty-owned lands identified as Lot 2, Block 3, General
Aviation Apron, according to Plat No. 73-68 , and as amended by Plat No. 2004-20, said
lease was recorded under document number 2004-012339-0 , on December 6, 2004, in the
Kenai Recording District, Third Judicial District, State of Alaska (the Lease); and ,
WHEREAS, the Lease was mutually amended on June 22 , 2009 recorded under
document number 2009-006284-0 in the Kenai Recording Distiict, Third Judicial Dist1ict ,
State of Alaska; and,
WHEREAS, pursuant to the Lease term s , SOAR International Ministries, Inc . has
requested a n extension of the lease for one year ; and,
WHEREAS, the City of Kenai and SOAR International Ministries, Inc., understand
that the l ease may be extended for up to five years , but mutually agree to a one year tenn in
anticipation of the C it y revi s ing it's lea sing practices and an additional lea se extension of at
least the remaining four years or a new lease being agreed to by the P arties under the terms
of t he C it y's new leasing practices.
NOW THEREFORE, the paities agree as follows:
l. The Kenai City Council h as determined to extend the tenn of the Lease one year,
beginning retroactively to Jul y 1, 2017 and with an additional option to renew for an
additional term of four years.
2. Except as expressly modified or stated herein, all other term s and conditions of the
Lease (as amended) remain in full force and effect.
Second Amendment to Lease
Page 1 of 2
107
Approved as to fonn:
Scott Bloom
City Attorney
State of Alaska )
) SS
Third Judicial District )
CITY OF KENAI
By: __________ _
Paul Ostrander
Its : City Manager
SOAR International Ministries, Inc.
By: ------------
Richard Page
Its : President
The foregoing instrument was acknowledged before me this __ day of , 2017 , ----
by Paul Ostrander, City Manager for the City of Kenai.
Notary Public of Alaska
My Commission Expires: __ _
State of Alaska )
) SS
Third Judicial District )
The foregoing instrument was acknowledged before me this __ day of ____ , 2017,
by Richard Page, President for SOAR International Ministries, Inc.
RETURN TO:
CITY OF KENAI
210 Fidalgo Avenue
Kenai, AK 99611-7794
Second Amendment to Lease
Page 2 of2
Notary Public of Alaska
My Commission Expires: __ _
108
TO:
THROUGH :
FROM:
DATE:
SUBJECT:
'Vttf~ {,(//t~ a PaJ'~ e~ {,(//t~ a f°u.ttif'e II
210 FidalgoAve , Kenai , Alaska 99611-7794
Telephone: (907) 283-7535 I Fa x: (907) 283-3014
www. kenai. city
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager ? c? ..
Matt Kelley , City Planner /ll l
September 13, 2017
Substitute Resolution No. 2017-57
This memorandum provides additional information regarding Resolution No . 2017-57 . The
Resolution that was presented to the City Council on August 16, 2017 was postponed at the
request of Administration , to allow for a meeting with Dick Page of SOAR International Ministries,
Inc. Administration met with Mr. Page on August 25, 2017 to discuss the proposed lease renewal
as it was presented to the City Council. In those discussions, it was mutually agreed that both
the City and SOAR International Ministries , Inc., understand that the lease may be extended for
up to five years under the same terms and conditions of the current lease . It was also agreed
that a Second Amendment to Lease would be prepared for Council consideration that would
extend the lease one year in anticipation of the City revising its leasing practices. The agreement
preserves SOAR International Ministries ' ability to pursue a lease extension of at least the
remaining four years or alternatively by mutual agreement , a new lease under anticipated new
leasing terms .
Administration has prepared a Second Amendment to Lease, which was then referred to the
Planning and Zoning Commission at their meeting of September 13, 2017 and the Airport
Commission at their meeting of September 14, 2017 . At their respective meetings , the Planning
and Zoning Commission and the Airport Commission will consider the subject Second
Amendment to Lease . Administration will provide a memorandum to the City Council at the
meeting of September 20 , 2017 with the recommendations of both commissions.
Thank you for your consideration .
109
PAYMENTS OVER $15,000.00 WHICH NEED COUNCIL RATIFICATION
COUNCIL MEETING OF: SEPTEMBER 20, 2017
VENDOR DESCRIPTION
PERS PERS
PR EMERA HEAL TH INSURANCE
INVESTMENTS
VENDOR DESCRIPTION
DEPARTMENT ACCOUNT AMOUNT
VARIOUS LIABILITY 91,436 .58
VARIOUS LIABILITY 147,822.93
MATURITY DATE AMOUNT Effect. Int.
110
MEMORANDUM
TO: Mayor Brian Gabriel and Kenai City Council
THROUGH:
FROM: Jamie Heinz, City Clerk
DATE: September 14, 2017
SUBJECT: October 3, 2017 Regular City Election Precinct Election Boards
Those listed below have agreed to work on the Election Board for Kenai Precincts 1, 2, and 3.
KMC 6.05.040 requires that City Council appoint the members of the election boards.
Kenai No. 1, 30-210 Kenai No. 2, 30-230 Kenai No. 3, 30-240
Eileen Bryson Barbara Norbeck Brent Jacob
Carol Freas Lucile “Lucy” Barton Sheila Phillips
Kit Hill Karen Monell Sharon Efta
June Harris Vivian Terry Maggie Marrow
Virginia Walters Jennifer Ticknor Patricia J. Reilly
Appointment of the Election Precinct Boards as highlighted above is appreciated.
111
t/iuity•f
KENAI, ALAS KA
~
CITY OF KE NAI
ORDINANCE NO. 2986-2017
Sponsored by: Administration
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, INCREASING
ESTIMATED REVENUES AND APPROPRIATIONS IN THE WATER AND SEWER SPECIAL
REVENUE AND WATER AND SEWER CAPITAL PROJECT FUNDS AND AUTHORIZING
REDIRECTION OF FUNDS PREVIOUSLY APPROPRIATED TO THE RESERVOIR NUMBER
ONE RECOATING PROJECT TO A PROJECT TO REPLACE THE WATER MAIN UNDER THE
KENAI SPUR HIGHWAY AT SHOTGUN DRIVE AND BEAVER LOOP.
WHEREAS , the recoating of Reservoir #1 is nearing completion with $48,560 in e xcess funding
that is available for redirection via budget transfer to another project; and ,
WHEREAS, the total projected cost of the water main replacement is $92 ,225 to be pa id with
Water & Sewer Funds including $48 ,560 redirected from the Reservoir #1 Recoating Project and
the remaining $43 ,665 available for transfer from the Water & Sewer Special Revenue Fund ; and ,
WHEREAS , the water main to be replaced was installed in 1979 and is 12" in diameter; and,
WHEREAS , the replacement water main will be 16" in diameter allowing increased flow to the
C ity's water system ; and ,
WHEREAS, in November the Alaska Department of Transportation (DOT) anticipates advertising
for bid Phase One of the Kenai Spur Highway Rehabilitation from Swires Rd . to Eagle Rock Drive ;
and ,
WHEREAS, the water main to be replaced is within the DOT project's limits; and ,
WHEREAS , the City will avoid significant additional e x pense if the main is replaced at the time of
the DOT project ; and,
WHEREAS , the DOT has agreed to include our project in their competitive bid package; and ,
WHEREAS , replacing the water main as part of the DOT project is in the best interest of the City .
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI ,
ALASKA, as follows:
Section 1. Form : That this is a non-code ordinance .
Section 2. That estimated revenues and appropriations be increased as follows :
Water & Sewer Special Revenue Fund
Increase Estimated Revenues -
Appropriation of Fund Balance
New Text Underlined; [DELETED TE XT BRACKETED]
$43.665
112
Ordinance No . 2986-2017
Page 2 of 2
Increase Appropriations :
Transfer to Water & Sewer Cap ital Project Fund
Water & Sewer Capital Project Fund
Increase Estimated Revenues -
Transfer from Water & Sewer Special Revenue Fund
Increase Appropriations -
Spur Highway Water Main Replacement -Construction
Section 3. That the following budget transfer be authorized :
Water & Sewer Capital Project Fund
From -
Reservoi r #1 Recoating -Construction
To-
Spur Highway Water Main Replacement -Construction
$43.665
$43 ,665
$43.665
$48 560
$48 .560
Section 4. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction , such
judgment shall be confined in its operation to the part, provision, or application directly involved
in all controversy in which this judgment shall have been rendered , and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or circumstances .
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provis ion , or application .
Section 4 . Effective Date : That pursuant to KMC 1.15.070(f), this ord inance shall take effect
upon adoption .
ENACTED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA, this 4th day of October, 2017 .
ATTEST:
Jamie Heinz, City Clerk
Approved by Finance
BRIAN GABRIEL SR., MAYOR
Introduced : September 20, 2017
Enacted : October 4 , 2017
Effective: October 4 , 2017
Ne w Text Underl ined; [DELETED TEXT BRACKETED]
113
'Vtff~ «1/t/i a Pa.f~ tt'tj «1/t/i a h.tfl.l"e 11
210 Fidalgo Ave , Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager Q. c.7·
Sean Wedemeyer, Public Works Director/Capital Projects Manager 5 /1 k(
September 13, 2017
Ordinance Funding Water Main Replacement
This purpose of this memo is to recommend adoption of an ordinance appropriating and
transferring funds for a water main replacement project.
A water main was installed crossing the Kenai Spur Highway at Beaver Loop Rd. in 1979. Since
then the Kenai water system has e x panded significantly and would benefit from an increased
pipe diameter in this location . The Water & Sewer foreman, Brent Jacobs, suggested that we
consider replacing this section of water main during the Phase One of the Alaska Department of
Transportation 's (DOT's) Kenai Spur Highway Rehabilitation project. This is an excellent
suggestion as the asphalt and subgrade within the roadway structural section will be removed
and replaced at the DOT's expense as opposed to the City's . I contacted the DOT's project
manager and we determined it would be possible to include our project in their bid package.
The reservoir #1 recoating is nearly complete . Notwithstanding this transfer I will have sufficient
funds including contingency to complete that project.
Thank you for your consideration.
114
''V/fl~ U1/t/t, a Pa~~ Ot'tj U1/t/t, a Fu.tfU"e-"
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai .city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager Pc:::::> ·
Matt Kelley , City Planner .-1 1(
September 13 , 2017
Consent to Assignment of Lease of Airport Lands or Facilities between Kenai
Aviation Lease Company, LLC., and Schilling Rentals, LLC. on real property
described as Lot 2, Block 2 and Lot 2 , Block 4, General Aviation Apron No.
1, according to Amended Plat No. 2004-20
Kenai Aviation Leasing Company, LLC has submitted an Assignment Agreement assigning the
Lessee's interest under those certain Leases of Airport Lands or Facilities on the above-
referenced property to Schilling Rentals, LLC. The terms and conditions of the original Lease
provide that the Lease cannot be assigned without the written consent of the City of Kenai.
The property is identified on the attached map and is Airport Lands located inside the Airport
Reserve . The particulars of said leases are as follows :
Term:
Effective Date/Expiration Date :
Purpose for which the Lease is Issued:
Legal Description:
Term :
Effective Date/Expiration Date:
Purpose for which the Lease is Issued :
Legal Description :
55 years
May 6 , 1976/June 30 , 2031
Aircraft tie-down and possible construction of a
hangar in the future
Lot 2, Block 4, General Aviation Apron No. 1
55 years
Not Dated /June 30, 2031
Aircraft maintenance and repair, limited parking of
aircraft and aircraft related enterprises
Lot 2, Block 2, General Aviation Apron No. 1
The current Lessee and prospective Lessee are in compliance with the City and the Kenai
Peninsula Borough. The City Attorney has reviewed the attached document and has no objection
to form for the consent.
Staff has prepared a Consent to Assignment of Lease of Airport Lands or Facilities, which was
referred to the Planning and Zoning Commission at their meeting of September 13 , 2017 and
the Airport Commission at their meeting of September 14, 2017. At their respective meetings ,
the commissions will consider the Consent to Assignment of Lease of Airport Lands or Facilities.
Staff will provide a memorandum to the City Council at the meeting of September 20, 2017 with
the recommendations of both commissions .
Thank you for your consideration .
115
CITY OF KENAI
CONSENT TO ASSIGNMENT OF LEASE OF
AIRPORT LANDS OR FACILITIES
The Assignment of Lease between Kenai Aviation Leasing Company, LLC , and
Schilling Rentals, LLC, as set forth in that certain Assignment Agreement between said
parties dated the 28 1h day of July, 2017, covering;
That particular Lease of Lot 2, Block 2, General Aviation Apron , according
to Plat No . 73-68, and as amended by Plat No . 2004-20, Kenai Recording
District, State of Alaska, recorded May 10, 1976 at Book 95, Page 262 of
the Kenai Recording District, from the City of Kenai to Gerald L. Wasson;
and,
That particular Lease of Lot 2 , Block 4, General Aviation Apron ,
according to Plat No. 73-68 and as amended by Plat No. 2004-20, Kenai
Recording District , State of Alaska, recorded May 6 , 1976, and recorded
May 10, 1976 at Book 95 , Page 252 of the Kenai Recording District, from
the City of Kenai to Gerald L. Wasson ;
Is hereby ACKNOWLEDGED AND CONSENTED TO , subject to the same terms and
conditions as contained in the above -described original Lease of Airport Lands or
Facilities , and any and all amendments thereto.
This Consent is given by the City of Kenai without waiving any right or action, or
releasing the Assignor from any liability or responsibility under the aforementioned
Lease , and does not relieve the Assignee from the condition requiring the City's
approval for any subsequent sublease or assignment.
Dated this __ day of ______ , 2017.
Paul Ostrander
City Manager
Consent to Assignment of Lease -Lot 2, Block 2 and Lot 2 , Block 4 , Gene ral Avia tion Apron
Page 1 of 2
116
ACKNOWLEDGEMENT
STATE OF ALASKA )
) SS
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this day of , 2016, Paul
Ostrander, City Manager of the City of Kenai, Alaska , being personally known to me or
having produced satisfactory evidence of identification , appeared before me and
acknowledged the voluntary and authorized execution of the foregoing instrument on
behalf of said City.
Notary Public for Alaska
My Commission Ex pires : ____ _
Scott Bloom, City Attorney
Consent to Assignment of Lease -Lot 2, Blo ck 2 and Lot 2, Block 4, General Av iation Ap ron
Page 2 of 2
117
ASSIGNMENT AGREEMENT
THIS AGREEMENT, made and entered into this Z.B day of July, 2017, by and
between Kenai Aviation Leasing Company LLC, whose address is P.O. Box 46, Kenai, AK
99611, hereinafter called Seller; and Schilling Rentals, LLC, whose address is 420 N. Willow St.
Kenai, AK 99611, hereinafter called Buyer.
I. Seller hereby sells and warrants to Buyer and Buyer hereby purchases from Seller,
the improvements located on the following-described real property:
Parcel l: Lot 2, Block 2, General Aviation Apron, according to Plat No.
73-68, Kenai Recording District, State of Alaska; and
Parcel 2: Lot 2, Block 4, General Aviation Apron No. 1, according to Plat
No . 73-68, Kenai Recording District, State of Alaska;
(the "property"), together with all tools and equipment located thereon.
And Seller hereby assigns and warrants to Buyer, as amended,
That particular Lease of Parcel I recorded May 10, 1976, at Book 95, Page 262 of
the Kenai Recording District, from the City of Kenai to Gerald L. Wasson, and
That particular Lease of Parcel 2 dated May 6, 1976, and, recorded May 10, 1976,
at Book 95 , Page 252 of the Kenai Recording District, from the City of Kenai to
Gerald L. Wasson,
(the "Leases"),
all for the price and upon the terms and conditions as follows:
Full purchase price is •••• payable
in cash as of the date hereof.
