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1986-12-17 Council Packet
Kenai City Council Meeting Packet December 17, 1986 r i F KENAI CITY COUWCiL'• REGULAR Mani NO DECEMBER 17, less C. PUBLIC NEARINW 1. Ordinance 1171.88•Amending Kenai Municipal Code•OH- Road Vehlclee , ; a. Substitute Ordinance 1171.68 ' 2. Ordinance I I77.88•Incrosalng RevMppne-Senior Citlien Van • $20.000 3. Ordinance I I76-88•Amending Kenal Municipal Code•Pro• vlding for Purchasing and bontracting with City Employees and Officers . . . .. • ` 4. Resolution 80.111 •Awarding Contract -Display Klosk In Airport Terminal•Kenal Peninsula Foto Ad 6. Resolution 80.113•1.1mldng Duration of Council Meetings 8. Resolution 86-114•Transfer of Funds -Cable and Printer Public Works Computer. - B 1,347 . 7. Resolution 88.116•Transfer of Funds•Economic Development Committee • $1,460 .' 8. Resotution.80-1IS-Transfer of Funds -Overtime, Street Dept: - $7,080 ,• , •. 9. Resolution 80-117•Transfer of Funds -Overtime, City Shop • 1i2,280 " , 10. Resolution 80.118•Transfer of Funds -Hire Temporary Emptoyee-Pubtlo works - Ii18,000 11. Resolution 86.110-Transfer of Funds -Cellular Telephone System, Ambulance - $3,600 . . 12, Resolution 86-1204Jrge Congress to Open ANWR Coastal Plan to Gti 8 Gas Development 13. Resolution 80.121-Transfer of Funds -Completion of Ticket Counters, Airport Terminal - $36,600 14. Renewal of Uquor Ucense - Casino Bar 8 Uquor•Ucense The public N Invited to attend and participate. Janet Whelan City Clerk L L J F_, - (?' AGENDA KENAI CITY COUNCIL - REGULAR MEETING DECEMBER 17, 1986 PLEDGE OF ALLEGIANCE A. ROLL CALL 1. Agenda Approval 2. Consent Agenda *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. PERSONS PRESENT SCHEDULED TO BE HEARD (10 Min.) V a ,n `P-ulpv:A s -.. C. PUBLIC HEARINGS 1. Ordinance 1171-86 - Amending Kenai Municipal Code - Off -Road Vehicles a. Substitute Ordinance 1171-86 2. Ordinance 1177-86 - Increasing Rev/Appns - Senior Citizen Van - $20,000 3. Ordinance 1178-86 - Amending Kenai Municipal Code - Providing for Purchasing and Contracting with City Employees and Officers 4. Resolution 86-111 - Awarding Contract - Display Kiosk in Airport Terminal - Kenai Peninsula Foto Ad v 5. Resolution 86-113 - Limiting Duration of Council Meetings 6. Resolution 86-114 - Transfer of Funds - Cable and Printer - Public Works Computer - $1,347 ,--7. Resolution 86-115 - Transfer of Funds - Economic Development Committee - $1,450 8. Resolution 86-116 - Transfer of Funds - Overtime, Street Dept. - $7,090 9. Resolution 86-117 - Transfer of Funds - Overtime, City Shop - $2,260 10. Resolution 86-118 - Transfer of Funds - Hire Temporary Employee - Public Works - $16,000 11. Resolution 86-119 - Transfer of Funds - Cellular Telephone System, Ambulance - $3,500 ,. 12. Resolution 86-120 - Urge Congress to Open ANWR Coastal Plan to Oil & Gas Development L -I f;� L y , 13. Resolution 86-121 Tranufar of Eunrlu F �e-5 _ of Ticket Counters, Airport Terminal - $36,500 % Wj,;;) 14. Renewal of Liquor Lic:enso - Casino Bar & Liquor L.ircnae D. REPORTS 1. City Manager 2. City Attorney f 3. Mayor 4. City Clerk 5. Finance Director 6. Planning & Zoning 7. Harbor Commission r' S. Recreation Commission r i 9. Library Commission E. MINUTES 1. *Regular Meeting, Dec. 3, 1986 F. CORRESPONDENCE 1 1. *Academy of State & Local Legal Center - Letter of Appreciation G. OLD BUSINESS H. NEW BUSINESS I' 1. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 3. *Ordinance 1179-86 - Amending Kenai Municipal i Code - Delete Word "Advisory" from Planning & Zoning Section 4. /ordinance 13.80-86 - Amending Kenai Municipal Code - Supplemental Assessments for Special 4 1 Assessment Districts 5. *Ordinance 1181-86 - Amending Kenai Municipal - Code - Adopt National Fire Code and Uniform Fire Code 6. *Ordinance 1182-86 - Amending Kenai Municipal Code - Location of Polling Places 7. Discussion - Request for Purchase of Tract F, Denarina Pt. Estates - Dave Brown S. Discussion - 1987-88 Capital Improvement List i 9. Discussion - Request for Concession Stand, Airport • j Terminal - Charles Woodcock it 10. Lease - Airport Terminal - Friendship Air Alaska 11. Assignment of Lease - Metropolitan Mortgage (Katmai) to Lynn Jones 12. Discussion - New Street Lights 13. Discussion - Kula Rentals - Extra Compensation r 14. *Games of Chance & Skill - KCHS �Jt a1 Mi I . PERSONS PRESENT.' NOT SCHEDULED TO BE H E:ANEj I', Min. 1 a. Council Cormuenta ADJOURNMENT Lam.. J !� COIINCI L M1.1.1 IVI t)l So on Le a, a a a ®r malmo r l am Uncommon r jo OEM 0 ommommonommmomom OF DECEMBER 17, 19RE INFORMATION ITEM 1 - Kenai Borough Agenda, 12-2-86 2 - Letter, Kenaitze Indian Tribe - Indian Lands, Ames St. 3 - Economic Development Committee Minutaa - 12-2-86 4 - Billing - Western Marine Const. -Boating Facility - $67,377.70 5 - Letter, Kelly Bookey - Blinking Signs in City 6 - TO DO List, 11-26-86 7 - Billing - C. Gintoli, Architect - Lief Hansen Memorial Park - $3,790 8 - Women's Resource & Crisis Center - Annual Report, July 185 to June 186 9 - Comm/Comm Application - Clarence Ladd 10 - Library Report - Nov. 186 11 - Kenai Borough Minutes - 11-18-86 12 - Kenai Borough Minutes - 10-28-86 13 - Billing - McLane & Assoc - Airport Improvements - $27,220.54 14 - Letter, Soldotna City Manager Underkofler - Cook Inlet Offshore Prospecting Permits 15 - Proposed Bicentennial Constitution Committee - Mayor 16 - Kenai Borough Waste Disposal Comm Agenda - 1-7-87 17 - Billing - M. Tauriainen - Cook Inlet View/Lilac - $9,248.25 18 - Billing - W. Nelson - Boating Facility - $11,518.90 19 - Municipal League Report - Attendance, Nov. 1986 meeting 20 - Billing - W. Nelson - Float Plane Facility - $25,102.34 21 - Memo - Airport Manager Ernst - Request for Vending Machine in Airport 22 - Memo - Admin. Asst. Gerstlauer - Amended Lease - Denkovic - dusty s/D 23 - Transf. of Funds Under $1,000 - Dec. 1986 24 - Kenai River Management Newsletter - Nov. 1986 25 - Comm/Comm Application - Marj O'Reilly 26 - Kenai Borough Agenda - 12-16-86 27 - Chamber Of Commerce Newsletter - Dec. 186 28 - Mayor's Request - Natural Gas Pipeline Contract Information 29 - Agreement - Rogers & City of Kenai - Assessment District Charges - Aliak/McCollum jw L L • CITY Ot KENAI 210FIDAl00 KENALALASKA MIS TELEPHONG203.7535 December 17, 1986 MEMORANDUM TO: Mayor Williams and Kenai City Council FROM: Dana Gerstlauer, Administrative Assistantl�J' RE: Dan Roberts - Reallocation of Lease Payment on Lot 3, Baron Park Subdivision The City of Kenai has a lease with Dan Roberts on Lot 3, Baron Park Subdivision. This land has recently been resubdivided into two lots, 3-A and 3-B. The new Pizza Hut is located on Lot 3-B, and the City has consented to a collateral security assignment to First Interstate Bank on that lot. Recently I received a request from First Interstate Bank asking that the rent payment on this lease be split proportionately between lots 3-A and 3-B. I consulted with City Attorney Tim Rogers about this and it is his opinion that the way to accomplish this would be to rescind the existing lease and reissue two leases on the property.. The City has taken similar action in the past with a lessee, Dan Pitts. When Mr. Pitts resubdivided his leased land, we rescinded his original lease and reissued three leases in its place. At the same time, we divided the lease payment among the leases on a per square foot basis. Another similar case was Victor Tyler's lease where Arby's now exists. My memorandum to City Attorney Tim Rogers and his memorandum in response are attached for your reference. /dg Attachments A — F 1E a f.. so CITY OF KENAI „ Oil G'apl of 4",. 210 PI0AL00 KENAI, ALASKA 9"11 TELEPHONE 293.7835 December 16, 1986 MEMORANDUM TO: Tim Rogers, City Attorney ��,,[[��(((� FROM: Dana Gerstlauer, Administrative Assistant`Z RE: Dan Roberts - Security Assignment The original lease on the property to Dan Roberts was for Lot 3, Baron Park Subdivision, which since has been subdivided into two lots, Lot 3-A and Lot 3-B. On November 21, 1986, the City consented to a security assignment on Lot 3-B, Baron Park Subdivision (where Pizza Hut is located) to First Interstate Bank. On December 15, 1986 I received the attached letter from First Interstate Bank regarding the lease payment on the property. Currently, Dan Roberts makes one payment on the entire piece of property (3-A and 3-B). The bank is requesting that we split the payment on a prorated (by square foot) basis. From what I Gay Hopkins of First Interstate has told me, the bank feels that in the event of a foreclosure on Lot 3-B, according to the terms of the lease the bank would be responsible for the entire payment, not just the portion that they have a security assignment on. Please inform me of what action you want me to take. /dg Attachment 0. t� �i t r i ' , o CITY OF KENAI .. od eat A1�„ �W FIDALQO KENAI, ALASKA "Sit TELEPhuNB Z83.7533 Mf MURANDUM TO: Dana Gerstlauer, Administrative Assistant City of Kenai FROM I Rogers, City Attorney i r1 ity of Kenai DATE December 16, 1986 RE: Dan Roberta - Lot 3, Baron Park Subdivision You have asked for direction pursuant to your December 16, 1986 memorandum based upon the following facts: Dan Roberts originally leased Lot 3 Baron Park Subdivision. There is one rental payment on the property. The property was subsequently divided into two (2) lots, Lots 3A and 3B. The city consented to a security assignment on Lot 3B (Pizza Hut property) in favor of First Interstate Bank. The bank which is loaning Mr. Roberts' money for development, refuses to go through with the loan until such time as Mr. Roberts convinces the City to split the payments on the property. Apparently, the bank feels at risk as to both properties when in fact they are only bankrolling one of the properties. Your memo suggests that there is a security assignment on Lot 3B. If there is only one lease, which I assume there is as to the entirety of Lot 3, then I fail to see how the City could consent to a partial assignment of that lease. The proper way to split the payments would be to rescind the original lease and issue two new leases, one in favor of Lot 3A and one in favor of Lot 3B. I can at this time, and under this short notice, see no other way to effect what the bank wants. Because the rescissions would necessarily be involved, the matter needs to go to Council. 1 II ." A 0 From an administrative ntnndpoitit, tho City in to a better position tho way it it) now. The one lenoo ►iivna the City bett"I leverage for collection of rentol poymontn (in►i 01-0u+nttl 10M) of an accounting hoadacho for tno Finoneu Do.port mo►►t . Thera in little consideration for t►,e roty'n nntorlroq into a roaciuntoo and subsequent retasuo of lonvou. Ono enfila characterize the conpideration so the development which tho City will attain on a result of such an agreement. The memo, which you have given the Legal Department, in no way outlines how the financing will accrue to the City's benefit. The final deer inion is howevor, well within the discretion of the City Council as it has been in many of these cases. TR/clf 2 . I m 3uyyo)cttwi by: liEmut ifI;III.io f"r;ij l j,. 1, CITY OF KENAI ORDINANCP NO. 1171-06 AN ORDINANCE OF THE COUNCIL OF THE: CITY OF KENAI, ALASKA, AMENDING TILE KENAI MUNICIPAL CODE TITLE 13.40.020 PERTAINING TO "OFF -ROAD OPERATIONS OF MOTOR VEHICLES". WHEREAS, the Kenai Renutification Committee has been in existence since the fall of 1982 with the intent being to upgrade the "faro" of the businesF areas of Kenai, and WHEREAS, Section 13.40.020 was created by the Off -Road Vehicles Committee and passed by the Kenai City Council in September, 1983, and WHEREAS, during the term of the Beautification Committee, it has come to the attention of Committee Members that certain areas of the City are gradually being destroyed, and WHEREAS, these areas include State Rights -of -Way, City Rights -of -way, private driveways, various City, State, and private properties, and WHEREAS, various comments from the public and observation of City Parks crews and Committee members of these properties have made the Committee aware that changes in the existing Ordinance are needed. NOW, THEREFORE, BE 1T ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as follows: Section 1: The Kenai Municipal Code Title 13 be amended by deleting this portion of Section 13.40.020(1) (EXCEPT THE CITY STREETS' RIGHTS -OF -WAY UNLESS POSTED AGAINST THE USE OF SUCH VEHICLES]. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this iyth day of December. 1986. 1 ATTEST: John J. Williams, Mayor First Reading: November 5, 1986 Second Reading: November 19, 19% Third Reading: December 3, 1986 Fourth Reading: December 17, 1986 Effective Date: January 17, 1987 A F._ 13.30.080-13.40.020 with ouch terms, with or without cunt, depouit or other rsurfity, ",� he may deem advisable to securer ouch repair or recond it i nninq or to re:mhurse the City for damag(,-a to the arena concerned. (0rd14 419, 431, 571, 593) 13.30.090 Siqn Dearing the Legend: (a) The only entrance by motorized vehicle to the bench area deucribed in KMC 13.30.080(a) shall be at the natural end of Spruce Street at the Beach Road except as provided in KMC 13.30.080(c). At that point a sign or signs shall be erected reading as follows: "ENTRANCE TO BEACH AREA ALL VEHICLES MUST PROCEED DIRECTLY NORTH BEYOND THE LINE OF FOREST DRIVE." (b) Other signs shall be placed along the Beach Road reading: "NO VEHICLES BEYOND THIS POINT." (Ords 419, 431, 593) 13.30.100 Penalty: (Ords 419, 431, Repealed 669) Chapter 13.40 OFF -ROAD OPERATIONS OF MOTOR VEHICLES Sections: 13.40.010 Definitions. 13.40.020 Off -road vehicle operation. 13.40.030 Special stops required. 13.40.040 Speed limits. 13.40.050 Helmets. 13.40.060 Operator. 13.40.070 Parental and guardian responsibility. 13.40.080 Penalty. 13.40.010 Definitions: (a) An off -road motor vehicle is: (1) Any motor vehicle not authorized for operation on a public roadway according to State law or regulation. (2) Any motorized vehicle that is being operated off of the maintained streets and roadways. (Ord 803) 13.40.020 Off. -Road Vehicle Operation: (a) It shall be unlawful for any person to operate an off -road vehicle in the City of Kenai: 13-10 is -I 1 ).ern, rl'Itr-1 3. �aU.itaah II ( 1 ) On puhl re• or privet o proport y without the er.PI-1,❑ o► l implied consent of the oenal-r, hl+a rauthorliod rarlrnf , of, representative, oxcu()t t lio_ c i t y� rat 1 r►' ri rJfit 0-of •-soy uaLe a_q,_liAaLd—uq a-^i nau t tie--uao_ _at-. p u� _Ij _a i�ti i i- l iin . (2) On municipal park Ianrtn, except where opucifical ly authorized, municipal pinyyruuridet, rand Gehuol play111-0arnd areas. (3) On a city or state maintained roadway. sidewalk, or on a path or trail designated for bicyc lets or pedeut rinnn, unless such travel is necessary to go around an obstruction or hazard. (4) In such a manner as to produce sufficient noise to disturb the peace and quiet of another. (5) In such a manner as to cause damage_to improved property or destruction to the terrain. (Ord 883) 13.40.030 Special Stops Required: In addition to obedience of all state traffic regulations, an off -road vehicle operated on a city or state road right-of-way must come to a full stop prior to crossing any street, road, or private drive. (Ord 883) 13.40.040 Speed Limits: The speed limit shall be 10 mph while riding in aright -of -way of a residential or business area, a parking lot, or as authorized in KMC 13.40.020(3), or in close .l proximity of another person(s). (Ord 883) 13.40.050 Helmets: No person under the age of 18 shall be allowed to ride an off -road vehicle in the City without wearing a helmet which meets safety standards set by the State of Alaska. (Ord 883) 13.40.060 Operator: The vehicle operator must be able to reach and operate all controls necessary for safety. (Ord 883) { 13.40.070 Parental and Guardian Responsibility: (a) When a person under the age of 18 years violates any part of this ordinance, his parent or guardian is also in violation ifs (1) the parent or guardian knowingly allows the violation to take place, or (2) the parent or guardian fails to take reasonable precautions to prevent the violation. (Ord 883) 13.40.080 Penalty: A violation of any provision of this chapter shall be punishable by a fine of not more than three hundred dollars ($300.00). (Ord 883) (City of Kenai Supp. 024 - 9/27/83) L L J k KENAI POLICE DEPT 107 SOUTH WILLOW ST.. KENAI, ALASKA 99611 TELEPHONE 283.7879 TO: Kayo McGillivray# Parks & Recreation Director 1 0 FROM: Richard Ross, Chief of Police �.�__ SUBJECT: off Road Vehicles Re: City Parks DATE: August 25, 1986 This last summer problems were encountered enforcing the off road vehicle ordinance in city parks. The primary problem was that there was lack of notice that off road vehicle use was prohibited. As we discussed it would be helpful if this prohibition was part of the established park rules posted at the entrance of municipal park. If Beaver Creek park is also an area where off road vehicles are to be prohibited the main entrances there should also be posted. RARAdl C—) • 011 B l CITY OF KENAI - -w�N !- _ �M 210FIBALOO UQNALALAUA Mii - TEIEPHONG2/$•7633 MEMORANDUM TO: Mayor Williams and City Council FROM: Janet A. Loper, Planning Specialist SUBJECT: Ordinance 1171-86 - Amend Off -Road Operations or Motor Vehicles DATE: October 30, 1986 The Beautification Committee has long been aware of a growing problem in Kenai and the surrounding areas of damage, and in some cases destruction of both public and private property surfaces caused by off -road vehicles. The Committee has discussed the problem at length and offer the attached proposed amendment for your consideration as a possible solution to the problem. The committee is aware of the ordinance that was amended by the City of Soldotna last year with apparent success. As the ordinance now reads, off -road vehicles are allowed along rights -of -way unless posted. in order to restrict vehicles from ROW's, it would be necessary to post all ROW's with several signs. According to Parks Director Kayo McGillivray, signs have been posted in parks and along bike trails with no success. The signs are knocked down, ignored, or removed. Plus the fact that ROW's would become a forest of signs should this method be used. The Committee feels that to accomplish a successful goal of eliminating the vehicles from the ROW's for safety of the riders, pedestrians, and motorists who are put into a position of avoiding a careless rider, and in order for the private property owners and public lands to be restored, this method would best serve the public interests and perhaps be the easiest for the police department to enforce. As this proposed amendment is not a part of the Zoning Code, it is not necessary to appear before the Planning Commission prior to Council consideration, however, they have been made aware of the proposed amendment. I CITY OF KENAI 0, d 11-14 4" 210 FIOALOO KENAI, ALASKA "III TELEPHONE283.168S MEMORANDUM TO: Mayor John J. Williams and Kenai City Council FROM: Janet A. Loper, Planning Specialist ,Y, 1 I SUBJECT: Ordinance 1171-86: Title 13.40.020 Pertaining to "Off -Road c Operations of Motor Vehicles". iOn Tuesday, November 24th, Police chief Ross met with the members of the r, Beautification Committee to discuss the proposed revisions to the entitled ordinance. Chief Ross and the Committee agreed on the intent of the ordinance and the fact that further revisions will be necessary for the ordinance to accomplish the desire goals and to be enforceable. These revisions to the ordinance will be available at your meeting of December 17th, therefore, the Beautification Committee members and Chief 1 Ross ask that the ordinance before you be postponed until that date. I L L a I _1 r 0Ugg1)141.ud by: CITY OF KENAI ARDINANCR NO. 1171-06 Rubutitutr AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING Tim KENAI MUNICIPAL CODE TITLE 13.40.020 PERTAINING TO "OFF -ROAD OPERATIONS OF MOTOR VEHICLES". WHEREAS, the Kenai Beautification Committee has been in existence since the fall of 1982 with the intent being to upgrade the 'face" of the business areas of Kenai, and WHEREAS, Section 13.40.020 was created by the Off -Road Vehicles Committee and passed by the Kenai City Council in September, 1983, and WHEREAS, during the term of the Beautification Committee, it has come to the attention of Committee Members that certain areas of the City are gradually being destroyed, and WHEREAS, these areas include State Rights -of -Way, City Rights -of -way, private driveways, various City, State, and private properties, and WHEREAS, various comments from the public and observation of City Parks crews and Committee members of these properties have made the Committee aware that changes in the existing ordinance are needed. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as follows: Section 1: The Kenai Municipal Code Title 13 be amended per attached Exhibit "A". PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 17th day of December, 1986. ATTEST: Janet Whelan, City Clerk �f John J. Williams, Mayor First Reading: November 5, 1986 Second Reading: November 19, 1986 Third Reading: December 3, 1986 Fourth Reading: December 17, 1986 Effective Date: January 17, 1987 L F EM 11 N I'I' "A" j.7 13.40.020 O£f-R04Vohiclu Operation: (a) it uhall be uniiiwful for any person to operate an off -road vehicle in the City of Kenai: (1) on public or private proporty without the oxproau or implied consent of the owner, his authorized agent, or reprouentative. (,EXCEPT THE CITY STREETS' RIGHTS -OF -WAY UNLRSS POSTED AGAINST THE USE OF SUCH VEHICLES.) (2) On municipal park lands, except whore sQoci£ically authorized, municipal playgrounds and school playgrounds areas. except by special authorization or in a specially designated areas. (3) On a city or state maintained roadway, sidewalk, or on a path or trail designated for bicycles or pedestrians, unless such travel is necessary to go around an obstruction or hazard. (5)rIn such a manner as to produce sufficient noise to disturb the peace and quiet of another. (6) In such a manner as to cause damage to improved property or destruction to natural terrain. C — V `'+ufitl«ti! f)(1 by i Adm lost nt rat inn, CITY Ot KLNAI ORDINANCE NO. 1177-06 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, INCREASING ESTIMATED REVENUES AND APPROPRIATIONS BY $20,000 IN A NEW CAPITAL PROJECT ENTITLED "SENIOR CITIZEN VAN." WHEREAS, the State of Alaska, Older Alaskans Commission, has awarded the City of Kenai a grant in the amo:int of $20,000 to purchase a van for the Senior Citizen's Center. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that estimated revenues and appropriations be increased as follows: Senior Citizen Van Capital Pro ect Increase Estimated Revenues: $20 000 State Grant + Increase Appropriations: Machinery do Equipment $20,000 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 17th day of December, 1986. ATTEST: Janet Whelan, Ci y C erk Approved by Finance:e4F4 11/21/86 tr �; OH J. WILLI MS, A OR i First Reading: December 39 1986 Second Reading: December 17, 1986 Effective Date: December 17, 1986 1 u `�u►;►i►rvl (tit t►y: Ltyuu► I CITY Ut KENAI ORDINANCE NO. 1118-86 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, AtASKA, AMENDING THE KENAI MUNICIPAL. CODE SI,CT10N 7.15.090 AND PROVIDING FOR PURCHASING AND CONTRACTING WITH CITY EMPLOYEES AND OFtICE.RS. WHEREAS, KMC 7.15.090 presently provides Lkat purchane and sales by certain City officers is governed by the City Charter Section 5-8; and, WHEREAS, the Kenai City Charter Section 5-8 provides that sales contracts or purchases from or to certain City Officers involving a consideration of not more than Five Hundred Dollars ($500) in value may be provided for by ordinance; and, WHEREAS, it may be desirable given the rural nature of the Kenai vicinity, on occasion, to purchase certain unique and/or readily -available items which are only available locally; and, WHEREAS, any potential impropriety occasioned by possible purchases of under Five Hundred Dollars ($500) from City officers or employees is offset by the desirability of allowing such purchases. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that KMC 7.15.090 is amended as follows: 7.15.090 Purchases and Sales - Certain City Officers: Purchases from, and sales to, the City Administrator and [COUNCILMEN] Councilpersons shall also be governed by the City Charter, Section 5-8 except as follows: (a) The City Administrator, Councilpersons, and City employees may sell or barter anything to the City, or make f contract with the City, or purchase anything from the City without the necessity of competitive sealed bids provided such sales contract or -purchases involve a consideration of not more then Five Hundred Dollars ($5007 in value. 1 (b) 8ny sale contract_ ur..�►trrc_hn�inr�f nat mnr11__f hn,+ Five Hundrod_Do11aAa-ap tf nuthoriicrd undor tsars (u) above must ho modo..at_aup!j pr►revrsslsnr3 sn tt4r community and without Fnvoritlam or diiiersmsnation. PASSED 8Y THE COUNCIL OF THE CITY OF KENAI, ALASKA, thin 17th clay of December, 1986. JOHN J. WI M5, AYOR ATTESTS Janet Whelan, City Clerk Approved by Finances_ qd 11 /26/86 First Readings December 3, 1986 Second Readings December 17, 1986 Effective Date: January 17, 1987 x I -„ St-oltIvrit.od by: Adini111ot I, fit 1(III t ( _ CITY Of' KENAI RESOLUTION NO. 86-111 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, j; AWARDING A CONTRACT FOR A SPECIAL USE PERMIT FOR A PHOTOGRAPHIC AD DISPLAY KIOSK AT THE KENAI MUNICIPAL AIRPORT TERMINAL BUILDING ' TO KENAI PENINSULA FOTO AD'S IN THE AMOUNT OF $50.00 PER MONTH. WHEREAS, the City of Kenai advertised for bid for a Special Use Permit for a Photographic Ad Display Kiosk at the Kenai Municipal Airport Terminal Building and Kenai Peninsula Foto Ad's was the sole bidder; and, WHEREAS, the bid proposal received from Kenai Peninsula Foto Ad's has been checked over and confirmed complete. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that the Special Use Permit for a Photographic Display Kiosk be awarded to Kenai Peninsula Foto Ad's for the bid ' of $50.00 per month and beginning January 1, 1987 and terminating on December 31, 1989, with a one-year renewal option. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day of December, 1986. JOHN J. WILLIAMS, MAYOR ATTEST: Janet Whelan, City Clerk I r Approved by Finance: e?d 12/12/86 I I {t t i i i I. { I suggestec4 by councilwoman !Vc nfni CITY OF KENAI RESOLUTION 86-113 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI LIMITING THE DURATION OF COUNCIL MEETINGS WHEREAS, KMC 1.10.040 requires that regular meetings of the Kenai City Council are to commence at 7:00 PM, and WHEREAS, it is the opinion of the Kenai City Council that a Council meeting of more than five hours' duration results in decreased efficiency. NOW THEREFORE BE IT RESOLVED that regular meetings of the Kenai City Council will end at midnight. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 17th Day of December, 1986. JOHN J. WILLIAMS, MAYOR ATTEST; Janet Whelan, City Clerk a. J 1 I_. Cd `iuggeot.nrl by: Admiri:nt irnt inry RV,%O1,UTION NO. 116-114 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KI.NAI, ALA�iKA fNAf tHF FOLLOWING TRANSFER OF MONIES 11F MADE IN THE 1986-H7 rI NI RAI FUND BUDGET: From: Public Works Administration - Repair and Maintenance $1,347.00 To: Public Works Administration - Machinery and Equipment $1,347.00 This money provides for the purchase of the cable and printer for the computer system for the Public Works Department. WHEREAS, monies in the Repair and Maintenance account are set aside• for repairs and maintenance for the word processing equipment and blue print machine; and WHEREAS, a new blue print machine has been purchased and no repairs should need to be made on it at this time; and WHEREAS, the new computer will be replacing the word processing system. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day of December 1986. ATTEST: Tainet Whelan, City Clerk Approved by Finance: e09 Written by Public Wor s: 01 al C.. " % CITY OF KENAI RESOLU`1'I0N NO. 86-115 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI , ALA`XI A, THAT THE FOLLOWING TRANSFER OF MONIES M. MADE IN THE GENERAL FUND IN THE AMOUNT OF $1,450 From: Other - Contingency ($1,450) To: Legislative - Transportation $1,000 Communication 200 office Supplies 250 $1,450 This transfer provides monies for the newly created Economic Development Committee. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 17th day of December, 1986. ATTEST: Janet Whelan, City Clerk Approved by Finance: j JOHN J. WILLIAMS, MAYOR w .-I J 11 i Sug0 prited try: Admitwit rat ion CITY OE KENAI i RESOLUTION NO. 86-116 BE 1; RLSOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING TRANSFER OF MONIES BE MADE IN THE 1986-67 GENERAL FUND BUDGET: From: Other - Contingency 7 p9n ' To: Streets - Overtime $6,000 Streets - PERS 430 R Streets -Unemployment Insurance 60 Streets - Worker's Compensation 1 Insurance 600 This tranKfer provides additional money for overtime in the Street Department. Through November, 1986, $8,274 of the $12,000 budget had been expended. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day of December, 1986. JOHN J. WILLIAMS, MAYOR ATTEST: Janet Whelan, City Clerk Approved by Finances C°SQ 12/11/86 L - a M A e Su9 (joiltetj I)ys Admsnwitrat scar CITY OF KENAI RESOLUTION NO. 86-117 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLL9V;:':1 TRANSFER OF MONIES 8E MADE IN THE 1986-87 GENERAL FUND BUDGET: From: • Other - Contingency 260 To: Shop - Overtime $2,000 Shop - PERS 144 Shop - Unemployment Insurance 20 Shop - Worker's Compensation Insurance 96 2 260 � i This transfer provides additional money for overtime at the City Shop. Through November, 1986, $2,451 of the $29500 overtime budget had been expended. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day i i of December, 1986. ATTEST: Janet Whelan, City Clerk Approved by Finances 12/10/86 JOHN J. WILLIAMS, MAYOR 1 L i i Sigijetite l by: Admiotint rat inn CITY OF KENAI RESOLUTION NO. 86-118 8E IT RESOLVED 8Y THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING TRANSFER OF MONIES 8E MADE IN THE WATER AND SEWER SPECIAL REVENUE FUND: From: Water - Professional Services $8,000 Sewer - Professional Services $8,000 To: Water - Salaries $7,583 (` Water - Unemployment Insurance 76 _ Water - Worker's Compensation Insurance 341 8 0 00 E� Sewer - Salaries $7,583 Sewer - Unemployment Insurance 76 Sewer - Worker's Compensation Insurance 341 8 000 This transfer provides money to hire a temporary employee to update the water and sewer maps, drawings, maintenance records, Porto and equipment inventories, etc. This money had been appropriated in professional services, but the City has determined that hiring an employee will be more effective. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day of December, 1986. I JOHN J. WILLIA S, MAYO ATTEST: ens a an, CitY Clerk Annrnved by Finance: L_ L . Suiple tt.ed by t Admitit+ot rat soon I CITY OF' KENAI 1. RESOLUTION NO. 86-119 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT t; THE FOLLOWING TRANSFER OF MONIES BE MADE IN THE 1906-07 GENERAL r, FUND BUDGET: { From: Communications - Repair do Maintenance $3,500 To: ,.i Communications - Machinery & Equipment $3,500 This transfer provides money to purchase a cellular telephone k� system to be installed in the ambulance for dispatch { communication with ambulance attendants. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day of December, 1986. JOHN J. WILLIAMS, MAYOR ATTEST: Janet Whelan, City Clerk Approved by Finance: Cqa 12/11 /86 L ob I rl I I -. � KEtNAI POLICE DEPT 107 SOUTH WILLOW ST., KENAI, ALASKA 99611 TELEPHONE 283.7579 November 19, 1906 TO: William Brighton, City Manager FROM: Richard Ross, Chief of Policeg9o►�//�� L Re: EMS Services Request that $3,500.00 be transferred from communications repair and maintenance to communications machinery and equipment. The purpose of this transfer is to provide for purchase of a cellular telephone system for installation in the Kenai ambulance. Funds are available for this transfer because the maintenance contract award was below the budget amount projected. In looking at ways in which we could assist in the enhancement of EMS, training of dispatchers to provide medical assistance on the telephone while the ambulance was responding was considered. Because there is only one dispatcher on duty on many occasions, and the problem with other calls coming in during the time she is on the phone with the caller, this plan is not realistic. Fire training has agreed to provide some very basic training that may be of assistance for those calls requiring very basic advise. In looking further in this area - provision of service while the ambulance is responding - the concept of using a cellular telephone in the ambulance was considered. This idea was discussed with the Fire Chief and he agreed it would be worth a trial. The goal being development of the ability to transfer the caller to trained medical personnel in the ambulance. Additional benefits of telephone access by ambulance personnel to the hospital, doctors, etc., would also be realized. If the trial project does not work out to the Fire Chief's satisfaction, the funds requested would not be spent. No other use is projected for them so they would be closed into fund balance at FY end. RAR/mp — f-,A—c f....w..CC C A N� „11 duggotited by Mayor �r1Yllre�r. f i, RESOLUTION 86-110 i� A RESOLUTION OF THE COUNCIL OF THE: CITY OF KENAI, ALASKA, URGING CONGRESS TO OPEN ANWR COASTAL PLAIN TO OIL AND GAS DEVELOPMENT �i j WHEREAS, Alaska's Arctic National Wildlife Refuge includes {. more than 19 Million acres of land, amounting to approximately 5% of the entire State landmass, and WHEREAS, the Coastal Plain is approximately 8% of the • j; refuge, it is considered to be highly prospective for the r discovery of large quantities of oil and gas, and WHEREAS, national energy security depends on the development of domestic oil and gas resources to replace depleted U.S. ` reserves, and is 3' WHEREAS, the nation stands to derive revenues including portions of bonuses, royalties and rents from oil and gas i development, and -� WHEREAS, opening the ANWR Coastal Plain to further exploration, development and production will generate increased employment and business opportunities for ail Alaskans and all Americans. THEREFORE BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that the Council strongly urges the Congress of the United States to open the ANWR Coastal Plain to environmentally responsible oil and gas exploration, development and production. