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HomeMy WebLinkAbout1986-05-06 Council Packet - Special MeetingF COUNCIL PACKETS lq96 MAY a 44 Kenai City Council Special Meeting May 6, 1986 Finishing Budget Resolution Opposing Kenai Borough Ordinance 86-25 - Intent to Raise Sales Tax Resolution Opposing Kenai Borough Ordinance 86-40 - Attempt to Eliminate Sales Tax on Rentals CITY OF KEHAI Vd Cap dal o f 4"., 910 /IN= K11101, AL"KA 9XII .� T!L PNNIM-Ms NOTICE OF SPECIAL MEETING There will be a special meeting of the Kenai City Council on Tueedayp May 69 1966 at StOO PM in the Council Chembere. To be diecuoeeds 1. Finiohing Work on the Budget, FY 84-87 2. Reeolution Oppoeing Kenai Borough Ordinance 86-25 - Intent to Raise Seloo Tax 3, Reeolution Oppooing Kenai Borough Ordinance 86-40 - Attempt to Eliminate Soloa Tex on Rentalo The Public le invited to attend and participate. Sand ilhdinelt CMG City Clark OATEDt May 29 1986 - "I o COUNCIL MEETING OF sir.'. �- rfA,-Irjmmm WrAlgommomm MENEM Ommom mom ROD Ing ONO COUNCIL MEETING OF ommommmmomom mom m Moommmmommom MEN somommommommomom m mmommommmommmm mom ommmommommommommmo momommoommomommomm momma ommoommommom. p • ,Ike • . 1 ITT". iljA r TR if �Y M a 1 'Y f t 1 1 F C. Suggootod Gyt Adminiotration CITY nF KENAI RESOLUTION NO. 86-40 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA ENCOURAGING THE KENAI PENINSULA BOROUGH TO DEFEAT KENAI PENINSULA BOROUGH ORDINANCE 86-25 INCREASING THE BOROUGH'S SALES TAX RATE TO 3% AND EN OI�RAGING THEM% FIND OTHER AREAS TO RAISE THE 1 NEEDED MONIEk- OR THE SUPPORT OF THE KENAI PENINSULA BOROUGH SCHOOL DISTRICT. WHEREAS, the City of Kenai maintoino the colon tax already cousos many citizeno who earn their incomes on the Ponineula to dispooe of their income in Anchorage, and WHEREAS, the property taxpayera on the Peninaula, i.e. local bueinoenoo and homoownero, will auffor the conaequoncen of reduced opending by Ponineula citizeno, and therefore erode their ability to pay property taxon due to local citizeno purchasing outside the Kenai Ponineula, and WHEREAS, reduced rovenuea to local buoineonea on the Ponineula will be a negative for hiring additional omployoeo and create additional advorso economic impact upon an already Buffering local oconomy, and WHEREAS, local government and the citizeno on the Kenai Peninaula would beat be nerved by encouraginq local wage earners to upend their money locally. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that the Kenai Peninaula Borough Aoeemblymomboro ropr000nting the beat intoreeta of the citizeno of the Borough be oncouroged to roiao the needed revenue to oupport the additional canto of the ochoolo from other nourcos than incr000ing the colas tax from 2% to 3%. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA IN SPECIAL SCSSION, thin day of May, 1986. Tom Wagoner, Mayor ATTESTt J"aneEio nn �Tiy f. or 11 . L L MINE Suggontod byt Adminintiation i CITY OF KENAI RESOLUTION N0. 86-49 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA URGING THE MEMBERS OF THE KENAI PENINSULA BOROUGH ASSEMBLY TO WITHHOLD THE INTRODUCTION OF ORDINANCE 86-40 UNTIL SUCH TIME AS EACH OF THE MUNICIPALITIES IN THE KENAI PENINSULA BOROUGH HAVE AN OPPORTUNITY TO ANALYZE HOW MUCH REVENUES WILL BE DECREASED FOR SAID MUNICIPALITIES. WHEREAS, prop000d Kenai Peninoula Borough Ordinance 86-40 sliminatoo sales tax colleetiona from rentalo on the Kenai Peninsula Borough without any fiscal note aocertaining revenues loot, and therefore ie neither fiscally reaponaible nor fair to the municipolitioo involved, and WHEREAS, the federal government in attempting to reduce federal revenue shoring distributions to all municipalities on the Peninsula including the Borough along with oubatontisl reductiono from the State of Alaska that affect each of the municipalities including the Borough on the Kenai Peninoula, and WHEREAS, ui#u.tfall of revo?nt+oa must be picked up by some other source in order