2. Buyer may purchase a title insurance policy (unqualified , except as provided in
Sec. 6 and except as to reservations in patent, rights of persons in possession, matters of survey,
and unfiled mechanics liens) on the property, in the full amount of the purchase price of the
property, such policy to be purchased from a source and issued by an insurer reasonably
acceptable to the Buyer.
If the title be found to be unmerchantable, or if Seller cannot procure a binder for the fee
title insurance policy, Buyer or its attorney shall notify the Seller or its attorney in writing,
specifying the defects which exist with respect to the title to the property, and Seller shall have a
period of sixty days after receipt of such written notice within which to cure said defects in title
to the reasonable satisfaction of the attorney for Buyer or the title insurance company. Upon
118
to the reasonable satisfaction of the attorney for Buyer or the title insurance company. Upon
Seller's failure to cure any defect of which written notice has been given within the above time
limit, at the option of Buyer this Assignment may be rescinded and the purchase price paid this
day paid returned to Buyer, and all rights and liabilities arising hereunder shall terminate, or
Buyer may waive the defects .
3. This Assignment shall be contingent upon the written· approval of the City of
Kenai. Upon Seller's failure to procure such approval for the assignment of both leases, at the
option of Buyer this Assignment may be rescinded and the purchase price paid this day paid
returned to Buyer, and all rights and liabilities arising hereunder shall terminate.
4. Recording fees, cost of title insurance, escrow closing fees, or any other fees
necessary to the proper closing of thi s transaction shall be paid by Buyer. Each party shall bear
its own attorney's fees.
5. Taxes , assessments, rents, lease expenses, utilities and interest shall be prorated as
of the date for delivery of possession . Buyer may ta.lee over any existing policies of insurance on
the property, and insurance premiums shall be prorated as of the date of delivery of possession.
The cash payment shall be increased or decreased as may be required by the proration of said
items. If the amount of taxes and assessments for the current year cannot be ascertained, rates,
millages and assessed valuations of the previous year, with known changes, shall be used.
6. Seller hereby assigns the leases to Buyer, free and clear of all liens and
encumbrances, except:
(a) Taxes and assessments for year of closing and subsequent years.
(b) Restrictions, reservations and easements of record and zoning ordinances of
record, if any, which do not interfere with the use of said property for residential or commercial
purposes.
( c) Title of the City of Kenai as lessor.
7. Buyer may have the property surveyed at Buyer's expense. If the survey shows
any encroachments on the land herein described or that the improvements located on the land
herein described encroach on other lands, written notice to that effect shall be given to the Seller,
and Seller shall have the same time to remove such encroachments as is allowed under this
Assignment for the curing of defects of title. If the Seller shall fail to remove or cure said
encroachments within said period of time, at the option of Buyer this Assignment may be
rescinded and the purchase price paid this day paid returned to Buyer, and all rights and liabilities
arising hereunder shall terminate, or Buyer may waive the encroachments.
8. Until Seller delivers possession of the property to Buyer, the Seller wi ll maintain
the property in substantially the same condition as upon the date hereof.
Assignment Agreement
Page 2
119
9. Seller shall indemnify, defend and hold Buyer harmless from any loss, cost,
damage or expense (including attorney fees) actually incurred or sustained by Buyer in
connection with the release or disposal of hazardous substances on the property to the date of
sale. Buyer shall indemnify, defend and hold Seller harmless from any loss, cost, damage or
expense (including attorney fees) actually incurred or sustained by Seller in connection with the
release or disposal of hazardous substances on the property by Buyer, its agents, tenants,
employees or contractors from and after the date of sale. ·
10. No agreements, unless incorporated in this Assignment, shalJ be binding upon any
of the parties.
I 1 . The covenants herein contained shall bind, and the benefits and advantages shall
inure to, the respective heirs, executors, administrators, successors and assign s of the parties
hereto. Whenever used , the singular number shall include the plural, the plural the singular, and
the use of any gender shall include all genders.
IN WITNESS WHEREOF, the parties have hereunto s igned this Assignment on the day
and year first above mentioned.
SELLER:
BUYER:
Assignment Ag reement
P ag e 3
Schilling Rentals, LLC
By:~-~~
Michael Schilling, M \Ilber
120
ST A TE OF ALASKA
THIRD JUDICIAL DISTRICT
)
) SS .
)
On the 28 1h day of July, 2017, before me personally appeared Jim Bielefeld, known
to be the person who executed the above instrument, and acknowledged that he had the authority
to sign, for the purposes stated therein. 12~~
CHAR~;t~r~.P~tifc°WIN NOTARY PUBLIC FOR ALASKA
State of Alaska My Commission Expires:
My Commission Expires ---
Mav 03, 2021
ST ATE OF ALASKA
THIRD JUDICIAL DISTRICT
)
) SS .
)
On the 28th day of July, 2017, before me personally appeared Michael Schilling,
known to be the person who executed the above instrument, and acknowledged that he had the
authority to sign , for the purposes stated therein. ~....___:
NOTARY PUBLI FOR ALASKA
CHARLES R. BALDWIN
Notary Public
State of Alaska
My Commi u lon Expires
Mav03 2021
Assignment Agreement
Page4
My Commission Expires: ---
121
'
(/
r
~"
Lot 2, Block 2
Lot 2, Block 4
GAASUBD.
NO. 1
~·~ ~~ .. ~
KENAI ALASKA ~
N W+E
s
1 inch equa ls 104 feet
Th e information depicted here
on is for graphic representation
only of the best available sources .
The City of Kenai assumes no
responsibility for errors on this
map .
Date: 9/7/20 17
122
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
''v;ff~ «1/t~ a Paif~ Ct'tj «1/t~ a f"atare 11
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager 7 i:> -
Matt Kelley, City PlannerA 1L
September 15 , 2017
Consent to Sublease between the City of Kenai, Schilling Rentals , LLC.
and Hilcorp Alaska, LLC -Lot 11 A, FBO Subd iv ision No . 9
Schilling Rentals , LLC . has leased the property described as Lo t 11A, FBO Subdivis ion No . 9,
since April 25, 2014, for a Hangar and Small Office Facility. Articl e VI, Paragraph A of the Kenai
Municipal A irport Lease of Airport Reserve Lands provides that the Les see may not sublet the
premises without the written consent of the City of Kenai . Accordingly, Schilling Rentals , LLC has
requested approval by the City of Kenai of the Heliport and Hanger Sublease Agreeme nt between
Schilling Rentals, LLC , and ConocoPhillips Alaska, Inc. for the above referenced property. In
October of 2016 , the interest of ConocoPhillips Alaska , Inc. was sold to Hilcorp Alaska, LLC .
Schilling Rentals , LLC is in compliance w ith obligations due to the City of Kenai and the Kenai
Peninsula Borough . The City Attorney has re v iewed the Consent to Sub lease as to form .
Staff has prepared a Consent to Sublease, which was referred to the Airport Comm ission at the ir
meeting of September 14 , 2017 for consideration . Staff will provide a memorandum to the City
Council at the meeting of September 20 , 2017 with the recommendation of the Airport
Commission .
Thank you for you r consideration .
123
CITY OF KENAI
CONSENT TO SUBLEASE
The City of Kenai leased certain Airport Reserve Lands recorded on July 31,
2009 , under document number 2009-007616-0, Kenai Recording District , to Kenai
Hanger, LLC . Said Lease of Airport Reserve Lands was assigned to Schilling Rentals,
LLC by Assignment of Lease, recorded on April 25, 2014, under document number
2014-003201-0, whose address is 420 N . Willow Street, Kenai, Alaska, 99611 . The
Heliport and Hanger Sublease Agreement between Schilling Rentals, LLC, and Hilcorp
Alaska, LLC, (successor to ConocoPhillips Alaska, Inc.) whose address is 3800
CenterPoint Dr., Suite 1400, Anchorage, AK 99503, covering the following-described
property:
Lot 11A, FBO Subdivision No. 9, according to the official plat thereof, filed
under Plat No. 2009-54, records of the Kenai Recording District, Third
Judicial District, State of Alaska .
Is hereby ACKNOWLEDGED AND APPROVED , subject to the same terms and
conditions as contained in the original lease and any amendments thereto as described
above.
This Consent is given by the City of Kenai without waiving any right or action , or
releasing the Assignor from any liability or responsibility under the aforementioned
Lease , and does not relieve the Assignee from the condition requiring the City's
approval for any subsequent sublease or assignment.
Dated this __ day of ______ , 2017 .
Consent to Sublease -Schilling Rentals , LLC
Paul Ostrander
City Manager
Page 1 of 2
124
STATE OF ALASKA )
) SS
THIRD JUDICIAL DISTRICT )
THIS IS TO CERTIFY that on this day of , 2017, PAUL
OSTRANDER, City Manager of the City of Kenai, Alaska, being personally known to me
or having produced satisfactory evidence of identification , appeared before me and
acknowledged the voluntary and authorized execution of the foregoing instrument on
behalf of said City .
APPROVED AS TO FORM:
Scott Bloom
City Attorney
--......... --·
,,,, ............... .
Consent to Sublease -Schilling Rentals , LLC
Notary Public for Alaska
My Commission Expires : ___ _
Page 2 of 2
125
HELIPORT AND HANGAR SUBLEASE AGREEMENT
This Sublease Agreement ("Agreement'') effective as of the 31st day of May, 2014 is entered into
by and between Schilling Rentals, LLC, an Alaskan limited liability corporation having offices at
420 North Willow Street, Kenai, AK 99611 (''Schilling"), and ConocoPhillips Alaska, Inc., a
Delaware corporation having offices at 700 G Street, Anchorage, AK 99501 ("CPAI"). Schilling
and CPAJ being sometimes referred to individually as a "Party" and collectively as "Parties."
I. RECITALS
A. WHEREAS, Kenai Hangar, LLC ("Kenai Hangar") entered into a lease
agreement dated July 17, 2009 with the City of Kenai for certain property
located at the Kenai Municipal Airport ("City Lease");
8. WHEREAS, Kenai Hangar assigned its interest to Schilling on the 16111
day of April, 2014, and the City of Kenai approved the assigrunent on the
t6ih day of April 2014;
C. WHEREAS, the terms of the City Lease, among other things, authorize Schilling to
sublease the property located at the Kenai Municipal Airport for use as a heliport and
hangar facility; and
D. WHEREAS, Schilling and CP AI desire to enter into a sublease agreement for the
property located at the Kenai Municipal Allport for use as a heliport and hangar facility
pursuant to the terms and conditions of this Agreement;
NOW THEREFORE, in consideration of the foregoing express premises and the mutual
covenants hereinafter set forth, the Parties agree as follows:
II. AGREEMENT
1. City Lease
This Agreement is subject to all applicable requirements and conditions of the City Lease.
2. Subleased Premises
Schilling hereby leases to CPAI and CP AI leases from Schilling, the following described
premises located at:
Lot 11, FBO Subdivision and a portion of Lot 10, FBO Subdivision
(designated as Lot UA according to the preliminary plat)
containing approximately 7.SOO square feet of ramp space: S,625 square feet of hangar space;
810 square feet of office space; and 17 ,000 square feet of parking lot space as set out in
Exhibit A (the "Premises'').
1of13 126
3. Rent
The rent for the Premises is
-per month. On the 15th day of each month during the term of the Agreement,
Schilling shall send CP AI an invoice for-to the following address:
ConocoPhillips Company
Attn: Real Estate Services -PTRRC
700 G Street, ATO 1644
Anchorage, AK 9950 I
Following CP AI' s receipt of Schilling's invoice, rent shall become due and payable on the 1st day
of the following month during the term of this Agreement. CP AI sha ll make payment to Schilling
at the following address:
4. Term
Schilling Rentals, LLC
4 7 Spur View Drive
Kenai, AK 99611
4.1 Initial Term. The initial term of this Agreement is five (5) years, commencing on
the 15th day of May, 2014 and ending on the 15th day of May, 2019.
4.2 Option to Renew. CPAI has the option to renew this Agreement for one (I) five
(5) year additional term, which shall commence on the 16th day of May 20 19 and
end on the 15th day of May, 2024. To exercise this option to renew , CPAI must
provide Schilling written notice of its decision to exercise the option on or before
April 1, 2019. If CP AI elects to exercise this option to renew, the terms, conditions,
and mutual covenants contained in this Agreement shall continue without change
or modification of any kind.
4.3 Month-to-Month Tenancy. Following the initial term, if CPAI does not exercise
its option to renew under Paragraph 4.2 above, this Agreement shall cont inue on a
month-to-month basis until such time as Schi lling or CPAI provides thi1ty (30)
days' written notice of its decision to terminate the month-to-month tenancy.
5. Default
If CPA! fails to pay monthly rent to Schilling for sixty (60) days or longer after such rent
being due, CP AI shall be considered to be in default and Schilling may exercise any and
all remedies available under this Agreement, in law or in equity. The appo intment of a
receiver, an assignment for the benefit of creditors, or a filing of a petition in bankruptcy,
voluntary or involuntary, shall constitute a default under this Agreement. In the event of a
default made by CP Al in any of the other covenants or conditions to be kept, observed and
performed by CPAI, CPAI shall have twenty-five (25) days after receipt of written
2of13 127
notice thereof to cure such default; provided that if the cure period is not reasonably
sufficient to permit a cure of such default, and CP AI shall have diligently commenced to
cure such default within the cure period and shall thereafter proceed with reasonable
diligence to cure such failure, then CP Al shall have a reasonable additional period of
time not to exceed 30 days to remedy or cure such default. In the event that the CP AI
sbalJ fail to cure any default within the time allowed under this paragraph, or shall have
abandoned the Premises, Schilling, without waiving his right to colJect rent for the
remainder of the original tenn, may declare the term of this Agreement ended and
terminated by giving CP AI written notice of such intention, and if possession of the
Premises is not surrendered, Schilling may reenter said premises. Upon CPAI's failure to
cure any default, all payments then due and owing, as well as all payments due for the
remaining term of the Agreement will become immediately due and payable, subject to
Schilling using reasonable efforts to obtain a new subtenant and mitigate damages.
Schilling shall have, in addition to the remedy above provided, any other right or remedy
available to Schilling on account of any CP AI default, either in law or equity.
In the event of a default made by Schilling in any of the covenants or conditions to be
kept, observed and performed by Schilling, Schilling shall have twenty-five (25) days
after receipt of written notice thereof to cure such defauJt; provided that, not including
Paragraphs 7 and 16, if the cure period is not reasonably sufficient to pennit a cure of
such default, and Schilling shall have diligently commenced to cure such default within
the cure period and shall thereafter proceed with reasonable diligence to cure such failure,
then Schilling shall have a reasonable additional period of time not to exceed 30 days to
remedy or cure such default. The appointment of a receiver, an assignment for the
benefit of creditors, or a filing of a petition in bankruptcy, voluntary or involuntary, shall
constitute a default under this Agreement In the event that Schilling shall fail to cure
any default within the time allowed under this paragraph, CPAI may, in its sole
discrctio~ (1) declare the immediate termination of this Agreement, and have no
obligation to pay any further rent, by giving Schilling written notice of termination; or (2)
withhold perfonnance of any or all obligations under this Agreement, including the
payment of rent, until such time as Schilling cures the default. CP Al shall have, in
addition to the remedies above provided, any other right or remedy available to CP AI on
account of any Schilling default, either in law or equity. CPAI shall use reasonable
efforts to mitigate its damages.