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day of December, 1986. ATTEST: lerk JOHN J. WILLIAMS, MAYOR • Resource Development Council . • for Alaska, Inc, eat 106i1e. tttttr�f. btu liS1065ti S�l�>'...c] December b, 1986 EXECUTIVE DIRECTOR Ptiu:a P. Easley EXECUTIVE COMMITTEE Boyd J. =ntieid. Pfesieenl Jet,!4 9kie,ViCePre9. ` Dear Mayor and elected officials: J. Shelby Slaalny, VrCe Plea. Joseph . Honn, Vice Pre,. o.K,"Ea9y"13i1brmh.See The long-awaited 1002(h) report on the Arctic National Larry Laugnmon. Troosuror Shero.E.Anderson Wildlife Refuge (ANWR) is now available for review. It Stephen M. Elba Robert Gillilano recommends opening the highly prospective Coastal Plain Uwo to responsible petroleum exploration and development. DaaveveHHararbouurr Karen J. Hofstad Phil R. HOldswonh Charles H. Johnson Due to national interest in the issue, the Resource John T. Kelsey Ethel H."Pote'Nolson Development Council has been contacted by Outside media E. Pargetar such as the New York Times, Pottune, Wall St. Journal, JohnThomasRenae Jahn Ren Darrell F. Smith Chicago Tribune, etc., regarding the ANWR decision. R. O. Stock Doug M. Webb Charles R. Webber One question routinely asked concerns the level 21 DIRECTORS support within Alaska for opening the Coastal Plain of Lenny Arsenault Bad . neio a ANWR. Rex 1. Blsdhyopp RObenA.Breeze RDC has received resolutions of support from various M. Campbell communities and organizations in Alaska to demonstrate _ Alexerider J. Cape= joy E.Clark support. However, we have not received yours. Larry Dinneen James V. Orew jam esdI"Bud"Dye Help us communicate a unified position at the national Fred 0. Eastaugh Roy Ewan level and in Congress, where this important decision will Don L Finney Lee E. Fisher be made. Robert W. Fleming Den R. Fendoll Mario Frey A draft resolution is enclosed for your council or Ray D. Gardner Pal assembly to consider. ease t t o o next Pl l �- � � �� Bondy Goodrich Dick Ild"I et end. John L. Hell Jon H8I111wlll Donald L. Hanson URGE CONGRESS TO OPEN the Coastal Plain of the Arctic DavelHeahvole National Wildlife Refuge, America's most prospective area M. A. Higgins William Hornung W for a world -class oil deposit. Kun A. Humphrey Dorothy Jones KiA.m John K. Klm Sincerely, Phillip L Locker Denis W. Lohae Chile McAfee art Jerry McCarthy EL RESOURCE DEVMENT COUNCIL La, Molean for Alaska, c. J. Joseph E. Uslbelll. Jr. Lyle Von Bergen Anita L WiWws BX-OFFICIO MEMBERS Senator Ted Stevens Senator Frank Murkowskl congreerrtsemen Don Young 0Ovor Bill Sheffield da—M'Zib.— L Bo Brownfiel' President ,Enclosures: ANWR brochures Sample resolutions L . a] C11 ..... 019TRK;iitF s Al AU1,711Fq rApuncr,r..l}IP tVlfvlcr ny Tiff! REAOIJIArt! OF VFIGP6/EW G9104C16 MIA A' ArVA NORTH SLOPIE 110114)U4 % If OFFICE OF THE MAYOR P.O. Box 69 Barrow, Alaska 99123 Phone: 907.852-2611 George N. Ahmaogak, Sr., Mayor Policy Statement From the North Slope Boroutth Mayor's Office On Oil Exploration and Development on the goastal Plain of the Arctic National Wildlife Refuse Legislation currently in the U.S. Congress would designate the 1.5 million acre Coastal Plain of the Arctic National Wildlife Refuge as wilderness. All oil and gas exploration and development activities would l be prohibited. The Mayor of the North Slope Borough, George N. Ahmaogak, Sr. , recognizes the potential economic and social benefits development in this region could bring to the North Slope Borough and its residents. Based primarily upon tax revenues on property in the Prudhoe Bay, Kuparuk River, and other oil fields, the Borough has In che facilities past tand built a comprehensive network of schools, roads, housing a services of many kinds in all of its villages. A strong, secure tax base is necessary to support these facilities in the future, including during that time when production at Prudhoe Bay begins to wind down. Oil exploration and development within the ANWR Coastal Plain would provide a {, significant portion of that tax base. i Many residents of the North Slope Borough are shareholders in Native regional and village corporations owning surface and subsurface rights within the ANWR Coastal Plain. Oil development within the ANWR Coastal Plain would provide these corporations with their first opportunity to profit from oil development of their own lands. The corporations and their individual shareholders stand to reap substantial benefits from such y development, which would be positive for the Borough as a whole. It is A the feeling of the North Slope Borough Mayor that legislation preventing d the Native shareholders from developing their own lands and resources would constitute a grave injustice. The State of Alaska has built an economy largely dependent upon oil, and stands to suffer when Prudhoe Bay goes into decline. The Coastal Plain of ANWR holds the only real potential for another oil and gas I discovery of reserves comparable to Prudhoe Bay. The State and all of its citizens stand to benefit greatly from the finding and development of such reserves, and to suffer if these reserves are locked up. a] F 1 An Qf2nttr__3 t,�Yti�Fr,r;►rtn rir,rir.� [ry /a-r� 17C`_tilltiC�: Rfi�L�RtpLtJT GGVAi',ii # (;A AU15Yf►, itlf; ANWR Policy Statement Pnge 2 Oil production in the United States has been decling even of; oil consumption has risen. The percentage of oil produced domestically drops smaller and smaller. worsening the balance of trade, and placing the energy security of the Nation ever mnrp into the hands of other nations, such as the member -states of OPEC. The Coastal Plain of ANWR has greater potential than does any other on -shore region in the United States. In fact, estimates of potential reserves in ANWR indicate they could exceed one third of all current U.S. reserves, and are likely greater than were the reserves at Prudhoe Bay when first discovered. The development of oil and gas reserves in the Coastal Plain is vital to U.S. energy security. In light of all of this. it is the policy of Mayor George N. Ahmaogak. Sr., and his office, to fully support the future exploration and development of the Coastal Plain of ANWR. The Mayor is deeply concerned that North Slope residents who will feel the impacts of this development most strongly, namely the residents of the village of Kaktovik on Barter Island, be fairly included in revenue sharing to offset these impacts and to enhance the quality of village life. The Mayor and his office will strive to see that an equitable method of sharing the pre -determined percentages of federal mineral receipts with affected local governments, and of allocating these funds to them, is in place prior to any federal lease sales. This will require close work with both State and federal governments. The Mayor is also deeply concerned with the wildlife and natural resources of the Coastal Plain. The Borough will undertake whatever steps are necessary to ensure that development takes place in an ecologically sound manner, resulting in minimal effects upon the wild resources of the ANWR Coastal Plain. I Suggeotitd toys AdmIititit rtot .jfm CITY OF KENAI RESOLUTION NO. 86-121 BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA THAT THE FOLLOWING TRANSFER OF MONIES BE MADE IN THE AIRPORT TERMINAL FUND. F rom s Contingency $36,500 To: Buildings $36,500 This transfer is for the completion of the remaining two ticket counters and baggage conveyor at the north end of the airport terminal. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 17th day of December, 1986. JOHN J. WILLIAMS, MAYOR ATTEST: Janet Whelan, City Clerk Approved by Finances e,.RQ 12/12/86 L K f I� i ^-%� CITY OF KENAI 4�l (?ap4 l nq 41aroi*i6 210FIDALOO 904A1,ALASKA "61t TELP1408 268.16SJ December 12, 1986 MEMORANDUM TO: Mayor Williams and Kenai City Council FROM: Randy Ernst, Airport Manager�j RE: Resolution 86-121 ct Resolution 86-121 is a transfer of funds from the Terminal Contingency Fund (current balance $55,450.00) for the completion of the remaining two ticket counters and baggage conveyor at the north end of the terminal. Friendship Air Alaska's request for space in the terminal necessitates this action. The completion of these ticket counters will facilitate the leasing of the remaining space in the terminal. I have checked with the two companies that installed the conveyor systems at the terminal and it would appear that a realistic price for a "turn key" conveyor system with fire door is estimated at $23,000.00. Add to that figure the cost of the counters which was estimated by Treat Cabinets to cost $13,500.00. The City is looking at a $36,500.00 total. All indications are that the counters could be completed prior to Friendship Air's proposed start-up. The conveyor system, however, would take four to six weeks to complete once a company was awarded the contract. RE/dg L i 7 I e 0 e^ e e DEPARTMENT OR REVENUE l 550 W. 7th Avenuo ALCQWLIC8EVER4(iEC10WTR0L8a4R0 Anchorage. Alooka 99501 f � December 'IQ, 1986 Ms. Janet Whelan, Clerk c City of Kenai 210 Fidalgo Kenai, Alaska 99611 Dear Ms. Whelan: f� We are in receipt of the following application(s) for renewal of liquor license(s) within the City of Kenai You are being notified as required by AS 04.11.520. BEVEKAGE DISPENSARY PACKAGE STORE Casino Bar Casino Liquor Store Y ' " t, '1 i 1 A local governing body as defined under AS o4.21,060110) mny droloof tho F approval of the application(s) pursuant to AS oa.11.400 by furnitihint the j board and the applicant with a clear and concioo written ntntonnnt of reasons in support of a protest of tho application within 30 dayo of receipt of this notice. If a protest is filed, the board wtti not approve the application unless it finds that the protest is arbitrary, capricious and unreasonable. Inotead. in accordance with AS 04.11.510(b), the board will notify the applicant that tho application is denied for the reasons stated in the protost. The applicant is ontitlod to an informal conference with either the director or the board and, if not satisfied by the informal conference. is entitled to a formal hearing in accordance with AS 44.62.330-44.62.630. IF T112 APPLICANT REQUESTS A HEARING. THE MUNICIPALITY MUST COME FORWARD AT THE HEARING WITH EVIDENCE. AND ARGUMENT IN SUPPORT OF YOUR rv-rEST. Under AS O4.11.420(a). the board may not iesup a license or permit for promisee in a municipality where a zoning regulation or ordinance prohibits the sale or consumption of alcoholic beverages. unless a ! variance of the regulation or ordinance has been approved. Under AS 04.11.420(b) municipalities must inform the board of zoning regulations or ordinances which prohibit the sale or consumption of alcoholic beverages. If you wish to protest the application referenced above, please do so in the prescribed manner and within the prescribed time. Please show proof of service upon the applicant. Under regulation 15 AAC 104.145(c) the board will grant a local governing body an extension of 30 days in which to protest an application if a request is filed in writing within the original 30-day period. If a municipal zoning regulation or ordinance prohibits the sale or consumption of alcoholic beverages at the proposed premises and no variance of the regulation or ordinance has been approved, please so notify us and provide a certified copy of the regulation or ordinance if you have not previously done so. PROTEST UNDER AS O4.11.480 AND THE PROHIBITION OF SALE OR CONSUMPTION OF ! ALCOHOLIC BEVERAGES AS REQUIRED BY ZONING REGULATION OR ORDINANCE UNDER AS O4.11.420(a) ARE TWO SEPARATE AND DISTINCT SUBJECTS. Please bear that In mind in responding to this notice. Under AS O4.11.310. if applicable, a notice is also being provided to the appropriate community council + within your municipality. Aetty Calhoon Recorlie A Licensing Supervisor (907) 277-6638 J i F_ ;uy(��.ynt�rl 117 lW13O CITY OF KENAI RESOLUTION 06-12Z A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI SUPPORTING COOK INLET AS THE TERMINUS OF THE YUKON-PACIFIC NATURAL G,%S PIPELINE WHEREAS, the development of a pipeline to bring North Slope natural gas to tidewater is in the best interests of the State of Alaska, and WHEREAS, making the availability of natural gas to Fairbanks, Matanuska-Susitna Railbelt, and Anchorage for domestic and industrial purposes would serve and benefit the great majority of the Alaskan people, and WHEREAS, the importance of being able to upgrade and add value to the natural gas 6 chemical plant processing as well as LNG processing would enable the development of a more stable employment structure for the State, and WHEREAS, there is no significant showing of adverse environmental impact by a Cook Inlet route, and WHEREAS, a Railbelt-Cook Inlet route would, by basis of existing infrastructures, have little or no adverse social impact. NOW THEREFORE BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that the City of Kenai supports the Fairbanks, Railbelt-Anchorage-Cook Inlet route for the Yukon Pacific Natural gas line as having by far the greater benefit for the people of the State of Alaska. BE IT FURTHER RESOLVED that copies of this resolution be s_ sent to Governor Cowper, Anchorage Mayor Knowle Jone, City of Fairbanks, Fairbanks -North Star Borough, Yukon Pacific, Corps. of Engineers. ;A' PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 17th day of December, 1986. I/ev X 1 JOHN J. WILLIAMS, MAYOR ATTEST: U Janet Whelan, City Clerk �� �' P ;.1.- �,�- a, L W c -I CITY 4F KENAI 210i1DAtOO NFUM AtASKA M611 TELEPHONE 288.1625 MLMORANCUM TO: Councilmembers City of Kenai FROM: Rogers, City Attorney y of Kenai DATE: December 17, 1986 RE: Float Plane Basin I' j On December 17, 1986 at approximately 2:00 p.m., I spoke with Fred Ferrara's office regarding the final appraisal on the float plane property. At that time I was informed that $137,000 would be just compensation for the total taking. The $137,000 figure is based upon a value of $119,000 for the value of the eighty acres taken, plus $18,000 as damage to the remainder of the property not taken. I was also informed that if the City desired to take the entire 160 acres, that the appraised value would be $239,000 or $1,500 per acre. Initially this office requested $120,000 as compensation for the value of the land taken. Later, the Legal Department requested an additional $20,000 to be deposited with the Court in order to prevent the condemnees from possibly securing Rule 82 attorney's fees. The request for additional compensation above the base amount is based upon advice of professionals in the field of condemnation. Because the appraiser has determined that there will be approximately $18,000 damage to the remaining property, it is imperative that the City deposit $157,000 with the Court, i.e. $20,000 over the appraisal as determined by the M.A.I. appraiser. The Council has already appropriate $140,000 for this deposit. At this time, I would request that the Council appropriate an additional $17,000. TR/clf - ---A-- - - - L 07 .J i i TO: Governor Steve Cowper FROM: Budget Transition Team 47- Oral Freeman, Chairmanc -,,- Brian Rogers, Vice-Ctwirman Dave Rose, Member I Bob Poe, ?.',ember ' , Richard Fineberg, Member%1� Mary Halloran, Member M c Senat ohn Sackett, Member � .����c�� � /lK47'rU /I el n Halterman, Member,vyj�ua �-o DA?�: December 12, 1986 Enclosed is the final report from the Budget Transition Team. The report is presented in three parts: 1) Identification of the FY87 budget shortfall; 2) Identification of revenue options; and 3) Major budget issues. This report is not purported to be an exhaustive research document, but rather an initial review of the State's revenue potentials and fiscal concerns. In preparing this report the members divided into subcommittees for review and initial identification of major departmental fiscal issues. Because of time constraints, not all members were able to thoroughly familiarize themselves with the departmental fiscal concerns of the subcommittees. Therefore, the committee has identified the subcommittee members responsible for the departmental review. The committee has enjoyed the opportunity to assist your new administration through transition. The challenge of directing the state through the next four years cannot be overstated. If there is any way this committee can assist you and your ` administration further, we will be pleased to do so. W, TABLE OF C014TEIITS Budget Transition Team Committee Report December 15, 190v Section I. FY 87 Year -End Shortfall Section II. Revenue Options Section III. A. Revenue Forecasting B. General Budget and Fiscal Policy Issues C. Shortfall and Financial Plan Section IV. Department Reviews I o I TO: Governor Steve Cowper FROM: Budget Tr,insition Team DATE: December 12, 1986 RE: FY 87 Year -End Shortfall Our best estimate of the FY 87 Unrestricted General Fund year-end shortfall is ($593.0) million (negative). Please note that this estimate is subject to final revisions in the State's An^,.+al Financial -: .r-nrt (AFRL, currently rearing completion in the Department of Administration. The State Accountant advises that until the report is completed swings up to $50.0 million in either direction are possible. ::rap -up of the &M is anticipated by Dec. 22. .his estimate assumes that operating budget appropriation restrictions imposed by the previous administration retrain in place until those appropriations lapse, but that capital appropriations (which do not lapse) should be regarded as valid obligations. :e could find no existing computer system (or systems) that calculate the amount available for appropriation during the coming legislative session. The attached worksheets represent the best (and only) existing method to close the gaps that exist in the current budget, revenue and accounting systems. J i h �.i i MEMORANDUM 01t,caArndr'Jt':gr 465-3568 Idiom fliE=-i TO. Budget Transition . _Im UATI_. (rev_;c�;) FROM R.A. Fineberg SUBJECT: FY 37 Year -End Short:all Preliminary estimates place the FY 87 year-end shortfall at approximately negative ($593.0) million. This estimate may increase or decrease by up to $50.0 million when the r.n•:sl Fitanc^al ceporr tables are completed by the State Accountant during the coming week. In the meantime, this figure should replace the negative ($299.5) million anticipated by the previous administration in October as a preliminary estimate of the FY 87 shortfall. Changes in the ($299.5) shortfall estimate are: Unrestr. G.F. ($ 141111ons) Oct. 30 Estimated FY 87 Shortfall: ($299.5) Decrease in FY 87 revenue (Dec. forecast) (74.4) Annual ?in. Rpt. V. Budget Estimates: Receivables, reserves etc. 34.6 Other (final estimate pending) Remove lapse balance (10.0) Revision to TAPS refunds estimate (12.1) Increase Extraordinary Repayments to GF 1.6 Remove transfers counted in AFR (13.0) Add transfers not in AFR 100.0 Remove proposed repeal of capital project and loan fund balances (81.3) Net increase operating agency restrictions (DOE: +13.9; Courts, Leg:-(8.31) 5 r Subtotal: (348.5) 1986 Session Capital and Loan Restrictions (219.5) Contingency for FY 87 Supplemental Appropriations (2 S . () Y Dec. 11 Estimated FY 87 Shortfall: (593.0) The State accountant advises that final calculations could Alta- rhp a<nAl numbers in the .-n-al 7-na►+cial =-spo" by !r direction. The Divison of Finance ;emi-final estimate during the corning al -: ■ Short fa l l 12/11/8 (Fsge T—,4o) Note that this est_mate 2x_lud:!s ur_ •nt-f• .r agency restrictions and or, —rating .:ci,!ncy Transition Team concluded that ar.Qrat_ng appear to be effecting valid reductions to t:.Q L-udget. Exclusion of lapse from these calculations is consistent with the premise that revenue es�-mates should ce cast conservatively to avoid unnecessary dislocation due .o declining revenues. Attachment #1 contains the summary data; attachment 02 details these calculations in a standardized format that is useful for tracking revenues and appropriations; attachment 03 adds a column to show t:,e current estimate against the calculations that produced the ($299.5) million negative used by the previous administration; attachment #4 is the latest version of the preliminary FY 86 ;�r.."':a? F4 n-4 al statement from which the FY 87 starting shortfall is taken; attachment #5 shows repeals, appropriated and administrative fund transfers by fiscal year. L L Ib 7I 1966.87 Com;lon Ilovenurs and Apprr,t.rl.itlf.ns Rre.,minary estimates basso on Buagot TranS.rAn Team review of OMB documents, workshouts (With restrictions) attached, ($ f-1,ll,onG) 72/11/86 (Unrr,,!Anctetl G.F.) FY E7 Appropriations Total (1986 session Wrestrlctions) $2.153.5 (2) Estimated FY 87 Year -End Balance (Shortfall) (593.0) (3 ) Revenue (1987 Session): 1987Sess;on Carry -forward to FY 88 (Shortfall) (593.0) (3) FY88 Revenues (DOR Jan. 30% case) 1,325.0 Adjustments to FY 88 Revenue (41 Estimated Total Available Revenue (FY 68) $732.0 Notes: (1) These numbers reflect 30% December forecast totals and preliminary FY 86 Annual Financial Report da!a. (2) 1986 session operating, capital and loan appropriations of $2.580.2 million less restrictions of $415.0 million and $11.6 FY 86 supplementals. (Source: 1936 Appropriations Digest (OMB, operating restrictions adjusted per DBR 11/24/86 (Leg. 8 Courts and OMB 12/11 (school debt)). (3) Estimated shortfall for FY 88 includes ($219.5) million for capital and loan restrictions and ($25.0) million for FY 87 supplementals. (A) Anticipated extraordinary repayments to General Fund of $2.8 million approximate FY 87 well credits: Therefore no adjustments to FY 88 revenue are necessary. ]6] !rl L ATTACHmEtyr a1 pL�JUNVi p� CL CJ .... y y W T p. Q n u' 'T 1 ., aj -n �k �;; UO W Gt rD t�C j N! W 0 9C1N C��i N "' CD O _ _ th u w CZ) � T a o0 ;co CL CD a1 rn O > W � � S NLn w ic K3 m a co s 4-4 g E+ +_ o A A S AR t7 O 'C N 3:B N � r O. 7 .7, y u Cf70cn NN CO coo Ja O N O 00 Oca00 oco CL �?"0 9 �i �no3° 0'_ 4 CA m a)V v �1 N CC V1 t2 n+ m0 In m V �O o� A 4. � � w7 •-N a N � i { 0 O c 3 3 w u as ,Z w N � W � N G N Ci$ ..•..1 11 r , �r y .1 Y t•..rr'-FET (EL'E'a.'CO Ar.-QCXn1AT17'j5 s1.0 1; 11 06 1' 04 - TAA•.WEA- . 19e5 AND IM LFGtSLATIYf, 6C'.`I:^'i9 t•'•. r••e �' •. ' ••• - - 1 L{:-8 M Ca•"I'FOMA'a 'O •t:AS �A+.S Jn 1 ,/t1 r , i r-, „- n e•- ,. 2 ';95 Te SS J"A JJy A'. aw:n FY'.�[''r.••.Or Alro A FY0 C:aw.•vyP•a;a�f_ B Caaa P•: tt:s r + C )car, P•w;'a^n, C a / 3 905 ae5a tX A;,.s, p^s w P o• 1'bN Ab9rCY & Una I 4 A: ali-ants + / AAc.a:^o^amFYB5ok-jalr,%waRonon r + 5 FY 85 vrv•En: Ca.anca 1213 0) FY 13" •. m 1 .-A 1i11WA 'T. 12 6 Est-vo0FY66Rovan.esIDOR3,1w86=ic3wl / 1 26910 U!'R 0.1 ar•.o•IL'e - u^yt xveos FV eb TAI•$ pan. ose •atumos 6 ttr}N► / (+u.a ri'r.on,o ya•n u;,•r 1 f,PI vd'• o ",-,. r'. 7 Ad,&tr,ana w FY 86 Rovor,oe / A Dr ii'n0 t eontrve Crew / (0.7) VAB M. -.1•e B Eat•aw•:vryPay"wL%totaro•&!Fund / Ea 01A0w:-Joi'w5e0wrDaiCfCD•'. C. Es:.ram Low at FY 86 A wowao.ons ! 60.0 CIAO • 0. TAPS Ar .atme z: / Retw,r to Prvwve F•,M. 7a E ARCO P•oo,,Ct on Tax &O"Orrortt 0/1316) 1 243.0 Anno.n;eo l •t3 (6 i I Co ,•e55o•a.I"Ma tw 8;.9•Jva486 G Otu r (-a .mm re vnm 7B. in 628) / Bond [ia.•...' •7r ,t 6 al o U a,n 8 1;85 Se%&on Aodroo'aro• s wen FY 88 Efleczve Oates / A FY 66 Mwatng P-N-a.1s 1 12.274 91 t985 ADa oy a •Jn D ;esL 0. 17 B Caa a P c eeta / (43'! 0) ' C. L;:4nFro;•a^slO:•,a / (796) ' 9 Es: -a eo Ca^yFowo•a to 1>86 Bassoon r 23.4 (5.8. 7. B. �a nr:y a e fati 2a a to : o 1288 5• •; . o:ez + C. n.•7 t•0 }- F5 srst �^ L!•B A"^:'M •^••1•M'S lied SE551GN 1 Es:-a•ea C&••yFo•wa'd to 1986 Sossron / 234 From I•err 9 (no -ova) I 2 • •s56 Sess•ar A:,orpo• owns wtm FY 86 Ef'f,ctve Da:es / A FY 86C:o•a.NP•og•aT S pDa ))&Hats I (11.61 Estrr.avis (Sa348. C't. HES74,11.52) / 3 ' : *6 SMSS-0- A:.:st ans :o Pnor•Year Aao•ow.aoons / A Sar.:wry / 1752 •386A::roo•atwnD;es'. Con Wo•+a•e@s:150.2h85% s^5CHB5:3 I (et[I.,aaa aamrL L'a•1a'e•e 6lpwrn w.m FY 87 4 A. Ad FY 86 Annt.al Financ.a: Reoon 994 1219 o•e;,•r nary too aces 11'21 am 12 5 v e•s onto B. C ter P6 5-4 Can-%W Ad•isurlent from Urne 8.8-. 80.) 122 2 HB 57A ca9 a .n FY 86 AFR:A L.-as 68. anc BD., oe ow► Raw-ves a-o Crop Ac•.sl'nenl (•+• f50 C oer DOA 12666: f•A cl a 1212) 5 Estm:@o Ca•yFoMartl to FY 87 221.6 187.0 (1.2.3.4) 6 Ew.r-woa FY 87 Revenues (DOR t23'66 30% case) 1,334.2 1.4C6.6 DOR Oct. Dec. 1986 3:% uses .Oxc .a& TAPS It".,a 6 refines) 7 Ad sr+ons to FY 67 Rovo'ves A Dt.".ng Pv:entve Ctedd (SO) (5.0) Of -is Es. -we (tsasea an FY BC •87 date) B. E4:•awc wry PayrVAS to 0owrol Fund 12.4 Me OMB es: ga Ipor t:OR 12*2961 C. Est-81 l laze at FY 87 Approor•a:ons 100 OMB es, Mte (•oa.cvo Par C:a esttra:e. 7 86) 0. TAPS Re'. -as and Loot (recenoa after 311106) 65.0 77.1 Amount e.o: Oct forecast (10=0* 15 net of 138 6 to Re ny Day Acc:) E.19B6 Secs on Ac-rt.rvbraty@ Tra--sfote 70.9 83.6 11/27 erruaos 19.0.ne.,doo or AFR re,.m.nary at L-e 5 Renee s a":: Da'ao s,,tneauenl to 1986 AFR 100.0 Per DOA 11.26.86 (roe CIAB w'A•Rs• e*O F. RePea. D, or owral 6.0 67.3 Rov,seo I V27'86 tram Gove nova P•ess Re ease 1&, 86) 8 '286Sessa,Aw-oorat," A. FY 87 Cwa:n, Prog•a•ns 121E9 9. 181.3) (1.974 4) (1,9800) HA500. H3574 rRes. -,o s: kwawr. D ;est Taft a 'C' ev 121Sc';1 6 Cap%; P:,eca 1337.6' 213.4) (124 21 (1242) SBt 71. HB574 w-n resre: C•d (ADyoo",wn D pas: 6.e•v owl C. loan P•w,•a^e/O:. er (61.0. 6.1) (54 9) (54.9) S8171 w-1 reswctons (App•o9• w tins D pest O.e•v aw) 0 CaP..46Lca, Restnctons • Cont,-Nency lot Ssm'e-a^'aIs (244 51 9 Es:ore:ed Un esY.etaa GF Suodua (S+dr'alq (593.0) (299.5) Estma:ed Yea••eno Ba ante :esCrwos reserves) BUDOET RE5EAV11 FUND: Pa rY Day Aco:.rtt ;w rout TAPS) 2949 2949 Ra.ny Day Account FY 86 Yea -End iw:• :.t TAPS' TAPS aexs a z ROF 1386 138.6 (Per Sec. 762 Cn. 105 SLA 66) C aver Re @' :::n0•awa's 14 RI Sate Dorton of D 9&S:er Re e' low CM13 1: 26 66) Toa B.a;o: Fteo vo Fund 426.7 433.5 &.aget Forswore F na .HB 5' 3, HB 57 A 1 GF EATRAGA .NARY FAYIAENTS (P INCIPAL REPAID, ETC.): feat 12.4 FY &A .19 7 n ZM-a r.•e c+:ao•a d Y Inc9 • o. IFY 66 a tZ 61 8 Cr:••e a F."C er:'aw•C WIF Es; Cr L- on Deal cent' cares taa•a. FY 87 (DOR, 122) 96 Coot car.,',cates oad (•ev pe• DGA, 12 2 961 1. r xe a•ea{GF (AMFC, ASHA @:C.) 04 ►A sce a'teo.s GF : 4 Sr -a B-s -ose Revo.v.nq loan Fund 1DCED.102' 86) S•'a,. B.s rase To., a-Rew:nrlgLoam Fund 03 To: sm :3 A4C ARC - 0 9 PawPro Oct loan F m! flown ouapel form C•20 s' 1.1 PowerPowerP:,att Loan F •10 Bond Ba-a- 1-twest O.s two sa a gain 10 Sono F.-d lest w-rev o..e OF) 1211.66 4.. 'r.l.ay F N3 L F lit It' .41.16 ;6811 itirelif ;Gift Attitat to fi:: tit xp I fill I X. 1:4 rx m,:'M om:l 1 P, 1.9111. .:it, 00 .... . ........ :10"It .........•ii.. . .............. Zr* Ch" Ot a (ROv.403 +C :' 661 1i66.1i8i ptlrtrnr.tr• •r,q LLpr, tr •r. �r 6 P 71 a- _yr+ cry W � a.,� ; �.«�.fl r� t •.,r, . �_ s o ,� - r. • � . S � ,- ---• Me •anal Crvlrf Un,on Cxt�t Cat1-atra nf,civa 7 rt A *1:r••11 FY 88 Iran Pfv►arS Repaymnta (Ta,nbn 20. ern B_A'••Ls + r�I 36 FY 68 f x;;l,n9 Cruo,u (4.9 ostv a .e oat 1 � • a � Ld,s'M CnrryFon►ard to iW46 �ala�on^ �_ -. _ �?r.v o'--==•�r; r,5 �, -- -�==-1—_�=,.y ..--------^-•�^^-"—'"'� - � -T�rPf or• K;B i�N! nst fr.?7_6_F_� ^4 nt� '�„! i Errwto.nay FFc,eymrnts to GF (rVoct5 a un,on WOCJyrror,os of C 0's) 10 3 100 too FY87.69 Lass (5 01 rs 0 rS Ot FYB7 Gritting Crod;t$ (44 eat. v 8;26 oat.) 10is 0 7 B TO!al ae ustTents to jYA7,PA gtvtrtae a's Oro r Offer Sysran (Stated ,n S=) WA I JCED Traits": ($osSrx+ efl ) PCALF cash in suspense (transfer) 9.0000 pmw P,ojod Fund Lame (;,rr a. 502. Ch. 105. SLA 85 ) 4,G0o 0 aropoced Sa,'e of GF Aasrts (e11. 711,%) 12 8000 State ktwroae Loam (to AHFC) obj .vat s of Sta9 Corpotat*M 2g,500.0 (to ANFC, all Cate 71t.136) ASBA tarstrrs to GF. 7,000 0 lease bul;din9 progfarn surplus 7 urtddsgnatod Surplus 7,500.0 Sll B,is'.ness Lrr rs (to AICA) ma 20,000.0 ! Admin:sratsre Lapse from vanous 2.5000 c.V�-A andor loan funds ,war ASSA kw 1X17, and SEA 00u.•re0 in MR llu.Y revvme /areoast) NCN•STATUTCRY TRANSFERS (FY 66 SUBTOTAL): _.. _..w..wnv .n&ueeeee rev AT CIIATMAL1 91.400.0 Isla" in t"I CoTr"o"s tows +d +, AS' (esl. 11r27.861 p,036 0 AkSAS 7rtrr86 (FY 86 GF) 4,0000 AkSAS 2n LTIS N#Jst C'N PR trrL-" 4.504.0 DCRAhCC est 10'86 (non•dofinQ. Musing 011y) 3,6430 Marine View (esL 1 vves) 24.957.0 AMFC in:efds to aMuire Cis a,'nount 7,000.0 Pond;ng Oct. Se beard r wtng (ASMA may fold 10% "crime) 7,500.0 String 1087 (reasons lot delay unclear) 23.1920 Received 5r86 from AIDA q (DCED will tansfer G. 1111) 0.0 Capi�11 bata%ws dupGp:e proposed capita! lapse 7116,98 13.036.0 Rolere.'+ae Total: CA -ea s r Raacorata-om era 574 as O^ac:901 - 6,000.0 6,000.0 (Fund 13707; In FY88 cash) Puol. Faol. FAAn.ng Fund (S. 61) ASIJA, (a. 363; We admin. t7ars19111)) 5.000 0 5,000.0 EaL 11/1.86 (To o0nfinn contact: veterans Rovolvin9 Loan Fund R9poal (a. 39) leY Green, O-. W Lean Fund Repea�s (a. 427): 4C8 8 aoe 8 Co . reed DOE)) (AkSAS) veterans 0 2.000-0 Completed 811fa138 (AkSAS) h Comm Fish 13,350.0 3,350 13,3500 Completed 8J16118 (AkSAS) Mining 1.809.0 1,6090 Completed 81 &SO (AkSAS) All. Erie roy 1.8000 1,9000 Compteled 8n6l88 (AkSAS) R� Energy 1,779.9 1.7799 Completed &21r86 (AkSAS) RPow�er 0ev 18.605.9 6.520.1 Completed On6'88 (AkSAS) ALF 10,015.8 Baw4o horn 4-Dam Pool by SUBTOTAL (a. 427): 39,753.4 tl'311I67 (FY86 cash Or fables) 5.4900 2.763.3 OMB.AtSAS (a. 45S void) PCA'PCE Lapse (a. 463.455) 70.0000 �� 70,0000 Pend,ng ANFC bard sale of 1125 , PALF (a. 551) �./ i PFO (a. 553.7; vetoed) ---- r/AIGR F:PEALS (SUBTOTAL), 126.2434 123,516 7 28,9390 CAPITAL REPEALS (Est.;;n i. rtp�ea's to raw Projects) INS 25,b89 0 let 2 74t 2 �yC-PAr"aF r'°.a4S $74 TOTAL REPEALS'REDUCTIONS (FY86) 76,246.9 Rel51 :419 row., 15t :46 9 !me S74 TOTAL PEPEALS•'AEDUCTIONS FY67 153.973.6 75.000,0 «w, !a, we 5C4 s it, --3-wav Eou or•,gnt Wav'nz Caa'af F-ind 25 rM0 0 -•9 574 Bit Be. Sonoo 7.71 86 ,1;e1 c•sks17 t9t i 25 "0 Fed 22552 "roved in FY 87 ;,SF1tid8 11r21.861 o i ....••..o�. adJ.ri+ r+w4r1 >'•• ;..10.. 21t.9 •..lr•r..r rt•�t..�lf w -I INTRODUCTION REVENGE OPTIONS The attached sheets identify a variety of general fund revenue :measures, both one-time and recurring, which could be used to cope with the FY87 year-end shortfall and to bolster state revenues for FY88 and in the future. This information is presented with several strong caveats: First, these measures are options, not recommendations by the budget team. Second, the budget team consistently chose the lowest estimates of revenue generation available. Some of the options, if adopted, might raise more revenue than that which was identified. 'third, some of the options are mutually evclus:.,e. You cannot, for exa-.ple, choose to phase out AHFC and still receive a yeariy income return from AHFC interest flowing to the General Fund. Fourth, all options are not equal in terms of good public policy, ease of implementation, or political soundness. Finally, any and all of these options must be thoroughly researched and analyzed before being adopted by the new administration. . (in mill....... °) FY;7 Y=a G.F. Revenues -unrestricted $1,399.2 $1,325.0 Adjustments to G.F. ______7_.4 __ __ '0 Current Unrestricted G.F 1,411.6 1,325.0 ONE-?IMEREVENUE MEASURES: Budget Reserve Fund* 428.5 Railbelt Energy Fund* 281.0 AHFC Purchase of HAD Loans 100.0 Bradley Lake (Change of funning source) 95.0 Cass; -out Loan Fund Balances* 37.3 Sale of Student loan Portfolio 136.0 Sale of Other Loan Portfolios 122.9 Dinkum Sands Anerada HESS Disputed Taxes ? ? Repeal of Prior Year Cap. Approp.* I (up to $950.0) Unencumbered AIDA Assets 162.0 Sale of State Assets (AHFC, Ak Railroad, 4-Dam Pool, AIDA) R=C'�'RRING REVENUE MEASURES: Lottery* 11.8 Gov't. Loans & Debt: Debt Restructuring 50.0 45.0 AIDA Income Return to G.F. 23.9 28.9 AHFC Income Return to G.F. 41.8 41.8 AHFC Phase -out ? ? Permanent Fund: Earnings Reserve* 281.0 18.0 Inflation Proofing* 138.0 357.0 Dividends* 362.0 393.0 Oil Taxes: ELF* 31.5 123.4 Severance Tar.* I Petroleum Corporate Income Tax* (See Corporate Income Tax) Separate Accounting* ? Reserves Tax* 280.0 Oil Gas !! Property Tax (per 1 mill)* 16.0 0 1,373.9 w 238.0 (F'i89) ? (F':90) owed in disputed taxes) 11.8 35.0 28.9 41.8 0 484.0 423.0 151.8 280.0 i 16.0 MEN= i u Cther Business Taxes & Licon7o3: 240tcr Fuel Tax Increase � Aviation Fuel Tax Increano* t Naterfuel Tax Increase* j Misc. Fees Increase* ,( Licenses & Permits 5.4 Corp. ' Occ. Lic. Motor Vehicles !i Bev. Lic. A: -%use . Fishing & Hunting Vehicle License (1% of value) 13.4 APUC 4.0 Oil & Gas Cons. 2.5 Bus. Lic. Fees 9.5 Misc. 1.0 Tobacco Tax* Alcohol.Tax* Business Gross Receipts* Regressive or Flat i Corporate Income Tax Household and Individual: Income Tax* ` Sales Tax @ 1% ` with food or excluding food School Head Tax (@ $25 per person)* Real Property Tax* Personal Property Tax* Land Speculation Tax* 'I * Legislation Required W � 1.7 7,'7 4.1 1.5 1.5 4.8 4.8 31.7 38.4 or or 53.9 62.3 93.0 93.0 125.0 250.0 55.4 55.4 or or 33.0 33.0 5.0 5.0 ? ? I i `I The "buffer" fund wan crew od .lart yvo_ ot-i" of `,:;�, <<.r. (Jr "rainy day" fund and $139 million from o."" (Il!"pt.t oil tax matters. The current balance of the fund in approximately $428.7 million. BY statute, 25 Fercent of thin amount will be available for spending in the FY88 buret. [Source: umB 12/86) Rai'_belt Energy Fund The $281 million in this account .:as originally appropriated to assist in financing the now defunct Susitna hydro project. It is argued that the fund should be reserved` for energy related capital projects in the railbelt area. For some, this apparently includes the Bradley Lake project, but others argue that project should continue to be financed from the state General Fund. [Source: OMB 10/86) AHFC Purchase of HAD Loans The remaining value of Housing Assistance Division loans has not been determined (because of delinquencies and poor market conditions reduce portfolio market value), but the Alaska Housing Finance corporation estimates that it would purchase the remaining portfolio for approximately $100 million. This amount could be returned to the general fund. rc.,,,,.,.... n__ *_,.� *•.. , meeting with budget transition team -1- .he General Fund can rei:.ze ;`+5.o m, f r, •.l,r . , cancellation of t.x eradloy T,.ap hydro ��rrj� _,•<. If. •.s project were continued through the Railhelt K.-o-irejy Furl, t�:fl General Fund could realize $50.0 million appropriated for FY 87 and would be relieved of rnsponsibility for an additional $50 million proposed for FY 88 to conplete the general fund portion of the protect. (Source: 0249 12/86] Ca sI -out Loap_ Fund 7 a 1 ances This amount represents existing cash balances and -gain from FY 87 restrictions of lending activity in DCED, APA and D2:R loan programs. (Source: CIO 8/86) Sale of Student -Loan Portfolio The State currently has a portfolio of approximately $35011 in student loans. The sale of the Student Loan Portfolio could realize $136.OM, given current defaults. The annual income stream from loan repayments to the Post -secondary Education Commission would be lost. [Source: Milt Barker, Dept. of Revenue memo to transition team 12/86] Sale of Other Loan Portfolios In addition to the Rural Housing Assistance Loans (see AH.0 purchase of HAD loans) and the Student Loan Portfolio (see sale of Student Loan Portfolio) the State also holds Agricultural loans (equity $96M), Power Development loans (e(rjity $188M), and other Commerce loans (equity $14814). The -2- s1 L sale of those :can partfoli©s coui(I current default and "IelinqUency rAtt.,f,. -nie scream to these loan programs would be lost. rsDurfje: Milt Barker, Dept. of Revenue, memo to hudgnt transition team ti 11/86] Dinkum Sands U.S. v. Alasy.a. This case is a dispute over ownership of the Dinkum Sands area bordering the Arctic Ocean. Oil companies paid the U.S. government for the right to explore for oil in the disputed area. That money, plus interest, now amounts to $1,150 million, which is being held in escrow by the federal governrent. The Department of Law says the state has a good chance of securing this outcome. Even under the worst possible outcome the state would receive 27 percent. (Gov. Sheffield sought but did not secure the release of the 27 percent). Assuming no negotiated settlement, the case will probably be resolved in the U.S. Supreme Court in late 1988. [Source: Barbara Hermann, Dept. of Law briefing of budget transition team 11/86] Ar-erada Hess Alaska v.