to maintain the pr000tiL levei of oervicoo now being provided, and WHEREAS, the Kenai Poninoula Borough being fully aware of the economic difficultiea being created and the harm being coueod to the Kenai Poninoula Borough bocauee of ohortfallo of income from other oourcoe ohould realize the impact under thin prop000d ordinance only amplifion municipal governmonto economic plight in these timoo of oevero economic difficulty, and WHEREAS, since the Borough Finance Department has not provided the information necosaory to indicate a shortfall that will be created by thin Ordinance to the Borough and/or the other municipalitioa throughout the Kenai Peninsula Borough the Ordinance is prematuro, and WHEREAS9 affected municipalitioo within the Borough should be solicited and consulted for appropriate comment prior to Introduction of the aforementioned Ordinance. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that Kenai Peninoula Borough Ordinance 86-40 be delayed until a full economic impact otatement can be prepared that indicotoo reduction of revenues to all municipalitioa in the Kenai Peninsulo Borough* R •3. {SASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA thin lath cloy of Mayo 1906. Tom Wagonor, Mayor ATTESTi JoneF Whelan, City Cle7r P l�. CITY OF KENAI "Od Cap" o f 4",. 210 ROAM UNAb ALMU 19611 . ab1iM� „�riw May 59 1986 Honorable Stan Thompoon Mayors Kenai Peninsula Borough Box 850 Soldotne, AK 99669 Deer Sten1 As you are aware, I have been oppooed to the construction of two new major high school complexes in the Central Peninsula area since before the vote woe taken in the fall of 1989. This letter, and the information contained herein, is my loot request to youl and by copy of this letter to the Borough Assembly# to re•aeeeee and perhaps delay the final decision on these projects until we have a better sondor9tanding or what the e,.anamy ens} growth factors in the Central Peninsula area will be in the next five years. A close review of student enrollment at Soldotne High and Kenai Central High will indicate that from September to the present times inoteod of having enrollment increases over the last years In facts student population in both high schools hoe declined. More specifically by 46 otudonto in Soldotne High and 44 in Kenai Central High. Additionally it should be noted that the School District rates each high school with the ospeeityy to house 800 students* in addition to the 800 students per structures Soldotne High School already line six portables in uses which equates to a minimum of another 150 student capacity. Given this factor, you no well so the public perhaps need to be made aware that the total enrollment between the two combined student bodies at Soldotne High School and Kenai Central High School is lees than 1600 students at this time. Pleeae don't let anyone imply to you that I have miaconotrued the facto for my benefit. These figures are taken from the Borough School District's own enrollment reports which are attached for your perusal. the reason I have elected to bring this request to You one last time is many -fold. First# no stated aboveg I do not feel at this time that the enrollments in the two high schools necessitate construction of two additional units. Secondly# as you well know# the Borough Assembly has out the Kenai Peninsula Borough Mayor Thompson 2 May S. 1986 owl School Dietrict budget by $1.87 Million thin year, and If re correct, they will have projoctione of State income dollars a th came the local Mill budget again next or to to out the school year# to me to Out levy to make up the difference, it makou no oenoo the school budget on one hand, and deprive clanoroOm inotructora and atudunto of nocenoory support dallove in order to open two high achool facilitioo whose operation and maintenance costa will nec000ltate additional cuto in other or000 of the Diatrict, budget if a largo influx of otudento fails to materialize- Thirdl 9 the