6. Authorized Uses
Schilling authorizes CP AI to use the Premises as a heliport and hangar for aeronautical
and associated activities, use as an office, and use as a parking area.
7. Schilling Obligations
7.1 Fire Suppression System. Schilling, at its sole cost, shall maintain the existing
fire suppression system on the Premises. Schilling shall, at its sole cost, annuaJly
test the fire suppression system to ensure that it is ftmctioning properly.
3of13 128
Building Maintenance. Schilling, at its sole cost, shall maintain the roof, exterior walls, heating
systems, cooling systems, plumbing, electrical systems, in proper workins condition.
8. CP Al ObBgatlons
8.1 Utilities. CP AI, at no cost to Schilling, shall provide for all utilities necessary to
facilitate CPAI's use of the Premises.
8.2 Hangar Door Opention and Maintenance. CPAI, at no cost to Scrulling, shall
maintain the hangar door in good working condition. CP AI shall not operate the
hangar door in high wind conditions.
8.3 Oil/Water Separator Maintenance. CPAI, at no cost to Schilling, shall
maintain and operate the oil/water separator on the Premises.
8.4 Site Security. CP Al, at no cost to Schilling, shall provide site security that CPAI
deems necessary for its use and enjoyment of the Premises.
8.S Building Maintenance. CP Al, at no cost to Schilling, shall provide for
maintenance that is not Schilling•s responsibility under Paragraph 7 above .
8.6 Use of Premises. CP Al will use the Premises in a mBMer consistent with all
applicable local, state and federal codes, laws end regulations, and consistent with
the tenns of the City Lease.
8.7 Snow Removal. CPAI shall be responsible for Snow Removal of the Premises.
9. Tues
Schilling shall be responsible for payment of all applicable local, state, and federal taxes related
to or arising out of this Agreement, including, but not limited to property taxes for the Premises.
10. Warranties
10.1 Building Condition. Except as otherwise provided herein, Schilling leases the
building and Premises "as is", subject to the Improvements in Paragraph 16, with
no warranties, including any warranty of fitness for a particular purpose.
10.2 Right to quiet enjoyment and peaceable possession. Schilling warrants and
represents to CP AI, upon payment of rent and performance of the other terms and
conditions of this Agreement, that CP Al shall have the right to quietly and
peaceably hold, use, occupy, and enjoy the Premises.
11. Entry by Schilling
4of13 129
11.1 CPA! covenants and agrees to pennit Schilling or its agents or representatives to
enter into and upon any part of the Premises as follows:
11.1.1 Upon receipt of reasonable notice and during reasonable hours to make repairs,
alterations, additions, or to perfonn the obligations set out in Paragraph 7; and
11.1.l In the event of an emergency, to make necessary repairs as Schilling may deem
necessary or desirable.
11.2 Schilling covenants and agrees with CPAI that Schilling and its employees,
agents, or invitees will not review CPAl's business files, papers, or other
docwnents for any purpose while on the Premises pursuant to this Paragraph 11.
12. Insurance
12.1 During the term of this Agreement, CPAI shall carry and require each of its
sublessees, contractors, and subcontractors to carry bodily injury and property
damage insurance or selfMinsurance, free of cost to SchiJling, to protect the parties
to this Agreement in accordance with the following specifications:
12.1.1 Commercial General Liability: S 1 ,000,000 combined single limit per
occurrence for bodily injury, personal injury, and property damage; including
broad form contractual liability;
12.1.2 Commercial Automobile Coverage: $1,000,000 combined single limit per
occurrence;
12.1.3 Workers Compensation Insurance: As required under AS 23.30.045 and, where
applicable, any other statutory obligations.
12.l The insurance policies required by Paragraphs 12.1.l and 12.1.2 above shall name
Schilling as an additional insured and provide full waiver of subrogation of any
and all claims against Schilling (subject to Paragraph 12 below). Further, the
insurance policies in Paragraphs 12. l. l, 12.1.2, and 12.1.3 shall provide that
cancellation, termination, or reduction in coverage can only occur upon thirty (30)
days' prior written notice to Schilling.
12.3 CP Al shall furnish to Schilling evidence of insurance or a letter of self-insurance
on request that meets the minimum requirements specified in Paragraph 12. 1 prior
to the execution of this Agreement
12.4 CPAJ shall require its sublessees to furnish it with satisfactory evidence of
insurance that complies with Paragraph 12 prior to the execution of any sublease
for the Premises.
5 of13 130
12.S CPA! shall provide thirty (30) days' prior written notice to Schilling in case of
reduction in insurance coverage.
13. Indemnification
13.1 CPAI shall indemnify, defend, and hold SchiJling, Schilling's parent, subsidiary,
affiliated companies, and co--venturers, and each of their respective officers,
directors, agents, and employees, hannless from and against any and all claims,
demands, liabilities, costs, damages, judgments, fines, penalties, actions, and
injuries of any kind resulting or alleged to result from any breach, violation or
nonperfonnance of any covenant or condition hereof, by CP AI and for any
damage to person or property resulting from any act or omission or negligence of
CP AI related to this Agreement, except to the extent caused by the fault,
negligence or willful misconduct of Schilling, its employees, agents, or
contractors.
13.2 Schilling agrees to indemnify, defend and bold CPA!, CPAl's parent, subsidiaries,
affiliated companies, and co-venturers, and each of their respective officers,
directors, agents, and employees, hannless from and against any and all claims,
demands, liabilities, costs, damages, judgments, fines, penalties, actions, and
injuries of any kind resulting or alleged to result from any breach, violation or
nonperfonnance of any covenant or condition hereof, by Schilling and for any
damage to person or property resulting from any act or omission or negligence of
such Schilling related to this Agreemen'9 except to the extent caused by the fault,
negJigence or willful misconduct of CPAI, its employees, agents, or contractors.
13.3 Subject to Paragraph 13.1 above and Paragraph 14 below, Schilling agrees to
indemnify, defend, and hold CPAI, CPAl's parent, subsidiaries, affiliated
companies, and co--venturers, and each of their respective officers, directors,
agents, and employees harmless from and against any and all claims, demands,
liabilities, costs, damages, judgments, fines, penalties, actions, and injuries of any
kind (including but not limited to injuries arising from or related to death, bodily
injwy, property damage, and environmentaJ pollution or contamination) arising
from or in connection with the City Lease, including, but not limited to, any and
all claims, demands, liabilities, costs, damages, judgmen~ fines, penalties,
actions and injuries of any kind asserted by, claimed by, and/or awarded to the
City of Kenai against CPAI, its parent, subsidiaries, affiliated companies, and/or
co-venturers, arising from or in connection with the City Lease, provided,
however, that Schilling's obligation to indemnify CPAI under this section shall
not extend to claims, demands, liabilities, costs, damages, judgments, fines,
penalties, actions, and injuries arising from or in connection with any act or
omission of CP Al.
6of13 131
13.4 Subject to Paragraph 13.1 above and Paragraph 14 below, Schilling agrees to
indemnify, defend, and hold CPAI, its parent, subsidiaries, affiliated companies,
co-venturers, insurers, and underwriters hannless from and against any and all
claims, demands, or actions of any kind brought by the City of Kenai, under or
related to the City Lease, arising from or related to insurance maintained by
CP AI, its parent, subsidiaries, affiliated companies, co-venturers, insurers and/or
underwriters, above and beyond CPAI's insurance obligations and limits set forth
in Paragraph 12 herein.
13.S The duties to protect, defend, indemnify, save and hold hannless provided in this
Paragraph 13 shall survive the tennination, expiration, or cancelJation of this
Agreement
14. Environmental Matters
14.1 Schilling represents and warrants to the best of its knowledge that the Premises
comply with all federal, state, and local environmental laws.
14.2 Schilling covenants and agrees that Schilling shall, at Schilling's sole cost and
expense, comply at all times with all present and future environmental
requirements and indemnify, defend and hold CP AI harmless from and against all
claims incurred by CP AI due to the presence of hazardous materials in the
Premises not discharged by CP Al . In the event that, during perfonnance of any
alterations or CPAI's improvements at the Premises, the removal, encapsulation
or other remediation of hazardous materials detennined to be present in the
Premises (except hazardous materials released by CPAI) shall be required
pursuant to any environmental laws, such removal, encapsulation or other
remediation shall be performed by Schilling, at Schilling's expense to the extent
required by such environmental laws.
14.3 CPAI shall comply with all environmental laws that apply to CPAl's use and
occupancy of the Premises, and shall not release or pennanently store any
hazardous materials and shall indemnify and defend Schilling from third-party
claims that Schilling incurs arising from any contaminants that CP AI or any of
CPAI's representatives releases, spills, or treats at the Premises, transports from
the Premises or disposes of from the Premises during the Term of this Agreement.
14.4 The duties to protect, defend, indemnify, save and hold hannless provided in this
Paragraph 14 shall survive the tcnnination, expiration, or cancellation of this
Agreement.
JS. Risk of Loss
If the Premises are damaged by fire or other casualty, Schilling shall, within thirty (30)
days after such casualty, deliver to CP AI a good faith estimate of the time needed to
7of13 132
repair the damage caused by such casualty ("Damage Notice"). If the Premises are
damaged by a casualty of any kind which adversely affects the use of the Premises by
CP AI for the conduct of its normal business, then the following provisions shall apply:
15.1 If the repairs cannot be completed within one·hundred twenty (120) days of the
date of the casualty as stated in the Damage Notice, then CP Al shall have the
option to tenninate this Agreement with alJ rent and any other additional charges
payable under the Agreement being abated from the date of the casualty. CPAI
shall notify Schilling in writing of the exercise of its election to tcnninate this
Agreement within thirty (30) days following the delivery to CPAI of the Damage
Notice or will be deemed to have elected not to tenninate this Sublease under this
provision. If CP AI elects to tenninate under the terms of this provision, then
CPA[ shall have a reasonable time to remove its property from the Premises;
15.2 If Schilling determines that the damage caused by the casualty cannot be repaired
within one.hundred twenty (120) days after the commencement of the repair and
if CP AI has not elected to tenninate this Agreement wider this Paragraph 15, then
Schilling may, but only with the written approval of CPA!, at Schilling's expense
relocate CPAI to space reasonably comparable to the Premises. Such relocation
may be for a portion of the remaining Tenn or the entire Tenn. Schilling shalJ
complete any such relocation within a reasonable time after Schilling has
delivered the Damage Notice to CPAI. If Schilling desires to relocate CP Al
under this provision. then Schilling shall give CPAI written notice of such within
fifteen (15) days following the delivery of the Damage Notice to CPAI. If a
casualty damages a material portion of the Premises, and Schilling makes a good
faith detennination that restoring the Premises would be uneconomical, or if
Schilling is required to pay all or a majority of the insurance proceeds arising out
of the casualty to a third party, such as the owner of the Premises. then Schilling
may tenninate this Agreement by giving written notice of its election to terminate
within thirty (30) days after the Damage Notice has been delivered to CP AI, and
all rent and any other additional charges payable under the Agreement shall be
abated from the date of the casualty.
JS.3 If following a casualty neither Party elects to tenninate this Agreement, then
Schilling shall, within a reasonable time after such casualty, commence to restore
the Premises and shall conunence, and thereafter diligently proceed, to restore the
Premises to substantially the same condition as they existed immediately before
such casualty. Notwithstanding anything in this Sublease to the contrary,
Schilling shall be required, but only to the extent the same is covered by
insurance, to repair or replace any part of the fixtures and other improvement
which may have been placed on the Premises by, or at the request of, CPAI.
Schilling's obligation to repair or restore the Premises shall be limited to the
extent of the insurance proceeds actually received by Schilling for the casualty in
question or to the extent of the proceeds that Schilling would have received from
such insurance without regard to any deductible that Schilling may elect to carry
on the Premises. The effect of this provision is that Schilling will bear the risk of
8of13 133
paying to restore and repair damages from any casualty for the amount of any
deductible that Schilling has elected to cmy on any insurance pc>licy. Schilling
shall at all times during the term of this Agreement insure the Premises against all
risk of direct physical loss in the amount of the full replacement value of the
buildings and carry commercial general liability insurance in an amount not less
than $2,000,000.00 per occurrence. All policies of fire, extended coverage or
policy of commercial general liability insurance referred to herein or similar
casualty insurance related to the Premises carried by either party to this
Agreement shall include a clause or endorsement denying the insurer any rights of
subrogation against the other party.
15.4 Schilling and CPAI release all claims, rights or recovery, and causes of action
that either of them, or any party claiming by, through, or under either of them,
may now or hereafter have by subrogation, or otherwise against the other (or its
parents, subsidiaries and affiliates and their respective officers, directors,
shareholders, partners, agents or employees) for any injury, loss or damage that
may occur to the Premises, improvements or any of their contents, by reason of
fire, casualty, or any other cause or hazard covered (or required to be covered) by
the insurance policy(ies) required by this Agreement, including deductibles or
self-insured retentions. Tms RELEASE SHALL BE EFFECTIVE
NOTWITHSTANDING THE NEGLIGENCE OF SCHILLING, CPAI, OR
THEIR RESPECTIVE OFFICERS, DIRECTORS, SHAREHOLDERS.
PARTNERS, AGENTS OR EMPLOYEES.
16. Improvements
16.1 Schilling shall make the following improvements to the premises at its sole cost:
16.1.1 Parkiag Lot Construction. Schilling shall construct a graded, gravel-
based parking lot upon the Premises that abuts Willow Street The
parking lot shall encompass the entire portion of Lot 11 A east of the
building, subject to building set-back, zoning and City Lease
requirements. Schilling shall diligently work to obtain all permits and
authoriations necessary to construct the parking lot Schilling shall
diligently construct the parking lot in a skillful and worlanan like manner.
If the parking lot is not completed and ready for use by CP AI by July l,
2014, then Schilling shall provide equivalent parking space to CPAI at no
cost until such time as the parking lot is completed.
16.1.l Office Remodeling. Schilling shall remodel the office and other
structures on the Premises in accordance with Exhibit B. Schilling will
commence work immediately upon the execution of this Agreement and
use reasonable best efforts to complete the work prior to the May 15
occupancy date.
9of13 134
16.2 Without prior approval from Schilling, CPAI may make the following
improvements to the premises at its sole cost:
16.2.1 Security System. CPAI may install, maintain, replace, or remove a
security system for the Premises. Upon expiration or tennination of this
Agreement, Schilling shall have no right to keep any security system, or
component thereof, installed by CP Al; no title to or interest in any security
system installed by CP Al shall pass to Schilling.
16.3 With prior written approval from Schilling, which Schilling shall not
unreasonably withhold, CP AI may make the following improvements to the
Premises at its sole cost:
16.3.1 Paint or redecorate any portion of the Premises, with the exception of the
exterior siding, trim or overhead doors;
16.3.2 Erect signs on the Premises;
16.3.3 Erect pennanent or pennanent structures on the Premises, including fuel
storage containers;
16.3.4 Remodel any building on the Premises; and
16.3.5 Modify, alter, or demolish any or all the Premises.
16.4 The Parties shall make all improvements in skillful and workmanlike manner.
16.5 Unless the Parties agree otherwise in writing, improvements made by CPAI shall
become Schilling's property thirty (30) days after tennination or expiration of this
Agreement. If any improvements are removed by CP AI, CP AI shall repair or
cause to be repaired any damage to the Premises caused by such removal.