-Anerada Hess et al. This litigation concerns the valuation of royalty oil. if all issues are resolved in favor of the state's position Alaska will receive "hundreds of millions" according to the assistant attorney general handling the case. The state hopes to reach trial on the merits in state superior court in early 1988. Assuming no negotiated -3- -I _-. F settlement, apneals '-a*:G Y-ir- , 'J Maynard, Dept. of Law, briefing of ljuli3ut 11/f36) Disputed Tares The Department of Revern:.e claims that taxpayers uwe the3 state $1,495 million in back taxes thru 1982. Ninety-seven percent of this amount arises from disputes with oil companies concerning severance tax assess-ents and disagreements over net income determinations under the oil and gas corporate income tax. The Department believes that it will eventually collect a large proportion of this -amount, but will make no estimate of the amounts likely to be collected in any particular fiscal year. [Source of estimate: Dept. of Revenue, budget transition team 11/86) i L'nencu.:.bered AIDA Assets AIDA currently has an estimated $162.0 million in unencumbered assets which could be utilized to purchase State assets. For example, ASHA issued State Lease Revenue Bonds through 1974 for construction of public buildings which were �j J secured by long-term leases with the State. All structures leased to the State are operated and maintained by the State. i A total of $106H in ASHA bonds was issued. Currently, the debt retraining is less that $40,000,000. Included in the facilities originally financed by ASHA was the Juneau State Office Building (completely paid off). Refinancing the State j I .l -4- f I Office Building , hroucih ;in an injection of cash on li u C;�_.�.Q ._;i:.{.y ;., .: r ,•!:,;, J `,Lt.'.7:'n is operating costs in lease pay? ntn to repay `Y:ic. now (Source: Budget Transition Team 12/86) gale of State Assets - The State holds significant financial and other assets in i AHFC, AIDA, the Alaska Railroad and the Alaska Power k� Authority. These assets could be sold (or the corporations k privatized through sale to the private sector). No estimates are available for yield to the state from these actions. Sale of AHFC - Privatization. In June 1986 the L fi corporation held cash and marketable securities worth over $2 billion, among total assets of $6.4 billion. If all the mortgages held by AHFC were paid off, and if AHFC in turn paid back the money it had borrowed in the bond r..arket, $1.5 r! billion would remain. If the subsidized loan program were terminated, all of this amount could eventually be returned to the general fund (over a period of 10-15 years). Effects on the housing market and Alaska economy have not been evaluated. Y 7 [Source: OMB, AHFC 12/86] Repeal of Prior Year Capital Appropriations Capital appropriations do not lapse to the general fund if they are not spent during the fiscal year in which they were appropriated. Repeal of these unspent appropriations -5- • J L could .:ovi ae cno-ti:-,e ,ava i i ib: '.ity reappropriation. There is a ttitai of million in unspent capital project appronr i rstienn. ,ic Itr.tr�: is divided between state agency prc; r�ct:-, ,and capital pr ,'nr,t: grants, mostly to local governments. Tn the last two years the backlog of unspent capital has been picked over intensively; most of the remaining money is being counted on by some community or agency, though the legislature could still legally reappropriate sore portions. ;Source: Budget Transition Team, 12/86) RECURRING REVENUE MEASURES: Lottery A state lottery as proposed during the last legislature could yield approximately $12 million in net income to the state. (Source: Legislative fiscal note 1/86) G.O. Bond Debt Restructuring This restructuring action can be accomplished by the Executive Branch through the Bond Committee. Debt can be rescheduled in various ways to provide for example (1) level debt service, (2) a constant annual percentage of unrestricted revenues, (3) a short raturity :teen years duration, (4) a longer schedule for a lower dedication of an annual percentage i revenues and provides for future debt -6- I • 1 ca. 3c=ty, (6) var} .r.q orr. r, basis dorcnlent upon serial or tc,::n I`n-rr; —;'• rates or (6) the opportunity to capitalize intnrQ,t if necessary and prudent. Existing debt could be rescheduled in its entirety or partially. Such resc;;eduling could reduce debt service a payments by up to $80 million per year. The effect of i restructuring would be to lower State debt service payments over the FY 87 - FY 89 period, while increasing those payments in the subsequent years. (Source: Bond Counsel and budget transition team worksheets 12/86] k u AIDA/AHFC Intone Return to G.F. r Net income for the two agencies for FY 86 was $28.9M i (AIDA) and $41.814 (A.%FC). Both have substantial eTaity. 1 There is no evidence that new income flow is currently u utilized to secure new debt or is pledged to secure existing debt. Automatic retention of earnings by AHFC and AIDA may not pass constitutional muster if challenged. In recent years, earnings from other entities have been appropriated back to the agencies by overt legislative action. (Source: Budget Transition Team, 12/86] -7- L 01 r � 1 f By the end of the current fiscal year the re--ervc—, are expected to contain a $281 million excess after tranafc6rs for inflation -proofing and payments of divid�!n:s. This a:oney, along with a possible $18 million accunulating during F188, could be appropriated to the general fund. This tra^seer would require no change in statute (other than an _E appropriation). [Source: Alaska Per.-narent Fund Corporation ' 12/86] Inflation Proofing The Permanent Fund Corporation projects that it will set a aside $138 million for inflation -proofing in FY87 and $357 million in FY88. If these amounts were diverted to the FY88 budget, by statute the result would be an erosion of the real value in the principal of the permanent fund. [Source of estimate: Alaska Permanent Fund Corporation 12/86] I Dividends Under current law the Permanent Fund Corporation projects that $362 million and $393 million will be available for dividends in FY87 and FY88 respectively. Both amounts could �( be diverted by statute all or in part, to the General Fund. Currently, dividends are calculated each year based upon one-half of 21% of 5 year earnings of the Fund. (Source: i Alaska Permanent Fund Corporation 12/86] -8- ■J L ,, L OIL :y?: S: r� p Elimination or modification of the Ec onrimir 1.i, Factor (ELF) provision could increase FY 88 forecast severance tax revenue by an estimated $70 to $150 million. Although, studies by the Departrent of Revenue suggest that the ELF chan=es under discussion will cause a s^all loss of future production, every barrel of forgone future production will yield approximately $70 in additional tax revenue. There are several options for c::arges in ELF; this estimate is used on the "field alternative" now under study by the state .ax Policy Corrunittee. (Source: State Tax Policy Committee 12/86) Severance Tax The current 15 percent rate on Prudhoe production compares to a range for other fields in Alaska from zero for r,.ost Cook Inlet fields to a high of 7.7 percent for the Kuparuk field. [No estimates have been developed for this alternative] Zetroleum Corporate Income Tax (see Corporate Income Tax - Business Taxes) corporate income tax is forecast to FY 87. 0►4B estimates that return to -9- L �1 J u F. some fcrn p: `h'? r'er:irIto ..`i - '" �; -I 1"4 I` - a income for oil and gas corraraeirni; wo,,;I(3 revenue under current forecast sconarieins tar: s,7 z :tin acv: be larger if the change to separate accounting were :-nrle retroactive to January 1987. Separate accounting is more sensitive to price than the existing tax and therefore could result in reduced revenue in latter years. The separate accounting .-.ethod used in Alaska from 1978 to 1981, was withdrawn in the face of a legal challenge that subsequently failed. [No-stimates have been develcped for this alternative) Reserves Tax Alaska does not currently tax the property value of oil and gas reserves. (The state did impose this tax in 1975 and 1976). Reimposition of the reserves tax at the previous 20 mill (2 percent) rate could bring as much as $280 million annually. [Source: Dept. of Revenue 1/861 Property Tax Alaska does tax the property value of facilities and equipment used in oil and gas production and transportation. The tax rate is 20 mills, with a part of the revenue is returned to local governments, depending on the local tax rates. Each one mill increase in the tax rate would increase state property tax revenues by $18 million, though about 10 . would be offset by resulting -10- w r i 9 j r , decreases in aevcr.l:..:n tax .1r"A r,'`l. l :ui il•, 1 p the offontt'_ng reductions, add only ;rill i(.n -11, (tenth of a percent) increase in the c. l and jrsa prr i,c,r.ty "nx. (Sou;.ce: Cept. of Revenue 1/861 OTHER BUSINESS TAXES & LICr;iSES: Motor Fuel Tax Aviation Fuel Tax •:ate-�••oi_ ^__ax If all fuel taxes were doubled and allowed to increase with inflation, the following additions to revenue would result: FY87 FY88 (Million S) Highway Fuel Tax 25.0 28.5 Aviation Fuel Tax 8.3 9.6 Marine Fuel Tax 6.1 7.7 The incidence of the tax is on both consumers of highway fuel and consumers in general . A portion of the tax is paid by business on the fuel they use in producing goods and services and is passed on to consumers in general. The a"^;ae^^^ 4^ regressive because fuel expenditures represent a tage of income for low income as compared to high -11- L_ I � 4 I- incc-e taxpayers. i.art or '-!:e .: c. Iw i� .!i .. 1 _ ,t state to nor.residrnt tourists wh© �v:.,,;: e :_:�' ui,.1,.1n In ter:rs of cccnomic efficiency, r.t:s+i tt�x relatively more expensive compared to other co: noditif-n, thus altering consumer choices and resource allocation. In practice, the demand :or fuel is fairly inelastic relative to price changes over the short term and within a reasonable price range. Thus the yield from this 'ax should be fairly stable and increase proportionally to any rate increase. If population in Alaska increases, the highway fuel tax whould show a proportional increase. Ad,inistrative and cor..pliance organizations are already in place and changing the rates would not entail any additional costs. (Source: Dept. of Revenue 1/86] Miscella sous tees Increase: Licenses and Pernits Licenses and permits, including corporation/occupational licensing fees (AS 02.05, AS 10.05-.35,AS 21.06-.90), motor vehicle fees and permits (AS 05.30, AS 28.10-.15, AS 42.10), alcoholic beverage licenses (AS O4.10), amusement and gaming fees (AS 43.35) and fishing and hunting licenses (AS 16.05 and AS 16.43), could be increased. If all the licenses and permits were allowed to increase with inflation, the following -12- L • i --Y r i additional General Fund ,and F_rh ani .-, i,,.,i be realized: FY 87 FY 88 Licenses & Permits 3.2 5.4 (millions $) If revenues from licenses and permits are still considered insufficient, a vehicle license fee could be i 1 enacted. The vehicle license fee could be levied at the tine of registration is lieu of a property or ad valorem tax at a j rate of 1% of vehicle rarket value. The following additional revenues could be generated: 1 FY 87 FY 88 ' Vehicle License Fee 12.8 13.4 (millions $) (Source of estimate: Dept. of Revenue 1/86) APJC Changes in APUC funding are available through levying a gross receipts tax on utilities and common carriers, and/or allocating the cost of staff time in specific proceedings. F Both options reasonably associate the cost of regulation with the benefits derived from the work of the APUC and its staff. (This option is included in Governor Sheffield's draft budget of Nov. 24, 1986. [Source: Dept. of ?evenue 1/86] { -13- L. a Oil & C, as C ^-rva-ic.'a t The existing oil and gns .n „s can be increased to cover the -rmount of the ar.pra ing cot�ts of the Alaska Oil and Gas Conservation Commission ("comninn ion"). An oil and gas conservation tax is included in most of the conservation Acts of the 30 oil and gas producing states. The tax would be in the amount of four mills per barrel of crude oil and 50,000 cubic feet of natural gas. The connission has ! f calculated that approximately $2,680,000 would be collected annually if this bill were enacted. (This option was included in Governor Sheffield's draft budget of Nov. 24,1986).• ,i [Source: Dept. of Revenue 1/86] Business Licenses The license fee for each business is currently $25 for each year or portion of a year for which the license is issued. This option would increase the annual fee to $100. (Source: Dept. of Revenue 1/86) Miscellaneous Fee Increases Includes user fees increase for parks, museum, etc. '4 ,Source: Budget transition team estimate from new legislation I and transition reports] ax were allowed to increase with ribution amount per pack to the School -14- . J r- Fund hurl Co^,5Car.L 3"_ $. 05 t: r'? , • : � : lr.; � ; • . General Fund amountz olild t;e FY 87 YY t19 Cigarette Tax 0.9 1.5 (millions $ (Source: Dept. of Revenue 1/86) Alcohol Tax If Alaska were to equalize its excise tax rate on wine and beer to the equivalent amount of absolute alcohol contained liquor, it is estimated -the revenue gained per year i would amount to $4.7 million. Using the absolute alcohol amount in liquor as the base in an excise tax rate of %5.60 per gallon, the equivalent rate for wine would be $1.83 per gallon and for beer would be $0.58 per gallon. [Source: DHSS memo 10/30/85] Business Gross Receipts Tax The gross receipts tax portion of the Alaska Business License Act, AS 43.70, could be reenacted. Currently under AS 43.70 all persons or businesses must purchase annually a business license costing $25 for the privilege of engaging in a business in the state. Previously, most businesses paid a .pts equal to one-half of one percent in $20,000 and $100,000 and one -quarter -15- of one percent on qr osa 3'I+t:o i + ::, S n +'x 't ",f; G.` this gross receipt, tax were reenacted with prc_vi!•.;�y existing rates, the following additional rovvray.ti F,,,y.3 �o generated: FY 87 FY aft Business License Tax 36.1 38.4 (millions $) w If the gross receipts tax were reenacted but if the previous regressive rate structure were replaced with a flat rate of one-half of one percent on all gross receipts in excess of •$20,000 the additional revenues would be as follows: FY 87 FY 88 Business License Tax 58.0 62.3 (millions$) Sixty percent of the previous gross receipts tax went to local incorporated areas. If this aspect were retained, the net to the state would be approximately 40 percent of the above amounts. Corporate Income Tax - Petroleum & Non-Petroleu The existing graduated rate schedule could be extended by adding additional marginal tax rate categories. Presently all taxable income over $90,000 is taxed at a rate of 9.4 percent for both petroleum and nonpetroleum corporate tax payers under ix Act, AS 43.20. If additional i I -16- categories were added suI-; that tax,1t,p y•1,. + ;�-„f, �i million and $4 million would be tayr-d eAt 10 por_ ,nt, ..r•.r.,,r;;�. income between $4 million and $10 million at 11 porc-ont, taxable income between $10 million .and $100 million at 12 percent, taxable income between $100 million and $500 million at 13 percent, taxable income between $500 million and $1 billion at 14 percent and taxable income over $1 billion at 15 percent the following amounts of additional revenues are w projected. FY 87 FY 88 Corporate Income Tax 92.5 93.0 (million $) Although the corporation pays the tax, the burden ray fall on equity owners, employees, suppliers or consumers of products produced by the corporation. For this reason it is not possible to say whether the effective incidence is progressive or regressive even within this nominally progressive rate structure. It is likely, however, that at least part of the burden is shifted out of state to nonresident equity owners and consumers. The total burden of state corporate taxes is diminished by the provisions which allow the deduction of rtate corporate income taxes from taxable income when computing federal taxable income. (Source: -17- I ' � I 1 HOL'S F HOLD P.ND 114DIVI D-AL TAXYS : 'f Income T The Alaska Net Income Tax AS 43.20.011 (a)-(d) could he reenacted to apply tc individuals. If a measure similar to i the previous tax were instituted, the Department of Revenue estimated the following amounts of additional revenue could he generated: FY 87 FY 88 Individual Income Tax 330.0 352.0 ILA (millions S) These estimates were based on the most current DOR employment and income projections combined with previously estimated individual income tax eq uations available, Jan. 1986. The budget transition team revised these estimates downward to approximately $250M based on the revision of federal tax rates and expected lower levels of economic activity in Alaska. (Source: Dept. of Revenue 1/86 as modified by budget ► ( transition team) r -18- L L.� I C�naral�Sn�.�s _ :'aK A general sales tax could be enacted at the State level. Alaska currently has no sales tax at the State levol, hownvox seven boroughs and fifty-nino smaller municipalities do levy some form of sales tax. The rates levied range Irom one percent to five percent with six percent being the maximum a municipality is allowed to levy under AS 29.53.415. The base upon which these rates are levied also varies with different exemptions being allowed in various communities. If a sales tax were enacted at the state level it would be in addition to the tax at the local level. Currently forty-five of the fifty states levy some form of sales tax at the state level. Food purchases, except restaurant meals and alcohol, are exempt in twenty-eight of the forty-five states. Prescription drug purchases are exempt in forty-three states. Gas and electric utility bills are exempt to some degree in thirty-two states. Five states exempt clothing purchases to some degree. Also, nine states allow some credit for sales taxes paid against state income tax liability. These various exemptions and credits are meant to ameliorate the regressive incidence of the sales tax. The rates levied on taxable purchases of goods and services varies considerably from state to state with a low of three percent to a high of seven and one half percent. :he median rate levied by states which exempt food is five percent and by those which do not exempt food is four percent. -19- J i Rased an Jan. 1596 r r o j oc` 'lon 3 of the probable revenue yield frq= it 6n— LiL'GJfi� 1: • 1`/, n..'i 3 be as follows: FY 87 FY 8F6 Sales Tax Revenue 42.5-70.0 44.3-73.3 (millions $) The two figures shown for each year represent point estimates of the probable sales tax revenues with and without a food exemption. Also note these figures are for a ore percent tax rate so the yield from a higher tax rate can be calculated accordingly. in reviewing these estimates, -the Budget Transition Team has discounted the yield from a 1% sales tax to reflect a downturn in the Alaska econo-my. [Source: DOR 1/86, revised by Budget Transition Team 12/86) School Head Tax The school head tax was a $10.00 head tax assessed all individuals employed in the State. The tax was repealed at the same time individual income taxes were repealed. Reenactment of a head tax at $25.00 per head is estimated to result in a collection of $5H annually, based upon an estimated 200,000 individuals employed in the State annually. [Source: Budget Transition Team, 12/86] ii i I I -20- L_ � , I II , --T t?i b Real and pernanal it' e�a,1[ :'] ;•r; jr,,',UY'9 �f been held to be within tho purviow cif ]oc:�1 �c�.e" .:•„r,� .. ;'.r•J states do, however, levy ro.al and plt�r,snnal r>r -Lty on a statewide basis to La reallocated to local co.rtnuni.tis--3 thri telh {. revenue sharing, or some other form of local government assistance, in an effort to equalize local wealth. (1to estimates have been developed for this option) I r Personal Property Tax (See Real Property Tax) (No estimates have been developed for this option] d Land Speculation Ta_X A land speculation tax could be developed to tax capital gains on land purchases at the time of sale. [No estimates have been developed for this option] •1 -21- L «-I Subcommittee t:e:nbers: Brian Rogers, John ` ,crccY, and Fineberg Summary: In the face ct the extrcmely difficult challenge hosed by changing oil prices, it is not clear that the revenue forecasting model and the procedures used by the Dept. of Revenue (DOR) provide timely, useful and accurate information on anticipated State revenues. Non -forecast uses of petroleum revenue data are similarly unwieldy. This report identifies seven problem areas and recommends broad approaches for resolution. None require statutory action. Five of these problems relate to the Department of Revenue; the final two points are inter -departmental. T:Nc_ i)QR for —as'* s et 1 appoars slow t respond tO raim_ ' The December 1985 forecast anticipated significant 1-^-^--eAses from the previous forecast for the fiscal year (then nearing its midpoint) and revenue increases and for each of the next two fiscal years. The March 1986 forecast reflected a significant drop for all three years but failed to reflect the severity of the revenue decline, even though the price slide was nearly complete. (Graphs submitted to the transition team show that the daily spot -market price for A.NS crude had reached its 6-month bottom -point at approximately the same time the March forecast was issued.) In 1982 we note that the forecast was similarly slow to respond to unforseen declines in oil prices. RECOMMENDATION: Based on failure to anticipate significant price swings in two of the last last five years, the possibility of developing a different forecasting system should be explored. 2. Tho DOR lorpcact cyst•em rrcds_cas nf.,sin2-oc�_ltc In the March 1986 forecast, DOR attached this caveat to its 30o-case estimates: "If there is a chance for error in this forecast it is on the optimistic side, i.e., the downside er than any perceived upside L in 6 � r `I 3uaget Transition Team Dec. 12, 1586 / rave rwo A similar warning has appeared in each of thr! la:;t x forecasts. The warning appears to have 1)een valid: Even the reduced March 1986 forecast figures were :;xynificantly higher for Fv R1 and FY 88 than the current f.oreca!;t lever:,. Nevertheless, we find the forecasters' caveat perplexing. The essence of the 30%-case forecast is that it is cons_rvative -- i.e., there is a 70% chance that revenues will exceed the forecast. How, then, we wonder, can it to that rM of the last four supposedly conservative, 30%-case forecasts erred to the optimistic side? We are not aware that DOR has instituted measures ur recommended revisions to the forecast system that produced this paradox. !; 4 RECG:•II4ENDATION: If conservative forecast ng is desired ;i to lessen disruptions to services due to the volatility of oil prices, new bases for revenue forecasting should be developed. (The existing model should be maintained to test simpler systems.) 3. Tha forecast cycta.n seams unr-spon�siyo to sh.nry rancro da-an a fnr revQnup forecast information. During the price decline of early 1986, DOR expressed confidence in its December and its March estimates long after other State observers had concluded those forecasrs were no longer likely to be valid. And as recently as Vov. 11, 1986, DOR forecasters advised the Budget Transition Team the October forecast was "on -target" aQbt but could slide next FRring. Three weeks later, the new forecast reduced current - year revenue by $74.4 million. This decline would have been greater without the serendipitous aids from tax breaks and a tardy reduction to the TAPS tariff in the forecast model. RECOMIIENDATION: If the current petroleum revenue model is maintained as the primary forecasting device, consideration should be given to updating the quarterly forecast monthly by plugging in new price data on a microcomputer spread -sheet. (Changes could be reported ! monthly, based on a formula that analyzed reported spot price trends subsequent to that forecast.) G DOR c.rc•ar^ .crui.S r'agend Q!1 tar•hc a1+a« race r+lrcar axa!ninarinn and tc tar nubl<_c reporlt n?. - Production costs, capital costs, pipeline tariff, tanker charges and market prices are representative of key parameters that affect the State's revenue stream. In some sews_ mAinr snmc ritia on the costs applied to these terms. h Slope production and its pipeline ree large companies, many of these La b �1 Sub ci.., T.l__ee i.eCC7IL: Budget Transition 'ro.lrr, F:ec. 12, 1986 / F 3::e cost elements are not determined in normal, transactions. For this reason, it is disturbin,.; thi% key ter.ris are not recorded in consistent fc,!m 3n ow- Fo• exa•nple, the Dept. of Natural R(�sourceu publishes nCnVh17 i eld data that are uncorroborated and difficult to reconcile with DOR reports. To develop a comprehensive picture of the three major companies' and the State's share of a barrel of oil, it is necessary to extract data from a variety of reports and data bases. RECOJO ENDATION: In view of this unique economic situation and its fiscal importance to the State and the State's economy, DOR should assemble comprehensive and consistent data through which interested citizens can understand the economies of Prudhoe Bay. S n� a�raaQ.w as n nl 1 t n-Cnrpn ct +Y 1 i R �y a do not�sR. n - w - -- -o no- - - - -a- - �.5:��� demands L In recent years the Legislature, the Governor's office and other would-be users of public information have experienced difficulty obtaining timely and useful information concerning the mechanics of the forecast model, and to public policy issues relating to State oil revenues. Examples of inadequate public information and inter -agency review include the final review of the TAPS settlement, separate accounting, the ARCO settlement and analysis of thle ELF. RECOI-MENDATION: The Governor should take steps to ensure that DOR fulfills its public trust by making maximum information on key petroleum revenue issues available to all involved agencies and to the public in a useful and timely manner. 6. n f+-on ser..p@ a° a tar to i n fa -mat ion nn Nort_}_1 Sic;e economics - In recent years; many aspects of oil economic questions have been kept behind the screen of confidentiality. For example, the Oct. 23, 1985 confidential decision -document on the TAPS case was modified after decision -meetings were held and before the document was released; the version on which the decisions were :wade was never made public. In 1986 a :worth Slope producer expressed dismay that DOR made public the producer's intention to seek revision of existing mechanisms to secure public revenue. While we recognize individual and tax -payer rights to privacy, on the other hand it must be noted that these events are typical of public policy decisions that rightly belong in the public sector. IN .�,.ttec ror.�: P.,•.,�.:,,. :get :'ransitign Toam Cec. 12, 1986 / PagQ Four REM-NENDATION: Before i:; rz {can is .;r:,1' "confidential," the Dept. of Law and the ;:1-P7in':, 1`^_ agency should ensure that it is in�i� �d r.�.�cc s ;nr.y nr,N ;.r to withhold that information from the public. If confidentiality bars release of individual tax-ra;•er information, the agencies should a**empt to nd release aagr.gate data that do not co..prcmise an indiv'.*,; l tax -payer's rights. 7. =="tar inhn--agency =n-44-4— nF n..«_�•_p_nr+t.1�--y.�'►� +p,.w. ` Because the State's royalties are derived from t :n ;'. State's function as steward of the land, this branch of oil revenue is managed by the Dept. of t.atural Resources (J::R). 3e�:ause the economic factors identified in Item 4 (abcve) affect both royalties and production taxes, multi -department r analyses of these factors should be coordinated. (Coordinated analysis was evidently lacking in the trans -Alaska PiYeline iI rate case.) With amounts well in excess of $1 billion depending on the outcome of the Dinkum Sands and Amerada-ess litigation I and an even larger sum dependent on disputed taxes (alc:ost all of which derives from the North Slope operations of the same three companies), the lead department in each of these endeavors reeds the best information the other can provide. RECO:C:ENDATION: The Governor's office should take steps to insure (1) that petroleum revenue data produced by different agencies are clear and consistent and (2) that legal efforts are coordinated by an inter -agency working group to guarantee a thorough review of all involved agencies before final decisions are made. w I E i c� �i i i r l ri '.14, 1W - ,., A series of Issue Papers have been prepared which addreoa a widr, r;,n;;r. „t financial and policy concerns. Some of the options covered by these Papery appear in a r.ore brief fc,r�, el-M, err 1n this report. I. Budget Reduction Tining Strategies - 1988 - 1992 II. Reduction of State Reimbursement of School Construction Debt III. Analysis of the Functions of State Government - Structural Change IV. Reduction of Annual General Obligation Debt Service - Rescheduling State Debt V. Appropriation of Permanent Fund Earnings VI. Sales Tax and Income Tax Options VII. Revenue Enhancement - Purchase of Housing Assistance Division (HAD) Community and Regional Affairs Loans From the State By AHFC VIII. Disposition of Alaska Industrial Development Authority (AIDA) and Alaska Housing Finance Corporation (AHFC) Earnings IX. Revenue and Liquidity Enhancement - Sale and Leaseback of State Facilities X. Reduction of Expenditures - Employer's (State of Alaska) Contributions to Employee Retirement Plans W, i M � E SUBJECT: Budget Reduction Timing; Strategion: 1989 - 1992 PROBLEM: Revenue projections indicate that State budg;etn rust be dramatically reduced and, once reduced. must be contaln&d. !, A major policy decision centers around the strategy of whether the budget should be brought down in easy stages or I' whether Alaska will best be served by an abrupt.ie.mediate and steep reduction. ANALYSIS: Proponents of a gradual budget decline scenario argue that: `. 1. A major part of the operating budget is comprised of personal services. An abrupt reduction of the work force will increase unemployment and reduce the account } of available disposable in an already faltering economy. 2. Capital construction has been pared to the bone. This sector of the private work force has unprecedented j' unempioy�ent and business failure. State projects should continue at a reasonable level to protect the existence of this economic sector. 3. Rainy day savings (to include buffer account, litigation settlements, and permanent fund income) j. should be used to "let down" the budget over a period of years. This will not only continue State provision of essential services but will provide needed economic 1 activity and preclude a statewide economic tailspin. These reserves represent "rainy day" reserves. and the 1 rainy days are here! Proponents of an abrupt budget decline scenario argue that: 1. Uncertainty brought about by a prolonged and continuous stream of reductions has a devastating effect on lives, careerso programs and performance. Alaskans can deal with known adversity, but you cannot burden them with years of fear and anxiety. 2. Bad news feeds on itself. A steady stream of bad news (over a five-year term) is self-defeating in that it will perpetuate and prolong a poor economic outlook and will have a long-term chilling effect on the L 3. An artificial prr,;,I:ini; vrp r•i iow i un•-needed prngranf. in a Iu4ury thn !;tat(- 0 ,trt afford. Therie types of programa t,uut be without delay. ! - Many actions designed to integrate, consolidate: or �_-7 eliminate programs and resources can only be implemented by legislative action. While the Executive may formulate proposals and successfully pursue them through the legislative process, the actual realization of a portion of r, savings will occur over time rather than in the most • immediate budget year. -- CONCLUSIONS: 1. An abrupt reduction —•• and the immediate pain 41 associated therewith -- is more direct and i intellectually honest than letting the budget down ' gently. JI 2. An abrupt reduction will not occur in any event because of the need to secure statute change•through legislative, action. Many programs have been legislated for decades and may have well established ,: I constituencies. It may be naive to believe that these programs can be ccnsolidated, integrated or abolished �I in a single legislative session. I OPTIONS: 1. Abruptly and aggressively reduce the 1987 and 1988 budgets within the limits of the authority of the Executive branch of government. 1 2. Aggressively fashion analyses and legislation (with negative fiscal notes) for legislative consideration which will have an early effect on budget reduction. 3. Budget submissions which anticipate rapid and favorable legislative action set forth in No. 2 above -- and for which public consensus and support are ap— parent -- should contain projected deletions/reductions. U SUBJECT: Budget Reduction Timing Strategies: 1988 - 1992 PROBLEM: Revenue projections indicate that State budgets must be dramatically reduced and, once reduced. roust be contained. A major policy decision centers around the strategy of whether the budget should be brought dorm in easy stages or whether Alaska will best be served by an abrupt, immediate and steep reduction. ANALYSIS: Proponents of a gradual budget decline scenario argue that: - e - C 1. A major part of the operating budget is comprised of personal services. An abrupt reduction of the work force will increase unemployrent and reduce the amount of available disposable in an already faltering economy. ' 2. Capital construction has been pared to the bone. This sector of the private work force has unprecedented unemplov6ent and business failure. State projects should continue at a reasonable level to protect the existence of this economic sector. 3. Rainy day savings (to include buffer account, litigation settlements, and permanent fund income) should be used to "let down" the budget over a period of years. This will not only continue State provision of essential services but will provide needed economic activity and preclude a statewide economic tailspin. These reserves represent "rainy day" reserves, and the rainy days are here! Proponents of an abrupt budget decline scenario argue that 1. Uncertainty brought about by a prolonged and continuous stream of reductions has a devastating effect on lives, careers, programs and performance. Alaskans can deal with known adversity, but you cannot burden them with years of fear and anxiety. 2. Bad news feeds on itself. A steady stream of bad news (over a five-year term) is self-defeating in that it will perpetuate and prolong a poor economic outlook Ll have a long-term chilling effect on the F. ISSUE PAY- ..PS A sFries of Issue Papers have been prepared which addroon a vide range of financial and policy concerns. Some of the options covered by these Papers appear fu a more brief fora. elf.cwhere in this report. I. Budget Reduction Timing Strategies - 1988 - 1992 II. Reduction of State Reimbursement of School Construction Debt III. Analysis of the Functions of State Government - Structural Change IV. Reduction of Annual General Obligation Debt Service - Rescheduling State Debt V. Appropriation of Permanent Fund Earnings VI. Sales Tax and Income Tax Options VII. Revenue Enhancement - Purchase of Housing Assistance Division (HAD) Community and Regional Affairs Loans From the State By AHFC VIII. Disposition of Alaska Industrial Development Authority (AIDA) and Alaska Housing Finance Corporation (AHFC) Earnings IX. Revenue and Liquidity Enhancement - Sale and Leaseback of State Facilities X. Reduction of Expenditures - Employer's (State of Alaska) Contributions to Employee Retirement Plans L�. J S,'3,1"C : ROSI. 11: NALYS I S : I- ro'ductiot! f't , ..)IL -iOI,-till t"4, -it ,i - !, ,,i I ;tt , !1 .,I ,f Can the annual reimin,r,it'r,ent be rrdui c't1 tLcui -aror lnl I rr ing the eperat!"V t.uugat? i,"nar �-ethtjdulooy nl,ould be As of June 30. 