Legiolature thie, year io not making the cute in the Thirdly, .4 Stato that ordinarily would be made in a non -election year. If the facto were knowng the budget cut thin year brood on projected revenueo for the next two yearet ae well 06 actual revenuon received thin year, should amount to nomoplace between $450 Million and $650 Million, not $200 Million. To oubotantiate this, one merely hoe to rand back loquee of the Anchorage Timoo and Anchorage Daily Nowap and aloe remember that loot Thursday when Standard Oil announcod that they wore decreasing the price of a barrel of oil by $1,50, this decrease alone amounted to "17 $225 Million, $25 Million more than docren000 made by the State Oil Logiolaturee if we were in trouble prior to the Standard price reduction, which amounto to a yearly loon 0f $225 Million to the State of Alaakog and the Legiolature hoo only trimmed $200 Million off the budget# we are in deep trouble next year, At the beginning of this logialotivO 0000iont the State projected that they Would have upnerdo of $1*9 Billion in State revenue accounto that were not allocated for any opocific purp000s rainy day account, oil company oettlementat otc. Since that time, the State Legiolaturo has appropriated $1.1 Billion of that amount of money to be depooited into the Pormanont Fund. That looveo $900 Million. Uf that $800 Million, the State Logiolaturc hoo appropriated approximately $600 Million to balance the FY 87 State operating budget. That will leave GPPV0xim6tclY $200 Million to be allocated from unbudgoted rooervea during next yearlo budgeted 0000ion. With theae facto in mind,and knowing that next year the ------- projected State operating budget will be at least no large 00 thin year - $2.1 Billion in State general fund -with only $1.75 Billion in revenue derived during FY 879 of which 25% must be dopouited In the Permanent Fund, one can aeon draw the concluoion that there will have to be a minimum of $700 Million out in State upending to balance next yearlo budget. I have received numorcuo phone calla, and have had convernationo with people from Homer to Sowardo and some PeOP18 from North Kenai have contacted me by phoneq coking me what they can do to help atop or delay the bonds from being used to build the to to theoe people approved projecto. I hove had no answer give than to contact their Individual Borough Anoemblymen and 7-1-- 0 other make a plea at that lOvOle b clooing I would like to emphoolze the following Pointe$ 0"09 27. 4 Mayor 'Thompson - 3 - May i. 1986 a delay of one year'e time would not necoeeorilyy coat tho llorough that much money. Two# please consider the people on the Kene19 that unlike you and 19 are living on a fixed incomo and are faced with a large increase in property tax. Threes the current programe in our aehoolo that will have to do without current support in order to pay the additional operation and maintenance of th000 two schools. A few month'e delay would allow ue to look at the fell 086 school enrollments and at that time we would have a better greop on the overall economy of the area. I realise it is hard once a decision of thin mognitudo has been reached to delay the decislong or to make rsdicnl chongeo in that decision. However# as we both know, reasonable people, for the most part] arrive at reasonable answers to complex probloms of the type facing uo at thin time. I only hope that we can find a reasonable solution to thio problom in the near future. Respectfully# Tom Wagoner Mayor TWIJW cct Borough Aooembly Memboro Peninsula Clarion A-4 riUmm" log mrHl�t APAL WAY. VAI 301 (WY) s*1321 NMM, AMSKA "IN LECi15I.ATIVE BUREAN r1 �; 64, 14-33 Pf , ACTION BP.QUESIED1 i i i i t i i l i l `e?,� `��.; ��n,�.t�� Contact your legislators, and specific legislators where indicated on the following leits `lmlt �;tk am. They Rust hear from Im how important these issues aH to municipalities. Rasnue Shari) (No goo - geratict ludEt), We will take necessary Cuts due to declining rewnws ut the cuts should be P! ro�orttionate logo no greater than the overall cut in the rY 67 budget. Might now (the Court has ruled the budget to be null and void...) the House figure of 863#699t00o (a 10% cut from rr 86) is greater than the Senate figure of 051,7130600 (a 11% cut). Contact House cogarrset� .s. bogoontaaa AdgU ,....