17. General Provisions
17.l Compliance with Laws. Schilling and CPA! shall comply with all applicable
local, state and federal laws, ordinances, and regulations.
17.2 Compliance with ADA. Schilling warrants and represents that on the
commencement of this Sublease the Premises are and shall be in full compliance
with the American with Disabilities Act, as amended ("ADA j. CP Al shall be
responsible for compliance with any new requirements or new interpretations of
requirements or newly issues issued standards under the ADA only within the
Premises. CP AI shall not be responsible for any portion of the cost of compliance
for any area outside the Premises.
10of13 135
17.3 Assignment. Subject to receiving any necessary approvals required by the City
Lease, CP AI may assign or sublet the Premises in whole or in part with the
consent of Schilling, which shall not be unreasonably withheld. Notwithstanding
any provision of this Agreement to the contrary, CPAI may, without Schilling's
consent, assign or sublet the Premises in whole or in part to any entity having
equivalent or better financial viability than CPAJ, including its parent company,
ConocoPhillips Company or an entity owned or controlled by CPAI or by
ConocoPhillips Company. An assignment by CPAI of all of the Premises to any
such above-described entity shall relieve CPAI of its obligations under this
Agreement.
17.4 Conflict of Interest. CPAI shall not directly or indirectly pay any salaries,
commissions or fees, or make payments or grant any rebates to, any employee,
officer or agent of Schilling, nor favor employees, officers or agents of Schilling,
or designees of such employees, officers or agents, with gifts or entertainment of
significant cost or value, nor with services or goods sold at less than full market
value, nor enter into any business arrangement with employees, officers or agents
of Schilling unless such employees, officers or agents are acting as representatives
of Schilling.
17.5 Severability. If any tenn or provision of this Agreement or the application
thereof to any person or circumstances shall, to any extent, be held invalid or
unenforceable, the remainder of this Agreement, or the application of such tcnn or
provision to persons or circumstances other than those to which it is held invalid
or unenforceable, shall not be affected thereby and each tenn and provision of this
Agreement shall be valid and be enforced to the full extent pennitted by law.
17.6 Interpretation. The Parties have jointly participated in the negotiation and
drafting of this Agreement In the event any ambiguity or question of intent or
interpretation arises, this Agreement shall be construed as if drafted jointly by the
Parties and no presumption or burden of proof shall arise favoring or disfavoring
either Party by virtue of the authorship of any of the provisions of this Agreement
17.7 Entire Agreement. This Agreement, including the attached exhibits, constitutes
the entire agreement between the Parties and supersedes any prior understandings.
covenants, promises., agreements, conditions or representations by or between the
Parties, whether written or oral, related in any way to the subject matter hereof.
No subsequent alteration, amendment, change, modification or addition to the
Agreement shall be binding upon Schilling or CP AI miless reduced to writing and
signed by authorized representatives of Schilling and CPAI. The indemnities and
releases provided for in this Agreement shall survive the tennination of this
Agreement.
17.8 Counterparts. This Agreement may be executed in counterparts, each of which
shall be an original but all of which shall constitute but one and the same
instrument.
11of13 136
17.9 TJme of Essence. To the extent any obligations or time for perfonnance set forth
in this Agreement are to be perfonned by the Parties, or any rights under this
Agreement are to be exercised by the Parties, if at all, by a specific date or within
a prescribed time period, time shall be of the essence .
17.10 Surrender. CPAI agrees that at the tennination of this Agreement, all property in
and upon the Premises shall be returned to Schilling in at least as good condition
as when first occupied by CP Al, excepting ordinary wear and tear and
extraordinary loss by fire, wind, or accident not under the control of CP AI or
CPArs employees or agents.
17.11 Applicable Law. The interpretation and perfonnance of this Agreement shall be
governed by, construed and enforced in accordance with the laws of the State of
Alaska, except for any rule of law of the State of Alaska which would make the
Jaw of another jurisdiction apply.
17.12 Dispute Resolution. All actions at law or equity and proceedings arising out of or
relat~ in whole or in part. to any dispute or claim in connection with this
Agreement shall be heard and determined in the state or federal comts located in
Anchorage, Alaska. The Parties hereby irrevocably submit to the exclusive
jurisdiction of such courts in any such action or proceeding and irrevocably waive
the defense of lack of personal jurisdiction or any inconvenient forum to the
maintenance of such action or proceeding.
17.13 Relationship of Parties. Nothing contained herein shall create any relationship
between the Parties other than that of CP AI and Schilling, and it is acknowledged
and agreed that Schilling does not in any way or fo r any purpose intend, no r shall
this Sublease be construed, to create as between Schilling and CP AI the relation
of partner, joint venture or member of a joint or common enterprise with CP AI.
[Remainder of Page intentional/)' left blank.]
12of13 137
17.14 Notices. Any notice which may be given by ;my Party to any other Party or entity
hereunder shall be deemed to have been properly gi,·en if sent in \\ riting by first
class mail or by electronic means us follows:
Sublcssce: ConocoPhillips Al;iska Inc.
Attn: LuYonnc Currier
ConocoPhillips Alaska. Inc.
P.O. J3ox 66
Kena i, AK 99611
Fax 907-776 -2 004
With required copy to:
Lessee:
ConocoPhillips Company
Attn: Real Estate Services-PTRRC
700 G Street, ATO 1644
Anchorage. AK 9950 I
Schilling Rentals, LLC
420 North Willow Street
Kenai, AK 9961 I
JN WITNESS WHEREOF. the Parties have executed this Agreement as of the Effoctive Date.
LESSEE:
SCI-JILi.iNG RCNTALS. LLC
Date: t -~ -/f'
SUBLESSEE:
CONOCOPI llLLIPS ALASKA, INC.
By:~ ---·
~~me: Stephen E. Matthews f 1tle : Attorncy-111 -Fact
13or13 138
AMENDMENT NO. 1 TO HELIPORT AND HANGAR SUBLEASE AGREEMENT
This Amendment No. 1 to Eeliport anq Hangar Sublease Agreement ("Amendment") effective
as of the 1st day of October, 2016 is entered into by and between Schilling Rentals, LLC, an
Alaskan limited liability corporation having offices at 420 North Willow Street, Kenai, AK
99611 ("Schilling''), and ConocoPhillips Alaska, Inc., a Delaware corporation having offices at
700 G Street, Anchorage, AK 99501 (~'CPAI'1. Schilling and CPAI being sometimes referred to
individually a,s a "Party" and collectively as '1Parties."
I. RECITALS
A. WHEREAS, Kenai Hangar, LLC ("Kenai Hangar;') entere<J into a lease agreement dated
July 17, 2009 with the City of Kenai for certain property located at the ~enai Municipal
Airport ("City Lease")~
B. WHEREAS, Kenci. Hangar assigned its interest to Schilling on the 16th day of April,
2014, and the City ofKenai approved the ~signnient on th.e 16th day of April 2014;
C. WHEREAS, the terms of the City Lease, among other things, authorize Schilling to
sublease the property located at the Kenai Munic~pal Airport for use as a heliport and
hangar facility; and
I). WHEREA.S, Schilling and CPAX entered into a Sublease Agreement effective May 3 l ,
2014 ("Sublease Agteemeilt'') for the property located at the Kemri Municipal Airport for
use as a heliport and hangar facility pursuant to the tertt1s and conditions of this
Agreement;
E. WHEREAS~ Schilling and CP Al wish to amend the Sublease Agreement as contained
herein.
NOW TllEREFORE, in qonsideration of the foregoing expres!\ premises and the mutual
covenants hereinafter set forth , the Parties agree as follows:
1. Arti<!le 3, "Rent'' is deleted in its ~ntjrety and replaced with the f()llowing:
"Rent
The rent for the Premises is per
month. On the 15th day of each month during the terin of the Agreement, Schilling shall
send CP AI an invoice for to the following address:
ConoQOPhillips Company
Attn: Lease Administration
Real Estate Service·s
1 of2
139
600 N . Dairy Ashford Road
Houston, TX 77079
Following CPAI's receipt of Schilling's invoice, rent shall become due and payable on
the 1st day of the following month during the term of this Agreement CP AI shall make
payment to Schilling at the following address:
Schilling Rental$, LLC
420 North Willow Street
Kenai, AK 99611"
2. Except as modified or changed in this Amendment, all t¢nns and conditions of the
Sublease Agreement remain unchanged and in full force and effect.
IN WITNESS WHEREOF, the Parties have executed this Amendment as" of the Effective Date.
LESSEE:
SdiILLING RENTALS, LLC
By:~~
l1rintNB.1lle: ~{Ll/P.fr
Title: OWIJ/3)..
SUBLESSEE:
By:.--l~""'2:::=-4--1-+----+-~~~~
Narne.
Title: Attorney-in-Fae
2of2
Dare:~
.. ---·------------------------------------------------'
140
eonoc6Phillips
September 30, 2016
Mik~ Schilling
Scnllllng Rentals LLC
420 N WilloW Street
Kenai, AK 99611
Nick Bajwa
Oxloc:QPJullips
PE-20l&A
600 N Dairy Ashford
Hollltoa, TX 77079
Phone 907.223 .8853
NiaUbljwa@conocophilllps.com
Re_:_ ~slgnme"J of 5/31/2014 CcmocoPhilUps _Alas~, Inc. _(COP)-Schllllng Rentals, Ll:-C
(SchUllng) Heliport and Hangar Sublease Agreement (Sublease) . - .
Mike,
Al? we discussed, COP has agree_d to sell 100% of Its interest in the North Cook Inlet Unit
(NCIU) to Hilcorp Alaska, LLC (Hllcorp).
Under Sublease Section 17.3, COP requests Schilling's consent to assign the Sublease to
Hilcorp." This a_s.slgnment would bec:0"1e ~tfeclive as of the qlosing date of HOcorp's purchase of
NCll); iargeted ori or near October 5, 2016. -
We wpuld very much appreciate your consent to assign the ~ubfease to Hllcorp. Please indicate
your ,approval .<>f the &S$1gnment ~Y executing this lette_r In the spa~ provided below arid returning one fully executed original (in· hard copy or PDF) tc;> my attention.
;~~y, ~
NlckBa' a
Real ·a~te Serv· -s, senior Agent
5 DAY OF &e;j= 2016.
141
I
I
Lot 11A, FBO
Subdivision No. 9
~ ~~
NAl,AlASKA
~
N W+E
s
1 inch equals 173 feet
The information depicted here
on is for graphic representation
only of the best available sources.
The City of Kenai assumes no
responsibility for errors on th is
map .
Date: 9/7/2017
142
9/14/2017 The City of Kenai
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'Vtfft?Je a1/t/i a PaJ'~ Ct'tj a1/t/i a rat~ II
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO :
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager? c?.
September 14, 2017
Request for Innovative Readiness Training Civil Military Partnership -
Kenai Bluffs Stabilization Project
The final step of the Kenai Bluffs Stablization Section 116 Feasibility Study, the Directors
Report, is scheduled for completion in April of 2018. Depending on funding for the project, that
schedule could allow for design of the project in 2018 I 2019 with construction beginning as
soon as possible thereafter.
Administration has been pursuing the Innovative Readiness Training Program to help with
construction of the stabilization project to lower overall costs and provide a training
environment for our military personnel.
According to their website, the Innovative Readiness Training Program builds mutually
beneficial civil-military partnerships between US communities and the Department of Defense
(DoD) to:
• Provide high quality, mission-essential training for Active, Guard , and Reserve support
personnel and units
• Deliver military readiness and partnership capacity to serve when the nation calls, at
home or abroad
• Contribute to American prosperity by meeting public and civil-society needs
• Strengthen the bond between American citizens and the US military
• Kindle a spirit of service and volunteerism among all partners and the communities they
serve
The attached application is the first step in requesting support from the military through the
Innovative Readiness Training Program . It is essentially notice to multiple branches of the
146
Page 2 of 2
military broadly outlining our project as a training opportunity for their personnel. We will be
notified if there is a Military Services group that feels that the training value of our project
warrants their involvement. Service Members may contact the City to better understand the
requirements of the project or obtain more detail.
If the Kenai Bluffs Stabilization Project is chosen as an Innovative Readiness Tra ining project,
the Military Services volunteers will provide personnel and equipment only. Th e direct financial
benefit to the City would be a reduction in the total cost of the project, lowering the required
necessary match amount the City is responsible for.
This Action I Approval items seeks authorization from the Council for the City Manager to submit
the attached Request for Innovative Readiness Training Civil -Military Partnership for
consideration by DoD.
147
REQUEST FOR INNOVATIVE READINESS TRAINI NG CIV I L-MILITARY PARTNERSHIP l g~~~~r~:::,-::;;,es TBD
The public reporting burden for th is collection of information is estimated to average XX minutes per response , including the time for reviewin g
instructions , searching existing data sources , gathering and maintain in g the data needed , and completing and reviewing the collection of i nformation.
Send comments regarding this burden estimate or any other aspect of this collection of information , includ ing suggestions for reducing the burden , to
the Department of Defense, Washington Headquarters Services, Executive Services Directo ra te , Information Management Division 1155 Defense
Pentagon, Washington , DC 20301 -11 55 (xxxx-xxxx). Respondents should be aware that notwithstanding any other provision of law. no person shall be
subject to any penalty for failing to comply with a collection of information if it does not d is play a currently val id OMB control number.
PLE ASE DO NOT RETUR N YOUR FO RM TO THE ABOVE ORG A NIZATIO N. RETU RN COMPLETED FORMS ELECTRO NIC ALLY USI NG THE
SUBMIT BUTTON AT THE END OF THIS FO RM .
PURP OSE : This form is to be used by civil organizations or non-military government agencies requesting a civil-military Innovative Readiness Training
civil-military partnership authorized by 10 U.S.C . § 2012. This form may also be used for similar requests under other authorities . Additional instructions
are on page 5. Requests are contingent on military training needs and DOD re so urces.
1. REQUEST EXPIRATION DATE Applications are due September 30, 2017 to be considered during normal training and budget cycles . If a military
2019-09-30 unit volunteers and the training is funded , the partnership would be built and completed between October 1, 2018
and September 30, 2019. The Military Services may consider out-of-cycle requests on a case-by-case basis .
S ECTI ON 1-RE Q UESTING ORGANIZ ATIO N INFORMATION
2. NAME OF ENTITY REQUESTING MILITARY SUPPORT (Community, Agency, State, Federal Department, Non-Profit Organization, etc.)
City of Kenai
3. HAS THIS ORGANIZATION PREVI OUSLY APPLIED FOR AND RECEIV ED SUPPORT AND SERVICES FROM THE 0 Yes l8]No
DEPARTMENT OF DEFENSE VIA AN INNOVATI VE READINESS TRAINING CIVIL-MILITARY PAR TNERSHIP?
4a . WHAT TYPE OF ORGANIZATION DO YOU REPRESENT? Government (Federal, State, Regional , Local)
4b . IF A NON-PROFIT, WHICH NON-PROFIT ORGANIZATION DO YOU REPRESENT? Select
5a. STREET ADDRESS OR PO BOX 5b. CITY Kenai
210 Fidalgo Av 5c. STATE AK
5d. ZIP CODE 99611
SE CTION 11-PROJECT OVERV IEW
6. PROJECT NAME Kenai Bluffs Bank Stabilization Projec t
7. TYPE OF PROJECT D Healthcare [8J Construction 0Diving D Transporting Items 0 Aerial Spray 0 Cybersecurity Oother
8. BRIEF PROJECT DESCRIPTI ON
This proj ect con si sts of construc ting a berm ap prox imately 5,000 feet long below the Kenai Bluffs toe. 1t i s design ed to prevent
flood tides from wash ing away the materi al that collects that the b l uff toe and coastal storm s from erodi ng the l ower po rtion of the
b l uff. The Kenai Bluffs erode at a rate of approx imatel y 3 feet per year. Thi s erosion puts commercial and r es idential bui l dings,
C ity infrastructure, and c ultural and h i storical sites at r i sk of loss. The constructi on of thi s benn is c ritical to the long term viabi lity
of the City of Kenai.