1985. local government a had itirnrred :,r,naral obligation debt in the amount of 5738,443.553 for nr,lsonl construction. Additional debt ha6 been itcc:urred wince thrtt date. Local governments are required to incur this debt, equal to 100. of school construction, since the State desires to fr•.:n- trate goldplating. It is assumed that if a city must provide for "up front" funding of schools, it will only construct essential facilities. Under several statutory enactments, the State may rei-burge these local governmental units for a percentage of debt service (principal repa}cents plus interest). This reimbursement ranges from 30 to 100 percent of debt service but may be pro- rated downward depending upon the level of appropriation. In the sale of bonds, local governmental units disclose the reimbursement procedure and bond buyers rely on representations chat the State will honor the commitment mace. Managerial problems are exacerbated at the local level if reimbursement is not consistent with the levels set forth by statures and representations made to bond hoiders. :he local unit position is even more critical if a deep pro -ration of available Funds takes place on short notice. Local units can restructure this debt. By capitalizing current and/or coming year debt, they can eliminate near -term payments entirely. More reasonably, they can reschedule over a longer payback period and reduce the annual strain on their operating budgets. The restructure of this debt, discussed above. has a mirror effect on the State operating budget because of the reimburse- ment factor. If a local unit reduces its debt service in a given year, the State reimbursement is also reduced. If, however, the State arbitrarily and unilaterally reduces the reimbursement to a level not acceptable to bond buyers prior to local rescheduling, it forecloses the ability of local units to restructure their debt. Thus, such action could place a local unit in a perilous financial position without anv sound economic remedy. A reduction of reimbursement rust be coordinated so that now debt schedules can parallel new reimbursement schedules. Quite apart from main line operating hudget problems created at Beth the local ind State levels, there are other critical considerations. Some are set forth below: A - I r I NOTICE A CORRECTION HAS BEEN MADE IN THE FILMING OF THE PRECEDING DOCUMENT(S) TO ASSURE LEGIBILITY. THE REPHOTOGRAPHED IMAGE(S) APPEAR IMMEDIATELY HEREAFTER. SUBJECT: Budget Reduction Timing Strategies: 19A9 - 1992 PROBLEM: Revenue projections indicate that State budgeto must be dramatically reduced and. once reduced, must be containoJ. A major policy decision centers around the strategy of A. whether the budget should be brought down in easy stages or whether Alaska will best be served by an abrupt, immediate and steep reduction. ANALYSIS: Proponents of a gradual budget decline scenario argue that: 1. A major part of the operating budget is comprised of �! personal services. An abrupt reduction of the work force will increase unemployrent and reduce the amount of available disposable in an already faltering economy. 2. Capital construction has been pared to the bone. This sector of the private work force has unprecedented unempioyinent and business failure. State projects should continue at a reasonable level to protect the existence of this economic sector. 3. Rainy day savings (to include buffer account, litigation settlements, and permanent fund income) should be used to "let down" the budget over a period of years. This will not only continue State provision ' of essential services but will provide needed economic �. activity and preclude a statewide economic tailspin. These reserves represent "rainy day" reserves, and the rainy days are here! Proponents of an abrupt budget decline scenario argue that: 1. Uncertainty brought about by a prolonged and continuous stream of reductions has a devastating effect on lives, careers, programs and performance. Alaskans can deal with known adversity. but you cannot burden them with years of fear and anxiety. Y � 2. Bad news feeds on itself. A steady stream of bad news (over a five-year term) is self-defeating in that it will perpetuate and prolong a poor economic outlook and will have a long-term chilling effect on the economv. L 3. An artificial proppit,ii up ,If tH,ll^r(fgetS':c un-neeJed progrn~s is a luxury the Stale afford. These types of progrrm.:n nuFA be d1r.r:,rI!vd 1 without delay. Many actions designed to integrate, consolidate or eliminate programs and resources can only be implemented by legislative action. While the Executive may formulate ,,. proposals and successfully pursue them through the i legislative process, the actual realization of a portion of savings will occur over time rather than in the ^+ost Immediate budget year. CONCLUSIONS: 1. An abrupt reduction -- and the immediate pain l associated therewith -- is more direct and ' intellectually honest than letting the budget down 1 gently. 2. An abrupt reduction will not occur in any event because of the need to secure statute change through legislative. action. Many programs have been i legislated for decades and may have well established constituencies. It may be naive to believe that these programs can be consolidated, integrated or abolished iin a single legislative session. OPTIONS: 1. Abruptly and aggressively reduce the 1987 and 1988 budgets within the limits of the authority of the Executive branch of government. 2. Aggressively fashion analyses and legislation (with i negative fiscal notes) for legislative consideration which will have an early effect on budget reduction. 3. Budget submissions which anticipate rapid and favorable legislative action set forth in No. 2 above :rent for which public consensus and support are ap- parent -- should contain projected deletions/reductions. w -1 I r, 5� BJEC:: : edu�tiun pt Mato noi:.hul,v'e1lC of .;. ir,r�l t:utc�t r.0 t iun ',�;.t ^ROBLEMi: Can the annual reimbur!;emenr he reduced thug materially rr•!-jc- ing the operating tudget? heat rethodolony nhouid be v—p lo.:ed° :1SALYSIS: As of June 30, 1985, local governmenta had incurred general obligation debt in they amount of $738,493,553 for school construction. Additional debt has been incurred since that date. Local goverrments are required to incur this debt. equal to 1005: of school construction, since the State desires to frus- trate goldplating. It is assumed that if a city must provide for "up front" funding of schools. it will only construct essential facilities. Under several statutory enactments. the State may rei-burse these local governmental units for a percentage of debt service (principal reps)rents plus interest). This reimbursement ranges from 80 to 100 percent of debt service but may be pro- rated downward depending upon the level of appropriation. In the sale of bonds, local governmental units disclose the reimbursement procedure and bond buyers rely on representations that the State will honor the commitment made. Managerial problems are exacerbated at the local level if reimbursement is not consistent with the levels set forth by statures and representations made to bond hoiders. :he _ecal unit position is even more critical if a deep pro -ration of available funds takes place on short notice. Local units can restructure this debt. By capitalizing current ! and/or coming year debt. they can eliminate near -term payments jentirely. More reasonably, they can reschedule over a longer payback period and reduce the annual strain on their operating budgets. 1 The restructure of this debt, discussed above, has a mirror effect on the State operating budget because of the reimburse- ment factor. If a local unit reduces its debt service in a given year, the State reimbursement is also reduced. If, however. the State arbitrarily and unilaterally reduces the reimbursement to a level not acceptable to bond buyers prior to local rescheduling, it forecloses the ability of local units to restructure their debt. Thus, such action could place a local unit in a perilous financial position without any sound economic remedy. A reduction of reimbursement :rust be ;o that new debt schedules can parallel new : schedules. From r,.ain line operating hudget problems created at ;1 and State levels# there are other critical Is. Some are set forth below: • CONCLUS IO`:S : OPTIONS: rho ['"plU'..,ont 0: 0o, vAl!Lt.1,ng ;rLr t. avfi[t it -, ;IV places ii uevere L'ttain on tll(l i+[.N;1nq r,o if' TY 7 [ :+': c[r borough. An ovetwhel:wing poreentailo of '.nbt c;.•..;e'€f is cancumed by school debt; thurs prec•.utliai;; ttie .;)i.l+r - • , ' �',d for water. 4ewer, roads and other e+,,,.rntial a:unic:;oi capitaal improvements. If cities could avoid incurring school -related ['.ebt. they ue,uld have greater debt capacity and no State rein-burne-ent )%cer- tainty which should threaten their credit ntandir:g. If cities could avoid incurring the State's norticn -- ,ay, EO percent -- they would know with certainty what their exact debt service requirements for school construction would be and would not be subject to varying annual appropriations by the State. .he present scheme is self-defeating. Because it destrcys city debt capacity, it assures that cities rely on the State for capital appropriations for other capital ir.arovements such as water. sewers and roads. All of these reeas are not necessari- ly State responsibilities, whereas education clearly. is. The present scheme is pore ccc;t y rhan it should be. It is clearly established that the State of Alaska has a better bond ratirg than any city within the State. State bonus carry lc,,.er interest costs than city bonds. Clcarly, if the Ftate bonds for school construction, the overall cost will be less. Annual operating budgets can be red-4ced ;in the near -tarn) thrcuah debt rescheduling. The -rablens surrounding school construction debt reimbursement are numerous and complex and involve not only matters concerning the current year's operating budget but the more basic question of how Alaskans are going to structure the school construction program for the future. Local governments and the State are inextricably tied to seeking mutually acceptable, articulated solutions to the problems inherent in the current program. Unilateral action by the State could produce even more chaos than currently exists. Convene a panel of Oepartr..ent of Education, State Bond Com- mittee and uunicipal Government personnel to: 1. For-ulate a specific course of action which provides for rescheduling local debt and State reirbursement on a fully coordinated basis. --- ztatutory/regu:atcrp doc+:rentation for cnact- ation. :tee long -ranee solution to the several problems i above which might inelu,te but not be limited to: L a] I I I i { 1 1� i 4 7 I II i' .� I ti i 1 4 �Y a. State abandonr:ont of the pr —etit fxhr-u artid as numption of all res,o„no ibi 11 ty fr,r ochool cr,riut ruct ion in accordance with clearly rntablinhed totm traction standards. Since the State benrn the cart. cities runt accept the standards. b. Granting cities the option of uxeceding the above- meutioned standards provided they bear the total coat of the enhancement. c. Seek voter approval to issue State general obligation bonds, the proceeds of which would '.,e used t�� defease all or part of the school construction debt of cities. This provides parity between organized municipalities and school districts outside of municipalities. would eliminate future funding uncertainties, and would restore debt capacity of cities for other essential capital projects. . SUBJECT: PROBLEMS ANALYSIS: Analysis of the Functions of State Gover - ent - ',truetutal Change Falling revenues clearly -..andate that the State rannryr conduct "business as usual"; some fundamental changes must he u:ade in the functions it performs. Alaskans currently receive services from three sources: (1) directly from the State; (2) directly from borough governments; and. (3) directly from city governments. The provision of services is not equal. Some residents receive services only from the State - choosing not to fall within an organized unit of government. Others live within a city and receive city and State services. Others live within a city located within a borough and receive city, borough and State services. And others live within boroughs (but not cities) and receive borough and State services. In addition to unequal provision of services. there is also unequal taxation. Many who live within organized units of government pay high taxes for a specific service (such as education) while those who live within the unorganized borough pay no taxes at all. As budgets are reduced, inequalities as to taxes and services may become even more imbalanced. It may be necessary for the State to shed itself of some of the functions it performs and pass responsibility for these functions on to local units of government. Should the State continue providing services directly to individuals? Should there be at least one level of government between each Individual and the State? Should the local level of government -- that which is closest to the people -- be responsible for all services except those specifically mandated by the State Constitution to the State? Should the State legislature begin to convene as the Borough Assembly for the unorganized borough; determining what services should be provided and how they will be paid for? Should the Department of Community and Regional Affairs be charged with the responsibility of reviewing the entire State -city -borough -unorganized borough relationship as it pertains to the delivery of services to the people? —i - -- L. Additionally. Cnr,.nunity and i'uf•,ionnl �I! !alra r :,r+ ! n 'l::r t mac; to formulate nethoda by which r.,r;:r,unft lea r do ' [ o-or ,; rri to "i organize unito of government. I.ncentiven to he red F should include, but uu: '.io limited to revenue nhai.ar, based upon services provided. CO`:CLUSION: The time is right to inquire whether or not theue ahciuld lie fundamental, structural change in city, ante, boroughs uror- ` ganized borough relationships. r OPTIONS: Direct the Commissioner of the Departnent of Community and Regional Affairs to develop a study plan directed at reviewing the issues outlined herein. j Develop and execute the study plan with a target date for completion which will permit the formulation of legislation (if -1 required) for enactment in calendar year 1988 Impacting the FY89 budget. 1 r al ff SUBJECT: Reduction of Annual General Obligation Debt Service - Rescheduling State Debt PROBLEM: The State debt service payback schedule requires that an unreasonable amount of available annual revenues hP utilized for this purpose. ANALYSIS: The following chart depicts the total general obligation 3' debt service due to bond holders each year: Years Ended June 30 Principal Interest Total �i 1986 �! $109,265,000 $ 53,979,162 S163,244,162 1987 108,380,600 46,512,046 154,892,046 1988 108,685,000 39,220,555 147,905,555 1989 103,727,000 31,784,971 135,511,971 1990 95,560,000 24,746,290 120,306,290 1991 77,499,000 17,983,980 95,482,980 1992 56,149,000 12,052,225 68,201,225 1993 51,363,000 8,325,187 59,688,187 1994 28,398,000 5,531,975 33,929,975 1995 19,096,000 3,987.625 23,083,625 1996 18,610,000 2,864,412. 21,474,412 1997 14,865,000 1,800,418 16,665,418 1998 13,380,000 1,008,193 14,388,193 1999 8,640,000 368,931 9.008,931 2000 2,531,000 69,081 2,600,081 Total $816,148,000 $250,235,051 $1,066,383,051 i The next chart -- using the latest available estimates of unrestricted revenues -- depicts the percentage of these i revenues which must be utilized for debt service. '+rLL •t �'9 n Years Ended Unrestricted Dott An a Put rr„t A .tune 30 Revenue rim t r,rt 1", .4'T"10 1977 874.3 41.9 4.8" 1978 764.9 50.0 (). A 1979 1133.0 60.0 5.3' 1980 2501.2 75.1 :1. t02 1981 3718.17 97.6 2.6x 1982 4108.38 97.5 2.4Z 1983 3631.00 143.6 4.p7. 1984 3390.02 166.3 4.9Z 1985 3260.00 169.5 5.2. 1986 2681.91 163.2 6.1' 1987 1408.77 154.9 11.01. 1988 1273.41 147.9 11.6I 1989 1262.64 135.5 10.7, 1990 1352.55 120.3 8.9Z .991 1289.26 95.5 7.4% 1992 1265.20 68.2 5.4Z ' 1993 1255.43 59.7 4.8Z. 1994 1201.90 33.9 2.8% 1995 1163.90 23.1 2.0Z 1996 1139.98' 21.5 1.9% 1997 1196.91 16.7 1.4% 1998 1155.19 14.4 1.20 1999 1096.88 9.0 0.8% 2000 1042.82 2.6 0.2. A review of the above data clearly indicates that bond maturities were designed to match the "Prudhoe Curve" of projected revenues. That is, payments are compressed into that period in which greatest Prudhoe revenue is generated. Revised revenue data projections reveal that the revenue curve has changed abruptly and an inordinate percentage of revenues must be used for debt service during the period 1987 - 1992. If this condition continues to exist, an inappropriate strain will be placed upon the operating budget. It is believed that a restructuring of this debt is appropriate given the known and projected revenue picture, and prudent fiscal management. It is believed that bond rating services will reward rather than penalize good fiscal management and will not downgrade State ratings solely because of restructuring. -.1 J t � i t This rentructurinp, act tun can be Executive Branch through the It+o vit'..n,t fur` ,rsr legislative approval. Debt can to rescheduled to pruvide: (1) level debt ucrvire. �) (2) a constant annual percentngo of unrestricted revenuer, (3) a short maturity schedule of fifteen years duration, ! (4) a longer schedule which provides for a lower dedication of an annual annual percentage of unrestricted revenues and provides for future debt caracity. (5) varying costs or savings on a present value basis dependent upon serial or term maturities and interest rates and (6) the opportunity to capitalize interest if necessary and prudent. The iterations are almost infinite. Existing debt could be rescheduled in its entirety or partially. Lifts of $200 million should be considered over a scheduled time frame. CONCLUSION: To the extent possible, State debt should be restructured to provide a level debt service schedule for the patio 1988 - 2000 to more closely match revenue projections. In the alternative, the State should consider rescheduling debt so that no'more than three percent of unrestructured revenue in any year is utilized for debt service. OPTIONS: Restructure existing State debt in such a manner that debt service payments are reduced by 550 million per year. Restructure existing State debt, capitalizing FY 88 debt service of S147,905,555, and reducing the FY 88 operating budget by this amount. If this revenue enhancement option is favorably considered. this matter should be directed to the State Bond Committee for immediate action. _ I 4 rE, • t M F st:JJ ECT: PROBLEM: A.`:ALYSIS: V Appropriation of Per•-nrent Fund Fatninqa Could Permanent "und earnl::a lie apprf•ir:ated for rporatinr• or capital budget une? 67hat revel of appropriation rruld be considered? All earnings of the Alaska Permanent Fund can. by 1�tw, be appropriated. Earnings history and future projections are as follows: (millions of dollars) 1978A 2 1985A 658 1979A 8 1986A 1.021 1980A 32 1987P 781 1981A 150 1968P 767 1982A 368 1989F 815 1983A 471 1990P 567 1984A 530 1991P 921 A - Actual P - Projected Present statutes provide two uses of earnings: (1) The payment of annual dividends; and (2) transfers to principal in an amount necessary to offset the reduction in Fund purchasing power due to inflation. After earnings are utilized for the above two uses, the remain- der (if any) is placed in an earnings reserve account. A breakdown of earnings between these uses is set forth below: Earnings Dividends Inflation Earnings Reserve FY 87 781 362 138 281 FY 88 768 393 357 18 The legislature can, by statute, change any and all of the above. Both dividend payments and inflation -proofing uses of earnings have occurred for several years. Both uses have become tradi- tional and enjoy widespread support among Alaskans. The use of funds from the earnings reserve account is another matter. This account was established as a repository for undistributed intone so that such income would not flow auto- matically to the General Fund under the provisions of Article IX, Section 15 of the State Constitution. The automatic flow was impaired to insure that the intended use of such funds would enjoy special public scrutiny. In other words, the money could be appropriated but its use would have to be justified to the Alaskan people. Public consensus would have to exist which supported use of this portion of Fund earnings. In 01 In ccnsidering an option which in:irl%vt; aptiti.t`ttirifig nl; r part of the enrningo rotiervn .irrnunt. we nhuuld be swam tY it the existence of both the Fund -- and thin, acrr,unt wfth:n :t plays a significant role in the evaluation of the Credit worthiness of the State. Bund rating analynrc contain re;ontcd references to the Fund. The Permanent Fund Corporation pra- vides to rating services and prospective buyers of bnndn, current data indicating levels of principal, annital earnings versus debt service, and undistributed intone balances versus debt service. While it is absolutely clear that the Fund is not a guarantor of debt of the State of Alaska or its instrumentalities. nor does it have any moral obligation to guarantee or liquidate such debt; there exists solace to bondholders that the Fund has unencumbered retained earnings sufficient to r..eet current debt service. Current levels of State debt service are in the S150 million range. Retention of a similar balance within the earnings reserve account -- as a matter of announced continuing State policy -- would continue to support State credit ratings. CONCLUSIONS: All earnings of the Fund are available for annual appropria- tion. Disruption of the traditional earnings usage for dividend payments and inflation -proofing transfers should be considered only if there is strong public consensus. Earnings reserve account funds could be appropriated. provided Alaskan's believed (1) this "last reserve" should be tapped, and (2) there was manifest need to do so. If the earnings reserve was utilized, it probably should not be drawn down below the level of the annual general obligation bond debt service of the State. OPT ION* S: Dividend and inflation -proofing portions of Fund earnings should not be disturbed pending a vote of the electorate. Use Permanent Fund earnings only as a last resort for financing operating budgets and only a portion of the earnings reserve account balance should be considered for use. L -I F S:9JECT: Sales Tax ,Jnd Inrkir..v ",dx ("Of : •n PROBLEM: Should there -on taxing; opt!,,rul Le rr, t i !a:r:1 ou r •.�,i�r, enhancements in building the FY 19h8 1), dIvrt' ANALYSIS: Estimates of revenues &<norated by impottitiun of tLeae taies were formulated by the Department of Revenue (DOR) .end documented on January 10. 1986. The table below shows the DOR estimate of the amount of revenue that would be generated per one percent Tales tax, Imposed on a state-wide basis. FY Food EXemated Feod Included 1987 42.5 70.8 1988 44.3 73.8 The next table shows the DOR estimate of the amount of revenue that would be generated by the re -imposition of a state-wide individual income tax in Alaska. This euti=ate is based upon the rate schedule previously in effect. The validity of this data is questionable due to the enactment of recent changes in the Federal income tax structure upon which State returns would be based. The DOR data is presented to provide an order of magnitude. FY Arount 1987 330.0 1988 352.0 Note: In his briefing of November 24, 1986, Governor Sheffield indicated a potential range of $200 - 250 million. Clearly, imposition of a state-wide sales tax and/or re- imposition of a personal income tax could generate substantial State revenues. Such action would have a major economic, social and political effect on State residents. Such action will dramatically change and diversify the State's revenue base and will diminish the reliance on oil revenues. This action will not be accepted by Alaskans unless and until they are convinced that such taxation will not be utilized to sustain a government bleated by un-needed progracs and projects. 1 only become viable at such time as State budgets duced, the impact of the reductions are evaluated w K by tho AIanDan pnblir. ai,d thorn ;rt, rr ,, r,,.i : r. , ,.,,r people tliat revenuvn from thin n(,,,rra a:p of, Re-ir-Pu ition Of toxntion and/ur r.rr,►t.r n of n r;tnt� -v1t:C salun tax is, the heat example of an irnu� that a„ut 'a !eAlt with cooperatively Renponsibility fniln in thrca ,roi au: the Legislature. the Executive and the Poohle. The Executive has a distinct reeponnibility to provide analy sea of the economic and social impactn of taxation, 1nfr,rring the public of what these impacts are. and Pnrticipatine in the debate which ensues. CONCLUSION: Do not anticipate imposition of sales tax or re-inposition of income tax in dealing with budget shortfalls for FY 1987 and FY 1988. OPTION: Request the Commissioner of Revenue to prepare updated analyses of what revenues taxation will generate; to include socio-economic analyses. This information should be made available for legislative debate and public cor..xent during the next legislative session. j. I I SUBJECT: Revenue Cnhancer:ont - Pon, I,une of II , , t;.l � • +! ,t , o .:: .. s. (HAD) Community and Rogional Affairq ;r'Inn rr:n ILr. ',tale Ry AHFC PROBLEM: Should the State Coneral Fr,nd n,�ll additional winvtn -- irr tt:o form of home mortgages -- to the Alaska 1fouf,ing Finar)ce C,rpo- rationT ANNALYSIS: As the result of lase yehr's legislative activity, (1) AHFC was to purctase $70 million of HAD loans (2) AHFC has to purchase up to $12.8 million of mortgage loans located in the portfolios; of the departments of Commerce and Revenue, and (3) AHFC was to pay the State $28.6 million representing other transactions. The $70 million purchase of HAD loans was paid for on Deceir.ber 1, 1986. Commerce and Revenue assets in the arcunt of S8 million ($3 million Commerce - $S million Revenue) will be paid for on or about January 1, 1987. It is not expected that the additional $4.8 million ($12.8 minue $8.0) in mortgages will be purchased by AHFC. The balance of $16.7 million of the S28.6 million owed to the State will be paid on or about January 1, 1987. An additional increscent of HAD loans exist. Their value has not been determined (because of delinquencies and poor market conditions), but book value is in excess of $100 million. AHFC could purchase the remaining assets of HAD for approxi- mately $100 million. Such action might be a precursor to a phase -out of the HAD Mortgage program and integration of the function into AHFC. CONCLUSION: AHFC could purchase the remainder of the HAD mortgage portfolio for $100 million. OPTIONS: Legislation be drawn permitting the sale of the remainder of HAD mortgages to AHFC with proceeds remitted to the General Fund. . HAD hose mortgage functions be integrated into the AHFC pro- grams and the HAD Mortgage unit be phased out. SUBJECT: PROBLEM: ANALYSIS: 1� CONCLUSION: OPTIONS: Vi ,position of 11n,4a lnt w;tr!aI �'evpIfg, Pri1 . ,f II and Alanka 11piming Finance Corporat i► n r ANr �;) rr.; ; r3 Should all or n part of net Htf(,�-iu of thef-e agtf- be rr turned to the State each year'! Both agencies have substantial equity as (1) tt,e rest:lt of generous State contributions in better economic t!-_%en and (2) the ability to retain annual earnings. This equity, reg,-rdiess of whether it is: liquid; invested in home mortgages or commercial property loans; pledged to secure bonds; or is unencumbered; should be earning Market rates of return. Equity account balances are set forth below: AIDA AHFC - Year End Equity FY 1984 $ 274,777,574 $ 1,381,491,000 FY 1985 305,073,901 1,458,373,000 FY 1986 333,949,102 1,500,208,000 Net income for the two agencies for the past three'vears is depicted below: AIDA AHFC ::et Income FY 1984 $ 25,269,388 $ 74,774,000 FY 1985 29,752,227 76,882,000 FY 1986 28,875,201 41,835,000 AHFC and AIDA are not dedicated funds. Automatic retention of earnings may not pass constitutional muster if challenged. In recent years, earnings have been appropriated back to the agencies by overt legislative action. Retained earnings have been utilized to increase equity in both agencies where substantial equity already exists. �i There is no evidence that new income flow is currently utilized to secure new debt or is pledged to secure existing debt. It is not unreasonable to expect that after years of contribu- tion to these agencies, the State is entitled to some reason- able return. That all current year earnings of both agencies flow directly i to the General Fund for general appropriation usage. i In the alternative, request that the boards of directors of I each agency formulate long-term plans which provide for consis- tent long-term payouts of net income (dividends) to the State i in return for its investments. A 3.5 percent return (a level which is similar to the yield of corporate portfolio of divi- dends) may be appropriate. In normal years this would enable i the agencies to retain some earnings. i It should be noted that decisions on the withdrawal of earnings i from AHFC and AIDA must be coupled with analyses of the current financial condition of each agency. L SUBJECT: PROBLEM: ANALYSIS: CONCLUSION: OPTIONS: F,_ Rvveto& ,ind I.Igiildtty ii#,qt - :n 1 ', f state Fa' fl itira Should the 5t,Ato hell !.,.r,e of ita a,ii 'to tij 1jfv11'r 11 :14,. tiwe infuoiun of cat,h and 0ould it lun(le haey thp'ie facilities over time? If '�n, how ran thin he accompl i shod? The State tins recently nrrL.Ired a f+til oti•tteruhip interest in the State Office Building to Juneau. Previously the facility had been leased from the Alaska State itettsing Authority. The State paid rent equal to ASRA debt service on the building and took ownership upon maturation of the ASF'A bonds. Another State agency -- the Alaska Industrial Development Authority -- currently has unencumbered assets slightly in excess of $150 million. In lieu of extrac:!.�g this equity from AIDA, an agency which may have to play an expanded role in diversifying the economy or fostering government -private sector joint ventures (similar to Red Dog), this equity might best be left within AIDA and employed both as an investment and debt security leveraging device. In order to accomplish the above, AIDA could liquidate a portion of its invest=ents representing unencumbered assets. Proceeds could be used to purchase the State Office Building in Juneau. The State could then enter into a long-term lease in an amount sufficient to pay back all principal and provide a market rate of return. The holding by AIDA of a State of Alaska lease and its corollary income stream will (1) provide an instrument which would be used by AIDA to secure new AIDA debt for economic development purposes, and (2) eliminate short-term pressure to simply extract a portion of AIDA equity for one-time spending. Substantial funds could be realized from a sale of the State Office Building in Juneau to the Alaska Industrial Development Authority and a long-term leaseback of the same facility. There may be other State owned facilities which should be considered for sale and leaseback. Determine the value of State owned sale/leaseback candidates using the income approach (lease cash flow). Second, negotiate the sale and leaseback with AIDA, insuring that the lease terms are coordinated with the long-term debt structure of the State. (Long-term eneral obligation bond debt service are viewed inancial obligations.) w SUBJECT: PROBLEM: ANALYSIS: Redurztton of Fxpum!ituren --t-'piov,?r'n t`,t.ite (d 4in,4n) Contributions to F,nplovee 'F:etirc+ etit P1 Ann Can employer's (State of Alanka) cuntributionn to both PERS and TRS plans be reduced bayed upon anund actuarial evaluation? Present (FY87) contribution rates are as £ollown: Rates Currently In Plan Effect - 6/30/85 Evaluation PERS 11.30 percent PERS - Police/Fire 15.74 percent TRS 6.88 percent The plans' actuaries are currently evaluating the soundness of the plans and their respective actuarial assumptions based on data as of June 30, 1986. Ordinarily, the actuary's report would be reviewed; considered and adopted by the PERS and TRS Boards at the regular semi- annual meeting held in the Spring of 1987 and the new employer contribution rates would become effective July 1, 1988 -- the first day of Fiscal Year 1989. The Director of the Division of Retirement and Benefits has had discussions with both the actuary and the budget transition team and has concluded: 1. New rates based upon 6/30/86 data would be: Rates Based on Plan 6/30/86 Data PERS 9.55 percent PERS - Police/Fire 13.99 percent TRS 5.88 percent 2. These new rates would produce annual General Fund savings of approximately $22.5 million ($20.7 million - PERS and $1.8 million - TRS) 3. It would be advantageous to the State to accelerate the implementation of the new rates. Savings could be built into the FY88 budget rather than waiting until FY89. To this end, the Director has scheduled a meeting of both - -uary I5, 1987. He will recommend to the boards pt the evaluations effective July 1, 1987 (FY88). IN L The 122.5 mill lun invtrogn in F,rinrd urt '00 1erf i-t f Om :'.1, payroll. If payroll dropti furthrrs r,uv4 n.G .ore A y,'3 million savings it; rt�rtaonnble and t.nt,aetvat :va, CONCLUSION: Tito State's (General Fund) rctireceiit % oval i',ut:t,it fvr itrs employees retirrr ent plane ran be redc.4d in - he ;qpt , t 'lie, amount of $20 million. This reduction can become effective with the FY84 bu,iget provided early action is taken by the PERS and TRS boards. OPTION: The Commissioners of Administration and Revenue be requebtod to pursue early adoption of the actuarial based data of 6/30/26 and its use effective 7/l/87. L c2, GENERAL b='YFT ISSUES The following issues were identified by individual ct7rittee members as important concerns to bear in mind during the budget process: 1. Repeal and reappropriation or lapse of capital project funds. a. Many capital project funds which have not been expended could be repealed to lapse into the general fund or reappropriated for new capital priorities. b. Future cost of operations of state facilities, i. e. the Juneau Pioneer's Home, may not be affordable in future years. These projects should be closely reviewed for postponement or cancellation. c. As a matter of policy, repeal and reappropriations should be handled separately (except for routine house- keeping measures involving receipt of operating federal funds, etc.). The 1985 and 1986 session repeal and reappropriation bills contained over 600 individual sections --more than twice the number of individual repeal, reduction and/or appropriation sections in prior years. In addition to myriad net -zero sections were new appropriations of $10 to $20 million in operating items and $40-$120 million in capital apprpriations. These items are inevitably loaded in at the end of the sessions most items receive far less committee scrutiny than they would receive in the normal operating or capital review process; others escape review altogether. Can the state afford to allow this significant slice of budget activity to take place outside the normal budget process? The simple remedy is to insist that repeal items lapse to the General Fund and new appropriations take place through normal channels. 