— te.S tot. W An flat know the MY 2, Municipal Aloisi Base as "Revenue Bheringst. The House figure of 673,176,100 (a 10% cut) ie hyh6r than the Senate figure of 871,706,600 (a 12% cut). The best We Can 40 Is get the higher of the two riguns in free conference. SLiO Youndationt Again, the House figure of 0461,555,suu is t.i;�.cr •%on the Santis number of 0417,5$5,300. tiuni,Sipai Insurance PaelARK Ifte 5001 This bill passed the ttowe on a vote of 39.10 Without any Major In the R.ese�ects cheeps. and has Men identified ss priority legislation by the !louse. Pros 0 4 however, are not as bright. Heavy opposition is coming from Dick Block of Alaska National Insurance Company. Mr. !lock to lobbying to prohibit municipalities from including Worker's Compensation among lines of insurance that can be pooled. Worker's Comp to absolutely necessary to operate a successful insurance pool, due to the amount of premium generated by WC lines of inaursnae. If Mr. Stock'$ efforts are successful, it is doubtful that municipalities will be able to utilize insurance pooling to reduce casts or increase insurance availability . The bill has been referred in the Senate to Judieiery, then Labor sad Commerce, and lrinsnce Cosmittess, phase contact Sen* or,,Pot_ RCdeY. ChAAK an_ Al the Sanote ,iudialgry Camittapt and Urge biM. P t tny,.aa_ espt aaendrent� that would exatuda Worker's CCs " Ation fa e_frslj.. o 9 bill, andjn move the- bttt,�„�gu,,, ickly, Other aembera of the Senate Judioisr dvm�lttss ahggld also hear youI f"Asate Zh Z --- , Ti,M.KeilI Viet Chsit�'manl .tan rstks. Nick Hallow and��lu 1�I$ro The bill lies A "eero" fiscal note. 1411e frog Joint and 0„evarat Ulabllity/tPILt Narorm�(as 317)i The genets Finance Committee peseta $83170 Tort blow%# twos the committee Wednesday. The bill vould change Current Joint and Several Liability law to • law of strict aeverel liability. Under esveral liability, dsfendsnte in tort suite would only be re speneit►ie tit M percent of damages equivalent to their percent of fault. The AM Board has gone on record as supporting relief twos current Joint and several liability lows. BB 317 was scheduled OR the Senate Elea yriday, 4/2/66. t I I i Legislative Bulletin 014-33 -2- May 2, 1986 Blouse Bill 832, Tart Reform, hat bean in the House Judiciary low several weeks, and While hearings continue on the @mature, little progress to being made. House Judiciary Committee Chairman Nike Miller of Juneau has scheduled hearings on the bill through Friday, MAY 9, which most likely means the bill will run out of time this session, and die in Cosmsittee. The legislature's 120th day is May 12th. IIA592 also would chisups the StatNs law of Joint and Several Liability, but �o a letter degree than 8B577. Under IIRS92, a defendant found to be less than fifty percent at fault could be held liable for up to double that percrntase of the total award. In addition to Mike Miller of Juneau, msmbera of the Iiou@e Judiciary C"amsittee are Don Ctocisein, Randy phillips, Frits Pettyjohn, Robin Taylor, No Gruenberg, and John Sund. X IIOIISL ACTION SB 118 - Senior Citisen -Property Tax Exemptions The Pissanee Co=itteo moved out a C8 for BR 113 an Wednesday. The CS puts a cap on the property eligible for exemption of 0180,000. Recoune the House's budget figure is now $3.1 million, the same as the Senate's, the municipalities would have to make up the shortfall in funding now estimated to be 06 to 7 million. The CS also allows municipalities to grant individual excaptiont to the $150,000 eapl total option, with a vote of the people, to exempt more than the first $150,000 with no state retsbursementi and, to allow municipslitien the local option to exempt the timber industry from taxation up to five years and 75%. The bill is in Rules. Word has it that it my be combined with HB 318 (personal effects exemption) Which was pulled tram the House floor on Thursday. The Board's position on 8R 113 was to fully fund the program or repeal the exemption entirely. CORRECTIONS The last Bulletin incorrectly stated the Board had asked for local option to keep the program, but that was part of the recosmtndation of the Legislative Subcommittee that the Board did not accept. UB 520 - School Construction Debts The House passed CSHB 520 (Pin) on 4/29/06. The bill was reteered to Senate HESS, then valved, and to Finance. Hg Sol - Municipal Entitlements@ The House passed the bill on 4/29/86, In the Senate it was valved in C&RA ,-,g ;c,.cr-,.e on Fiance. 8#4 SB 414 under "Senate Action". SENATE ACTION 85 371 - Tort Reforms The Finance Committee passed out a CS which to a fairly comprehensive tort reform package, including strict several liability. All were do peas except for Kerttulo and Fisher who ettned "no re0". 6 Y� rA NB 558 - Prior Oar Data for RS/MAs The C&RA Committee passed the bill out. It now goes to Finance. 85 408 - State Aid to Educations The Senate passed SA 408 an Wednesday, 4/30/86, white the House was considering No 309 on the Blouse floor. The "Ferguson bill" restores a foundation formula bawd an the p"-1983 formula. The bits passed 18.0 with a letter of intent appearing on page 2014 of the Senate Journal. The House pulled [IN 309 off the floor and back into Rules. NO 382 - Early Retirements The Senate passed the bill 18.0 on 4129/86, the bill allows Runiaipatittes to participate. s 85 414 - Land Entitlements The Resources Committee posted out a C8 as/ 4/25/86. One mejor anendsment to this bill would allow Anchorage to complete its 1978 entitlement by selecting land outside its smunlelpal boundevies if other lands or money are rat ads4uste. Otpor municipalities eligible to receive land under the proposed legislation could not receive land until 90% or Anehor4124411 tnitial entitlement Ia fillet. This provision to not in the moues bill, HR 567. 88 414 now lose to Finance. SB 301 - Ethical Conduct of Governmental Activities@ The Senate passed CSSSSB 301(80 on 4/2FM0. i ! 51 479 - Fro Rats Reductions of diets Payments to Local GnVarnmentss Judiciary passed out So. 470 with 1. Senator today siplul "no rea" and 8a►stors Folks and Kelly signing "do pass,% zero fiscal notes Referred to Finance. I i i , WV B r, F Legislative Bulletin 014-19 - 9 • Nay 2, 1986 1 gg 4$1 • bpealing the Community Legal Asststanoe ttr4ntN1 Judiciary Osgood out as 491 with Way Signing "no e.e"•,. A faike and Kelly Signing 1'40 peso". Roterrod to Finance. so 482 - Day can gallstones psyaeato to municipalities$ Judiciary paced out a Cs for 09 482 with today miant"I "do not pals", Faike 1040 passe, and Ziegler and Kielty visaing 0%0 ree". Noterrod to Finance. 463 - Suspension of Certain Biala Ito$rase� Judiciary passed out a C! for S>, 48! with today end nance Signing "do not pass" and ►atkep Nal[ord oud Kelly aignin$ "na reu", zero flSeal note. Rebrrad to /lnane. r • 215 - forward Funding for kduestion senator Coghill's bill was waived by senate Has. Referred to Is 467 - state Campgrounds In Nuniclpslitlest CVA paoesd out a Cs for AS 467 on 4117/06, The Cs changed 01 original bill significantly tads the previous prohibition. IN Cs merely mays the state way contract with a �!. privau operator to run the campgrounds. Referred to Resources. ' US 19 - Advisory elections on certain annexation proposStu state Affairs PSosad out a Cs for NB 16 With minor revisions on 4130/66. The report was signed by Abood, Ray and DeVriesl V. Fisher Signed "no roc"- F oTWFtt N1li18... �+ Littlo-Davis Iacono The Department of Labor'• Title 36 Nlni•Cabinet bold a meeting on 4/28/86 to digevso proposed regulation