SECTION 111-PROJ ECT LOCATION(S)
9. PHYSICAL LOCATION(S) OF PROJECT (continue in item 51 if needed)
5-digit Latitude Longitude Congressional
Location Street Address City State Zip Code (Decima l) (Decimal) District
#1 Kenai AK 99611 At Large
#2
#3
#4
#5
#6
10a. DOES SOMEONE OT HER THAN THE REQUESTING ORGANIZATION OWN THE ABOVE REAL ESTATE OR RE AL PROPERTY?
[8JNo 0 Yes , the property is titled to:
10b . ATTACH PROPERTY OWNERSHIP AND PERM ISSION DOCUMENTATION HERE ~
11 a. A RE THERE ANY RESTRICTIONS . LIMITED EASEMENTS , OR THIRD PARTY PERMISSIONS REQUIRED?
0No ~Yes (please explain): Land acquisition of some of the property i s ongo i ng and w ill be .compl eted pri or to construction.
11b. ATTACH PROPERTY ACCESS DOCUMENTATION HERE {§_
12. WILL TH IS ASSISTANCE TAKE PLACE ON A STATE OR FEDERAL MILITARY INSTALLATION (POST, FORT, BASE , OR OTHER FACILITY)
OR ON PROPERTY OPERATED . LEASED . OWNED. OR OCCUPIED BY A FEDERAL OR STATE MILITARY ENTITY ?
[8JNo 0 Yes (please e xplain):
Temporary I RT Form Jl,JN 2017 Acrobat Professional XII
148
REQUEST FOR INNOVATIVE READINE SS TRAINING CIVIL-MILITARY PARTNERSHIP
S ECTION IV -PROJECT TIMI NG
13. PRO JEC T LEN GTH (Estimate the length of time you expect military members to be p resent) 12-24 m onth s
14. DO YOU HAVE PREFERENCES OR LIMITATI ONS ON WHEN THIS ASSISTANCE IS PROVIDED? r8:j Yes (explain details below) 0 No
Start Date End Date Reason for time
1st choice 12019-05-0 1 I 2020-I 0-0 I I T iming i s contingent upon Corps of Engineer approval s an d cong res si o n al fundi~
2nd choice I I I I
15. DESCRIBE ANY SPECIAL EVENTS, HOLIDAY S, ACTIV ITIES , OR LOCAL ISSUES THAT MAY BE ONGOI NG DURI NG THE TRAIN ING .
IN CLUDE ANY SITUATIONS THAT THE MILITARY SHOU LD BE AWARE OF THAT MAY AF FECT THE IR ACT IVITIES IN TH E CO MMUNITY .
The most significan t event during thi s time p eriod would be July I0-3 1 in both 2109 and 2020. D uring that time period th e annual
personal u se fi sh ery occurs th at brings thousa nds of pe o ple to the beach to fish for salmon . lt po t entially cou ld limit construction g
SECTION V -AD DITIONAL RESO URC ES
16. WHAT OTH ER FUN DING OR SUPPORT IS YOUR ORGANIZATION COORDINATING FOR THIS PARTN ERS HIP?
Amount Actu al or Expected Date Fun ding Type or Sou rce
$ 20,800,000 2019-02-01 Corps of E ngineer s (conti ngent on con gr ess i onal fund ing)
$ 11 ,2 00,000 2019-02-01 C ity of Kenai matc h
17a . LI ST ANY FACILITIES AVAILABLE AT NO EXPENSE FOR USE BY THE MILITARY DURING THE ASSISTANCE
Office space i s availabl e for suppo11 ser v i ces. Some sp ace may b e available in l ocal schoo l s when schoo l i s n ot in sess i on with
approval from th e l ocal School Dist r ict(May to A ug u st). Add itio n ally, the C i ty can prov ide l and for l ocation of housi ng o r for ..... ~ ..... =-~ ..... & .......... : _ _.. ...........
17b. I HAVE TH E NECESSARY PERMISSION(S) TO USE THE COMM UNITY FAC ILI TIES LISTED IN ITEM 17a. 181 Yes 0 No
18 . LIST ANY OTHER CO NTRIB UTIONS OR RESOURCES THAT YOU OR YOUR NElWORK OF PARTNERS MAY PROVID E
The C ity i s providing a si gn ificant match amount for the project. We are al so prov iding proj ec t management se r v i ces and
ad mini strative support to the project.
SECTION VI -PROJECT SIGNIF ICANCE
19. DESCR IBE HOW TH IS PROJECT CON TR IBUTES TO A LONG-TERM OR BROADER V ISION
This project i s important for th e re vitalizat io n o f "Ol d Town Kenai " and w ill prov ide the cert ainty n ecess ary t o en courage
investment i n t he commun i ty. It i s al so i mportant t o t h e l o ng t erm v i ability of th e C i ty of Kenai. Witho ut blu ff st ab ilization,
t"t'H1 f"h nf thP o:JirP"ll i " <'.lit ri c:lr D
20 . DES CRI BE THE BENEF ICIAR IES OF THIS PROJECT AND WHEN THEY WILL BEGIN TO BENEFIT
T he b eneficiari es ar e th e c itizens of th e C ity of Kenai and surro unding areas. Th ey wi ll begin to benefit immed i at el y upo n
completion of t h e p roject. The US A rm y Cor ps of E ngineer s Draft Integ rated Feas i bil i ty Report conta ins a m o re detai l ed n
21 . DESCR IBE THE LOCAL . REGIONAL , STATE , OR TRIBAL GOVERNMENT SUPPORT FOR THIS PROJ ECT
T h e Kenai tze Indian Tri be i s a l ocal nati ve o r ganization that i s on reco rd st ro n g l y supportin g thi s project.
22. DESCRIBE THE NElWORK OF PARTNERSHIPS AND STAKEHO LDERS TO BE ENGAGED TO CARRY OUT THIS PROJECT
f inancially, thi s proj ec t i s a joint effo1i b etween th e C ity of Kenai and th e US A nny Cor ps of Engineers
23. DESCRIBE THE CAPACI TY TO SUSTAI N THE TANGIBLE VALUE CREATED BY THIS PROJECT
With consi stent maintenance of t h e berm, which t h e City of Kenai i s co mmitted to, t he constructed berm and t he va lue associated
w i th it shou l d be permanen t.
24 . IS THE PROJECT IN AN ECONOMICALLY DISTRESSED AREA?
0No
181 Yes , unemploymen t rate at least on e percentage point above th e national unemployment rate during the last 24 months
D Yes , per capita income 80 percen t or less of th e national average per capita income
0 Yes , oth er special need:
25 . DESCR IBE THE POTENTIAL OF THI S PROJECT TO CREATE POSITIVE CIVIL-MILITARY RELATIONSHIPS
T his area is hi ghly v i sible and the presence of the military he lping construct a proj ect t h at has been on the Cities prio r ity list for
almost 40 y ea rs w ill be .great exposure for the military. T h e citizen s of Ken ai w i ll be forever g rateful for the effo11 s of t he militara
Te mporary IRT Form (PAGE 2), JUN 2017 Acrobat Profe ssio nal XI
149
REQUEST FOR INNOVATIVE READINESS TRAINING CIVIL-MILITARY PARTNERSHIP
SECTION VII -MEDICAL PROJECTS ONLY
26. CIVILIAN HEAL TH ORGAN IZATION S U PERVISOR OVERSEEIN G THE MEDICAL TRAINI NG
26a. TITLE 126b . FIRST NAME 126c. LAST NAME
26d. WORK PHONE !26e. EMAIL ADDRESS
27. LIST THE COMMUN ITI ES WHERE THE TRAINING WI LL TAKE PLACE (Co mmunity and State are pre-populated from Item 9)
Estimated Estimated
Location Communit y or City Name State Patient Load Location Community or City Name State Patient Load
#1
r'"'' IAK
I I
#4
I I I I
#2 #5
#3 #6
28 . PRIORITIZE TH E SERVICES TO BE PROVIDED. (1 is the highest priority and 5 is the lowest priority)
Family practice Dental Optometry Behavioral health Veterinary
29. PLEASE ATTACH HERE A DESCRIPTION OF THE CREDENTI ALING AN D PR IVILEGING PROCESS AND TIMELINES YOUR ORGAN IZATION
W ILL U j ~{OR MI LITA RY MEDI CAL PROFESS IONALS WHO ARE NOT LICENSED IN THE STAT E WH ERE THE PARTNERS HI P WILL TAKE
PLACE .~
SECTION VIII -CONSTRUCTION PROJECTS ONLY
30. TYPE OF CONSTRUCTION TRAINING (Choose either or both) D Vertical (Structures) lg] Ho rizontal (Ea rthwork)
31 . ATTACH BLUE PRINTS, DESIGNS , OR DRAWINGS HERE00
32. ATTACH LAND USE PERM ITS HERE ~
33. ATTACH RIGHT-OF-WAY PERM ITS HERE ~]
SECTION IX -ENVIRONMENTAL COMPLIANCE (CONSTRUCTION, DIVING, AND AERIAL SPRAY PROJECTS ONLY)
34. ATTACH ENVIRONMENTAL COMPLI ANCE DOCUMENTATION HERE K
SECTION X -NON-PROFIT ORGANIZATIONS NOT LISTED IN 32 USC§ 508 ONLY
35. ATTACH OR GANIZATION 501(C)3 LETTER FROM THE IR S HERE ~
36. ATTAC H ORGAN IZATION ARTICLES OF INCORPORATION HERE ~
37. ATTACH ORGANIZATION BY-LAWS H ERE (~
SECTION XI -CERTAIN FEDERAL, REG IONAL, STATE, OR LOCAL GOVERNMENT ORGANIZATIONS ONLY
38. ATTACH CHARTER OR FOUNDING LAW HERE TO CLAR IFY ORGANIZATION QUALIF ICATION AS A GOVERNMENT ENTITY ~
SECTION XII -INDIAN TRIBAL ENTITIES OR ALASKA NATIVE GOVERNMENTS ONLY
39. MY ENTITY IS LIST ED IN THE FEDERAL REGISTRY AS ELI GIBLE TO RECEIVE 0 Yes (Date : \ 0 No
SERVICES FROM THE US BUREAU OF IND IAN AFFAIRS.
SECTION XIII -NON-COMPETITION REQUIREMENTS
40a. TYPE OF PUBLIC NOTI CE: Select or Type a Response 40b. DATE #1 40c. DATE#2
41 . ATTAC H HERE COPIES OF THE NON-COMPETITION PUBLIC NOTICES LISTED IN ITEM 40 5:
42. ATTACH HERE THE AFF IDAVIT OF PUBLI CATION FOR THE PUBLIC NOT ICES LISTED IN ITEM 40 (§'
43 . IF THIS IS A CONSTRUCTION REQUEST, I CERTIFY THAT I HAVE LISTED THI S
CONSTRU CTION PROJ ECT ON THE FEDERAL, STATE, COUNTY , AND/OR CITY
0Yes (Date : \ 0 No
REGISTERS FOR CONSTRU CTION PROJE CTS ACCORDING T O FEDER AL, STATE ,
COUNTY. AND /OR CITY CONTRACT LAW OR CONTRACT BID PR OCESSES .
44 . WERE THERE RESPONSES OR INQUIRIES RELATED TO THE D Yes (explain how they were adj udicated bel ow) 0No
NON-COMPETITION PUB LI C NOTICE REQUIREMENTS?
The affidavit for this Secti on will be s ubmitted upon executio n of the mi ss ion .
45 . I CERTIFY THAT TH IS ASSISTAN CE IS NOT REASONABLY AVAILABLE FR OM A COMMERCIAL ENTITY OR (IF SO 0 Yes 0 No
AVAILABLE}. TH E COMM ER CIAL ENTITY THAT WOULD OTHERWISE PROVID E SUCH SERVICES HAS AGREED TO THE
PROVISIO N OF SUCH SERVICES BY THE ARMED FORCES.
Temporary IRT Form (PAGE 3), JUN 2017 Acrobat Professiona l X I
150
REQUEST FOR INNOVATIVE READINESS TRAINING CIVIL-MILITARY PARTNERSHIP
SECTION XIV-AGREEMENTS AND CERTIFICATIONS
46 . I CERTIFY THAT I HAVE AUTHORITY TO ENTER INTO BINDING AGR EEME NTS ON BEHALF OF MY ORGAN IZATION . ~Yes 0No
47 . I CERTIFY THAT I HAVE AUTHORITY TO COMM IT RESOURCES OR FUNDS ON BEHALF OF MY ORGANIZATION. ~Yes 0No
48. I AGREE TO THE FOLLOWING RELEASE AND HOLD HARMLESS AGREEMENT: 0 Yes 0No
Thi s request for assistance is subject to the following conditions :
1) Military support will be limited to that which is preapproved by the Department of Defense (DOD).
2) Support is limited to personnel and equipment only.
3) All military personnel and equipment will remain under the control and supervision of the military unit providing the support and services .
I agree on behalf of my organization and its agents , to :
1) Release the DOD , its subordinate units , its officers, military personnel , employees , agents , and servants from any claim , demand , action , liability ,
or suit of any nature whatsoever for or on account of any injury, loss, or damage to the requesting organization and its ag ents arising from or in
any way connected wi th the military personnel support , excluding , however, any injury, loss , or damage arising solely from the intentional torts or
gross negligence of the military personnel or its agents.
2) Indemnify, defend , and hold harmless the DOD , its subordinate units, officers , military personnel , employees , agents, and servants from any
claim , demand, action , lia bility , or suit of any nature whatsoever fo r or on account of any i njury , loss , or damage to any third person or third
person's property arising from or in any way connected with the IRT military support, excluding , however, those arising solely from the intentional
torts or gross negligence of the military personnel or its agents .
With full unde rstanding of the condition and agreements stated above, the undersigned requesting official, who is authorized to execute this
document which is binding on his or her organization and all assigns , heirs, executors , beneficiaries , and derivati ve claimants , hereby executes this
release of liabi lity and hold harmless agreement .
SECTION XV -REQUESTING OFFI CIAL
49. I am acting on behalf of the sponsoring organization and certify that the in formation provided above is complete and accurate to the best of my
knowledge . I understand that representatives and personnel from the Military Services volunteer for projects based on military training value .
Service Members may contact me to better understand the requirement, to discuss potential plans , or to inform me of their inabi lity to support this
request. I also understand this request is subject to military training funds availability and that military operational commitments must take priority
and can preclude partnership participation at any time during the process .
49a . TITLE I 49b. FIRST NAME Paul I 49c . LAST NAME O strander
49d . JOB TITLE C ity Manager
49e. WORK PHONE (907) 283-8222 49f. CELL PHONE (Optional)
49g. EMAIL ADDRESS postrander@.?kenai.city
49h. SIGNATUR E Pa u
1 Ostrander Digitally signed by Paul Ostrander 49i. DATE
DN : cn=Paul Ostrander , o=City of Kena i, ou=City Managers
Office , email=postrander@kenai.city , c=US
Date: 2017.09 .1316:51 :41 -08'00'
SECTION XVI -ADDITIONAL POI NT OF CONTACT INFORMAT ION (Optional)
50. If you prefer that we contact another person for follow-up correspondence on this request , please designate that person here.