2. In making a budget reductions, care should be taken to make sure that imposition of target levels does not result in unanticipated effects on services. For example, a 20% reduction in the AFDC component results in a 28% cut in payments to recipients when the projected increased caseload is recognized. Transition team staff calculations indicate that at a 20% target reduction, AFDC payments for a family living at the poverty level would drop from $616/month to $445/month. On the other hand, a 10% drop in payment level e)would xisting(FY87 revia sed)budgetalevels.l Fund increase from ig on "other funding" sources, be it sceipts, etc., must not be excluded from iy budget reductions. L a. May create an administrative disparity t,a�.;r•,>n government programs. b. Program receipts may or may not be generated directly as a result of program activities. A reducti.cn in government may result in a reduction in program receipts. However, programs may be funded from receipts generated through such revenues as licensing fees if thet program is seen to benefit the constituency from which the program receipts are collected or if that program is designed to counteract some of the negative effects to society as a result of allowing the existence of the constituency group. Program receipts may be available independent of the program operation which it currently funds, and therefore could be used to support other government operations. This may also be true, to a lesser degree, with federal funds. Programs should be reviewed and prioritized to make certain "other funds" are used for the greatest benefit. a. Department Mission- many departments have had programs included within the department's operations which are not directly related to the mission of the department as it was originally designed. These programs frequently have "stepchildren" status and may not be as fiercely protected from reduction or deletion as "core" department functions. Any department recommendations for reduction must be viewed with the "stepchild" consideration kept in mind. 3. Frequently programs begin to serve a specific need which has evolved to program operations which do many other things as well, or in lieu of, the original intent. The adage "work expands to fill the time allotted" may be applied as "programs expand to serve needs as identified" to this phenomena. In reviewing options for reduction of service, this should be a consideration. 6. Many government programs are interdependent on other programs. A reduction in one program may increase the demand upon another program service. Also, there is an equity consideration among government service, for example the Department of Law's prosecution staff levels in the Department of Administration's public defender/public advocacy offices. Proposed changes in any program levels must be reviewed in the context of the entire governments operations. 7. Implementation of the Classification Study. Current estimates are that $16 million would be needed for i-rar..antatinn in the first year. This cost may be reduced fated roll backs on state salaries. .d be analyzed and understood relative w I to the implaxontation of the study to iarr_cnr-,'ain ;.ny ivpv. '_ implementation or the postponement thereof micjh r '.avn on pending labor negotiations. S. Many cost -saving measures proposed to effect budget reductions require legislation in order to actually realize any savings. There is an inherent danger in building a budget heavily reliant.on legislation revision. Alternatives must be considered for all program levels which are unable to continue without legislative revision, to assure that the budget presented by the Governor to the legislature is balanced within the r.:eans available to the executive branch. Any budget revisions as a result of legislation should be funded or defended through fiscal notes. L w `I 1 +l{ I r� TO: Governor Steve Cowrir FROM: R.A. Fineberg RE: Perspective on State Data Problems DATE: December 14, 1986 After the Budget Transition Team watched the FY 87 year-end shortfall estimate bounce around from ($806) million to ($593) million last week, the majority of the team agreed that we should apprise you of our common concern about the lack of coordination among State data systems. The final measure of the looseness of State data systems is the Budget Transition Team's suggestion that you give the current estimate $50 million leeway in both directions to allow for final adjustments in the FY 86 Anneal r°"'-^"`.4'- �pe""�• After a month battling the problem of budget, revenue and accounting information that do not tie together without an enormously complicated effort, one committee member described the situation Friday as "appalling." Another commented, "All I know is that it doesn't work." You and the State of Alaska pay the price for this problem in two ways: First, this situation is enormously inefficient. Individuals who attempt to respond to data requests waste an inordinate amount of tire gathering infor„,ation that ought to be readily available in useful form on a data base whose universe is comprehensive (or at least recognizable) and able to be converted to somebody else's needs. Staff and managers tie themselves up gathering, relaying and re -working data that should have been available and usable at first crack. To continue to provide first-rate services as revenues decline, the State cannot longer afford the luxury of these inef:iciencies. The second price is paid in the arena of policy -making. When basic data are suspect, arguments over the data base often obscure the tough policy questions. Moreover, conflicting budget numbers tend to undermine the credibility of the issuers. To guide the State through the :iscal crisis at hand, we need to preserve and promote the confidence of the public. Good numbers help; conflicting numbers undermine public confidence. In short, clean and comprehensive numbers enhance credibility. The problem is inter -agency in nature. In the course of Budget Transition Team inverviews and briefings it became apparent that the data needs of each commissioner are different. For example, the Commissioner of Revenue is J A Fin otheg / CCWF..r Pers, ecti.ve on rats i': :h.f,m.3 Dec. 14, 1986 / ^r ye :wo concerned primarily with g(ni .prat in,; to run this government; the Department of is concerned with data -gathering sy-stems and traQkinq conventions; the budget -maker is concerned with the politics that drive its product; DOT/P,: s drive to design and build projects led it to run afoul of the accounting, revenue and budgeting systems. To resolve this situation, the Governor must drive the effort to establish clear and comprehensive numbers from an inter -agency perspective. Attempting to find out what's out there in unbuilt capital appropriations, a faster third - party billing system and the recent $200-million change in funds available as the Dept. of Administration wraps up the Annual riranc_al Report are examples of problems that should be tackled in a coordinated manner; without close coordination, the system "fix" that solves one of these problems may crake the .other two worse. There is another school of thought on this problem. That school holds that public data are always a bit loose and that numbers are always changing. The "business as usual" school does not appear to recognize the difference between revising the shortfall to recognize your decision to restrict an additional ($13.9) million in local school debt payments and reviewing the entire question of capital project billing and capital project reserves, resulting in a net swing of more than $100 million in the balance available for appropriation (as the state accounting system did between Nov. 22 and Dec. 10) . The former is the kind of revision that rightly takes place as circumstances change; the latter is a symptom of a system whose discrete parts are not producing reliable results, and whose inter -relation is not properly coordinated. The former is inevitable; the latter causes agency people to wastse a good deal of time re -inventing wheels and adding columns manually, delays products and undermines confidence in the numbers that frame public policy discussion. Several transition team reports -- both from this team and from policy groups -- contain statements that poor data present a significant management problem. tion to this situation; the Budget did not make specific recommendations. Ib 1 �y r ty ,I I �I 1 Finenerg / Coar,er Perspective on Bata Dec. 14, 1986 / Fige Thrce If you would like rn nonsider the implications of •:� problems -- and possible solutions in greater detail, members of the team would be nappy to prepare recommendations for you. J a TO: Governor Steve Cancer FFC'M: R.A. F ineherg Brian Rogers RE: Shortfall and Financial Flan DATE: Dec. 12, 1986 ft In reGponse to your request that we look at solutions to the budget problem in a multi -year context, attached is one of many possible scenarios: This scenario funds the current deficit of appreximate_y $600 million (including restricted 1986 session capital projects) and allows a constant operating budget over a four-year period. This scenario is presented in nominal dollars (attac tent A-1), and in inflation -adjusted or real dollars tat=acnment A-2) . MEMORANDUM rjm';n;n0 ;,. �, I.— 7 TO: Budget Transition TuiAin GATE: FROM: R.A. Fineberg SUBJECT: Shortfall b Financial Plan This four-year plan pays off the FY 87 shortfall and balances the budget with a 19-agency operating budget of $1,500.0 million. G.O. debt service, local school debt, scholarship loans, restricted 1986 capital dppropriations and a modest capital budget are all funded, in addition to the existing shortfall and E$25.O1 million for FY 87 supplemental appropriations. This plan is representative of various routes by which the existing shortfall can be cured without causing the tremendous economic dislocation, hardship and curtailment of services that would result from even harsher cuts to the operating budget. To effect this plan, the following revenue sources are used: -- Bradley Lake is financed through the Railbelt Energy Fund;l _- the ELF is modified in FY 88;2 _= GO debt and local school debt are restructured; a- the Budget Reserve Fund is used in FY 87-88; -- cash is withdrawn from loan programs andFC purchases an additional $100.0 million of HAD loans; _= AIDA and AHFC return income to the General Fund; _- beginning in FY 89, a personal inccme tax (or other new revenue sources) adds $250 million per year to State revenues; -- miscellaneous licenses and fees listed in the Budget Transition Team report bring in $51.6 million per year; -- minimal disputed taxes are paid to the State (FY 88-89 = $100 million; FY 90-91 - $150 million). Attachment 2 presents the same table in real (inflation - adjusted) dollars. Jack Fargnoli of the OMB strategic planning unit assisted in preparing this format in response to the Governor's request that the transition team take a multi -year approach :o the budget; a format such as this one can be used to test all proposed budget solutions. :he Rai1belt Energy Fund repays the General Fund the amount that would be realized from cancellation of Bradley Lake project. For the ELF, low GAle estimated gains are used. The estimates DOR prepared for the interia. legislative tax committee show significantly higher revenue gains. I. L In , Four Year Financial Plan (!o-%Ion Povnnuer+ ur,U r• r- ��, ,.oc. 19�n ,i�•o nevonues, fY rl�•.i3, NrJ!.11NA f.;I111c rG-: Seat. 1986 30% rovenuos. FY 9C•91: (IJnrr �u�c.lnr) r. f ► 1 c�: r r ;;?r,, �ssum�d FY A7 shortfall u /�B.:5i rn hOM FY 87 FY 84 FY 83 FY 1;3 ry -1 t�//nslr.l frcv:r)m Qnnl r�` :v• nc-.ri �7--ow Pp. Qnues Ea.anco Fwd. Irom prior year 221.6 0.6 1.7 17.1 1;3 3 Unresir. G.F. Revenue 1.297.1 1,285.7 1.356.6 1,352.6 1.20.9.3 ' Adjustments 7.4 0.0 0.0 0.0 0.0 Settlements 65.0 Reapproprialions/Transfers 176.8 Permanent Fund 0.0 0.0 0.0 0.0 0.0 Disputed Taxes 100.0 100.0 150.0 150.0 ELF 66.8 74.0 77.0 eo 0 License 8 Fee Iner. 51.6 53.9 57.2 S3.6 Cash from Loan Funds 137.3 AIDA•AHFC Income to GF 70.7 72.0 75.2 79.7 84.5 Budget Reserve Fund 128.0 3C.0.5 Railbelt Energy Fund" New Revenue Sources"" 250.0 250.0 250.0 OTHER - Total Revenues 2,� 03.9 - 1,8177.2 1,9- 11.4 1,983•s 2,107.7 Accrooriations Operating Agencies 1,703.4 1,50.0 1,500.0 1.0 1.:0 Prior -Year Supplementals 25.0 G.O. Debt Existing 155.0 147.9 135.5 120.3 S5.5 Restructuring Gain (50.0) (45.0) (35.0) (20.0) 05.0) School Debt"'•• 11S.8 104.2 93.8 fi0.0 90.0 Bradley Lake""" (95.0) 1986 Session Capital 124.2 113.4 100.0 New Capital 75.0 75.0 75.0 75.0 Loans 54.9 50.0 25.0 25.0 25.0 Total Appropriations 2,103.3 1,875.5 1,894.3 1,790.3 1.770.5 Net Balance 0.6 1.7 17.1 193.3 337.2 • Adjusted for income changes due to timing of BRF; excludes potential income from Ra. belt Energy Fund. ' • 176.8 existing (see 01.10 worksheets); 100 HAD purchase + 37.3 loan balances preeased in separate entry. "• Funding of ratlbelt energy projects would not require General Funds. '•" Potential revenue sources include (but are not limited to): income tax, petroleum taxes. Permanent Fund income and of"er sources listed in Budget Transition Team reoon. ""' FY 87. 90% of S128.7 (FY 87 est. revised by DCE 11/25.86); subsecuent years rec::ced by 106 to S90.0 million cap thru restructuring local debt S5.0 of 281.0 in Raribelt Enemy Fund used for Bradley Lake: remarncer !--r c;^er r,=_F arciects in FY ES -SO. W Four Year f'Inanelal Plan (;roslon Anvotn,nn and l.ttUrut ' ±'tr.r "•1 Cee. %;66 jJ".o i;evenenuos. rY Si ;J (S 1'►FIl RIIIIlun9) 1. �i Sept. 7986 30% revenues. by 90.91 (Unroau ch t G I. I 1 i r 1 ! • RC f aRauirod FY F.7 �hprN,911 n r: ;,?SI "n,lb±,n s� c? I"• FY 07 FY 68 FY 139 FY `,� Gv gt i' fwrrostr jrrPycnr onol Saranco Fwd. from prior year 221.6 0.6 1.6 15.2 161 7 f' Unrestr. G.F. Revenue 1.297.1 1,263.0 1,275.3 1,139 5 Adjustments 7.4 0.0 0.0 00 0.0 Settlements 65.0 Reapproprialions/Transfers 176.P Permanent Fund 00 00 0.0 0.0 0.0 Disputed Taxes 98.2 94.0 133.0 125.5 ELF 65.6 69.6 68.3 E5 9 U.-erse 8 Fee Incr. S0.7 50.7 50.7 53.7 Cash from Loan Funds 137.3 AIDA•AHFC Income to GF 70.7 70.7 70.7 70.7 70.7 Bueget Reserve Fund 128.0 3000.5 Radbelt Energy Fund` New Revenue Sources'"' 235.0 221.7 2C9.2 Total Revenues 2,103.9 1,844.0 1,796.8 1,759.1 1,763.3 Aoucoriations i OaeratingAgencies 1.70.3.4 1,473.5 1,410.0 1.330.2 1.254.9 Prior -Year Supo,ementals 24.6 . G.O. C ebt , Existing 155.0 145.3 127.4 1 C6.7 79.9 Restructuring Gam (50.0) (44.2) (32.3) (17.7) (12.5) School Deot' "' 115.8 102.4 88.2 79.8 75.3 Bradley Lake"-" (93.3) 1986 Capital 124.2 111.4 94.0 New Capital 73.7 70.5 66.5 62.7 Loans 54.9 49.1 23.5 22.2 20.9 Total Appropriations 2,103.3 1,842.4 1,780.7 1,587.7 1,481.2 tlet Balance 0.6 1.6 16.1 171.4 282.1 ' Adjusted for income changes due to timing of BRF; excludes potential income from Ratlbelt Energy Fund. " 176.8 existing (see 01AB worksheets); 100 HAD purchase + 37.3 loan balances proposed in separate entry. Funding of raftelt energy prcjects would not require General Funds. Potential revenue sources include (but are not limited to): income tax, petroleum taxes. Permanent { Fund tnc.mo and other sources listed in Budget Transition Team report. • i ""• FY 87: 90% of $128.7 (FY 87 est. revised by DOE 11/2586): subsequent years reduced by 10616 to $90.0 mt:ion cao -5.0 cl 231.0 in Railoeit Energy Fund tzed fttr Brad:oy Lake: remainder for other REF oroiect3 to FY -9.90. t I M F December 13, 1986 TO: Mr. Oral Freeman FROM: John Halterran Please find attached the reports of the Natural Resources Subcommittee of the Budget Transition Team, produced by Mary Halloran and myself. We regret the lack of detail in these documents, however the press of time did not allow us to undertake an in depth analysis of the agencies. Needless to say, each agency presents an opportunity to find new, more efficient, ways of accomplishing its mission. With the able assistance of the of the staff in each department this challenge can be met. L L J ' 1 11 1 DEPARTMENTOF FISH AND GAME The Department's FY 87 revised budget of $70.1 million is supported by three funding sources: the Fish and Game Fund ($11.4), federal funds for either game or snort fisheries management ($17.4), and the General Fund ($41.3). A major problen within the agency appears to be the alzficulty in shifting activities between funding sources to optimize program efforts; to the degree this can be done, as in the use of Dingell -Johnson funds to support the FRED division, this should be encouraged. The department has proposed closing or mothballing several hatcheries in its FY 88-budget. Additional effort should be made to transfer ownership and operation of production hatcheries to aquaculture associations or other entities capable of professional management. While it is clear the department is stretched thin in meeting its widespread missions, an analysis should be made of the opr_ortunities for combining functions across division lines, including field operations, research and administrative support. Because the department has such a direct effect on the economic and social well being of Alaska's citizens it is important, following the introduction of management efficiencies, that adequate funding be maintained. One obvious source of additional funds is an increase in license fees. a e 12/1?/86 i��nitT�Ix:t1T h� !'ATI't?�T. 't?��ni'i!C�S The level of reduction in the departrent'z3 FY 88 bu,;ar proposal poses serious questions which must be nddr�rred ijy the new commissioner regarding the minimum level of .ervi�.e which the department must provide the public, as well as degree to the state's resources must be preserved and protected. Some examples of such issues include: Aaency Reorganization The department has already proposed or initiated the merger of several divisions, however in light of the need for further savings serious consideration should be given to the merger of the remaining three major divisions: Forestry, Parks and Land and Water Management. It nay also be feasible to add the Division of Agriculture into an expanded division. An analysis should be performed to determine the degree of commonality in missions within the divisions' field staffs to determine the feasibility of merger. Fire Suppression Fun The FY 88 budget requests $5.79 million in general funds for fire suppression. These costs were previously funded through the Rainy Day Account, but with the creation of the Budget Reserve Fund that practice was discontinued. There must be provision for the funding of fire suppression activities in order to meet the state's commitment to BM, as well as to protect public resources. If feasible an audit of the historical expenditures against the fund should be made prior to establishing an FY 88 appropriation level. User Fees There are a variety of opportunities for the collection of user fees within the Department of Natural Resources, ranging from those for the use of parks to the provision of land status information. All opportunities to generate income should be fully explored. L K 12/ 10/ 16 DEPARTMENT OF 712V T PONMR NTAI While DEC has reached a point where furt:;nr rr,-ductic> nn -►-o extremely problemmatic, there are ©pportuniti,in for +vddttiPn�l efficiencies are revenues to be obtained. Ono pos,r;ibly fruitful area to explore is the merger of the Facilities Construction division with the Operations division. Thene divisions have many similar job classifications and with the probable reduction of facilities construction within the state the need for full divisional status is questional. Revenue generation opportunities also exist within the department. Legislation has been proposed to establish fees for drinking water plan reviews, wastewater disposal permits, subdivision approvals and on -site wastewater disposal certifications; many of these responsibilities could be delegated to local governments where they exist, or contracts could be negotiated with local governments for DEC to provide the service at cost.Within the Environmental Health Division fees could be instituted for food service permits, bar permits, retail food store permits and seafood processing inspections. L i 1 � - '1 ACt•_It:1IIJ;F;T "'t'A":,ITIf;V ta�Inc;.>•�•rJ-1�t�n�:�?•rtc�r� t�I_I��it�^, FOR THE FOLLOWING AGiINCII''S DE PAP.TMENT OF TRANSPORTATION AND PUBLIC FACILITIES DEPARTMENT OF COi.t•1UNITY AND REGIONAL AFFAIRS DEPARTMENT OF COMMERCE AND ECONOMIC DEVELOPMENT SUB -COMMITTEE MEMBERS: ROBERT POE JOHN HALTERMAN A L %L ASFA r7-t7,�,...i•:T OVERVIEW OF DOT/PF BUDGET FY 86 ACT FY _P7=c V vv rft rf ?.* Office of the Commissioner 2,1OF. 4 2,302.0 2,510.1 ,QW M.anagement and Finance 2,480.0 2,565.6 3,2CO.6 V Information Systens 2,435.4 1,911.8 1,911.8 Plans Programs and Budget 823.3 0.0 0.0 sw F.esea rch 15E4.3 711.2 7-06.2 EIS Eng and Cps Standards 5,195.7 5,548.2 5,496.5 CR Administratioe Services 8,237.3 8,022.0 8,127.3 CR Planning 2,219.2 1,046.1 1,022.2 CR nesign and Construction 22,492.5 28,279.4 27,837.5 CR :1ainterance and Operation 34,001.2 26,244.0 25,782.4 ,•.nc International Airport 17,323.5 19,115.0 20,110.1 t:R Adninistratjve Services 12,569.2 12,361.3 12,542.7 I:R Planning 1,524.9 975.6 1,010.6 KR Eesicn and Eng Mint - 21,220.4 23,991.0 23,870.3 ID ;saint, HiCIZ-a ays a Airports 28,885.6 21,493.7 21,226.3 ID :'aint, Hic:,ways & Airports 5,099.E 3,718.0 3,611.5 SCD :•Saint, Pichways & Airports 8,8M3 7,crip.6 6,S9-:.5 Fbks International Airport 6,937.6 7,395.2 8,0751.1 SER Armin Services 3,C62.8 2,91?.5 2,918.7 SER Planning 558.1 345.3 345.3 SER Design and Corstruction 913g9.1 09,917.1. 9,e45.9 SER Maintenance 6 Operations 13,279.8 10,504.2 9,956.1 Marine Administration 2,452.2 2,226.7 2,226.7 Marine Facilities Engineering 1,364.3 1,774.5 1,826.1 Marine Marketing and Services 4,709.3 s,754.3 Varine CFeraticns 57,573.6 54,630.5 50,794.5 P.etirerrent Incentive Frccran (r:f 0.0 1,143.3 TOTAL 277,940.7 262,229.9 259,884.9 *Sheffield Proposed FY 88 Ecv M-Er-ET rSSCES c0"FP(;;;TI':G AWT/PF Cam :41 ?rn�ect r1rfar.-f'rr: Descrj_r.� cn: At the resent t.:a.e ;,C{)T; rF does rot 'Knew t:-ke current financ;.ai -134-ua of a cer:, latee r•u,:•,er of capital r.rolects teing developed within the Cepart'ver.t. 't i s 1 ikel;r t,-at arl:rcrr!at ions for several of these projects has been over -spent or orer-cblicated. p•r PC tn. J rc.r.t A.L-tI,: i.1su*, .ciert :ccounr..-, cnnt•tois d'.Y ,)•,(; j,),,+�,, ;• ^ `.. e• :G,:��. @ ' ��t' 1 C. U.:, :it3tOY. il.tr ill-'('f :)� Y :. ),+J i 4'i .';� :. t: .`•.Cif provide enct:ch�cost centers (coo Irr•„r:cr c r • c; ? tc, cc; t.rr • •, s r;.rtaer of capital •rojects which had been �.r;:;ic;r►<<r1 t�� �t e „er.4ct,;.ert. The problem was further corr;our1r'o(: ty urcr. urc J _ r.epart-'ent and project engineers to rc•t the t,ec,',c•rrt:; Out "street", and a perception t; ritate project manac,.err; f i r ;t priority vas to get the .ro,ect built ar,c:c- project within budget. In fact the legislature has 1-.t::tor'.call1 appropriated annually over 175 9 of the available Federal fundn for that year in capital projects to he built by ADOT/PF. Project managers did not rely on the internal /,DOT/PF c':stem, FMS, because the quality of data provided by the system was not considered accurate for a variety of reasons. Unfortunately when the new statewide accounting system car.•e or line, AFSAS, the sane ccst center problems were carried over to the new system even ttough this Fvstem was quite capable of handling most of AGOT/PF's needs for j project financial control. In 1983 the Sheffield Administration began to give sericus 4� attention to this problem. Numerous audits were perforr..ed to i determine the actual status of the ALOT/PF CIP projects and by Jt:ne j 30, 1985 a fairly solid picture of the status of the prc;ects was developed at a cost of over-1 million dollars. However nothing was done at that time to actually correct the problem. Since then the problem has grown gorse due to the accounting control proble^s which were carried over tc. e.1 SnS. Tl a problem still exists and will continue to represent an unknown exposure in terms of over_-ent ap; ropriations ar.d -n..c:sed Federal billings until the problen is finally clear•ec: u[:. _r aCdition, some large amounts of general fund money may currently he committed to :aderal hatch projects which have little chance of Soing into contrucejor in the rear term (within the i next three years). A further complication to the abcve problem is a recent decision by the FHWA not to accept any Federal billings rroduced by A.COT/PF's RIS system. The FMIA has determined that the FI,S system iz unreliable are is capable of rroc+,ucirg and succersfully passing one-sided accounting entries. Becommendations ADOT/?F should begin ia.:,tediately to resolve the problems currently experienced with capital project balance Information. without this irnee-fate c'cticn, ;�rC—T/PF project manayers will continue to doubt the validity of project data vhich tV.ey receive from t}.e automated systems tra=king their respective rrojects. The Cepart: ent will also ccnt_rt..e tc t.e t,nable to determine whether Vroject work is r..rccc•eeinr; t, i thin the i aw and in aii efF,icient nanner. Finally, this clear.-t;r effort -a'_ 'r icertiflirg arci receiving additional Federal dollar- :.rd :n :rseinf; ' A r e�rli f:.i•c. Ghl isrr ul-icti -.re c.vr r'er•tl' CO-mmitted to gill not be deve %(*&i� t : e r.rc,c `t.t vre. I L t1 �.v �1l� r.n ,l r1Cr'�t -i�1P 1,, �f+l f£ u i r�r" ,•'r'r' ! ' L1ncr--i_t1r12 ?YCrI'•:,r)�' tl'Q CCt'VI(f! ttr:t ,�l !r r• ; ,tt i !a ate!y r.oticed L,. Ala.. kan . r'..it:r ar•d oteratI'cns of our tCad 6 hi(:had}•:-► o lI r r t ALOT/ F'n rahility to provide a 7mti-fryctc,ry lr :r'? r,t; rt .'t%.I• rr. area is; heirs rc,c.ativeag Cffocted due t,v c•'c t�l! !•+.ti',r•t. r:r, i :�rl with increased capital investr.unt in ir:f Yrr:,t_ cucl-ure. Discussions maintenance and operations of highways, airports are hattors is a very basic service that nc.,A Alaskans have come to err:ect. In aGdit -&or., the l.rcr.c-r :. aii,t cr Lr.ce and operation of our public facilities is an important factor .r. preserving the life of these capital investments. Currently ADOT/PF maintains many roc.c'.s which right pron.erly to N9 naintained by local communities. ADOT/PF has recently developed a three tier approach to prioritizing which roads will receive maintenance; 1. Fcadways connecting population centers, econcr.::c cerrtZrZ, the airports and ua"Ivt ir+tra:.tate 1.crtcrr, 2. Poadways built with sufficient federal funds so that t .e State is contractually bcund to provide at least tte minimum amount of maintenance necessary to realize the service life anticipated at tt.e tine cf t eir construction, and 3. All roadways not in categories 1 or Further budget cuts to maintenance arc; operations wil1. ;.: icritization approach in determining which services will :.e cut first. The Departner.t bras also recently :t:nc t:lE rctor fuel tax from .08/cal to .16/cal and ha,.e ft•rtler rroresee. 'rat ceverue he appropriated by the ieSislature to orcv!ue for road mairterrarce. in addition, sevecal of :'.;.F• vtatels airports a�:e recently been 1 ighted which has expanded the time c.ver whic:s an airport must be maintained in ready c.cn0`.:. n. ::true, at ;te ca-e tire, landing fees are not charged to air carriers %-,-c ti-le these airports vi-th the E::ccr:tion of soae of tl•e larger airports (e.g., Anchorage, Fairbanks, Juneau). Reco-mmendation: Since maintenance and operations is required to preserve the life of virtually every capital project the State invests in, the Administration should r:c•rk toward IL-IninS capital investment so that it does not burden the A1;OT/PF with an unmanageable lead of r•r+`_nt:erarce ane c;erat;c:n responsibilities which cannot be adequately supported under tl%e: State's current revenue budget. The State should also work, to the extent possible, to encourage local cc-rraunities to take over he rair.tenar+ce crn , C--ie , airports and harbors which primarily serve that community. Finally, the State r.-ay nett: to consider which projects that use federal funu: should be `.uilt by the :,ate. ?t ray to ;n the currc-nt -e r.er:c•d, to = -.it farther participator .nr.uch rrojects to vnes .Ahicl. :etair or cthr-rwi-e tenef.it cur exiEtira infrastructure. LN a Aditintiro to 1tt„r_c'. Descri &!,qp: :%ir`oc. F P2. E"i 113, V P4 r . amoI;nts of C.ai"itaI :I rojo!ct-, .'ery '11+J CI t , t l (1 + 1. } t r' ..I'•'i; 1 t . order to apl:rci:r:�t t t t.i: I Jt-: tc•:, ] t f (,J►; tt.e L) ; C. built a large in^mouse ctaff of plannol'r., (t'(rtri,1 t•^., ('.ri a ° r.t,rt•cicrs, c•t.c. in light of tie Stat(': currant r,t,rt r., revenue t••udcots. `1''e 7ct.art7:c.rst will t.o t.(ow to t I current staff cooplement c'.own in utJcer '-o .•data cr..e �firct:•r�;. complete t`.'.e :,r,allpr capital huildincl t.ro(.rams c;xcioc:ted 'n £::t, •ears. Discussion: In light of the the State' current r(.-verue ct•t.Jc the ADOT/FF can probably expect consic'erahly rr.'alIf,r C'_F tc.rk procrans in future years. The current Staffing complement and approach to completing projects should he reevaluated to consider how these smaller work programs can best be r.6dresoed. "he _ee.islature bas historically aup ropriatea more general fu^c ratchicg money to i,rCT/?F than there is federal funds available in, a c:iven year to match. Generally this over-acp=opriaticn of General fund matching money has been 175% of the available federal ftrres. This places the burden on the Department to prioritize which of these projects receives federal funds, creates unrealistic expectations amnong the constituents of the project (since it may never actually be built), and unnecessarily ties up general funds ubich ray he better used in some ot:;er area within State operations during that s:rreal istically hich appropriation level also foces the Cecartriert to carry a s..r:ewhat hicr:er staff cerplerert than ray actually be needed to accomplish the work grogram for that :ecr. Fcwever, the i:epart:.-ent will reed to .maintain a --taif ccc,.ple-•ent: which is zuffic±8nt to meet a mini -mum competency level from. the ;oirt of view of the Federal agencies (rHWA and FAA) which distribute funds to ADOT/PF. Tt is unclear what. this: ;ecElis are. wlret.her the competency level may be maintained through contracts with private providers of these types of engineering services. Tt is also unclear as to whether the Department must a.airtain its reciicnal structure. Recommendation: The ADOT/PF should tectin now to evaluate the minimum staff levels which are required tc, �Cerec:: the present and future programs of stork. This review will require a great deal of creativity in considering different approaches to accomplish the same level of work. issues for consideration zilould include contracting for engineering, drafting and surveying, rscentralization of certain functions within ADOT/FF and the use of ;.rcXucti ity rear:ure . to ercourac;e efficiencies. The Co4:_.er Adm. irt_:._rat ion ZhouId al-o _ve ,tvcnq cor: ie.e--tot �.J• cue. tier, as to ,;; ether all fecte r:a! funds, c.veilable to the State in a a_iven year . -II-.role ~n :OLC';?t '!,rough _ornittr ert of Gt:I't'•':.; rt rds. 1:a State zhould ea..tatl izh a : of ic_. to cor.mit c;ereral ford -atch to fecercl fund.; ::1:ich allow Pod tvi rr.air <.nd rainterarce r.: e:;_ct inn. facilities before ccr.=it:ng to new ccnntructian which acids to rive state'n future rctirt•!-rarcr. ;tr'ci .:r.rr•tior. costs. By using federal funds that assist the St..te in i:eerinc, itn current infrastrtcture in rood donor±tion we r:ay be able t o reduce our overall - II & 0 costs down, and avoid addi:ta unnecessary capital projects to the current infrastructure base which tend to drive the State's M 6 O cost ucward. -- _— -- J L I riBScriporirn 70 Marini? largest. r:rcic cor.l:eret of tit: twat/,•i''•. ;I,t,rrill ;1.1nl ; •„ budeet. The I'ar-ne iiic;hway :;yr.trm 1u7G fr.t+-n t r, r-r +.c,:r ` ine.ficient and ineffective uperations. Discussion: Since this function wItt•,in Al-,Wrli-r ri I.rt !1 r large portion of the 01.0rat irig t•IW,let it r-to t tc c•; i r ir.f-," closely to look for wcys to deliver the needed r,e'rvicl,c at a significantly lewer cost. The VIiS ham; lane Lec!►< <.I:tieirccl 11f,r having lost sight of its original purpose. Tk:e continually expanded under the quire (.f making the cy-Item trr)fitat'_e and therefore self supporting. ':his has not yet teen, acco: pli::tied. Local residents complain that regular nri thc`c rr `_r•s Jr ret available to them on short notice aurino the summer mcntt:s I because most available space is taker up byvisitorsto tt•.e Ct�te. Ohe system has been shown to have significant excess carac t_y ct•r r the non-su.-„,er --onths. The system duplicates an existing h`chway syste:n from: Prince Rupert to Seattle, and has, in the past, c)i:Flacea private carriers of freight to Southeastern Alaska. The pay structure of state employees on the MHS has also been critic'.::ed as •unrecesr.arily high and coriplex. Finally, the management of :he I HS has generally been assignee. to ietiree rititary personnel s•rc generally have little experience in operating ferry systers for j pr of .& Reccmr.:endation: The Y.arine Fight.ay System should be revie,::ed against its uri.giral curpose, to serve as a hichwav :,::ter. to Ltheastern and Soutt::•restern Alaskan conmunit;es who d:t not have access to the=:xistinS highway, ay -ten. rerr;, r�.E•r�t;�.r•. c.; :c:. c: �c-c' tevond this original purpose should to ccnside ec; mar tuer. ; ct•`:. ,f ^t-is nay include clrt:r•c the ferry runs betweer.-::4r.ce Pupert are, k Seattle. The system should also examine closely its current capacity relative relative to protected demand for its originally intended functiot.. Serious neactiations should be conducted with the unions .serving tte MHS to simplify the salary structure and to lower the cost cf personnel on t::e ferries. The SMS should also c.c.rz, .ecr t. e car:t:actirc for GErr ervice. to private recto: coy:par.ies where the cost of t:ose cervices is lower than ttE c.ur:cr•6 con structure:. cenc;/ "Corporate Culture Description: ADOT/PF tras in existence : th:r. ;•.lasha tefore Statehocie. AC a rctult, this eepartr.�ent has r;ne of the rtrcnoest "corporate cLlttlrEE-'1 cf aroy ort,;afii2:Et :t r, 4 it} :A, ite state r tecLracrac;•. Chancing this culture in order to help it deal :mitt: tt•e fute:re ehcrce;. ::ill k.c key to sticce.r•ft:11y triinjot, t7own tt.e cu:t c•f ACOT/PF and helping it run more efficiently. Discussion: ADOT/PF engineers not only have a L•trong loyalty to ADO':/PF but also to their profession as engireers. %4en you combine this professional 1•:er:.tvc.tA-C v itt- tt•e Frev�at.s f:t;w of furc:s through ACO':/PF, it is not suprising to learn that vary engineer: to F•rC•:/?" cc :.rt c:c•rzleer it !!.vir terFonsibilit;: to closely ronitcr tMe costs X 16 -I LI L i of a project as long at the ptoic:t ir, %:f-, ; ccratructoc,. Ty i s ray al ;•CJ t-c- f r,Fl cad t,y ADOT/PF• to get: ii:eir al.propriate(i cal ital ( rc,1 _t..• ,.W. °street° as fast aS posvible. Under Lltv,,u tyl of seem reasonable for a project manac,e,,r to focu_ c,n a 1:,,i.•,: quickly and well rev:ardloLD of the co:;t. Fratect nanaserti uithir hCGT/PF have cutnplr.iced •,,Iti. rc-a1 justif ication that the project manage'r+rrit tool .. z q•r ' :,"e Ie, control FrO:. ct costa have been, at best, unrelThe `rcvioun, systems (FBA and FMS) , y'hich they have had at thhei i cA : l.r•: r : , is r.rcvided untimely and often erroneous data. ec mmendation: Top level support from the commissicner and tt.e Governor will be sec:es:ary to continually encourage ADOT/FF project managers to get control of project costs. The Capital Protect Cleanup effort must be completed quickly so that the data the project • ti managers currently receive from AFSAS is accurate, tir.ely ar.c: reliable. APFropriate project management tools must also he ;jade {, available to project rraravers to help teem in setting ccr•trol cf project costs and maintaining control. Getting control of ^roie:ct budgets and expenditures should also help ADOT/PF step up its efforts to venerate timely billings to the Federal government. Cre project r..anagement oriented system which the Department has recent!.