changer to the implementation of the Little -Davie Bacon (pravalling Well) statute. Only sYwory of the 12 proposed changes was discussed at the meeting dominated by labor union ropresentatives. l The potantiatly most significant proposed change was 118 AAC 10.030 to repealed and re -adopted to prestriM protedures for conducting well turvgya aeparstsly for rural and urban population areas$ to sstablioh various claeegs of construction for which wale surveys will be conducted{ slid to prescribe guidolineg for the ;} collection wage rate information". i W1...1l1.16%z said their deemse w•e co oresft up their 2 to tnne wasp aurl-y ragione Into Smaller ores$ but l not by community. What they are looking at now oral 23 regions based on census arse. Any region with over 21,000 people (Anchorage, Fairbanks, Net -Su, and Kenai) would be classified as "urban" and all other ones would be clessified an "rural". wage surveys may be done In ali these areas depend!"$ on the sufficiency of jobs and job classes to develop prevailing wills. DOL C MINSionsr Robison is salkM$ comments over the next couple of weeks. Draft ILIA Raguistional Proposed regulations to implement the recent legislative changes to the fair Labor Standards Ace 01d90 have been released for comment. The proposed regulations have been ptibliahsd In the federal Register, dated April 16s 1986 (they are to take effect April 19, 19861). Coments ere dos to the U.S. Department of Labor by June 2. Energy Nostinggi The Deporesornt of Community and Regional Affairs has scheduled a series of public meetings around the State during May and June on their draft Rnergy Conservation standard for New Residential Buildings (mailed to communities on April 7 by DCdAtA). A11 meetings begin SC 7100 P.O. for more lnformetionp contact stove laden, Chief, Conservation section, DCJMA, Anchorage, 963.1953. Training Session rlgnnedt The University of Alasks, Rural Kduestion, Is holdin» a trsintns program .on "Administrative Iroeodurga", May 9.90 In Unatgeks. on May 29.30p the Planners Training Service (AICP) to holding a "Land Use Law" session at the Anchorage Hilton# for more information, contact !like Stock at DCMA In Anchorage st 961.8986. i� Job AitncunceSentst li i City Attorneyp City of goldotns IN r11qu9eting proposals from individuals and firms licansad in Alaek* to handle the City's Iola, Services$ tee baslal currently average workload is 16 hours per Vothl written . ' proposals snpuld include qualifications, iexprienegp refsreneeA, fee echedutie, and ouggestsd tons of 1e961 services asrgesaAltl proposals due Noy 191 send to Patricia Surdickp City Clark, P.O. Wx 409, Soldotnep AN r 'F i - I I II i S All � I� Legislative Bulletin 014-33 - 4 - May 20 1986 i A Assistant Municipal Attorney$ Ketchiltan etaFewsy Borough/City o1 Ketehikan. Alaska Bar rnqulradl 3 years axpsrlenee preferradl deadUnes May 30. Contact Buseoll walker. 344 front Street, lietehikan, AN 99981 E (223-2330). , City Ads+th&etratort City of Thorne Bay1 foil-ttsel Must reside in Thorne Bsyt experience requtrrdl estary, 6 pOBI deadline, June 11 epplicatioll or resume ehnuld be sent to City Clerk, P.U. Box 110s Thorns Bay, AK 9i919. for more inrornation. contact Frederick 8harert Mayorp at 028-3380. s• GROUCH SELF-INSU14MCE POOLS SPONSORED BY STATE MUNICIPAL LLAGUES State 'TX20 of Risk Covor©d Health Workers Unemployment ment Accident Compensation Liability ComMnsation Property "I i Alabama x Arkansas x (1) Connecticut x Florida x x x ' Georgia x ;+ Illinois x x x Iowa x Kentucky x Lou�,c:dna x (1) x Maine x Massachusetts x(2) X Michigan x x x x x x Minnesota x x New Nampohiro x New Mexico x North Carolina x x (1) Oklahoma (3) x x x South Carolina (3) x x { Tennessee x x x Texas x x Utah x x .. Vermont (1) x i iA x y Virg n. f' ,i 1 (1) Pool being dovaloped (nn of 8/89) (2) Fronted safety 9rouV. prn0r.J1in -vathor than pure pool prepared byl National. Loaque of.. Cities . occember, 1985 I 4 .l e