50a . TITLE 150b. FIRST NAME 50c. LAST NA ME
Submit
50d . WORK PHONE 50e. CELL PHONE
50f. EMAIL ADDRESS
SECTION XVII -OTHER (Optional)
51 . OTHER (Optional. This block can be used for continuing other blocks or additional details. Attach another sheet i f needed.)[~
Section X IV , #46 and #47 -As C i ty Manager I can si g n and com mit resources of funds on behalf o f the C i ty of Kenai conti n gent
u pon C ity Counc il approval.
Tempora ry IRT Form (PAGE 4), JUN 2017 Acrobat Professional XI
151
INSTRUCTIONS
Please distribute, complete , sign , and submit this document digitally to
the maximum extent possible .
Item 3. Check "Yes " if your organization has submitted an application in
the past AND a military unit or personnel provided support or services.
Item 4a. This helps us determine your eligibility for the program. "Other
Federal , Regiona l, State , or Local government" should be selected from
the dropdown menu if a founding law or charter would typically need to
be cited to clarify your organization's status as a Federa l, regional ,
State, or local governmental entity. Examples of these organ izations
might include economic development entities, airport s , hospitals, and
enterprises established by legisl ative action .
Item 4 b. Some youth and char itable organizations are specifically listed
as eligible in the l aw and can be selected here. You may find a list of
these organization in 32 U .S.C. §508.
It em 5. This is the address for the organization requesting assistance ,
which may not be the same as the assistance l ocation.
Item 9. Add as many locations as needed . Continue in item 51 if more
locations are needed
You may omit the street address for locations that do not have a
st reet address.
-GPS coordinates may be found at: http://www.gps-coord inates .net:
Please specify GPS coordinates in decimal degree format).
-US Congressional Districts may be found at
http ://www.house.gov/representatives/find/.•
Item 10. The requesting organization must have clear title to the real
estate or real property where the assistance will take place or provide
ownership documentation along with permission to use the real estate
or real property.
Item 11 . The requesting organization must demonstrate legal access
for the military to provide the assistance requested in this appl ication .
Item 12. Support and services requested in this application are
incidental to mi litary tra ining . T he incidental benefits, outside of military
training , should accrue to eligible organizations and activities outside
the DOD . IRT projects , therefore , generally do not take place on a Stale
or Federal military installation or on property oper ated , leased , owned
or occupied by military entities. If you check "Yes" in block 12, please
provide evidence that 1) the tangible benefit of the requested
assistance clearly accrues to eligible orga n izations and activities
outside the DOD and 2) the assistance strengthens civ il-mil itary
relations .
Item 13. The amount of time military members will be at the project site
may be estimated in hours , days, weeks , months, or years . This form
should not be used for requests that require Jess than 100 hours of
military assistance .
Item 16. Ma terials and funding that will be matched with the military
assistance should be listed here. Examples include your organization's
internal budget . private donations . gr ants, and Federal or State
appropriations .
Item 17a. Some facilities might be required to host the ass istance , such
as a location to host a medical or dental clinic , a pier or barge to
support diving operations, or a loading dock to facilitate transporting
items. Other facilities such as schools . community centers , or places of
worship might be needed and available to support military personnel
i ncluding lodging , shower facilities , dining facilities, and fitness facilities .
Item 21. Projects should be coordinated wi th civilian officials to ensure
that the assistance meets a valid need and does not dupl icate other
available public services.
Item 22. To the maximum extent practicable , assistance is provided in
conjunction with , rather than separate from , civi lian efforts .
Item 24 . One measure of economic d istress is defined in 13 CFR
§301 .3(a)(1). You can find data for your community at
http://www.statsamerica .org /.* Other special needs include substantial
out-migration or population loss , underempl oyment, mi litary base
closure or realignment , defense contractor reductions-in-force ,
Department of Energy defense-related funding reductions , natural or
other major disasters or emergencies, extraordinary depletion of natural
resources , closing or restructuring of an industrial fi r m or Joss of other
major employer, or negative effects of changing trade patterns .
Item 26. The civilian health organiza tion supervisor is t he medical
professional responsible for ensuring all participating local , regional ,
State , and Federa l entities con form to all applicable local , State, and
Federal laws that r egulate healthcare delivery within the State or
territory. This supervisor will verify and document responsible
individuals to : 1) handle and dispose of medical waste ; 2) comp ly with
the Clinical Laboratory Improvement Act (CLIA); 3) provide
credential ing or privileges for military health ca r e providers to include
basic life support, and if applicable, advance trauma/cardiac
requirements (strictest requirement app lies); 4 ) develop an in itial
emergency evacuation plan for inci dents ; 5) develop a follow-up care
plan for patie nt contin uity of care ; an d 6) plan for handling patients '
records for continuity of care and Privacy Act issues.
Item 29. Military medical professionals are not necessar ily pr acticing in
the state where the partner ship takes place . The requesting
organization must facilitate the credentialing and privi leging process.
For an overview of credential ing and privileging , see :
http ://www.joi nlcommission.org/assels/1/6/A HC who what when and
whe re cre dentialing book let.pdf.*
Sec tion V III. This informa tion is requ ired to evaluate the request for
military training value and to determine eligibility for assistance .
Section IX. Constructi on , aerial spray, divi ng , and sometimes other
types of projects must comply with the National Environmental Pol icy
Act (NEPA). Organizations and entities r equesting mil itary assistance
serve as the lead agency and must document NEPA compliance. For
more information , contact your local environmen tal permitting entity and
review the NEPA review process at: http://www2.epa .gov/nepa /
national -environmental-policy-act-re view-process .•
Section X. This information is required to determine the legal eligibility
of a non-profit organization for assistance. These documents are
required for all non -profits not listed in the drop-down menu in item 4b.
Organizations in 32 USC §508 do not need to submit these documents .
Ite m 35. IRS letters should be date d wi thi n 10 yea rs of the date on this
appli ca tion . If you have an older letter, please request an affirmation
letter from the IRS at: http ://www.irs .gov/Charit ies-&-Non-
Pr ofits/.*
Sectio n XI. You only need to provide this information if you selected
"Other Federal , regional , State , or local government" for item 4a . See
instructions for item 4a for further explanation .
Section XIII. T his in formation is required to ensure the assistance does
not compete with the private sector. The potential assistance must be
advertised on two separate dates in a public forum such as a
newspaper . radio , community bulletin , or town hall meeting . The
advertisements or the forum minutes must be attached to this
appl ication al ong with their invoices (if applicable). An affidavit shall
document that the public notices were made . The public notices should
not contain re ferences to fundi ng availabil ity, though follow-on
conversations to adjudicate public interest may include funding
availability. A sample publi c notice is posted on the IRT public website .
Ite m 43. Additional advertisements to document non-competition may
be requir ed by Federal . State , or local law for cons truction projects .
Item 44. Please describe the nature of any inquiries related to
competition with commercial entities and how any concerns were
resolved .
Item 49h . Signature is enabled when the application is complete . We
encourage using electronic transactions and electronic signatures in
accordance with title XVII of Public Law 105-277, commonly known as
the "Government Paperwork Elimination Act," and Public Law 106-229,
commonly known as the "Electroni c Signa tures in Global and Nationa l
Commerce Act".
Subm it button. This button sends an email to request space on the
IRT collaboration platform where this document can be posted in order
to find a vo l unteer mi litary unit. Collaboration workspaces are built by
October 15th for applications received by the September 30th deadline.
DEPARTMENT OF DEFENSE INNOVATIVE READINESS TRAINI N G
PROGRAM CONTACT INFORMATION
Website : http ://irt.defense.gov
Email : OSD.IRT@mail .mi l
Mailing address: OASD/M&RA(R I),
Attention: Innovative Readiness Training Program
1500 Defense Pentagon , Room 2E565
Washington DC 2030 1-1500
*Hyperlinks do not constitute DOD endorsement of the we b sites or the information , products, or services contained therein.
Tem porary IRT Form (PAG E 5), JUN 2 017 Acrobat Professional XI
152
KENAI HARBOR COMMISSION MEETING
SEPTEMBER 11, 2017 – 6:00 P.M.
CITY HALL COUNCIL CHAMBERS
VICE-CHAIR NEAL DUPERRON, PRESIDING
MEETING SUMMARY
1. CALL TO ORDER & ROLL CALL
Commission Chair Hutchison called the meeting to order at 6:00 p.m. Roll was confirmed as
follows:
Commissioners present: C. Hutchison, N. DuPerron, J. Desimone, B. Peters, M.
Dunn, C. Crandall
Commissioners Absent: G. Greenberg
Staff/Council Liaison present: City Manager P. Ostrander, Council Member G. Pettey
A quorum was present.
2. AGENDA APPROVAL
MOTION:
Commissioner DuPerron MOVED to approve the agenda with the next meeting date of October
9, 2017; Commissioner Crandall SECONDED the motion. There were no objections; SO
ORDERED.
3. APPROVAL OF MEETING SUMMARY
a. August 7, 2017
MOTION:
Commissioner DuPerron MOVED to approve the meeting summary of August 7, 2017 and
Commissioner Crandall SECONDED the motion. There were no objections; SO ORDERED.
4. PERSONS SCHEDULED TO BE HEARD – None.
5. UNFINISHED BUSINESS
a. Discussion – Defining Roles & Responsibilities
Work was ongoing in contacting other Harbormasters and the Glazer’s. It was noted that a
definition of Kenai City Harbor and a map of the Harbor would be helpful.
It was decided to continue trying to contact Homer and Seward Harbors and report back next
meeting. The City Manager noted that the City can provide a map of the Harbor for the
Commission.
153
Harbor Commission Meeting
September 11, 2017
Page 2
b. Discussion – “No Wake” Signage for the Mouth of the Kenai River
Discussion of “No Wake” signs at the mouth of the Kenai River included placement, number of
signs, distance of “No Wake” zone, erosion, enforcement, and justification.
MOTION:
Commissioner DuPerron MOVED that administration come back next month, with more
information on creating a “No W ake” zone from the mouth of the Kenai River to the dock, including
the number of signs, justification, effectiveness, cost, enforcement and placement;
Commissioner Crandall SECONDED the motion. There were no objections; SO ORDERED.
6. NEW BUSINESS
a. Discussion – Commissioners wanting Paper Packets
Commissioners noted they would all like paper packets.
7. REPORTS
a. Public Works Director – The Public Works Director was absent. City Manager
Ostrander noted that the public comment period for the Bluff Erosion Project had
closed and provided an update on future milestone dates.
b. Commission Chair – Chair C. Hutchison noted that she appreciated the
information on the Bluff Erosion Project and is looking forward to seeing a map of
the Harbor.
c. City Council Liaison – G. Pettey noted that it is good to have projected
milestones for the Bluff Erosion Project.
8. NEXT MEETING ATTENDANCE NOTIFICATION – October 9, 2017
9. COMMISSIONER COMMENTS/QUESTIONS
Commissioner Dunn asked about Tideland Leases. The City Manager said the City will provide
a list of Tideland leases and relevant Upland leases to the Commission.
Commissioner Peters welcomed Commissioner Crandall and noted the Commission exists to
serve the City.
Commissioner Crandall asked about private property on the river.
Commissioner DuPerron welcomed Commissioner Crandall.
Chair Hutchison welcomed Commissioners Crandall and Dunn.
154
Harbor Commission Meeting
September 11, 2017
Page 3
10. PERSONS NOT SCHEDULED TO BE HEARD
Council Member Glendening suggested looking at previous Harbor Commission Packets to help
define responsibilities of the Harbor Commission.
11. INFORMATION – None.
12. ADJOURNMENT
There being no further business before the Commission, the meeting was adjourned at 7:07 p.m.
Meeting summary prepared and submitted by:
_____________________________________
Tawni Eubank, Administrative Assistant
155
KENAI PARKS & RECREATION COMMISSION
SEPTEMBER 7, 2017
CITY HALL COUNCIL CHAMBERS
7:00 P.M.
MEETING SUMMARY
1. CALL TO ORDER & ROLL CALL
The meeting was called to order at 7:10 p.m. Roll was confirmed as follows:
Commissioners present: T. Wisniewski, N. Widmayer, J. Joanis
Commissioners absent: C. Stephens, J. Hudson, J. Halstead
Staff/Council Liaison present: Parks & Rec Director B. Frates, Council Liaison Jim Glendening
No quorum was present.
2. AGENDA APPROVAL
3. APPROVAL OF MEETING SUMMARY
a. May 4, 2017
b. July 11, 2017
4. PERSONS SCHEDULED TO BE HEARD – None.
5. PERSONS PRESENT NOT SCHEDULED – None.
6. UNFINISHED BUSINESS – None.
7. NEW BUSINESS
a. Discussion – Health & Fitness Extravaganza
8. REPORTS
a. Parks and Recreation Director
b. Commission Chair
c. City Council Liaison
9. NEXT MEETING ATTENDANCE NOTIFICATION – October 5, 2017
10. COMMISSION QUESTIONS & COMMENTS – None.
11. PERSONS PRESENT NOT SCHEDULED TO BE HEARD – None.
12. INFORMATION – None.
13. ADJOURNMENT
156
Parks and Recreation Commission Meeting
September 7, 2017
Page 2
Meeting summary prepared and submitted by:
_____________________________________
Tawni Eubank
Administrative Assistant
157
CITY OF KENAI
PLANNING & ZONING COMMISSION
CITY COUNCIL CHAMBERS
SEPTEMBER 13, 2017- 7:00 P.M.
COMMISSION CHAIR TWAIT, PRESIDING
MINUTES
1. CALL TO ORDER:
Commission Chair Twait called the meeting to order at 7:00 p.m.
a. Pledge of Allegiance
Commission Chair Twait led those assembled in the Pledge of Allegiance.
b. Roll Call
Commissioners present: D. Fikes, J. Twait, V. Askin, J. Halstead, G. Greenberg, K.
Peterson, B. Springer
Staff/Council Liaison present: City Planner M. Kelley, City Clerk J. Heinz, and Council Liaison J.
Glendening
A quorum was present.
c. Agenda Approval
MOTION:
Commissioner Halstead MOVED to approve the agenda and Commissioner Peterson
SECONDED the motion. There were no objections; SO ORDERED.
d. Consent Agenda
MOTION:
Commissioner Peterson MOVED to approve the consent agenda; Commissioner Askin
SECONDED the motion. There were no objections; SO ORDERED.
*All items listed with an asterisk (*) are considered to be routine and non-controversial by the
Commission and will be approved by one motion. There will be no separate discussion of
these items unless a Commission Member so requests, in which case the item will be removed
from the Consent Agenda and considered in its normal sequence on the agenda as part of
the General Orders.
e. *Excused Absences – None.
158
Planning and Zoning Commission Meeting
September 13, 2017
Page 2
2. *APPROVAL OF MINUTES:
a. *August 23, 2017
Minutes were approved by the consent agenda.