- hrcue.•r,_ into glace i.r+ tt�N :outt•eaf.tErn F:ecion is the Project Cost Information System (PCIS) which should he examined r+ore closely to : c e : f ;} r:_ r• to useful acercy-vale. Federal Billing Svstemi Description: As a r.er.t:lt of problems experiNrceu with tl'r. ::LG;jPr VIS system the ?ederal highway Administration, effective suspended re:rbt:rsErEr•t of 111.3 frtcre ;:LCT/PF Current Billirc cla::.r- t,rtil the Department can provide assurances that protect clairvs fc.r reirt:ur:erient zc.c-orate. obviously until tHs problem is cleared up the State will not be able to reciive federal funds owed to it for work which could net be billed as a result of this action. I Discussion: Over the last five years the ACOT/PF has spert i millions to develop financial information systems for its specific needs. Alrost tiitbOL-t exception these a1stesis have Bitter not teer. completed or when they were brought up, vere nct goer'. _ased on pre0c,uE design of a f-na r.cial information-yster, (FIS) by : rice - - - 1%aterhouse, the Department is new consiCering the Ce,,elc_ment of 1%his system to address the federal billing problem and tie tr;4--ct cc: t:c; izsues that :re ertly exist within ADOT/PF. t The AiOT/?F is tronealy consider•ir. , Cevc-lc[re t tc• tEr I ccnjur.cticr� with the Cepartment of Administration no tt.;:t he - :.t_- car',' • i"r(!c rcl fill ir(, ccncerrl c•f Cther C:Cr3r`.nertr. i-i .,.E `1 F.; those c;f ;.WT/PF. The current thinking on the r._rrtev that it t.c,i(l : e c!E!'c°! cr c-c: :i." i;r integral part c.i the -.I% S e to a :,t;r.d .:c;.e tor.. that receives :.rC nondr data to .-'r;rI,.S. w, • L •J . • Lr i The positive � ;ints rr,'c��rr'i r"n t- i . i+iZUU is that it wrtsld to ,all 1•erfor,-, federal til:'P; uLror,. `t:t;�'.11 '{i{,..�.rfrr^ ;.{ i •.,'.i 4 point of view there are a urc:at rJanyneg,at.ivetl. Fevc_ .i .s ,; r. r ! billing system within AKSAS is conoiderably more ar.d "- 1 • require some significant reeesirn to addrerr. tt:e --ys:t{;r: I('ccr of the other agencies all of which are costly in t(:rrit, cf ''re itr,6 money. Developing FIS as :art of AKSAS will also rtuY.e the FIS t c .ct IC, s r W T F s requ) rf-d ! C� a P i less responsive c t � r e.. in tt•c. Apo / . federal illing in the future. y j The positive points with regard to developing FIS outside of AKSAS are that the system can be developed more quickly, for le:.: cost, without redesign and will be more responsive to 7•.%OT/FF's specific requirerrents as they may change in the future. 1n additic+r, ADOT/PF has had real success in developing systens which accurately and effectively interface with AR SAS. The negative to developinc t".e FIS system cu4:.fde of A SAS is that It cay not take the needs of call j' other agencies into consideration and may not to ovwilatlF to z,3 3 other acencier. Pecomnendation: The AVOT/PF should te,in develcF-ing the F•_E z meter k� as soon as possible. An RFP should to issued which solicits cleat_% input frov. the vendor cornunity on how to quickly effectively and in ! a cost efficient manner address the Department's federal tilling requirementr.. THE RFP should not be issued with preconceived notions on the part of Department perscnnel on a r.jecific solution cr ver3or (Price Vaterhouse has received over 16 million in sole -scarce ! syster., development contracts in the State over the last 5 years wit:. no involvement from their Anchorage office). 'he ACOT/PF should oversee the issuance of this FFP and should cortract to -Get :.;.e specific federal billing needs of ADOT/PF. rn ',he .,can tine, ►.G"',':" ' should ceve_ctn a „aruc,!. q}sten to i:t:n F.arnllel tc the Ceveloj:.,ent :,f FIS in order to perforr,. continued federal rill : r•c. ^'�•S s I•as +�r.: f l.rccess :rill also need to exist to support the Capital Fro_ect Cleanup effort. j r� rp r7;J?�R ! 't' I•`:IA"'IC., !i U Un; r,'rTA 11:: ;1: 10:: : G t (. i `''' f ALAS X hnt••r 4 CWFt!t-jj!!"! t•1_t) Z-t'n; c : ;,t. i t!'t• �?�r, L f OVERVIEW OF DCRA OY-'P_I�A'1'I*P 9t!P! F.T FY 86 F,�T FY 87 REV c_Y_ i3p, , s s,• Administration and Sapport 2,568.6 2,038.9 1, sr Citizens/Gis Vets ':a:: ro.- Asaisti.rc.t ).],l3E•.2 11,1(].1 Job Training Partnership 12,869.5 14,466.5 14,151.2 Displaced Homemakers; 527.4 (1.0 0.0 Community As_istar•ce Grnts 3,^]2.5 F,756.2 d,957.6 j Local Government Assistance 7,282.9 5,555.9 4,994.9 Energy Programs ?165.8.5 ,,1F4.7 :,066.5 Rural Development 87F.9 796.8 -66.F Block Grants CIP 5^.? -7%•- Bata and word Prccessincj "'".� "?:'••' '�� cusirc Assistance :1165.9 2.,939.9 2,8iY.•, ::unicipal Revenue Sharing 340,879.8 11 ;, 73-7. C,. Fetirerent Incentive rtt:e � �_f 0�0 _ ?;Ld TOTAL 10,1.F6.A 162,('J.:'.1 1 'Pre t+] c: Pr cal f �e0 t- £•£ %EY T)U1:'C.FT 1SSUES CONFROINTIi:G DCRA Revenue Sharing L :•tun iicc•i_ral Assistance Dese: iRtion: The FY CC cperatf ng budget prol.osec: !•.,: tl,r Ad-minis;tzat.3c.r• i:epc::•c`:. "4C.£ r.illicn in re:►er:t.e ::::•:irG .::.c3 =5°.:' million in municipal a--sistance. rf the ojc-ratinr. tucigct :£. reeucFu tC :•l::•tt::re!'•].F eve]. rF+;,ct :t•Gt.c.t'c•t'. il'• ltct•E .t',c�:C; j '•M gave to be n.ac.c- or rely sources of :e�l::.::e a:;:zt !:c �c:•c:crcc, either at the local or state level. 1 Nscussiont Many Ala:•kan C0r•:r:1uritie. s.•at,e t:e ;•c t c:cc c:: : r-c•c t t.e st•.ar:rg, municipal acci:.tar•ce, cc! col fourCat:cr• and nct•c•c' iEt It :ei,.burcc.:.ert programo for the large rajcrit; of :!'c•:: �t:cir.g. :'.sr.. ' have nct :eC•attec: to tt:eir 1cmal tar ir; autt•crit;. tc ; rOv_ca revenue: nece::sary for their programs and G:•c t:.fort::nctc : c ::.'_t of ' l:is :.t I:;.t : t : ! ! ;•t •; c ::•c , ' c.r r t,r e 1 +: + !-c ! = t t : i CF-rt:. !.z•%c c cce : c "Ct er.c ..r, t:.e::e " :GVtenUCt. Sir:CC 1CCal `CI:'jC.C: :'CVC t.CC^ (•:f.': il:C4 :!':ta:: t •c r ..... ..r.t-... . � at' c•r t•e votevr. 1 G c-;• c• c rc f, • ;.c :' r.tofere.r•c.e, cr, tt.e services they r.ot::c: like ::rovieled r, I.-Cr :C:'i Ct•C 'tZC::a: •.! r t'• 1: 1'NIC::•i.l S f t:UCt �.!y.i.'Gr:tiC:' 1':. .:iC te':::1 ta-e-c-I r r.Cf o- :r CG. Cott!., `.'Ye:' a:C ct: rC•r:t;t ;t.t. =r thC:?t! l-ICZ:. A ;G:.. t:.'! t i. ti . ;C-YCCt Cf �'Y.if: LU:CCI local c.ff.,C1v1: t: 1` fr.•c. :t tr l _r + ;�► their r.el vor• t'f•iEt`."e'C.. '_.1;. t1.e voter nun icir•a1 t,! I.c+lr.l•t�t. .:'•'(: 1 : ... tt: g `•t� "nit' �!.1 ti-�I ' LCCCC'r:CL•Cri Ct,: .f £tCG^cash-based eccncmv will t.0 ' . i lea. Tt e; :.;r•i;. t't tC 1'.�t't' dl <�ctc' r l'(•t+l � r' 1 � r "t f+'. from+ a Iac.31 rCrt::cL. eccr.^enc?at cn; Under the current SUM-c• Ie`:c:vc can probably rc lonc,•er afford to local corrrt,ri` c'! • !� L;.�c c _her rears at their dicroral to funs: local programz arc: ! PI', : C.r-s However, it is very irportant to re:ren.ber• 4,11r+t t 1 c- : t : i.' i ! F•f r cc..r.urit:.f: u1c nev receive rcvc.r.Le S'I.f.rinC ar.0 -•uniciLdl acsiCtarce Co not have real altersatice.• tc this r,cu.ce of 7!c- CcI,c•e l:cr.'ir.istrat irr :•}•ogle; give strong cons icleri.t11or, to elir.+iratirc he revenue sharing and municipal assistance prograr..s but :11cl+lc: r••f' F provisicr.s tc. adc::ess the r.ecCc cf rure.1 1.14=kar co.-riur.it-'e-L rite �.a:•e r.� . !al alternative to this funding source. A ter^ativc-E a:•a:'-:."-� to addreEs the reeds of the rural Alaskan ct;r r:ur'i1 :.c :. r.it :,a to ir•stctute a cross receipts tax, a sales tax within the Ur.craani:Ec: Forouch, or a statewide sales tax with rebates to local ccverr.:-•ents. Housina_Assistance Division Description: In 1286 the iErtr+.`•rICtLre iiutl or &—.rzd it'e Urc.atc, of tip to $ 0.0 c.ill nr+ in He•D Inars by Al:Fr,. t•ti.tt• the =.urc:•ar.e of tt•esc, 'cars the FAD rortfolio elecreased In size arc: the rc•.!crue strew= from the p rorjam was reducec• by ; 14.0 trillion. One c. :.:•c : c`:cr•L:c t Yticr.5 r.r.esented i.r+ thin rfr.c+rt sug -'est: to tt.e Cowr.er i,d .ir:r•t:at-or fiat • ; �. i;rc:tt•er a:c•t:F• of aC lo;.r.s Le Disct:ssicn: A policy decision will need to to r+ac:t :cc�i,;cirg ttc provision rc.I : r+ rural ti.iz:ka. As the .'eta'+ -oar:s &Le sold to A11FC the revenue strean from this F:c:Ltfc+l'c• is cit;nif;C.�•tta; .ec7uC.ec' wt ict. al:c rFc:ccE:. I.I.E. ir.ccrt t•f ft-r•Cs which are f.%ailatle fo-r rural i•cuc.ing loons. gecormeneation: The Cowper lien ini:.tl&t: t+r. r-ust deciOe tt•e future of rural housing loanc. options which appear to to a:°ai.'arle to the Cministration include nergirg the HAD prcyrar.. v1tl• AFFC, keepint.. tte sar.:e p:cgrar, in CCFA with cash infuFJor•s ;art recL•i:ed, o: e1`r.•ir.at:r. the Frograr. Tax__Re-lied Frccrar:s DP_SC: igt on- Cur re, tl: CC:2;. :r:: ic'ec a nt;:..be: of t.cx relief p:ou•f:r: :t 'c.c;.t cc: L-rit.c:�. :,r:c-ng t.l-c'r•c' :.:c :c'r•fo: c:i:'aC1ec :•cter-.ns tay relief j:rocrars, nre :••'::c.tltlr:,i :i.,.e F:'tr•! t:tr' ILbCC3!rS. Given .'l+t GL:tI'C.vt 11•�:crLv �•!Ctll( �t•1 11r :ti+tC•,'cer•.':ti(t•+tiCtl E.1'+GI.iC: Inc. r:'Ve•r :e :t.Ee c is ccntir.t:ance cif ::t. : e��t :.c;r:c of rcl ief L:r cu ssicr: *!an- y of me t:.;. tE1:ef praeirar:E com. unities for the tax revenue whict: they forego d;:e to the varicc:- Lin w I JJ rt:cnsr r.tr •1 t•. t�C(t.[C ,:hc .^r0 t.t,vc t.fi t.fit' acNi stance .. r c it :+a}• nft • :c�ctt.e f•ic~:,► e� `c. .OvL ic.t:r c l ir irr,t.: t,t, � t r.• ,• ; . r,,.^ ,' ` . r �' _ I -chef fiold i.ro c5Cd tur'•ret £nr ry Cf al rt ,lc'; rr.s r., r•: '' ` r~+i' •' ? I _ of the senior citizen anti eisaneo ve`c..,za:. LLr rt.;ity +�f+cc,-tmenElat �nj The Cowper A�.r•irttr.trat.4Gn shnulc: a_•••^ COns*& if ration to f•1 !t-i rc.t i t, ,, t l•c-t-C, ' a:, , t ". E r r•re required to aEsist certain r,ef,nentc, of the n?.c:kr.r. lcl,ul�tir.;, tren r.pecific Ircgror.-n 141(.b f.rcviCC' tic:c nECC(e. trr�:'''.tr• nc�u:rl :.�- funced and c:evelcFed. .s Cps A Red ca ation i Descgigtiont The Department of Community and Regional Affairs is a 4 unique collection of services that are offered, in Fart, by other departments but which are r•recificalll• eirectvC to :cc21 ccrsurit_el. I Tte Cowper Administration should give strong consiCeration to mrvinc tt.ese prograrls to agencies wt,o ni :ht. t.e t•etter cr;ar.i:.Fc: tc. c'E. °�Et ' t.Pis tyre of service. " Discussions If the Administration elects to end r,;uniczE.al assistance and revenue sharing, then the major shate of rCPA's 'I operating budget is eliminated. This change would also signal tYe I ere. to NF.A'c specific focus on the local Alaskan ccrr•urC;per these changes, it would stake better cerce to move = rocrgr:. tc encies who pxe.er.t'..' offer procrars wit ich are cicse?y :elGtEE: to the ones proviCed by DCPA. sore esar-ples of programs which right to 4 G roved inclueej Child Assistance CBLS r prr•hi *GE Job Training Fartnp Energy rr c- ,rat• s rr_r trf-v : r cri,-; r'.% f:ct�F.it ,t; r•i : to nce AHFC Feccr•c,encation_, The Cowper ;..er,-.ini t-., M f or should Ove cic:•e j consideretior. .c slowly disassenbl-nS 1C?A and transferring it:, required programs +r, r.t},E't a,ercfes t:}c ,-,Le a]ceCCrroviCirg si:..ilar - services. 'these actior•s will have only rri.rcr ir,i•act c•n administrative costs hot ray result ir a more effectivF c'e]:%'Er; c: service. Flee:e rote that the Cepartr-ent of Cc•n•nunit:L' and negicnal. T,ffairs is vietiJed ty taus h constituertr� sir, t t•e cr•ly c:ei•a�trE•t�. ; state c,c,�eirn-cr� t:}:'r` tarp a fc,!uz cn rural irsues. _t Will to •:e.; ; i _r.Fcrtant to assure "I -at these eerv'_c.: are :•t.il] rec'e :,•/:�•'':!? I Ml.r.ti r.f..c:Et`.. i tf' t tc. ' �1:•�i r . (,C. r•Ct iCE•1 ' ' � .trC:fro: f� .tCtE �G'1CCfLrnt. j I� I I —1 J Desc J n Many resi(;entv, of rural IIjj,ka *f 'I, 'i(- . Department of Co:.-..,Iunity a nes Peg ional I, r fat t r is L I. ill rt'Dte 1�-C"4r_ Err-r. I II,:.) f( (I., es ILF ;Ci, f, ?.laska. if VCRA is el4ffinatvO and its prourarr, are who alreaCj, r rm i r' i I Z- L -' f- I V t i r t C il I tt crt-snte er F_r,i r !tate oovernmer,t ij),ich ha -, a�, I• tc :;,arly the issues of rural 1, 1 a s 1,.,,k . Discussion: The interests ar.el cc,scervr. rf !t.rr! ;'JIrkrrs ray r(�ee, 'i ty to be specifically aedrerE-ee tbrmch a zinc 6esiqnated entl within state :jovernrent. One �oc.r.ihility r,ay Ve !.(, an entity it CmiLrritiental Coordination within the Gove:ror's office to coordinate the delivery of services to rural Alaska. Arrare•Pt;enitr roWes be rzee with (;tl-,Er %Jc• zre test ilhle to eel:VCr specific services through the use of Peimbursable Ser,;Jce 14C.reer;ent.c. Reconmendation: The Cowper 7-Crinistratic-n should lnrcvide fo.- the specific delivery of services to rural ;,laska. CIL�vntireE t1he need of rural Alaska are significartly eiffe.rent than the neees cAf the .Larcer Alaskan cormurities. Sore r.-mvision should to i-..ade in state government ;o tt.at resieerits of rtit zI 7j" t-F k a (ri I-c: z r -rlI e er;t.lty ir. the state heauracracy with their reeds and concerns. 1% -I CU_�PER •�_TJ',11NISTP,II`1'Jr ?7 d r,rtirFT 1 •:' 1 ; T� •� i ,• F31lfri�ET �'�'At_;;I'r1,�•J .Tf "f.�`N'^ ALAaKA DEPFrJtT!!F:NT OF Cf)�;htf:f��'F._ i,t�Jl J•:f'('a)'•tI_(' i,fVi J.�..',•'�:;•.� OVERVIEW OF WED OPFRATT*'G RUDC.E:T FY R6 ACT FY 87 FFV FY '^ '1' * 11 i RA Comm issioner/Admin Services 1,e3e.3 ?.IFTC. * �,�6=.5 Measc:ement Standards 2,090.7 2,125.5 1 2,12.5 Banking, Securit+es & Cor l,2£0.4 1,287.0 312:f.f• Insurance 1, C52.7 c64 .7 Occupational Licensira 1,74Z.0 1,877.8 1,856.6 Feti'rement Incentive Prog .0 0.0 138.6 f.K transportation Commission S.2 n.0 0.0 AK Public Utilities Comm 4,052.7 3,564.2 3,731.2 P al Estate Corrrission 456.9 546.8 1,613.9 546.8 1,580 7 OefI and Gas Concervation 1,81w.3 Alaska Power Authority 25,8F2.8 23,544.2 20,626.8 ccno•:•ic Development Advo 3,031.5 2,656.3 2,466.8 Investnipnts Accounting and Collection ',:.E£.e I,541.5 ',?45.6 �1, 834.° �,2.49.(. ,f?=.F. Fish Enhancement 17ax Fece 3,1£6.6 1,4.5.3 3,-fi1.0 "aurism FIrA W99.R 1, IV. 8 6,372.2 1,71.-4.4 8,aCen 1,F?WN AK Seafood Marketing Inst 3,60>L:t 3,1_ Z,7 3,?31L7 TOTAL 60,6rC.5 58,839.5 56,438.7 *Sheffield Proposed FY OF, BEY RUCGET ISSUES CONFRONTING DCED Alaska Powe; Authority Power Cost-Equal-ization DescriPtians The Power Cost Equalization program represents the largest operating budget erper;6iture vale uitEin the APA's budget as well as the operating t:uclnet of the el:tire i.c..i.artr.ent. This program should be reviewed in depth to detertlire if it is effectively reetinc its intended l.u:F•c::e are whet) -ter ct-ar;es crr• t•e vaee to the E-tructure of the program to improve its effectiveness and to refute the -rogram's cost to the State. t'•iscussion: The Power Ccst Eeualiz;Gtion Frouram is based on a formula which averages the nr ice paid per 1:' l c.^att hour l r• t.neau, i•r.chorace and Fairbanks. This average rate is then mace to '.articiratirg rural communities throur�h Stcte :Lh3idiE,:•.. is rroarc.r. r3'1 rot ti.ave had tt,e result ttat !1v: i.,: c�'t *'1% r:t'r'c'ac:• 1':::e "re Lrogran has leo to the electr ficatian ui j everal rural cc.: r.un i !:. E•: it ray !,zve. a lnc, ; : rr r.t�•r` � ! • ' J.� f f ' � r r t c!.c ' ': t r c cc.r•si(:E•rot;cn given to the u:r: of :cnservation'meacures. Sir:ce no car, e::js:tf cr 1e,. r•t•c!. r:rct:'c { IICLC.* V!!.' to sutSic'i:Fc: for esch hou;004 rt,e Cer.•ar.d for electric �owerat the cur rent rates tecc:r:e:• %ir ost :.`t i tl esr.. 7r• rc'c:i t:cr., ' ance local tail ity costs, fcr the most part, will tie subsidized i `.•hrouch the program there is little incentive for the local utilities O a-ererate and distribute tower in a ccst effective manner. NJ i i Rece^ren�iatio�t; This; proc�rar .•t,,cuI(, i-.c .+•. +ti c c Ci effectiveness in 1:rovic'ird electric: 1c,%,4 r reasonable cost ao that ttJera Carrrnuni t ie3 ran c r,)r.y r.odern conveniences enjoyed by that t :Ic,rn ur, 1 an (•(+tJrJ:•, E r, rt ,-. Consideration should to given to iIacinc, r- cal, (M the - which will be subsidized for each household urc:er tt,i:. &eeitiar, :c.cel ttilities 0iculd be audited to 5uc3c,Jart vayr, for t.r.c:t1 to improve the cost effectiveness e:ttr 0 ich tt,ay c:e' 'err ic,,.er It. their rate payers. Consideration : hould a1:.:o be given to relroving public and pr'_ve.te (ncn-household) ertiticE fLor, 1_1-ar ,.rc.t_,:ar rir:c� they will normally pass the increased cost of electric Power or, tc their customers. ad ey Lake/Railbelt Energy Fund nescriotion: The railbelt Energy Fund (REF) currently cc-rtains $ 2E1 Trillion which was set aside during the cast legislative : e:-f•icn for the Furpose of r+eet:nc future Failbelt erergy needs. In eediticn, the AFA is currently develo;ir.g the Bradley Lake Hydro Froject on the Kenai Peninsula. This project may require an additional $ S0 Trillion to complete the prcject. There exists a close relationship between the REF and the Bradley Lake prcject r•ince they both directly address the future energy needs of the Railbelt. Discussion: The Bradley Lake :project has been the subject of some controversy in the Failtelt. t•:any Railbelt utilities argue that the rower frcm this project will be needed by their ratepayers in the very near future. While of;.ern zrcve that the rower from Bradley Lake will simply add to the surplus power whici- Lu:rontly exist: :T that rcc.fc.r. There has also t.eer, Forte real cuestion as to whether the Bradley Lake will have suff.Merrt water to run tYe K.ro-'ect. F.ailbelt utilities have, at the same time, been discussing what to do with the Railbelt Energy rend. The projects which ar.pear to have received the widest base of support from the utility community are intertie enhancement projects from the Anchorage/!;at-Su utilities to the Kenai Ferinsula r+r.d to Fairbanks. The utilities argue for the Kenai intertie project because the prese•r•t tower lines, owned by Chugach Electric, will not be able to carry all of the power generated from the four projects on the Yerai Peninsula to the roain intertie maintained by the AFA. The utilities claim that if Bradley Lake is constructed approximately 1CC reuawatts of surplus power will be held captive in the Kenai and will not he available to other Railbelt ratepayers without an enhancement ci' tl.:r: ir.tatt.ic-. Er•tancenent c:i t.tE Fairbanks intertie Ilas as its primarc, purpo:P to allow !or pore eff:cient cshec] `prop cf :�+t�c•r '•c. rc,irte-rk& anc: to iroviee a backup If z rortior cf tke intertie ~rent crown for a paricci of time. The Railbelt rrti l i t iE•r• r ili r.ta; r t 1.at c•r. ! T %tc.,tr ent ?ntei t•ie er.hancerrent projects will .rake expansion of future rower oereration in the Railbelt r.+uch :-ore E•cOncr:i.c since evtentsivE rower line: will rot need to he included in Bach t.ro-Ect to brinc the povpp., to tt.e consumer. Tl.ey contend that, if the intertie projec=r, are constructeC, the ";c:a.et 1.irtatialy" % :_1 , .1 :eael• exist for an efficient w 8r.C3 ^.concr: ic-r::r.: : : t:l :'t.t ::?l,' : ti, (they.' ccnterd t': •]t ,('it iE't ir,tt'rt. i c,nI,c'.r,, o -on— "-• prneP.riC, t"^«C'-C .rC, tlrttfCCr' t't,( 1'.It projects. Res ardinc ti:C con ti•o'ruct ion of tkf[4dIWV Iee;j:V, . :'S I.! that it is a ;God project nrd that it t:l,c,uld F'rOf4 constructed. t cwc1;e'► ; Y. ire iS n0 QOnccr'-: I.r ci t?(:.•:c project construction and operation should Le mar:,. Fcae ut!.:tic's Ave : uc t•ectcc'• that a portion of si e 1..,,F t,t: !scrr; tc, complete the financing of the Bradley Lake rrcjeet. :'till f tt c•r� have suggested that the entire REF be appropriated to the. M aka Electric Gene:Wc-r and Trar.wmission (AEG&T), the only rccc c.rri:.�;c? Railtelt generation and transmission entity presently recocnizcc: the APUC, and place then in charge of the Bradle; I.i kE l ro cot as well as the intertie enhancement project:,. Recommendation: The issues discussed above are complex ones. There exists no unanimous opinion on what action should be taken. in the past the P.ailbelt utilities have had a difficult t're ::creeirg or: rr•any AsrLes, :.: t rar.y utilities feel that by making them responzitle for the REF and for plarning to meet the future energy r.eedz of t}.e Railtelt a successful organization of these utilities can :esu t. The long tern existence of the APA should be closely eva:-ir.ec'. with the perspective tYat, at least in the Railtelt, tte -.t:lities stand ready to begin planning .and developing the enercy future for their ratFlal•er:. Ztrorg consideration should be riven to _placing the Railtelt utilities in charge of the Bradley Lake ;•roject and t_t-e Fa iltelt Energy Fund. In addition, the other functions now performed within APA should be novec into a Division of Energy which should e located in the Lepartment of Cou.merce and Econor'ic revelci-..ert. Other APA Prograc.s Descriptions In spite of the criticism that APA has received over the recent past, there are several functions performed by the APA 1 which are viewed as it —.crt&rt to Alaskan res-ii,Ents. These :t.r.ctions, to the extent possible, should still be provided by the State regardless of the future for the A.M. Discussion: The Alaska Power Authority was formed to provice ror.,e key functions in developing electric er•e_o•., i - curces within i.1r,;Ac:. Among the functions provided by APA, the following is brief list of some that are often mentioned by utilitFs zs cr!Ns tt.eY .cult' r•c% ! tc 1 c:e if AFA were el im,.ir.ated; The ;,FA nerves as financing vehicle wt.ich t•as � r.'• : • t t and creei t of the Mate of :,! aFka 1ehir.0 t . ', i :r•r tilt in sicnificantl1 !setter financing rr:ng?r.entc for power projects than ttoulc: cther%.ir.-e he � ..vai-c-tle to Alaskan utilities• if the!- vere Ac,ic.Fc: ;o .'r•i at:cine. for prolectc entirel on their c:wn. (! I rA i • r C' e��ti ti.aL. t.ttn i rt.': 1t�� ut"tir,. tit ''+'iv+'+ti• Tie "A t:�c; ra'l; �•Itv,t'� rt f'.. ,.. istance in AIaA,ka. Pecor,,mcndAtipnj. 'Their funcdionc, cuttent'S should he :trcrrll• ccr.,idered for '.nc:lusion in a '.�'c::•ern rr rr.; contairee t':ttrin' the DeF-rrFment cf Cc,vnercv c.rc' "c r: r; c rc':r!c.,_rr tt. Accountf_nq armed Collections_,L Investments DescriRtiont One of the one-time revenue options proposed in the first section of the Budget Transition Report was for the State to I divest itself of its present loan programs. Two of the oroarizatif.r-s 1 uto are c.;j jeflresponsible for these portfolios are the Division of Accounting andCollections and Gi.vis;or irvestr-e is %,hict. are tc-th ccnt:ainee. in tt.e Cecartment of Commerce and Economic Levelo.-er.t. I Discussion: If the Goverror cl-coses to raise one-tia.e revenue fcr the State by divesting the various :oan programs which are managed by the Department of Commerce and Economic Development, then there will not be a need for either the Division of Investments or the cf fic:counting and Collections. Fowever, other options may exist to { reduce the operating expenses a:•: c•Gjated wjth tr:ese tuc: Cre cit:an uhich .gay be considered is to stop making ar•., add it4or.al loars in t'riesE loan rrocrams tut continue to, service the loans and continue to recieve the incor•e c-enerat:ed ty t:ese loan portfolios. Under this rcerario, the Division of investments kouiG no longer be receee since no new loans :•:ere being made, but 1: e Division of Accountin: and Collections would be rr:quj.ic•e. tc. ccntinue i to service these loan portfolios. ! Another option may be, in addition to closing the !oar,c,c.ri-r, ecwn in tern.: c.f r ak ir.g new loans, contract out to a financial institution to service the loan portfolio. This second o;.tion r.-ay have aeditional rerit c.onsieerinq the relatively good condition of the financial records for these loan portfolios and that the state:':. financial institutions are currently eacer to fine ways to cer,ernte additional cash flow. recommendation: Further c,c.t ; cr. i c ,arc'inc tt.c tur.cet t.l�Et a .uo divisions shou'pe to F�ee`c;:tk'. GI•. 2 Cec:' cr• by tre C•c ernoi tc. ►c-Cin divestiture of t:,e loan rrocrams managed lCy the Depart: ,rft Cor•rerce ere Z'c.crcr,ic 'eve1Lp-nent. There arpeat tc tr .otertial savings which can accrue t•o tl,e General Fund under on c;f tlr-c- :<cenarios -he Cowper Aer.inist.-c ticn _hor:!G :ive ^rc4,1o•r' r rr „'•'s ^ the future existence of these Ct�;:E•i�t :ti.tE Ir411:1C �1CAI IC. L f' ?ns_titute Aescription : As c'is cr;+: ;•Ec: t; rc;vt I►ur: C, t.;c t I I : t campaign, the :t.ture of ; 1r—rka i:; c'( r•( r.+'+ t of :I :' 1.0 C-eve?c:ircrt f:c,.t::ur. "'l-c their primary fLnct:Ot, tc ltr+r"I'V t} r,t (t 't c'! �'(;u(Ir of r:c State. Given this fert;l.ective it will t! ;.-!(Milt ceeiticrill !•t:i-l'ort tU ti,ese Grc,alr+l:.i t ( T+: i' (I ' I' I ;I ( : !•f reverses in orcler to stipulate future ecr.rc-r is r'o1lC.IC1,rr!nt cr.portunit i es. n SCUSSion: One t'.oia-or, organizations Js t t a t it i5 C.if::cuIt to C'.eter r,iM !.Gw FffectivE: the-'! have really been in stimulating the Ecor+cry. 't, iI v u I Jiportur+t that tt:ese creianizations be bell resronSiblc f.r.r reetinc their goals and objectives. In order to r•easure tte FrouuctJV`ty Ulf these organizations, measurable c.tiective:• rue;t t••e E':ti.!•' frt.cc: irC be t•:er. reaularily to evaluate rerfor'arce of tic :•rLt,:ur. Tt !: L'er:J ir.•pertant that the pprforrar.ce r eaLurcrcrt.s nct I.F t.E• ee cr. rot; rar.y application£' were receive('• or c,rc.trr:::- t:2 laret 1.Ic:c.c:•:0', 4 e.,new ct• tea .t:cce:;:mot+: tl'EV E•rr :r titir.'i:_utt._r,a nEe1./ business sales arrangercer.ts with =ac: °tt-I•, : Er r'e Lr cc• Cr eea_f.nu v.,Jtt• fct:'ec•r c'ountrle!, (.*c.; . Feccrrendation: In licht o: the need for further (•(:c:nc+r fc. development at,Ca Civeri'•if'cation it itla:ka, now js rct the tine to cut the budgets of the State utc-ari;-&tjcr: Llhich are reEponsible to help stimulate t;ew ul`w .I r.:::.. 'fit E !' l:(ic.E t: ir.` ti+e r.c or-cr:' is dc-veiei�r•er.t aevocatei• st.cu-1 c' `.t•. : E': <: ! i r' ` t l I J ,E C ` (•r: (f rore1 could have real uenefjti tc. 'i•E C+tCAr.lNc.tjCJ•G L.tC !•%'iC: �Tltl&r i-GC.:.CLft.. ii*.tliit}(•:=t.r•l:•.•.Ul•:• :1, •'! t'•E' C c r l:i ic•eei tte Eccrcr•:c L,c•LeIc_.,:.er'Ccates ,.ect:cn in GCED. Finally, these orc:ar+i- iat j or •..i,.• c: E : ti !•:.. l: r Fi l'1 E c•k•=+EctivEs i'ct'irrt Oich their 1;erfe:-lace ci:r I:c �t.c'.;er;, i.r.c' :he measurements should be evaluated reqular'_;�. Alaska In4ustrial Cevelo;;rent Authority gescription: As desnr—'bir-4 jr tte text a:,sacJatcP %jtt. the conmittee's suggestions for possible reverue yr-n li•tic,t+ cltiot-s, ',I(: Covernor r,ay t.zrt t:c vcvjnc, tl•E:• lfc;t.ic' ;:s•ets of AICA it:tc the General Fund and asking the legislature to appropriatte the e&rr.inc. from AIDA &Er.et:. hz,c.i- :C tic Ccrcra= rurC. Discussion: mrm ha:: t l.(=Z.P rillinn fn UnPncunbered 'r-Ze"r. geld in sLntt: tE-Er. :.ecuritiFlr L'hiC!. Cc.rerEA frrc' :-.-iouct o ve..rfet;. c.f c,11,Lci.c!ez which arc: Circussec: }.E EeC:. t Ca• , 1 ' (:• 1 !•( C,Lt l'ih (+:•, ? t+: E i ^:venue i•:'. i.t.: i �rA C: r C1:U [CG'iiGEi Bin c:nrual. jr+coflte tl., tt'c' Cir.erFil Fvrt• ,'r •^r.F rri..::cr , en ,•i,trir;� '+(.; t. ,ttiNrt i.c.tt.r_c,- .c. ',:;e rc;verrcr 0:0u'd l,:,c.l: clo=el.. at tl,e revenue c:(IrtCG :'1 i iC•A. -tE£c• uC.!7:(' f t ;l] rPCGJre eration and Should to cone only &&tet c.;.teft:] t. tEE.•n (,Jeer tc the ra.E• Oat e-_Cf+ stctae F13y f.r cononic future cif hlaLka. F r l; i E „- 4` Budget Transition r earn Subcommitt00 on Gurieril Cdvurnmclnt Brian Rogers, Chairman Richard Fineberg Robert Poe Qapar+ment of Administration The subcommittee did not review the department's far-reaching activities in depth. However, preliminary budget analysis leads us to the following recommendations: 1. Six collective bargaining contracts expire by the end of FY87. Additional funding may be necessary to hire additional skilled negoVators for what is likely to be a difficult bargaining process. 2. Per diem entitlements should be revised to pay for meals only on the last day of state travel. This revision must be negotiated for all collective bargaining units. Total savings should reach $1 million annually. 3. State travel policies should be revised to ensure that all frequent flier bonuses accrued for state -paid travel benefit the state. Negotiations may be necessary with the major Alaskan airlines to achieve these benefits, which could reach in excess of $1 million annually. 4. The classification study should be implemented as soon as possible to avoid future litigation and costs. Changes in pay for affected employees should be implemented at the same time as any general pay reductions. 5. Geographic differential changes should be implemented with collective bargaining units during the current negotiations. 6. TRS Match funding should be eliminated in the state budget; costs of the entire non -employee share should be transferred to school districts and the University. 7. The state Supplemental Benefits System should be revised in legislation which would decrease the state payment by any amounts required by federal law to be paid for Social Security or Medicare. 8. The FY88 budget for all state agencies should reflect anticipated savings in PERS and TRS employer costs based on actions by the retirement systems boards in January 1987. 9. The state cannot afford to operate the Juneau Pioneers' Home. Construction contracts should be cancelled; even with damages paid to affected companies, the state will save money. 10. A major revision to the state's payroll computer system is needed. A search for an appropriate software package should start immediately. 11. Appropriations for leasing of state facilities are insufficient for FY87; a supplemental appropriation will be necessary. The department should actively work toward a reduction of leased space as contracts expire. Departmental needs for leased space should decrease as budgets decline and layoffs continue. The department should attempt to negotiate lease cost reductions with current contractors. December 12, 1986 Page 1 J 12. The state cannot afford to implement tho rew pr ocurf.rrirrlt Cb .1.; th:IJ PlY Legislation should be proposed to de!'r an "cr arnencl Iho pre _,,rarr�,nt last year to reduce implementation costs. 13. Additional funding is necessary for catastrophic Icss.c dLcause thC. self -insured to higher levels than in the past. A self insurance fund for payment of losses should be established, or legislation should be passed allowing the administration to use the budget reserve fund for extraordinary losses. 14. While the Supreme Court has ruled that the public defender and public advocacy offices cannot be administered by the court system, the general fund budget for these offices should be transferred to the court system, which would then bear the costs of these offices through RSA to the department. 15. The Alaska Public Broadcasting Commission should examine the feasibility of providing public broadcast services statewide from a small number of broadcast origination sites. including the feasibility of a single statewide public radio and single statewide television station rebroadcasat at all existing public broadcasting sites. 16. The telecommunications divisions should continue to consolidate audio and data circuits statewide to minimize costs of communications. 17. The RATNET entertainment channel should be eliminated. 18. Public service programs currently housed in the department should be transferred to more appropriate agencies. The longevity bonus program and other senior programs should be transferred to health and social services; public broadcasting to education; and public offices to elections. 19. There should be a greater degree of coordination between the division of finance and the department of revenue's treasury functions. 20. Additional work is necessary in the division of finance to ensure that the state has an accurate picture of its financial status at all times. Greater coordination between the state accounting system and departmental accounting systems, particularly those in the department of transportation and public facilties, is essential. 21. In keeping with its statutory mandate, the department needs to take a more active role in ensuring that the staff of other agencies have the necessary training to use the new statewide accounting system and that microcomputer systems are being used effectively. Constant attention should be paid to the relative merits of microcomputer systems versus mainframe systems. The subcommittee did not review the department's activities in depth. However, 1 preliminary budget and fiscal analysis leads us to the following recommendations: 1. The permanent fund dividend program is charged for costs of staff who administer the program. The size of this staff and the appropriateness of all charges against the dividend program should be examined. 2. The tax audit staff is critical to state collections of tax revenues. The department should examine the auait division to determine if procedures and staffing levels are appropriate. J December 12, 1986 Page 2 - J 3, " •t n f ncttons of :state aSr3nc:es Chou d Llf� . 1 •C :'.Uri ifs t' '1' ''r. ! f Ca..eC, c s u , 4. Licensing functions of state governrnNnt 5hpis,d to ' r in the deDartment to allow greater coordina:jon of Iicenf;or, arm .rjrfm*: ;o, to both costs to t"e state and time demands on the fndiv-&,'4 5 rrr; :,an,r; ; w�,.r•� ► ,oF ": 5. The trust functions of the Permanent Fund Corporation and those cf tt•E Pi i+ and TRS systems, the mental health trust, and the university truest arp. ,MI(Ir. Consideration should be given to merging all the trust investing functions of the stale under the Permanent Fund Corporation, with policies set for investment of PEAS and TRS funds by the appropriate retirement system boards. 6. With appropriate safeguards, confidential petroleum industry data necessary for use in projecting state revenues must be available for use by certain legislators and governor's office staff. Additionally, the department should take steps to ensure that the maximum amount of non -confidential information on Prudhoe Bay economics is available to all for scrutiny. As noted elsewhere in this transition report, changes are needed in the revenue forecasting system. 7. Annual revenues of the Alaska Industrial Development Authority and the Alaska Housing Finance Corporation should be deposited in the general fund, becoming available for appropriation by the legislature. The subcommittee did not review these offices in depth. Based on information available, we recommend: 1. The department of law should review the costs and benefits of major criminal cases which involve significant costs to the state. It should be a general policy that supplemental appropriations will not be available for the criminal division to encourage the division to prioritize cases on both policy and budget grounds. 2. The governor and legislature should consider revisions to the presumptive sentencing law, and should consider allowing plea-bargaining in appropriate cases to reduce costs throughout the criminal justice system. Increased use of pre-trial diversion and suspended imposition of sentences will also decrease costs of the justice system. 3. To save state employee time, increase effectiveness, and promote better public information, the governor's office should play a lead role in establishing clear, comprehensive and compatible budget accounting, and revenue reporting systems. Page 3 • J�� Budget Transition Team Subcommittee on Public Prv-ct:on ezart► ent of P-,,hl�c Casa L tf`t 1. Contract negotiations with the Public Safety Employees Asscaation tegin immediately. The state should seek significant concessions from this high -cost employee group. 2. The department should consolidate divisions to reduce the number of division directors and deputy directors. The Records and Identification unit should to consolidated in Anchorage. 