3. SCHEDULED PUBLIC COMMENT: (10 Minutes) None scheduled.
4. PERSONS PRESENT NOT SCHEDULED: (3 Minutes) None.
5. CONSIDERATION OF PLATS:
a. PZ17-29 - Original Preliminary Plat of Aleyeska Subdivision 2017 Replat, submitted by
Integrity Surveys, 820 Set Net Dr., Kenai, AK 99611, on behalf of John C. Schweiger
Loving Trust, 220 Ashland Street, Ashland, OR 97520
City Planner Kelley reviewed his staff report provided in the packet noting the plat vacated a
property line which bisected a building making it a non-conforming use which resolved by the
vacation. He recommended approval with the following conditions:
• Further development of the property shall conform to all Federal, State, and local
regulations;
• Prior to issuance of a Building Permit, the property owner must vacate the utility
easement located beneath the theater building and submit an application with Homer
Electric Association, Inc., to re-route the electrical cable;
• The typographical errors within the title block should be corrected prior to recordation
of the plat.
MOTION:
Commissioner Askin MOVED to approve Resolution No. PZ17-29 and Commissioner Halstead
SECONDED the motion.
Commission Chair Twait opened the public hearing; there being no one wishing to be heard,
public comment was closed.
It was clarified that the property owner also owned the adjacent parcel and it was not believed
that future planned work would require any additional re-platting.
VOTE:
YEA: Fikes, Greenberg, Askin, Twait, Halstead, Peterson, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
6. PUBLIC HEARINGS: None.
7. UNFINISHED BUSINESS: None.
159
Planning and Zoning Commission Meeting
September 13, 2017
Page 3
8. NEW BUSINESS:
a. Discussion/Recommendation – Consent to Assignment of Lease of Airport Lands or
Facilities between Kenai Aviation Leasing Company, LLC., and Schilling Rentals, LLC.,
on the real property described as Lot 2, Block 2, and Lot 2, Block 4, General Aviation
Apron No. 1, according to Amended Plat No. 2004-20
City Planner Kelley noted Schilling Rentals, LLC would be assuming the leases from Kenai
Aviation Leasing Company, LLC.
MOTION:
Commissioner Peterson MOVED to recommend approval of the consent to Assignment of Lease
of Airport Lands between Kenai Aviation Leasing Company, LLC, and Schilling Rentals, LLC, on
the real property described as Lot 2, Block 2, and Lot 2, Block 4, General Aviation Apron No. 1,
according to Amended Plat No. 2004-20 and Commissioner Fikes SECONDED the motion.
It was clarified that the 55-year lease expired in 2031 and was being assumed by Schilling
Rentals.
VOTE:
YEA: Fikes, Greenberg, Askin, Twait, Halstead, Peterson, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
b. Discussion/Recommendation – Consent to Second Amendment of Lease of Certain
Airport Lands within the Airport Reserve between the City of Kenai, Lessor and SOAR
International Ministries, Inc., Lessee, on real property described as Lot 2, Block 3 General
Aviation Apron No. 1, according to Amended Plat No. 2004-20.
City Planner Kelley noted the terms had been renegotiated since the previous approval in August
and due to there being no reinvestment into the property, could only be renewed for five years.
The new term negotiated was to renew for one year with the option for four additional years with
the thought that the new policies and code would be implemented and would allow for different
negotiating terms.
MOTION:
Commissioner Fikes MOVED to recommend approval of Consent to Second Amendment of
Lease of Certain Airport Lands within the Airport Reserve between the City of Kenai, Lessor and
SOAR International Ministries, Inc., Lessee, on real property described as Lot 2, Block 3 General
Aviation Apron No. 1, according to Amended Plat No. 2004-20 and Commissioner Askin
SECONDED the motion.
It was clarified that the President of SOAR felt it was more advantageous TO enter into the one-
year extension with the opportunity for an additional four years due to its lease rate and the
upcoming leasing changes.
160
Planning and Zoning Commission Meeting
September 13, 2017
Page 4
VOTE:
YEA: Fikes, Greenberg, Askin, Twait, Halstead, Peterson, Springer
NAY:
MOTION PASSED UNANIMOUSLY.
9. PENDING ITEMS: None.
10. REPORTS:
a. City Council – Council Member Glendening reviewed the Action Agenda for the
September 6 City Council meeting which was provided in the packet.
b. Borough Planning – Kenai Peninsula Borough Planning Commissioner Fikes reviewed
actions from the Borough Planning Commission meeting of September 11 noting three
plats had been approved and one time extension request had been approved.
c. Administration – City Planner M. Kelley reported on the following:
• Provided American Planning Association Conference information
and reminded of the deadline for registering.
11. PERSONS PRESENT NOT SCHEDULED: None.
12. INFORMATIONAL ITEMS: None.
13. NEXT MEETING ATTENDANCE NOTIFICATION: September 27, 2017
14. COMMISSION COMMENTS & QUESTIONS:
Commissioner Peterson congratulated Heinz on her promotion and thanked Commissioner Fikes
and Councilor Glendening for their reports.
15. ADJOURNMENT:
There being no further business before the Commission, the meeting was adjourned at 7:36 p.m.
Minutes prepared and submitted by:
_____________________________
Jamie Heinz, CMC
City Clerk
161
KENAI BEAUTIFICATION COMMITTEE
SEPTEMBER 12, 2017 – 7:00 P.M.
CITY HALL COUNCIL CHAMBERS
CHAIR LISA GABRIEL, PRESIDING
MEETING SUMMARY
1. CALL TO ORDER & ROLL CALL
Chair Gabriel called the meeting to order at 7:00 p.m. Roll was confirmed as follows:
Members present: Chair L. Gabriel, T. Canady, S. Peterson,
Members absent: R. Sierer, B. Madrid
Staff/Council Liaison present: Parks and Recreation Director B. Frates, Council Liaison B. Molloy.
No quorum was present.
2. AGENDA APPROVAL
3. APPROVAL OF MEETING SUMMARIES
a. May 9, 2017
b. July 11, 2017
c. August 8, 2017
4. PERSONS SCHEDULED TO BE HEARD – None.
5. UNFINISHED BUSINESS – None.
6. NEW BUSINESS
a. Discussion – 2018 Fall Festival
7. REPORTS
a. Parks & Recreation Director
b. Committee Chair
c. City Council Liaison
8. NEXT MEETING ATTENDANCE NOTIFICATION – October 10, 2017
9. COMMITTEE MEMBER QUESTIONS AND COMMENTS
10. PERSONS PRESENT NOT SCHEDULED TO BE HEARD – None.
11. INFORMATION – None.
12. ADJOURNMENT
162
Beautification Committee Meeting
September 12, 2017
Page 2
There being no further business before the Committee, the meeting was adjourned at 8:00 p.m.
Meeting summary prepared and submitted by:
_____________________________________
Tawni Eubank, Administrative Assistant
163
'Viti~ «J/t~ fl PaJ'~ e-c, «Jt't~ fl Fat~ II
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager \7. 0 ·
Terry Eubank, Finance Director '!/.
September 13, 2017
Finance Department, September 2017 Mid-month Report
The department has been busy closing the books on FY2017 and preparing for the annual audit
scheduled for the week of October 2nct. Financial statements are being drafted with anticipation
of issuing late in November followed by an auditor presentation to Council in early December.
The transition to online credit card payment processing for City Departments is complete. Online
payment processing has eliminated the need for specialized hardware and creat ed efficien c ies in
daily accounting processes.
IT is nearing completion of a project to expand the City's wireless data network wh ich connects
City facilities together. Much of this connectivity is currently provided us i ng a purchased service
but will be replaced with City managed hardware at significant savings and expanded bandwidth .
Facilities impacted include the new City Shop, Parks & Recreation, the Airport Term i nal , Airport
Operations , Animal Control, the Senior Center and Vintage Pointe. This project has also provided
the ability to add new cameras and other services requiring connectivity to the City's network.
IT is also working to standardize all City computer's on Microsoft Office 2016. This project has
required the setup and deployment of a new E xchange email server. The proj ect is expected to
be completed by September 30th .
As a board member of the Alaska Munic ipal League Investment Pool, an investm ent poo l with
more than $600 ,000,000 of local Ala s ka money invested, I will be trav eli ng to Clevela nd th e 25th
through the 271h of this month for a compliance c heck on the po o ls in v estment managers and
custody agents.
164
'l!tfl~ ttJ/t~ a Po.J't, tt'tj ttlt't~ a ratw<-e II
210 FidalgoAve, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager t},o-
Matt Kelley, City Planner fiil
September 13, 2017
Planning Division -September Mid-Month Report
Planning and Zoning Resolutions Approved: August 9, 2017 -September 13. 2017
PZ17-25 -Application for a Conditional Use Permit to redevelop the existing boat launch located at Eagle
Rock to be more user friendly and protect vulnerable natural features . Redevelopment is proposed to
include: Resurfacing and reconstruction of the Entrance Road ; Installation of new Traffic Flow Devices ;
Construction of a Camp Host Site, Replacement of the Existing Boat Ramp and Installation of New Elevated
Walkways; Development also Includes Installation of Bank Erosion Control Measures and User
Interpretative Features . The project is located at 4306 Eagle Rock Drive (KPB Parcel Number 049-060-
88), and further described as Tract A , Poore Subdivision . The application was submitted by State of Alaska ,
Department of Natural Resources , Division of Parks & Outdoor Recreation , 550 W . 7th Ave., Suite 650,
Anchorage , Alaska 99501.
PZ17-26 - A Resolution of the Planning and Zoning Commission Recommending Ordinance No. 2977-
2017 to the Council of the City of Kenai , Amending Kenai Municipal Code Sections 14.20.151 -Application
for Conditional Use Permit for Surface Extraction of Natural Resources , 14.20.152 -Review of Application,
14.20.153 -Public Hearing, 14.20.154 -Issuance of Permit , 14.20.155 -Operation, 14 .20 .156 -Yearly
Review , 14.20 .157 -Termination , 14 .20 .158 -Amendment or Transfer, to Allow the City Planner to
Determine Application Completeness and Making Other Housekeeping Changes .
PZ17-28 -Orig inal Preliminary Plat of Cook Inlet Shores 2017 Addition and Section Line Easement
Vacation , submitted by Integrity Surveys , 820 Set Net Dr ., Kenai , AK 99611 , on behalf of Steve Perrizo,
2290 Royal Street , Kenai, Alaska 99611 and Salamatof Native Association , Inc ., P.O. Box 2682, Kenai , AK
99611.
Building Permits Issued : August 7. 2017 -September 13 , 2017
Permit# Date Is sued Owner Address Improvement Valuation Residential I
Commercial
B5337 8/7/2017 Dwight & 1635 Pebble 1,632 Sq . Ft. $227 ,376 Residential
Marlyn Beach Ct. SFD w/ 922
Kramer Sq. Ft. Gar.
165
Page 2 of 2
Planning Division September Mid-Month Report
B5338 8/7/2 017 Kathryn 1030 Angler Replace $25 ,000 Resident ial
Staskon Dr. Exp ired
Perm it 3455 -
Det. Gar
B5 339 8/8/2017 Stephen 2750 Garage $14,428 Residential
Larby Watergate Addition
Way.
B5200 8 /9/2017 Grant 810 Auk 1344 Sq . Ft. Residential
McClure Street SFD w/ 484
Sq.Ft.
Garaqe
B5341 8/14/2017 Teres a 409 Replace Residential
Werner McColl um damaged
Dr. water line
from keybox
to hou se
B5 342 8/14/2017 Jeffry S. 206 Storage Residential
Kohler Susieana Building
Lane
B5343 9/1 /2017 Kenai Mini 514 New Storage $8,000 Resi dential
Storage, VanAntw erp Building
Inc. Av e .
B5 323 5/30 /2017 Craig & 1401 528 Sq . Ft. $100 ,000 Commercial
Joan Young Barabara Guest Cottage
Dr.
B5344 9/1/2017 John & 207 N . 1156 Sq . Ft. $219 ,000 Residential
Marie Forest Dr . SFD w/ 2100
Parker Sq . Ft. qaraqe
Code Enforc ement Activities
Planning & Zoning currentl y has 8 active code cases :
Junk V ehicl es 7
Debris & Junk 0
GarbaQe 1
Buildinq Code Violati on 0
Miscellaneou s Code V iolation 0
Cases tran sferred to Legal Department/Ci vil 0
Penaltie s beinq assess ed .
TOTALS: 8
Code Enforcement A ction during the mon ths of Au gust/Septe mber 2017:
I Closed Cases
Opened Cases I ~ I
166
MEMORANDUM
'Vttl~ «1/tli a Pair~ e~ «1/tli a Fatfl.l"e JJ
210 Fidalgo Ave, Ke n ai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax : (907) 283-3014
www. kenai. city
TO:
THROUGH:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager
FROM:
DATE:
SUBJECT:
Rachael S. Craig, Senior Center Director
September 13, 2017
August Monthly Report
August 2017 NTS Choice
Home Meals
60+ Service Area 47 753 13 538
Clients Meals clients Meals
60+ Outs ide Service 1 35 1 35
Area Clients Meals client Meals
Under 60+ Service 4 207
Area Clients Meals
Under 60+ Outside 2 61
Service Area Clients Meals
Subtotals 48 788 20 841
Clients meals Clients Meals
Total NTS and Choice Waiver Meals
Clients: 68 1,629
The current Choice Waiver meal rate is $21.15 for a congregate meal and $21.47 for a home meal
a client must be nursing home eligible and meet Medicaid income guidelines and approved by the state
for a care plan . The Nutrition, Transportation and Services Grant allows for seniors to make a suggested
donation of $7.00, plus $.70 per meal USDA Grant .
Volunteers donated 1,041.07 hours of their time during the month of August. Volunteers served
in various ways; i.e . driver, receptionist, instructor, pie bakers , dining room voluntee r, Meals driver,
musical entertainment, blood pressure checks, and social security greeter.
There were quite a few special events this month. 15 seniors attended the "S'more Dancing"
event. There was a dance inside and seniors cooked marshmallows for s'mores outside . Five seniors
were present. The annual "Old Timer's Luncheon was held with the Navarre Family hosting and 161
seniors were present . Volunteer, Steve Latz drove for the Mystery Ride to the Department of
Transportation and visited the Buffalo farm. 10 seniors attended the Ninilchik Fair .
167
'Vrff~e «1/th a Pa<f~ Ct~ «1/th a Fat~ 11
210 Fidalgo Ave, Kenai, Alaska 99611 -7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kenai.city
MEMORANDUM
TO:
THROUGH:
FROM:
DATE:
SUBJECT:
Mayor Brian Gabriel and Kenai City Council
Paul Ostrander, City Manager f?.' o .
Sean Wedemeyer, Public Works Directo r/Capital Projects Manager 5/1. t.J
September, 2017
Mid-Month Report; Public Works I Capital Projects
• Recruitments -Streets Operator recruitment ongoing ..
• WWTP Improvements -Reque sted CH2MHill to provide proposal to take the energy efficiency elements
of the 2014 65% design documents to 100%.
• New Reservoir -Closed out.
• Recoat Existing Reservoir -Construction in progress. Reservoir is being filled.
• Publi c Safety Building Improvements -Construction in progress. Substantial completion on /before 9/29.
• Fencing Rehab with Access Control -Amendment to WCB executed . Design in progress .
• Small Taxiways and Aircraft Tiedown Rehabilitation -Construction in progress.
• Terminal Building Rehab Conceptual Plan and Design -Contract execution in progress .
• 2016 Improved Airport Dra inage -Closeout in process.
• Kenai Airport Airfield Marking and Signage 2016 -Ordinance for increase in design and construction.
• Dock repair -Design in progress. Subsequently administration to determ ine scope of work and funding.
• Inlet Woods Storm Drains -Closeout in progress .
• Flig ht Service Station Phase 3 (Interior remodel)-Waiting on FAA to complete the i r project.