3. Fish and Wildlife Protection employees should be hired on a seasonal basis for many functions, reducing personnel costs significantly. 4. Greater efforts should be made to put uniformed troopers in the field. transferring clerical and other office functions to civilian employees who require less professional training. 5. The governor should consider transferring domestic violence programs from public safety to health and social services. 6. The department should be given statutory authority to increase fees for motor vehicles, criminial history records, crime laboratory functions, secudly guard applications, and fire safety inspections. As noted above, inspection functions of several departments should be consolidated. 7. State troopers currently providing principal police functions in organizea municipalities, such as Anchorage's Hillside area, should be laid off or transferrea to other posts. Municipal governments with police powers shouid assume these functions. 8. The state should actively work to coordinate dispatch efforts with local governments wherever possible to save costs. 9. The Commission on the Administration of Justice should be abolished. 10. Administrative overhead costs on the Village Public Safety Officer contracts should be reduced. VPSOs should assume additional public protection functions in villages, including inspection functions of various departments. 11. Administration costs of the Police Academy should be reduced. Page 2 lb I e.I DecenS er 15. 1Q86 DEPARTME%T OF FFALTH b SOCIAL SERVICES BUDGET REVIEW BUDGET Xl'?'AFRS FY 87 Authorized FY87 General Fund Only FY87 Revised General Fund Only FISCAL ISSUES 1. Lack of flexibility s345,709.4 235,243.9 C1.9,574.2 The nature of the Department's programs makes it difficult to reach lower budget levels quickly. about half of the derartment's funding goes to entitlement programs, such as AFDC, while such of the balance funds institutions such as API. The major cost of the institutions is employee compensation. To reach further savings in the institutions, salary reductions and longer work weeks appear crucial, as reductions in the number of staff 4s not a viable option. Two options have been suggested for funding the entitlement programs: (1) prorating payments after issuing emergency regulations; or (2) seeking supplemental funding. These issues are discussed in detail in the Departr..ent's transition report. 2. Increased public assistance caseload (Supplementalreauest). As noted above, the Deoartr..ent may be seeking a supplemental to meet rising entitlement program costs. The caseload is increasing y to 5" above earlier proiections. The Department has yet to see outnieration of its clients -- they may be too poor to move. Ir addition, three other prnernns are in deficit spending: API, youth !ncilitief!. and foster care. The supplemental request may be more than $4 million. F P..I;!e 3. Cost of bold harmless for nun-nved ha -led urns r!imn. Both Longevity Bonus recipients and Pe"ninent Fund Dividend recipients are held h armless. As the new administration reviews the cont'_ruatiur, of all non -needs based programs, it need; to examine this polio. 4. Facilities not in use. Two youth corrections facilities (Bethel and Fairbanks) have been Al constructed but not opened, while the Some facility has been converted to a day program only. The fate of these facilities needs to be ex..-ined. S. Consolidation or coordination of services. A number of. programs in other agencies should he examined for potential transfer to the Department of Health and Social Services: Youth in Detention in Dept., of Education Schools for the Handicapped in Dept. of Education Adult Basic Education in Dept. of Education Employment Training Grants in Department of Education � Vocational Rehabilitation in Dept. of Education Environmental Health in Dept. of Environmental Coaser:•ation Senior Citizen's Tax Relief in Dept. of C�,=unity s :ecional Affairs Renter's Equivalency Rebate in Dept. of C.:-=unitv s vegicnal Affairs } Child Care in Dept. of Community S Regional A, -fairs Head Start Grants in Dept. of Community 6 Regional Affairs Job Training Partnership Act in Dept. of Community 6 Regional Affairs Housing Assistance in Dept. of Community e. .egioral Affairs Domestic Violence b Sexual Assault in Dept. of ?ublic Safety Longevity Bonus in Dept. of Administration Pioneers Hones in Dept. of Administration Older Alaskans Commission in Dept. of Administration Under the current structure. the State has several separate agencies responsible for direct social and educational services to people. The new administration should examine ways in which to ensure that those j services are provided in a coordinated, holistic way. +v the Health and Sociel Services �ubcotnittee: !kett. OR L 1 u _ December 15, 1-956 tom.- DEPART?!£ST OF EDUCATION BIUDGET P,EVIFW The Public School Foundation appropriation is the largest single appropriatior in the state operating budget; student loans is the largest component of the loans budget; and school debt retirement now almost ecuals the annual state general obligation debt appropriation. Reduced state aid to local education has brought the fiscal issues inherent in funding for public schools into sharp focus. T!-'E B.DGi;T- %T..•I3ERS FY87 Revised Budget General Fund is as follows:l K-12 Su -)port S423,954.1 Additional Grants 11,020.6 856.3 TRS 2'atch 10,769.8 Department Operations Dept. Operated Schools 6,205.E Boards b Comrlissions 7,262.8 School Debt Retirement 154,837.3 Student Loans Total $670,007.0 I FISCAL ISSUES 1. Education Foundation Formula The complexity of the current formula, as well as its perceived inequities, need to be addressed. Now, the formula seers to drive district policy and program decisions. That is, districts may hake decisions about which programs to offer based on the dollars which the decisions generate -- not on the needs of the Students. Equitv is a fundamental consideration, both in terms of policy and for practical reasons. For exav-ple, federal funding (PL81-874 receipts) depend on the state meeting federal equalization criteria. Litigac'_on challenging the current formula is already underway. 1. v..�)unt is ad;usred for ene-time items. 2. it. Edgecumbe. AVTEC 3. Arts Council, Professional Teaching Practices Cora:ission, Alaska Student Activities Association, Postsecondary Co=ission " is riA Nee 2. II At this time, the revartment i-) ex,I%JII IJ! n return to 11',e uppr,.ir in 1970. the instructienal unit method. Ativ appro.r<h will `..ave e -_ closely examined for equity and for f inal cost `;, , f',, Educator Salaries, Xo. 2). A proposal for °nur.i!ation iorrula should be available som.et'me in January. 2. Educator salaries and benefits.TRS Match, and tenure About 70 of the foundation formula Foes to salaries. These ccs:r '-sre tripled in the last decade, and Alaska educator salary costs a:•:ceed those of every other state. The high level of the costs stems, in large part, from educator salary increases over the cost of living. School operating fund expenditures (federal, state and local dollars) 'ave jur..ped from $201 million in FY76 to 5606 million in FY84, an increase of S405 million. According to a 1986 House Research report, in city and borough schools, the cost per student has increased sixty percent (after adjust-ment for inflation) from FY76 to FY84, and sixty-two percent for rural districts during the same period. The collective bargaining process has not resulted in sienificar.t salary reductions thus far, although it may in the future. .% number of approaches have been offered. based on the recognition that Alaska's K-12 educators are# in essence, state employees. one approach to educator salaries might be the implementation of a statewide salary schedule. with its provisicr,s applying only to newly hired teachers. Another approach cculd be to place a limit on the use of Ftate iunas for compensation of individual positions, as proposed in legislation during the 1986 session. Another approach would he to rollback indiyi.:ual co-.pensation ten percent across the board by legislative act?cn. ZZyery one percent rollback would result in approximately $4.4 million in reduced costs. All these approaches would narrow the collective bargaining process, a major policy step. Unless a reduction in teacher and administrator ccmpensation is obtairea -- and obtained in short time -- education costs will be out of control in relation to state revenues. School districts in organized cities and boroughs can presumably cope to sene extent by raising local property and sales taxes. R°AAs and school districts in smaller cities are limited in their tax base -- and thus constrained in their capacity to deal with the crisis. A related issue to examine is teacher tenure, currently granted after only two years of vervice. Another related issue is TFS Match. ; contribution annually by the state to local district and University of Alaska labor costs, art' estimated at $16 million for FYFS. The .RS Foard recomr-ends th-it the State discontinue splitting the cost with the employer ar.d that the employer and oraloyee only ahare ccr.tributior.s to teacher retirement. 1' 1 . a-- - . �1:o 3. F:scal ility Local school districts apPrar to havo Ilittertng, '!"r"ee ut f'.,,-ul sophisticarlon. "'ecause of leval rvntricttonr, }-tperit,t, 0,t-:rt's' efforts to reduce staff, sume di,ttrictu area ur+inv current fir -A i:u,rrn to absorb this year's state funding; reductions. Difstr:ct!; w:ttir'it mtcn fund 1-alances may face early closure or seek uupp',r,c•rtal fl-IR him legislative Session. It is not clear at this point how much of the 10% restricting. (S42 million in foundation formula, plus other monies) school districts will be able to handle. A related issue is the lack of comprehensiveresn in budget procedures for school districts: There is no require-er.t that the proposed budget has to be balanced, for example. `:or are school district membership counts audited, although these counts are the oasis for distribution of over S400 million in general funds. Depart-ent-level capability to assist districts with fiscal nar.agement is limited. G. Arbitrary deadlines. Two deadlines drastically affect districts' ability to cope with funding problems: first, the districts rust notify teachers of pending layoffs by March 15 of the preceding ;ear. Second, districts are unable to establish their funding level until mid -fall of: the school year. With funding levels falling, districts get squeezed between these two timelines. Districts need legislation allowing layoffs after `.arch 15 of the preceding year for financial hardship. The legislation would need to define the term "financial hardship." 5. Pupil transportation costs. Lack of appropriate data cake it difficult to fund pupil transportation except in a reactive manner. More fundamentally, the policy issue remains unexamined: What is the state role in providing transportation for students? Now district contracts drive the cost, with the State simply reimbursing a portion of the cost after the fact. Vr.en sufficient data is gathered to construct a defensible equation, this cost should be ;roved into the foundation for:ula, so that 'local districts deal :with transportation as part of their overall costs. 6. Dupltcati•:e services.- Centralized Corresnondencp Study Centralized Correspondence Stud'! provides elementary and iecvndary programs not only for students in isolated areas, but also to students livine in urban settings. A review o: the policy needs to take place: Is the program for "real" correspondence study or is is alternative schooling'. If the cost of centralized correspondence study exceeds the averaze cost per student in regular school, should the parents pay the difference if the progran is functioning as alternative schooling; for their child? Or should the program simply be narrewed.to only providing L -i -_ c__._1 Fagc Student loan ^. cr am - The policy issue is: Does the state want to ,;tav in 0x. 'I r+t+n particulariv a -cbsidized non -needs br.,,ed loann rri s•reml If t' a i-l:: : decision is to continue a student loan program, then i,,.o arprDaca be to establish a revenue bonding program. One inveatmenr f'.r'r ir�a suggested issuine S25 million in revenue hoods annuall-.1 for covernl years to capitalize the proeram. For the revenue bonding a.,proach to work, the "forgiveness" provision would have to he deleted. -.nothor alternative would be to investigate the possibilit%, of switching to the already -established federal student loans program. This alternative would allow the collections function for the current leans to be shifted to the Devartment of Revenue, reducing the overhead costs of tte ^ro2ram ar.d, in effect, allowing the Postsecondary Cccmission to he r.:snantled. 8. Vocacicnrl rehabilitation proerams - centralization L cc-ordinaticn with Deets. of Labor and Y.SS. As dollars become more limited, a thorough interdepartn.encal review should take place, aimed ac'providing better delivery of services by the three involved de^artments. Federal "maintenance of effort" requirements for vocational educat:cn may present another fiscal problem, limiting the state's ::exibility in dealing with administrative costs for vocational rehabilitation. Instead of accepting the federal randate, perhaps the State should explore congressional acticr to provide Alaska and other states with pore :lexibility. 9. "Nice but not necessary" proerams Community Schools, RSVP, Alaska State Ccuntil on the Arts, Alaska School Activities Association, Professional Teaching Practices Con.nissicn, Alaska Career Information Systen, and the Blue Bock -- each of these programs has its advocates and certainly its benefits. .:h ether they are "necessary" in tides of greater fiscal restraint reeds to be examined closely. 10. School debt retirerent. A consistent level o- state reimbureement for local school e'.ebt need; te, be determined. School districts, local governments. and the public reec to know precisely a•ho is going to pay which portion of the costs before those costs are e:nt.zred into. One suggestion is that the-;tste's obligation be !'cited to a specific amount of the principal, with r., state collars Rein.., tcwards reirbursement of the ir.rel-L-st accu:rulated on .1.- . -10. T' +. <.Sue needs to be considered in conjunction ..!I th debt management. L r ?see S ll. 1livisicn of Education Program Sunt,ort Originally. this division primarily parsed throus;h iitderol fr) local districts. and performed monitoring and cemplianr.e for fee.eral purposes. As state dollars became more plentiful. ;nonien were ade!ed for special program grants and curriculum development. The division .hnuld be reviewed to determine the impact of returning to a fully federally funded program. 12. School district consolidation. Alaska has a number of very small school districts with high administrative cysts. The consolidation of administrative functions should 'se analyzed to see if districts can be combined for administrative purposes while local boards retain prceram control in local schools. This report was Frepared by the Education Subcommittee: `:ary Halloran and John Sackett. .J L December 15, 1986 UNIVERSITY OF ALASKA BUDGET P.EVIEW BUDGET `nIBERS FY87 Authorized 5263,073.2 FY87 Revised 255,098.6 FISCAL ISSUES 1. Restructuring university statewide system. 0 The proposed restructuring plan is based on the recognition "chat the University's administrative structure is extremely complex, extensive, and costly in relation to the size of the Universitr and the clientele that it serves." The proposal is conceptual at this stage, with "numbers" to be worked out later. The core issue is the future role of Alaska's community colleges. By national standards only Kenai, Anchorage, Fairbanks and MatSu have a sufficient ropuletion base to maintain a strong comr..unity college. Should Alaska continue to strive to be different? And, if so, how can the community colleges be cost-effective? 2. Inability to respond quickly to fiscal problems. The university has a long lead time for making most personnel changes. Althoueh this policy is part of academic tradition. it leads the university into taking inappropriate measures in dealing with budget cuts. This year, for example, the university absorbed -uch of its budget reduction by taking one-time cuts in equivrenc and maintenance. TP ahn,•trl h o rarnunirad ghat the university is also conatrained in ;es because of legal ehli=atiena .% -atudents L -I �� I if?e 9. Focus on nrnerams innortant rN :1w,6c1' The university should be enc(1111',1V.(-d 11 itF, 4'Ir vrt fr1rim lit) ''.`l. international trade. arctic F:ealth. .Ind .I:r.I! Irri;. 4. Emolovee connensation and benefits. The university should investigate the poss'.bilit•: of Pa*: teductirr.s for faculty commensurate to those taken by state apency personnel with the national market taken into consideration. Any new salary schedule should also take into consideration the Department of Administration's geographic differential study results. .he university should proceed to implement its ciasstf:cLt;cn study to remove perceived inequities in its personnel s�-Ftem- The full costs of TRS match should be absorbed by the oiniversity rather than supplemented by an additional apprcpriation. Another angle to the employee corper.sation issue is the student -faculty ratio. The university teaching load is currently 9 credits per semester, versus a nationwide average of 12 credits per semester. Cost-cutting measures need to include an analysis of the appropriateness of the current teaching load versus the need for both basic and applied research. 5. Availability of information A frequently expressed concern among bcth executive and legislative staff was the vagueness of fiscal information provided by the university. The university has its own accountant system and its own personnel system, separate from those of the state. The lack of financial integration with the state system nears that fiscal details are not readily available. Apparently the university dies not prepare an annual financial report as required, for exanple. The real issue here is not who governs the university, but the public's right to knew what is being purchased with state dollars. The university should be encouraged to increase its provision of detailed information on its fiscal matters. 6. Instate contractive. State agencies currently contrrct for research and -ther services with :irrs outside Alaska. Some of that work could be per:orred in Alaska, rrovidirp training fcr Alaska graduate students in ernctical aspects of — state needs to ccnsider iourtinq a tiro polit: priority to the universit-,. L L F-tce 3 7. "%ice but not !:eceF-;arv.1' The university budget funds, as do all state 1+udv r ' :i'- ; which need to reconsidered from the perspective of necencltp: WVAC:, the '.'.iversity Alumni Association, some cooperative extension eervlre functions, for example. S. Other issues. Nigh costs of insurance, falling interest rates, decline of felleral research money, lack of sufficient fundir.c for data processing projects alreedv underway, the status of the statewide administration building in Fairbanks -- these and other issues need to be examined. IThis report was prepared by the University Subcommittee: Mary Falloran and John Sackett. w W rg, December 15, 1986 DEPAR7ME%T OF CORRECTIO%S BLDCET REVIEV BUDGET NUMBERS FY87 Authorized $83,919.1 General Fund Only 82,579.6 FY87 Revised 80,631.4 General Fund Only 79,291.9 FISCAL ISSUES 1. Leval and policy chan2es. The attached memorandum from the Department of Corrections identities possible ways to reduce the cost of the corrections system, and provides cost estirates for each item. The proposals must be analyzed in li:ht of their i^pact on the public, the court system and the rest of the legal system, including the Department of Public Safety. 2. Other issues. Other issues vith fiscal i-pact have been identified but not researched. Thev include: level of staffing at each institution; availability of malpractice insurance; scarcity of bed space; leasing rather than building correctional institutions. Underlying the Department's management and fiscal problems is the lack of a longterm plan. Such a plan could, for example, delineate irstitutions by offender groups, allowing more flexibility in supervision in some institutions. r the Corrections Subcommittee: Mary Falleran -I J MEMORANDUM siate of Alaska To 'nary ►ialloran J r 4 ,,P Buacet Transition ream Office of the Governor 111J if,) THRU- TCLCPHOW NO 4V- 117b SoBjEcr Cost .'011cation Gf 1_.w and P011Cy C"�L•n0.'5 FROM: William W. Ladwig �:a� Acting Commissioner Department of Corrections The attached, Law and Policy Changes Under Review, was presented by the Corrections' Mini -Cabinet to Governor Sheffield for the purocse of identifying some possible ways to reduce the cost of operating the Alaska i Correctional System. It was also provided to Governor Cowoer's Transition Team for their consideration. The following is our preliminary estimate, on a point -by -point basis, of the financial impact on this department should some or all of trese items to brought to fruition. We cannot comment on the extent, if any, of the financial impact on'other executive branch agencies. 1. 2. Increase the use of citations in lieu of arrest for minor offenses. There appears to be savings in this policy change. Curing 'over -Der 1986, there were 595 persons statewide, who could have ceen servec citations and released instead of being booked. EAtrapolating this data for 12 months and assuring an average 8 hour hold, we could save 2,330 r:andays per year at an average cost cf S74.97 per cay (not including medical or statewide program costs) or 5178,400. By also enforcing the offenses of Failure to Appear ana Failure to Satisfy Judgment by making them subject to citation instead of incarceration, an additional 698 mandays could be saved. This would represent an additional savings of S51,600. It appears that the Alaska State Troopers and the local police depart.-nents are making use of citations in such a way that they are not overburdening the Department of Corrections. The per year statewide impact could be the saving of S230,000 ana reducing our population count by 8-9 full time persons. Develoo and iMDlement a statewide tail scheaule. 14e cannot provide any data regarding the actual bail amounts on which people are being released around the state, oniy the original ar..ount of bail set, but we do know that varying policies ana rates are set by tre presiding judge in each jurisdiction. In many instances, tail schedules do not exist or are flexible and judicial intervention is are held until they are arraigned, assigned a public )ail hearing, arrange bail with the bondsman ana are L r -- 1 Vary a.a1';,ran � age 2 11 December 10, 1936 This is an issue to be decided by the courts through tte adviclL• ;f '�e Chief Justice and Art Snowdon, Administrative Dirvctor for tre r� System. They are generally receptive to all 3. Significantly increase the number of probation and aarole r�1Na;es. This proposal refers to the maintenance of people nn probation or parole who are doing well and no longer need supervision. If it can be determined that supervision is no longer needed, it is suggested that I the court or the Parole Board be petitioned for approval of termination of supervision. Currently 665 of the 2753 probation/ paroles are on ` minimum supervision for an average of 5 years. If the court or Parole ` Board could be approached for termination after one year, considerable probation officer time in aggregate could be saved and applied to additional intensive supervision cases who could then be released from iinstitutional custody. These 665 cases reouire .8 work unit hours/mo. X 12 - 6,384 units per year. intensive supervision cases requires about 120 hours per year. Thus 6,384 + 120 = 53 intensive supervision clients that could then be released from institutional care. Savings: Cost of institutional care: 53 X S86.33 X 365 = S1,610,100 j Cost of intensive supervision probation care: 53 X S15.98 X 365 z 309,100 S1,s6T oco Savings 4. Move all sentenced misdemeanants to private sector contract teds. This would free up approximately 130 institutional Seas. It is assured that the private sector can provide these minimum security beds at a lower cost than the state though the actual cost per aay is unknown. Current average cost of 130 beds s 130 X S86.33* X 365 = S4,096,359 Private sector beds @ S35,00/day X 130 X 365 3 51,660,750 for a saving of S21435,609 or Private sector beds @ S40.00/day X 130 X 365 - S1,898,000 for a saving of S2,198,359 The cost variable is provided as some or all of these 130 offenders j may require some treatment programming such as alcohol or substance I abuse. This average daily cost of care includes average statewide cost of � institutional care of S74.97 plus average daily cost of medical care ii of S6.02 and other statewide programs of :5.34. . i 5. Reinstate the pre-trial diversion croeram. There is no real savings to us with this program since the tight screening process diverts very few people and these are then likely to {; be picked up on probation. Thus any savings are offset by cost of !I misde:reanant supervision, the considerable cost of preparation of �i misdemeanant pre -sentence reports on all eligibles, and the cost of collection of restitution and supervision of community service work. Mary Na i 1 oran Page 3 December 10, 1986 6. Return parole eligibility to all first felony uffr�nders-�- The impact of this is very substantial; the estimated 247 first-time felons admitted to serve presumptive sentences in FY88 will verve S90 prisoner -years, whereas if this suggestion was implerented, they would serve a total of 792; 198 fewer, with parole eligibility. Since the average cost of incarceration is $86.33 X 365 or S31,510 per year per offender and the average cost of probation/parole supervision is S5.20 X 365 or S1898 per offender year, there is an average savings of $29,612 per offender year. Thus savings in FY88 could be as much as S29,612 X 198 or $5,863,200 if it were possible for this chance to affect current population. Should this change be implemented it would take place over tire. The savings per year are shown here to show tie magnitude that could be achieved. 7. Amend Title 33 to allow placement of felons in contract housino at the discretion of the Deoartment or Correftions. There are currently 427 felons classified as minimum custody and 74 classified as community custody or a total of 501 felons who could t;e eligible for placement in contract beds. The savings: 501 inmates X S31,5101year in institutions = S15,786,500 501 inmates X S17,611 /year specialized contract beds 3,823,200 Saving S.6,.---63,300 **Currently paying 548.25 per day for specialized CRC beds 8. Amend Title 33 to permit placement of sorr.e "violent" offenders in restitution centers. 9. There are currently 240 inmates classified as minimum or community custody serving sentences for sexual offenses and other violent crimes. Cost of institutional care: 240 X S31,510/year a S7,562,400 Cost of specialized CRC beds: 240 X S17,611/year 2 4,226,600 Savings S , sp,�c Re lace the five -member Parole Board with a Parole Commission of tneee full-time prOTessi0rallY oua hied members. The manv legal and policy changes suggested will greatly effect the irole Board. Cost implications for tie Parole Board which, if any, of these itens are i!rplemented. :t ,hat their cost of operation will be increased. L IN I 1. �I 1; I vary i•alloran Page 5 December 10, 1936 15. Provide alternative to incarceration for Title 47 r�r-r r,r rtr.,?1 bool nqs/ ceta 1 neP.s . _ r There were a total of 2,724 non -criminal bookings from 12/PS through 11/86, 66% of the statewide bookings were at Yukon-Yuskokw,m ,rnd Anchorage Annex; 44' of which were at Bethel (the second highest cost institution in the state). These non -criminal bookings when costed by institution represent $253,400 durinq that one year period of time, not including medical costs. Savings trj the Department of Corrections would be offset by the cnst of alternative care. 16. Return the 6th and "C" Correctional Center to the .10unicioaliti c' Ancnorace for the purpose or hoiaina ;aunicipa► orrenrFrs. The "savings" from this is to allow the department to channel 53 staff and $3,142.5 to other uses thereby making future budget requests for this department smaller. The distribution of these resources is cetailed in our FY88 budget request in lieu of requesting "rew" dollars. The above items portray a course of action that could have substantial iroact, over time, on the State's operating budget. Also, by diverting offenders to probation or less costly housing, the State will be axle to avoid the necessity for capital expenditures of millions of collars required to build new prison facilities. Pone of the above can be accomplished without the full participation of the Legislature, Court System, Executive Branch and last, but not least, t^e public. WWL : cc Attachment cc w/attachment: Pete Jeans Mike Maher F Law and Policy Char,res - t;n(4cr Do% ; r'w: 1. Increase the use of citations in lieu of arrpst for r;ir.or 2. Develop and implement a statewide bail schedule. 3. Significantly increase the number of probation and parole releases. 4. Move all sentenced misdemeanants to private sector contract beds. This would free up approximately 130 institutional beds. 5. Reinstitute the pre-trial diversion program. 6. Return parole eligibility to all first felony offenders sentenced presumptively. 7, Amend Title 33 to allow placement of felons in contract housing. (Corrections' discretion). 8. Amend Title 33, restitution center statute, to permit placement of some "violent" offenders in restitution centers. 9. Develop a Parole Commission of three full time professionally qualified members. 10. Permit mandatory releasees with probation sentences to serve the mandatory release and probation time concurrently. 11. Amend the Good Time portion of Title 33 to remove Parole Board discretion in regard to 1/3 vs. 1/4 award. actices implemented since the criminal code with oarticular attention to judicial and L 13. EstaCliSh a cri,iif,aI �uitice r-Fil�!nrlflq (_LrAI', IUl gn1Lh irrP;� � `,t-ltrir Justice system r?fCU�(�S. 1,C.� police, (.rr-,+"eut} corrections, defense. 14. Ceveloo a fair. track ;prosecution program for implementa:lon a; :ocn as possible. 15. Provide alternatives to incarceration for title 47 nor -criminal bookings/ detainees. 16. Return the 6th an' "C" Correctional Center to the Xunicipality of Anchorage for t^e purpose of holding municipal offenders. - - - --1-- - — - —1 CITY OF KENAI 210 FIDALOO KENAI, ALASKA 9 NN TELEPHONE ?0f • 7636 December 2, 1986 TO: Council V 0;�,,,�" FROM: Janet Whelan oz." - City Clerk RE: Elections Report, 1986 The Clerk's office has handled absentee voting for 5 elections this Fall. June 24 - City Special Election July 29 - Borough Special Election August 26 - State Primary Election October 7 - City Regular Election November 4 - State General Electicn 1 - June 24 - Absentee voting for City - 59. Total ballots cast - ljO38 2 - July 29 - Absentee voting for Nikiski and Kenai - 14 3 - August 26 - Absentee voting for Kenai - 27. Absentee voting for entire State available 8 days before election - average 19 per day 4 - October 7 - Absentee voting for Kenai - 71. Absentee voting for Nikiski - 79. Total ballots cast - 1,583 5 - November 4 - Absentee voting for Kenai - 58. Absentee voting for entire State - available 9 days before election - average 19 per day iW rv--k ..Cc ((41 r1 'a v1? F F CITY OF KENAI "Od Cap4W 4 4" 210FIDAL00 KB1fAI.#AA8 A M1t TBLEPHOW620-M5 December 4, 1986 Donald Graham P.O. Box 416 Kenai, Alaska 99611 Re: Aliak/McCollum Water and Sewer Assessment, Por. Govt Lot 80, Sec. 34, 045-110-10 Dear Mr. Graham: This letter is in response to your inquiry at the Dec. 3, 1986 Council meeting regarding the assessment for water and sewer on Govt. Lot 80. You stated that you had already been assessed for water and sewer on Govt. Lot 80. You are correct, but it's a little more complicated than that. There are two lots involved: (1) Por. Govt. Lot 80 north of the Spur, 045-110-10, and (2) Por. Govt. Lot 80 south of the Spur, 045-110-11. In 1973, you were assessed for water and sewer on the portion south of the Spur. That is a different lot than the one the City is assessing now. The lot on the Aliak/McCollum assessment roll is the one north of the Spur. It has never been assessed before for water or sewer, and it did not have water and sewer available before. When the Spur Highway cut your lot in two pieces, it left a very small portion on the north side: 3,400 square feet. The City Engineer has reviewed the as -built drawings. The as-builts do not even show your lot (the north lot). Technically, that small lot was served by the water and sewer mains, but because the lot wasn't shown on the drawings, stub -outs were not provided to your lot. For a lot to be assessed, it must first be benefitted by the improve- ments. I suppose I could argue this both ways, but I'm convinced that your 3,400 square foot lot, without stub -outs, was not really benefitted very much by these improvements. You may consider this formal notice that the City will pay the $416 assessment on parcel #045-110-10, Por. Govt. Lot 80 north of the Spur. We will immediately credit your account; it will be paid -in -full. Sincerely, U /,-, Charles A. Brown Finance Director CAS/vj 10 l./ e KENAI PLANNING & ZON1NI! COMMISSION December 10, 1900 e 6:00 VM Konai City Hall Loo Lewis, Chairman 1. ROLL CALL Present: All Commissioners Present 2. APPROVAL OF AGENDA Chairman Lewis asked to add 2 items: 7-c preliminary plat and 8, results of worksession. The agenda was Approved with the additions. 