• Animal Control Kennel Painting -Construction in progress. Substantial completion on /before 10/4.
• Senior Center Dining Room Atrium Replacement and Roof Repair -Construction in progress .
Substantial completion on /before 10/12.
• Purchase Sander Trucks -Purchase in progress .
• Rec Center Improvements -Design in progress .
• Rec Center Management Agreement -Bid documents in development.
• USACE Bluff Erosion -See City Manager's report.
• DOT KSH Rehab (Widening to 5 lanes) Phase 1 Swires Rd . to Eagle Rock Dr. to Bid in November 2017 .
City of Kenai water main replacement crossing KSH at Shotgun /Beaver Loop des igned . Ord inance to
fund construction and design as part of DOT project in packet.
• DOT KSH Rehab (Widening to 5 lanes) Phase 2 Eagle Rock Dr. to Sports Lake -to Bid in 2018 .
• DOT KSH Rehab (Grind and pave) MP 12.25 to 18.52 -Possible bid /construction in 2018 .
• DOT Beaver Loop Road and Pedestrian Pathway Project-Possible construction in 2018 , likely 2019.
168
'VtffOfe tfl/t/e, a Pacf~ Ct'tj tfl/t/e, a Fatfif'e "
210 F idalgo Ave, Kenai, Alaska 99611-7794
Telephone : (907) 283-7535 I Fax : (907) 283-3014
www. kenai.city
Library Mid-Month Report August
I August Circulation Figures
Adult Fiction 1,548
Adult Non-Fiction 1,167
Young Adult Fiction 283
Periodicals 103
Juvenile Fiction 539
Juvenile Non-Fiction 331
Easy Fiction 1,089
Easy Non-Fiction 288
Interlibrary Loan 10
Books -Consortium 226
I Total Print 5,584
Total C irculation 8/17
Total C irculation 8/16
% change
• Library Door Count ...... .
AUGUST
Income
Fines $ 804.84
Xerox 307.50
Lost/Dama ged 147.98
Test Procto ring Fee 60.00
Printing 3 8 3.75
Other 0.00
Total income $1,704.07
9,409
9,912
-5%
9,242
Internet Acces s 1,068
iPad use 235
Video 0
Room Booking 164
Music 51
DVDs 2,261
Audio books 138
Miscellaneous 190
Computer Programs
Media -Consortium 78
Total Non-Print 3,825
Downloadable Audio 648
Downloadable EBooks 529
In-House circulation 246
% change e-circ over FY16 +7%
Library Cards Issued August
Anchor Point I
ILL 1
Kenai 30
Niki ski 9
Non-R eside nt 3
Other Penin sul a 2
Soldotna 8
Total 54
169
Page 2 of 2
Library Mid-Month Report
DProgramsD
In August we had 2 vo lunteers who put in about 12 h ours . There were 23 chi ldren 's programs
with 492 total in attendance, and 20 ad ult and family programs with 297 attendees. The summer
reading finale in the park h ad 151 attendees! In August we ordered 7 interlibrar y loan items not
available through the consortium and received 10 items, we returned 1 1 items and loaned 16
items to other libraries who are out of state or not in th e consortium .
18000
16000
14000
12000
10000
8000
6000
4000
2000
0
E-Circulation
FY2010 FY201 1 FY2012 FY2013 FY2014 FY2015 FY2016 FY2017
In FY 2014 and FY2015
we sub scribed to a music
downloading system called
Freegal. We discon ti nued
that subscription.
170
PARKS & RECREATION MID-MONTH REPORT
September 2017
Most of the department's temporary workforce ended at the end of August. Some of the
focus to date has been keeping turf areas maintained and performance of routine tasks .
Some fall preparation such as picking up irrigation hoses and sprinklers , trash
receptacles, removal of ballfield bases, cleaning and organizing crew building , etc. have
been completed.
Below is a list of maintenance activities and functions the department completed and/or
is in progress:
• Preparation for the City's upcoming auction .
• Performed site preparation at the Visitors Center lawn space for the
Historical Society to place a new outside display.
• Removed wooden skiff from Visitors Center lawn and relocated large boat
anchor.
• Collaboration with other departments and organizations for upcoming Fall
Pumpkin Festival. This event is planned for October 14th, 1 :00 PM to 3:00
PM.
• Reviewed applications for FT Operator's position (39 applications
received) and arranged for interviews .
• The Brown Bears will be holding a couple exhibition games at the MPF on
Sept. 15th and 15th .
• Repaired a couple broken benches at LH Memorial Park.
• Performed brush clearing and trimming surrounding various lift stations
throughout town .
• Preparation for the annual Kenai River Marathon , including meetings ,
organization and gathering of supplies and materials .
• Responded to several damaged trees and street banners caused by
recent w inds. Damaged trees ranged from whole trees blown over to
broken branches.
• Preparation for the area-wide Industry Appreciation Day activity at the
Softball Greenstrip. Work included turf ma i ntenance, painting of picnic
tables , delivery of BBQ grill , facility cleaning and assisting with set-up .
This event was staffed throughout the event on Saturday , August 25th.
• Fall fertilized the Kenai Sports Complex turf fields .
171
''ll/ff°#'e «1/t/z, a PaJ'~ Ct'tj «1/t/z, a ratfd'e "
210 Fidalgo Ave, Kenai , Alaska 99611-7794
Telephone: (907) 283-75351 Fax: (907) 283-3014
www.kenai.city
September 2017 -Airport Managers Report
2010 Master Plan -Awaiting final FAA review and approval of the Airport Layout Plan,
which is the final document to the Master Plan .
2016 Small Taxiway & Aircraft Tie down Project -The project has attained substantial
completion; apron floodlights should arrive in the next week for installation.
2016 Fen cing Rehabilitation -The project will continue for the automatic gates and the
access control system.
2016 Improved Airport Drainage -Project is complete and the closeout process has
started.
2016 Airfield Marking, Signage, & Crack sealing -Project is complete and the closeout
process has started.
2017 Terminal Rehabilitation Project -Design Grant -The City received the FAA grant
offer on September 7 , 2017. The design process is expected to be completed in the
spring of 2018.
2017 Snow Removal Equipment -The SRE equipment has been ordered and should be
delivered this winter season .
In-house:
Operations staff are busy preparing for the winter season. The Airport is recruiting for
temporary equipment operators and a 5-month seasonal position for the winter season.
September 11 -15, 2017 -The Airport Manager will be attending the NWAAAE conference
in Eugene, Oregon.
172
Page 2 of 2
September 2017
September 27, 2017 -Airport Manager and City Administration representatives will be
attending an FAA meeting in Anchorage for local sponsors to discuss the Airport Capital
Improvement Program , En viro nmental Po l icies and Procedures , and Best Practices.
October 1-4, 2017 -The Airport Manager will be attending the 281h Annual Western
Region Airport Property Managers (WRAPm) Conference in Denver, Colorado.
October 4, 2017 -The Kenai Fire Department and Airport staff will be holding the annual
Airport Emergency Control Plan (AECP) tabletop exercise from 2:00pm to 5:00pm at the
Kenai Libra ry . All holders of the AECP should plan on attending. This is an FAA 139
requirement.
October 11, 2017 -The annual preseason Snow and Ice Control Committee meeting will
be from 9:00am to 12:00noon in Council Chambers. All Airport staff and equipment
operators, airport users, tena nts, and contract snow plowers are urged to attend . Th is
meeting is a FAA 139 requirement and gives everyone an opportunity to review the snow
and ice control operations on the airport to ensure a safe operating environment.
Representatives from the Air Traffic Control Tower and the Automated Flight Service
Station will attend.
173
August Enplanement Report
Grant
2,619
24.29%
l\lluniclpal Airport
RAVN GRANT Total Change Month 2016 ALASKA AVIATION 2017 from 2016
Januarv 5,576 1,584 7,160 7,104 56
Februarv 5,097 1,518 6 ,615 6,481 134
March 5,480 1,726 7,206 6,798 408
April 5,216 1,677 6 ,893 6,144 749
Mav 5,499 1,605 7,104 7,296 -1 92
June 6 ,067 1,931 7,998 7,563 435
Julv 8 ,643 2 ,209 10,852 11,234 -382
Auqust 8 ,164 2,61 9 10,783 11 ,062 -279
September 8,019
October 7,679
November 7,096
December 7, 136
Totals 49.742 14,869 64 ,611 93 ,612 929
Terminal· Vehicle Parking Revenues
Au ust
FY17 $20,642 FY17 Total $236 ,886
FY18 $17 ,385 FY18 YTD $42,460
Vehicle Parking Revenues
27500
25000 ....-.
22500 ....-.
20000 I
17500 -----
15000 ,_ ----
125 00 -'• -- ---~ ---- --
10000 -
7500 -
5000
2500 ------~ 1--~
0
Jul Aug Sept Oct Nov Dec Jan Feb Mar Apr May Jun
August 2017
10,783
RAVN
8,164
75.71 %
KENAI
AVIAT ION
13
17
22
4 7
26
36
15
176
• FY17
• FY18
Combined
Month
Tota l
7,173
6 ,632
7,228
6 ,940
7,130
8,034
10,867
54,004
174
Municipal Airport
FLOAT PLANE BASIN ACTIVITY
2013-2017
-----------------------------------------· OPERATIONS -----------------------------------------· Month 2017 2016 2015 2014 2013
MAY 23 44 57 30 33
JUNE 106 85 124 79 93
JULY 144 151 164 186 168
AUGUST 103 191 148 182 161
SEPTEMBER 115 71 72 139
OCTOBER CLSD 17 9 67
NOVEMBER CLSD CLSD CLSD 0
Total 376 586 581 558 661
0 n':!.r!P£_rt~ ____ . --------------------------------FUEL SALES -----------------------------------------·
Month
MAY
JUNE
JULY
AUGUST
SEPTEMBER
OCTOBER
Total
Slips Rented
Pri vate
Commerica l
2017
$784
$3,423
$3,420
$4,325
$11,952
2016
$1 ,175
$1 ,656
$3,036
$3 ,647
$3,830
CLSD
$13,344
4
0
2015 2014 2013
$8 $1 ,151 $622
$0 $2,752 $2,636
$1,873 $5,776 $3,517
$1,710 $3 ,116 $3,285
$1,380 $1,820 $1 ,740
$553 $384 $255
$5,524 $14,999 $12,055
Rev 5/2015
175
"tftfl~ UJ/t/i a PaJ'~ Ct~ UJ/t/i a Fat~ 11
21 0 F idalgoAve, Kenai , Alaska 99611-7794
Te lepho ne: (907) 283-7535 I Fax: (907) 283-3014
www. kenai. city
MEMORANDUM
TO :
FROM:
DATE:
SUBJECT:
2017
Paul Ostrander, City Manager
David Ross , Police Ch ief ~9-·
9/11 /2017
Police & Communications Department Activity -Month of August
Police handled 761 calls for service . Dispatch received 304 9-1-1 calls , 239 of which came
from cell phones . Officers made 60 arrests and w rote 329 reports. Traffic enforcement
resu lted in 132 warn ings, 15 citations for speeding , 12 citations for equipment violations , 4
citations for seatbelt vio lations , and 51 citations for "other."
There were 2 DU I arrests (0 felony ). Officers investigated 13 motor vehi cl e c rashs . There
were no collis ions involving moose , and there were 3 involving alcohol or drugs .
August tra ining included : One offi cer on the AST SERT team attended two days of trai ning, one
officer attended three days of Drug Recognition Expert (DRE) training in Maryland , one officer
spent two weeks at the DPS academy in Sitka as a Training , Adv ising , and Counseling Officer
(TAC).
Our School Resource Officer (SRO) returned to the schools in August, has handled a number
of school related calls and began teaching DARE at Mountain View Elementary School.
176
1V'/flate «1/t/e, a Pa.f~ Ot'tf «1/t/e, a f"a.tal"e"
210 Fidalgo Ave, Kenai, Alaska 99611-7794
Telephone: (907) 283-7535 I Fax: (907) 283-3014
www.kena i.city
MEMORANDU M
TO:
FROM:
DATE:
SUBJECT:
Chief Ross
JJ Hendrickson, Animal Control Chief
9/6/17
August 2017 Animal Control Monthly Report
This month the Kenai Animal Shelt er took in ~ animals . Animal intake and disposition :
DOGS :
INTAKE 46 DISPOSITION
Waiver 22 Adopted
Stray 21 Euthan ized
Impound 2 Claimed
Protective Custody 0 Field Release
Quarantine 0 Transferred to Rescue
Other Intakes · 1 Other Dispositions
CATS:
INTAKE 38 DISPOSITION
Waiver 24 Adopted
Stray 12 Euthanized
Impound 0 Claimed
Protective Custody 0 Fie ld Release
Quarantine 0 Transferred to Rescue
Other Intakes 2 Other Dispositions
OTHER ANIMALS:
INTAKE 2 DISPOSITION
Chicken 1 Chicken
Ferret 1 Ferret
Guinea Pig
DOA: 7 OTHER STATISTICS:
Dog 3 Licenses (City of Kena i Dog Lice nses )
Cat 4 Microchips (Dog )
46
23
2
16
0
5
0
31
15
0
3
0
13
0
4
1
1
2
4
1
177
Page 2 of 2
Citations
Animal dropped with After Hours (days we are closed but cleaning and with KPD)
Volunteer Hours Logged
Animals are known borough anima ls
Field Investigations & patrols
Stati stica l Data:
I 2015 YTD Int akes
2016 YTD Intakes
5 20 1 7 YTD Intakes
178
PURCHASE ORDERS BETWEEN $2,500.00 AND $15,000.00 FOR COUNCIL REVIEW
COUNCIL MEETING OF: SEPTEMBER 20, 2017
VENDOR DESCRIPTION DEPT.
KENAI CHAMBER OF COMMERCE 2018 MILEPOST AD LEGISLATIVE
IMAGE TREND FY18 MAINTENANCE SERVICE FEE FIRE
INTEGRITY JANITORIAL JULY-AUGUST SERVICES AT CITY HALL NON-DEPT.
PRECIOUS JANITORIAL JULY-AUGUST SERVICES AT LIBRARY LIBRARY
PRECIOUS JANITORIAL JULY-AUGUST SERVICES AT TERMINAL AIRPORT
PRECIOUS JANITORIAL JULY-AUGUST SERVICES AT POLICE POLICE
PRECIOUS JANITORIAL JULY-AUGUST SERVICES AT VISITOR CTR. VISITOR CENTER
ACCOUNT AMOUNT
ADVERTISING 3,500.00
PROFESSIONAL SERVICES 3,000.00
REPAIR & MAINTENANCE 2,778.00
REPAIR & MAINTENANCE 5,590.00
REPAIR & MAINTENANCE 8,990.00
REPAIR & MAINTENANCE 1,956.00
REPAIR & MAINTENANCE 1,856.00
179
SEPTEMBER 20, 2017
CITY COUNCIL MEETING
ADDITIONAL MATERIAL/REVISIONS
REQUESTED REVISIONS TO THE AGENDA/PACKET:
ACTION ITEM REQUESTED BY
Add to Item F.1. Resolution No. 2017-57
• Amendment Memo City Manager
Remove Item G.2. Purchase Orders Exceeding $15,000 City Clerk
Add to Item G.5. Assignment of Lease between Kenai Aviation
and Schilling Rentals
• Informational Memo City Manager
Add to Item G.6. Consent to Sublease between City of Kenai,
Schilling Rentals, and Hilcorp Alaska
• Informational Memo City Manager