3. PERSONS PRESENT SCHEDULED TO BE HEARD None 4. PUBLIC HEARINGS None S. APPROVAL OF MINUTES of October 8, 1986 Minutes were approved as submitted 6. OLD BUSINESS I None 7. NEW BUSINESS a. Lease Review: Lot 2, gusty S/d - Change of Use from Beauty Shop to Restaurant - Candy Nugent - - Administrative Assistant Gerstlauer introduced the item explaining that this is not a new lease, rather a sub lease. It is Ray --- - Cason's building where the Golden Hairpin used to be. The lessee is FSLIC who took over in a bankruptcy. The plans are for a restaurant. k Candy Nugent came forward and explained that she submitted no paperwork due to the fact that there is no structural change with the only interior work being the installation of a bathroom which had been closed off and one additional sink, small counter, and L L rr KE:HAI PLANNING 6 7,0N I N+; December io, 19t11, Page 2 kitchen utovo. Tlivro will be n+i akin tits she in tit, n rrwnti, t,, t=,,,uttt lease. Tt will ho a "milli oporvat tun, will t+urvt• only form thrit aria boiltid or hakod, DEC dour not n1luw frying wit it t iti+) t ypt, fit restricted oporation. Commissionor Carignan asked the numbor of rernono for nentinq, answer 24. Commissioner Carignan asked if there wan adogunto parking, answer yes, the ontiro front and side of tho building. Commissioner Smalley asked it there was any paperwork available, answer from Nugent, she did not feel the need for the lease form as there was no structural change. Administrative Assistant Gerstlauer agreed, stating that since there were no changes other than the use of the building, there is not much she could fill out. Commissioner Carignan asked if the lessor or lossee should be the person appearing, Administrative Assistant Gerstlauer answered that the bank (FSLIC) would not appear in this case, it would definitely be up to Ms. Nugent. In this case, there is no specific purpose called for in the lease, therefore, Ms. Nugent really would not have had no notify the City at all, however, she did and is going through all proper channels. MOTION: Commissioner Carignan moved for the approval of sublease for Lot 2, Gusty S/D, change of use from beauty shop to restaurant, Commissioner Smalley asked if Mr. Carignan would like to add a clause that approval be contingent upon consent from legal dept. on any technicalities. Administrative Assistant Gerstlauer agreed that if that is the Commission's desire, she can follow it up in the morning prior to going to Council. MOTION AMENDMENT: Commissioner Smalley moved to amend to read contingent upon approval by the City Attorney, seconded by Commissioner Osborne. Commissioner Carignan stated that he felt that there was no need to generate extra work, and since the lease shows no specific use, that this review is just a formality, I would vote no to the amendment. VOTE AMENDMENT: yes; 4 no; 2 VOTE MAIN MOTION: Motion passed unanimously b. Request for Release of Land: Tract F, Dena'ina Pt Estates - David B. Brown NOTE: Due to a great deal of confusion which arose over the motions, portions of this section will be verbatim from tape. L F • �-q r KENAI PLANNING h ZONINr, COMMIM!HuN December to, 1986 Page 3 Mr. Brown cmno forward to dotail hin rnr.pient . Mr. 11-trirj, I wf, involved in a partnornhip for Tract A and I have ion Intorent in Tract F, however, prior to oalo tho N►xceao in that thf3 trnrt tinnt. be released for onlo. Administrative Aooiatant Gor.utlatior ,it, won set aside for park uao in 1904 which in why it must coma back to the Commission. If it is your desire to roloano thio, Council mutt pass an ordinance to release for oalo. Commissionor Smalley, has this been before the Parks & Rec: yet? If we're looking at something many years down the road, with that kind of development going on out there it might be in the best interest to have it before Parks & Rec and I would hate to do something to it without them having even looked at it. NOTION: Commissioner Carignan moved that any action on this matter be deferred until a report from Parks & Recreation Cce Ission, regarding their future plane for the use of this land be returned, (no second at this time) Mr. Brown, I can understand your concern, and don't have any problem on going to Parks & Rec, I would ask, however, maybe you could vote yes or not whether you, as a body approve it contingent upon Parks & Rec approving it. Then I wouldn't have to come back. Its going to be another 2 weeks before Parks & Rec then wait (' another 2 weeks for you then wait another 2 weeks for Council. NOTE: Commissioner Bryson arrived at 7:15 PM Commissioner Smalley, what's your action or plan for this, it can't wait 4 weeks? I feel uncomfortable with even doing anything before they have a chance to look at it, I think that's what makes these bodies work together. Mr. Brown, I guess if it was only 4 weeks, but as I see it I'm not sure when the next time Parks & Rec meets. Administrative Assistant Gerstlauer, Janet says its the second week in January. Chairman Lewis, then we don't meet until the second week in January. Commissioner Smalley, that's a month, 4 weeks. Chairman Lewis, it would delay you about a month. Your delay would be almost the same anyway. If it was contingent on Parks & Rec you would save yourself maybe one week and maybe a trip out in the cold. Commissioner Smalley, I'll second his motion. Commissioner Bryson, was it previously identified as a site for a park? Chairman Lewis, that's what Dana says, Tract F was designated as a future park. Administrative Assistant Gerstlauer at the time that all the other tracts were released for sale, that tract along with 3 others were set aside for park use. So its not as though its the only strip out there, there are several others and they're close to Tract F. Then there's one back on the Tract A property. Commissioner Carignan, is it standard procedure for the City to negotiate the sale without advertising. Administrative Assistant Gerstlauer that is a separate issue completely and I —1 KENA I PLANN T NG h ZON I N( i 0 )111,11:1,1:1 nN December 10, 1986 Page 4 don't see how there would ho nny way ter ,,io hont lof, --i-t It lvv hilt Something else, its not, airportland which 1mvi it -to thurr-t ari+ n i,,r of rostrictionn on airport. land. Its sut airport laivl. can make detorm.inations. Planning Specialist Loper, I was not in on the work sosuir,n thnt. this group hold regarding Dena'ina Point when it was gist h,oing platted, hut. I can toll you that this park is not in(,ludorl in tho parks inventory which the City wishes to maintain. I think, and you can tell me bettor. than T can that thin park was meant to be for the subdivision only, not one that the city was planning an maintaining. Commissioner Smalley, I don't know, but I personally feel uncomfortable until they have an idea of what's going on. Planning Specialist Loper, I think they may not even know it exists as a park and that it is a part of the planning body's decision, when this was first platted that it was to be set aside for that subdivision but not for the City to maintain rather than a City park. Commissioner Smalley, but you said may not. Commissioner Osborne, that may just have been an oversite. Planning Specialist Loper not necessarily, if it wasn't meant to be a city park. Commissioner Bryson, I would imagine there was considerable discussion in Council as to the status or it would have been identified as being for sale. I think there was a site located on both ends of section 36 west of the Spur Hwv for parks. Commissioner Oleson, I think Janet is right but I wouldn't want to bet my pay check on it. Commissioner Osborne, I'm thinking that's why this was withheld because it was going to be a park. Or set aside as a park. Planning Specialist Loper, it is the same type of situation with Woodland where a park was set aside, but it was supposed to be something that Woodland was going to develop and maintain and I think perhaps Redoubt has one too, in that case it is not something that would fall under city jurisdiction anyway, it was just in the over all planning process for a large subdivision. Commissioner Osborne, the difference is, this is city property where the property in Woodland wasn't. Mr. Brown, could the process be, as I understand it, the Planning & Zoning's part in this and the Parks & Rec is just to offer your opinion to Council and then Council has the final say, would it be appropriate for you to make your comments and opinions on it tonight then allow it to go to Park & Rec and let them make their comments and opinions on it for it to go to Council. Commissioner Smalley, its going to go to Council next week anyway isn't it? Administrative Assistant Gerstlauer, it can, I appologize for not sending it to Parks & Rec, I didn't even think about it, I just thought as an after thought I'd send it to P&Z first thinking that Council would probably bounce it back if you hadn't acted on it. They have final authority, I can go ahead and send it on, I don't think they would take action on it. It would give them an opportunity to know it was coming and think about it, they may act on it, I don't know. Mr. Brown, I don't mind going before Parks & [! r) J r NFNAI PLANH iNG & ZO N 1 W1; 1'I 1 11:1.; I ON7 Docember 10, 19116 Page 5 ROC, I'm :just aokinq for your :gAtliotl owl 1-WrQPt11111) 0/n it torivili• and go beforo Parks F koc boforo Dnn, Ihmltu It tO 1'n1lnr-il. Commissioner Carignan, per. Kona i ly, I'ul al ;yned with a negotiated sale of any city land anti, would not o"pin,rt your requoat for negotiated sale. Mr. Brown, I guonn what I'm really asking for from you tonight, I undorntnnd the process of negotiated sale, whether it goes out for bid and "i don't really have a problem submitting a bid for it, I guess what I'm asking for you tonight in to comment and give me your opinion on whether it even should be released for sale. And then if its released for sale, let it go out for public bid. Commissioner Smalley, if Parks & Rec have no use for it, and would suggest that it go up for sale, at this point, I probably would not object to it. NOTION AHMMENT: Commissioner Carignan - move to amend my motion to road: a statement of non -objection from the Commission should there be no objection From the Parks & Recreation Commission, reeomaend sale of Tract F release for sale, (see * for clarification) Chairman Lewis, I think its important that release for sale, because that gives them leeway of going the negotiated sale route or..... is there a second to the proposed amendment. Commissioner Smalley seconds. Commissioner Smalley, since Mr. Brown has submitted a request and it ends up going for sale, does he automatically have first dibs on it. Administrative Assistant Gerstlauer, in the ordinance from '84 when they released the other tracts they specifically added to that ordinance a section of the code that it would allow the initiating party preference right to the sale, they specifically deleted that section so that there would be no preference right. Say they did decide to put it to competitive bid, they would probably have to set aside that ordinance whether they want that preference right or not. Its a part of the code that the initiating party has that right, if they didn't want that in there they would have to specifically delete it by ordinance. Commissioner Smalley, does Tract F come under the old, where that doesn't go into account. That he wouldn't, would not necessarily have first right then. Administrative Assistant Gerstlauer, he would have that right unless, in this ordinance they took it out when they were selling the other tracts. Tract F was not a part of that because it was set aside. When they write the ordinance for this, they may very well want to put that in I don't know. Commissioner Bryson, are there any other tracts, at this end of section 36 that are presently held by the city. Administrative Assistant Gerstlauer, for parks or... Commissioner Bryson, bluff side? Administrative Assistant Gerstlauer, yes, Tract E is. On the map I gave you, Tract E is set aside for park use which is right along the bluff. Tract G is also, but I don't have that part of the map, its farther towards the center. Commissioner Bryson, NJ KENAI PLANNING t, *1NING r'�►t9!atat;l•�N December 10, 1986 Page 0 they idontifiod tht) bi.ut't and t'llu t 141uit110n lost't 11011. Administrativo Annint:ant. t;nrntIaucrr, Chore were f4,ur lairs, 190. nr,t asido. Conunina.ionor BrVmm, what_ 1n tilt? axiat It'll 10101`14 fill Tract F. Mr. Brown, itn zonod for residential. itll. " Commissioner Carignan, Mr. chairman, ono point. 1 want. tar,►aiko hero, I want to mnko sure Council does not int.erprot. thi.tl to rnfian that we are suggoat.ing a nogotiated ttalo. Adminint,rat lvo Arlrliatatlt Gerstlauor, you just said a roleaco. Commisoionor Carignan, competitive bidding. Administrative Assistant Goratlauor, in that what you want your motion to say, competitive bid? rt)mmisaioner Carignan, if its not in there I want to amend my amendment. Commissioner Smalley, I think that was the indication. Chairman Lewis, he said release for sale and I don't think that is specific enough to the City Council to interpret what we intonded. Can we specify without making a second amendment? What negotiated sale means. Commissioner Carignan, it could just be included in there with agreement of my second. Commissioner Smalley, so agree. VOTE AMENDMENT: Motion pauses yes; 5 no; 2 Commissioner Carignan, before we vote I would like my two colleagues who voted no to share their logic. Commissioner Bryson, I guess I'll go first. The tract itself has very little depth and I don't know how something like that is going to be developed, but to buy the buffer that exists and the adjacent property are potentially available property, Tanaga Street, it has a buffer zone that's not part of Redoubt Terrace S/D, I think it exists in this section 31, if you extend these property lines to the east. That presumably, the platting of Redoubt Terrace may go right up to that section line. They are presently protected by a buffer zone that isn't their property. In the even that there is residential development on Tract F for example, I think you're going to be realizing that what you think is a buffer zone in fact doesn't exist, wouldn't exist on this tract. That and I'm uncomfortable putting Parks & Rec in the position where we've effectively approved it if they approve it. I think one of these tracts needs to be a recreation area not obviously the bluff, Tract F isn't appropriate for one and I don't think the City's intent is to encourage recreation on it, so either E or F, both of these are approximately a half mile from Forest Drive. If you go north the next park on that side of the road is more than a mile. Commissioner Osborne, my thoughts are basically the same, we talked about it quite a bit 'way back when we were working on section 36, that it should be a buffer between Redoubt and section 36. Plus it is a pretty small piece of property. Chairman Lewis, so in effect what both of you are saying is, you don't agree with releasing it for sale, period. Commissioner Smalley, I don't think that's what Phil said, he feels uncomfortable with putting Parks & Rec in a situation where we've al r_- KENAI PLANNING h luN [ Nt; r'r rtit•1I :::; I �N December 10, 1966 Page 7 rontingenkly approved it If they di). V1,ii ntaullmor (',it tyr,wn, 1 think he curio npoko to the buffos. 0mind ti.tlonuw Bryus,u, ?Ilr> 1 rn, is only 150' in dopth it the noct.ion l ins, amirmontworst vnr:ntod, which presumably .it would ho, that'n not vary duap for highway frontage. Development, highway oriontod frnntngn, and 1t,ti mrar(jrrurl for residential, if Its ittolatod from tho highway. t havo nr) problem with this proposal but i think tho tract configuration. doesn't fit. Chairman Lewis, any further questions or comnenta. we will then vote on the motion. Planning Specialist Loper., question, which motion. Chairman Lewis, amended Prain motion. Commissioner Bryson, same thing you're voting on again that we voted on. Chairman Lewis, right, we just voted on it, but that was to amend the motion, now we're going to vote to pass or fail the motion. VOTE MAIN MOTION: Notion fails yes: 3 no: 4 Administrative Assistant Gerstlauer, so you want it to go to Parks & Rec and then come back to you? You postponed it? Commissioner Carignan, the amendment was to the first motion, the amendment to the motion was to approve it contingent that there be no problems with Park & Rec. That amended the original motion to send it to Parks & Rec first, and it was ok that Parks & Rec we were recommending that.... Chairman Lewis, we were specifying that it be released for competitive bidding. Administrative Assistant Gerstlauer, so now you are saying that you do not approve of it being released, is that right? Chairman Lewis, that's what I think. Administrative Assistant Gerstlauer, so you want it to go to Parks & Rec then send it on to Council? Commissioner Smalley, Mr. Chairman, NOTION: Commissioner Smalley, I move that this be sent on to Parks & Rec for their information and recommendation, seconded by Commissioner Carignan. Chairman Lewis, what are they going to recommend? Commissioner Smalley, I think since we're dealing with Parks & Rec land it definitely should go to them. Chairman Lewis, I can understand that if we approved it, but since it was turned down... Commissioner Smalley, the request obviously is going on to Council all right, I just think Parks & Roc ought to have this information and ought to make recommendations on it. Commissioner Bryson, both our recommendations are going to the Council, - presumably with the same degree of input. I would like to see Parks, you know, if they're interested in a park in this area, which they may or may not be, E vs F be evaluated and one of them.... they're rationale is we need a park and that's the only reason. That's their reason for commenting on it. Maybe E is good enough. Administrative Assistant Gerstlauer, E already has (inaudible) Commissioner J KENAI PLANNING 6 Z0N(N(; taJlltdUSSIoN December 10. 1986 Page 6 Bryson, specifically foc hark dovolopu!ontt Adrntnint.rntivr, Air>.atan► Gorstlauor, well, for public; vino, it wann't not. anitln for pare unn it was cot aside for public uo:;. ;arrauinnionitr Smalley, rnnybo that is something that Parka & Roc could clarify. Adwiniutrat W, Assistant Gerstlauer, I guess my quoetion in it wan not not anide for specifically park use, it's set aside for public uno. Commissioner Smalley, we were just told in 1984 it wan not aside for park use. Administrative Assictant Gorstlauor., I may have paid parks, the described city -owned land shall be retained for public use and shall not be made available for sale, Tracts A, 5, E, F, & G. Public use, I may have said parks. Commissioner Carignan, what falls into the category of public use, parks is one, Administrative Assistant Gerstlauer, parking, access, etc. Commissioner Smalley, Mr. Chairman there has been a motion and a second to pass it on to Parks & Rec for verification and recommendation. VOTE: Motion passes unanimously. Administrative Assistant Gerstlauer, I want to make sure, do you want it to go to Parks & Rec and come back or do you want it to go to Parks & Rec then to Council. Chairman Lewis, we turned it down. Its meaningless to turn it on to Parks & Rec, no matter what they say, it doesn't make any difference to us now. Administrative Assistant Gerstlauer, it might make a difference to Council, but it won't make a difference to what you're going to do unless you are going to look at it again. Commissioner Smalley, if Parks & Rec make the decision that they have no use for it and the recommendation is that it be set aside for public sale will that not come back to us as an information item? Chairman Lewis, we turned it down. Administrative Assistant Gerstlauer, that's why I'm asking. It will not come back to you, you voted on it. c. Preliminary Plat PZ86-47: Sarucewood Glen S/D N4 Planning Specialist Loper introduced the item explaining that this is the plat which accompanies the vacation request for Mr. Lowry which was approved last August. Administration has no objections, the only request is that the utilities and retaining way be shown prior to filing. MOTION: Commissioner Carignan moved to adopt PZ86-47 with incorporation of engineer's comments, seconded by Commissioner Bryson. Commissioner Bryson asked if the retaining wall would be a hment, answer yes. Is the City going to accept finance of the utilities, answer no. Mr. Lowry an additional skinny strip that abuts the in a valve put in for the water line, there is The valve connects through to the rest of the is that it will remain connected until such I KENAI PLANNING 6 'ZONING COMM t O WN Dur.omhur 10, 198h Page 9 �-� time that nemeth.tng +'uuld hap134311 that it is t;-3t mcctilt nlnnbif" Thal{ _ that valve would be shut off and it wood ha a dend 0,0 �" thn water ltne. There are no -t.hor utilitinn. Tbn rc,tcclnin"I wnil encroaches about 18" on what is the formor lot It.ne whil.h is t.hr, reason for moving the street bask nbout Y . VOTE: Motion passes unanimously. 8. PLANNING Chairman Lewis introduced the four items discus.:::d at the work work session: Townsite Historic Zone, Encroachment Permit, Recreational Vehicles, and Additional Requirements. MOTION: Commissioner Carignan moved to place the four items on the next agenda for public hearing, seconded by Commissioner Smalley. VOTE: Motion passed unanimously. 9. REPORTS a. City Council Agendas are available. No questions or comments. b. Borough Planning Commission Agendas are available. No questions or comments. c. City Administration Administrative Assistant Gerstlauer reported on 4 land sales which have been in the process for an extended period of time. Howard Hackney, Building Official. I need to speak to you tonight about the Omni Food sign. The code says you cannot have flashing or intermittent illumination. This sign does do that and can be considered flashing. Also, at times there is animation and animated signs are not covered except under the section that states that any sign not mentioned in the code are prohibited. Under that criteria I am looking for direction. Chairman Lewis, my personal opinion is that I like the sign. Commissioner Smalley asked if it attracts your eye when driving by. Chairman Lewis asked if the question was meant to imply that it would be a traffic hazard. Commissioner Smalley answered yes. I feel we need to address fairness to all signs that have been identified as being prohibited and had to be changed. Commissioner t, Zubeck stated that when we were addressing that we were talking about those signs that were flashing, on wheels, etc. Commissioner Carignan stated, that we must go through the steps one by one to . KENAI PLANNING: h 'ZONING COMMr:urt«N I December 10, 1986 Pago 10 see if it mantes tho eudel, rather thus whet her r,r nol wo 1 ike it. Does it finch? C.utimlinniunur Smailuy Colt t.hnt thn nnYmnt inn if-, rt+;► spoken to in the rode and io prohlbi.ted. cotnmlunic+ner t'"rignfrn; door it havo intermittent. Illumination? uottunianionor Cmniloy answered, that thin in ono of tho most attractive u1qno fin tbo whole peninsula, hc.•rovor, it aloe dintrart:o the oyo In a vory dangerous area. (1 Chairman Lewis stated that if our code prohibito a nign like this our code is too strict. Howard Hackney stated that tho only problem he has with the sign in not when it movers but when it flashes on and off. I'm sure it could be programmed to do away with that. Mr. Lower answered that the sign indeed can be programmed to do anything. After some customer comments regarding a long sentence being something that tends to make a person read longer than they should, that highway along that stretch being what it is, we programmed the messages to read much shorter. Commissioner Carignan stated that he felt it fell under the automatic changing message sign. c� a Commissioner Oleson stated that we are going to be seeing more of 1 this type of sign where you can program anything into it. It is now a state of the art so I believe you are going to have to deal ' { with finding some place in the code that will accommodate this type of sign. I Kelly Bookey, my only complaint is that it does flash. It repeats the message in a flashing manner. I agree it's a nice sign. And all of us could come up with a different interpretation. Commissioner Smalley called to mind the Larry's Club sign some time back that was flashing. True it was shorted, but it did flash. Commissioner Carignan stated that it falls within the framework of section 3, if there is an automatic changing message, the criteria for flashing lights are intermittent illumination, except, I think it falls in that category of automatic changing message. I've seen j the message change even though it comes up at a later time. If I j were to vote based on these criteria I would say its ok. But I would have a concern about the amount of time it takes people's eyes off the road. MOTION: i Commissioner Carignan moved that a memo be forwarded to the : Building Inspector stating that it is opinion of this Commission that the Omni sign falls within the category of an automatic changing message sign and is allowable under the sign ordinance, seconded by Commissioner Bryson. i VOTE: j j. i Motion passed unanimously. I Commissioner Smalley stated that we need to clarify the sign '. ordinance because more of these signs are going to be going up. I still think this is a flashing sign. Chairman Lewis - we will take " that under advisement. We are not going to act on that right away. I i 1' l_ KENA I PI ANN I NG & 'L014I tt1, Uucomber 10. I'MO Page 11 10. PERSONS PRESENT NOT ! k 11FA ) ll. INFORMATION ITHM!S 12. COMMISSION C014MENTS & QUESTIONS Commissioner siflalioy, rogardinq the I.otlora portalning to nativni allotment lands, it: is intoronting that LW O parcel of land %Itnn uP for sale again by tho BIA and I specifically anked tho roalty officer in Anchorago, tho answer was yen, however, there wore problems. It was advertise(i and listed for sale. Adminiatrativo Assistant Gorstlauer explained that the City Managor received another letter Monday from Jake Lostenkoff, Juneau Director. The letter was very angry and he appeared very upset about the correspondence that had gone back and forth between the BIA offices and the city. The ending paragraph demanded that the letters be rewritten in a different manner or they would press legal action. In effect they are saying that they don't agree with the fact that it will place the City in a higher jurisdiction than they have. I see them potentially declaring the trailer out there grandfathered since it existed during these questions. Commissioner Smalley informed the Commission that the property values out there have dropped because of the questionable use by 16% from an appraisal that I had done. I do not qualify for refinancing because of that existing use. No one within a quarter to half mile of a trailer - house would be allowable to FreddyMac money according to the bank. Commissioner Bryson asked if the Garcia bouy application had come before the Commission. Planning Specialist Loper explained that it was scheduled to, however, the Borough dealt with the matter by denying it prior to this meeting. 13. ADJOURNMENT There being no further business, the meeting was adjourned. The next regular meeting of the Commission will be January 14th, 1987. Janet A. Loper, Planning Specialist Secretary to the Commission L -I 4 j, i KENAI PARKS AND RECREATION COMMISSION December 9, 1986, Tuesday, 7:00 pm, AST Held, Kenai City Hall, Conference Room Presiding: Richard Hultberg, Chairman Minutes, Regular Commission Meeting 1. ROLL CALL Present Absent Dick Hultberg Jerry Carlson Roger Seibert Marvin Siekawitch (arrived later) Jeni Lynn In attendance: Kayo McGillivray, Parks and Recreation Director 2_ APPROVAL OF MINUTES Chairman Hultberg called for approval of minutes. Minutes of November 18, 1986 were approved as full and complete. Chairman Hultberg added at this time that the second Tuesday is now set as the regular meeting time. 3. DIRECTOR'S REPORT A. City League Basketball. Director McGillivray gave an update. He stated there would be four A League Teams in basketball, with three local and one from Seward. Seward would be making one trip to Kenai per week and play two games. There are eleven B League Teams signed up. The Community Schools Program set up in Soldotna may or may not effect some teams. General discussion was held regarding days, time and place. Chairman Hultberg asked what the deadline was and if there was an "over 40" League. Director indicated the deadline was December 19, 1986 and indicated he would try to set up an open time, perhaps a Saturday morning and see what the response was. Director McGillivray reported the entry fee as $200.00 per team with a $25.00 player fee. Fees covers paying for all referees, scorers, timekeepers and buys trophies. Program usually pays for itself. t KENAI PARKU AND RRCRF;ATION COMMISSION December 9, 1986 Page -2- 4. B. Carpet Bid. Director McGillivray brought copy of prepared bid. The bid is being advertized December 10, 1986 in the Clarion. It's approximately 125 yards of carpet and will be replacing all the carpet downstairs, upstairs and as alternate, depending on bids, redo carpet in game room. Bids calls for 28 ounce face weight, heavy duty. Bid opening is the 29th of December, at City Hall. Bid gives 90 days to install. Discussion was held. There is $9,000.00 in the budget for the carpet. Commissioner Seibert arrived at this time. (7:11 pm) C. Off Road Vehicle Ordinance. Director McGillivray reported that the Ordinance did go to Council and it was recommended that it be postponed and rewritten] so that it's not so restrictive. General discussion was held. D. Skating Areas. Skating areas were started. Water was run and area was bermed. Due to weather conditions the areas need freezing temperatures and hot mopping, but otherwise will be ready to go when snow falls again. Tank has been insulated at Chumley's to keep hot water in hot mop tank hot. Commissioner Siekawitch commented that the Sears School was appreciative of their rink. Director McGillivray mentioned at this time that Land and Water Conservation Fund is going to get funding for next year. The Director called Anchorage Monday and requested forms to apply for grant for funds for the Youth League Development Complex. Funds would not cover costs, however, this is a matching funds grant and with City providing land, there would be no problem matching funds, as land can be used as matching fund. OLD BUSINESS A. Parks Update and Recommendation. Director McGillivray gave each Commission Member a copy of Parks Inventory, City Council has requested Parks update and has called for any suggestions and input as to what's been done and what the Commission might want to do in the future. lb L KENAI PARKS AND RECREATION COMMISSION December 9, 1966 Page -3- Beaver Creek Park. Gravel to improve access and for parking has not been done and is still needed. Some topsoil and grass seeding was done, still needs additional. Additional wooden structure was added. Basketball goals are in with a slab. Parking barriers were put in and more will be added this summer. Tot seat was put in and all parks have them in now. Commissioner Siekawitch asked how much money was in budget. Director McGillivray indicated there was none designated for park improvements. There is still approximately $15,000.00 in a fund that is used on occasion. This is an old bond with a certain amount of money to be used for parks. Director McGillivray indicated additional light at basketball courts not needed. Path and sign to creek could also be deleted. 1f Cunningham Park. Parking has been added, but still { more s needed. Boat trailers take up a lot of area. j ;{ Camping stalls were discussed and need for road ( widening and signs posted. East Kendi Park. Cross country ski trail is no longer as it' was =Dscussion on start and finish of trail. Tracker is needed to set cross country ski trail. Gully prevents access to tot park area. This park is well used. Director McGillivray has talked with Keith to see if City has culvert adequate for use. Fourth Street Park. Some reseeding has been done. Water fountain s still needed. Some swings have been added. Playground equipment is in good shape. Slab for basketball goals are in now. Backstop finished this last summer. Cable to stop through traffic has been put in. Mound for climbing and sliding was discussed. Outhouse is needed and was discussed. Several parks don't have outhouses and this does create a problem. Municipal Park. A few picnic tables have been replaced aT some added. Additional tables need to be added if this is going to be used as camping area. Also, fire 1 pits need to be added. Commissioner Seibert asked about off road vehicles signs. Director McGillivray indicated I they will be installed. a I L L I I KENAI PARKS AND RECREATION COMMISSION December 9, 1986 Page -4- Wooden fence has been replaced with chain link. Press box is no longer there. Request for dug outs for the Girls Softball field has been made. Playground equipment has been put in the Little League area and .' this is uecd very heavily. Old Towne Park. This park gets a tremendous amount of Ij 1 use. Damage as been minimal. Area was filled in and ff i planted this summer. Some areas need additional 1 " seeding. Area is a problem to plant with heavy use. 1 1 Stur Park. Not much has been done with this park. This .. I paf maybe deleted.r i i Ball Fields. At the Airport Park complex, parking I barrier— s Tave been put up. Outside bail field area has ' been planted. Several pieces of playground equipment have been added, also, picnic tables, camp stove, flower bed on the corner and signs have been posted. Dugouts are being taken care of by the Empires and the Mens and Women Association. Gates will be repaired due to vandalism. j Doyyle'��s Park. Discussion was held regarding this park; locate, size and what would be needed to develope. Lawton Park. Director McGillivray thought this should e grad a and seeded. There was discussion on playground equipment. Student Representative Lynn thought this might not work as a park due to highway access being so close. Director McGillivray was not in favor of putting in area to attract kids as it was next - to highway. This was discussed further. Bernie Huss Fitness Trail was discussed and Director McGillivray indicated the new additions to the list with the Memorial Park and Airport Triangle Park. i 5. NEW BUSINESS jl Chairman Hultberg reported on his attendance to the '., yearly meeting with Mayor. Chairman Hultberg reported that this commission needed new members and asked about the summer employment. The Chairman found out what the other commissions were doing and thought the meeting I'I j was worthwhile and interesting. i i i it i i I �4 � i , ,• KENAI PARKS AND RECREATION COMMISSION December 9, 1986 Page -S- 6. COMMISSION COMMENTS AND -QUESTIONS Chairman Hultberg called for comments or questions at this time. Director McGillivray will do an update on the parks and bring it back to the commission in a finalized form before it goes to Council. No other comments at this time. ADJOURNMENT Meeting was adjourned at 8:07 pm. N va A. A urto dba/Niva's Clerical Services for the City of Kenai L L I I O iKe►tta! i?ni►►tttnitN ditt4y A ODUI IG [IDFIAHY INIMMIX MUI C 1040 103 MAIN STREET LOOP Ai KENAI, ALASKA 9%11 weember 10, 1906 City Council of Kenai ?idaigo 1, Alaska, 99611 Sirs: nembers of the Library Commission would like to thank the Council for hiring Neva to take minutes at the various Lesion meetings. She is a very welcome addition to neetings. Now all commissioners can take an active part he meeting. again, thank you. Sincerely, f� J�/1�- G11�lGf,J Christine A.qyn 19a Library Commission Pl i i AGENDA I KENAI CITY COUNCIL - REGULAR MEXTIOG DECEMBER 3, 1906 - 7 t 00 PM i PLEDGE OF ALLEGIANCE. I A. ROLL CALL l 1. Agenda Approval °= 2. Consent Agenda *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 `j 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. I B. PERSONS PRESENT SCHEDULED TO BE HEARD (10 Min.) f 1. Ron Dolchok - City Exercising Option to Re -Acquire Gas Facilities from Enstar �.� 2. Sandra Daniels - Insurance for Runway Lounge C. PUBLIC HEARINGS i 1. Ord. 1171-86 - Amending Kenai Municipal Code - Off -Road Vehicles (Requested Postponement till Dec. 17 meeting) { 2. Res. 86-110 - Confirm Assessment Roll - !{ Aliak/McCollum 3. Res. 86-112 - Transf. of Funds - Additional 1 Inspection - Cook Inlet View/Lilac - $9,000 a. Request for Funds - M. Tauriainen - Cook Inlet View/Lilac D. MINUTES - 1. *Regular Meeting, Nov. 5, 1986 2. *Regular Meeting, Nov. 19, 1986 t, E. CORRESPONDENCE F. OLD BUSINESS L r P G. NEW BUSINESS 1. Bills LC, ►.e Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 3. *Ord. 1177-86 - Increasing Rev/Appnn - Serilor Citizen Van - $20,000 4. *Ord. 1178-86 - $500 Exemption - City Purchases from Council Members 5. Chan-e Order - Zubeck Inc. - Airport Way Widening and Landscaping 6. Assignment - Peninsula Savings & Loan to 1st Federal Bank of Alaska H. REPORTS 1. City Manager 2. Atterney 3. Mayor 4. City Clerk 5. Finance Director 6. Planning & Zoning 7. Harbor Commission 8. Recreation Commission 9. Library Commission 1. PERSONS PRESENT NOT SCHEDULED TO BE HEARD (5 Min.) ADJOURNMENT — a. 0 r t. Y.RNAI CITY COUNCIL, MINUTE[; DECEMBER ], 1966, 1100 PM KENAI CITY HALL VICE MAYOR RAY MEASLNS PRLSID1110 PLF.DOE OF ALLEGIANCE j; A. ROLL CALL Presents Ray Measles, Chris Monfor, John Wine, Tam Ackorly, Sally Bailie, Art MCCemsey • Absents John Williams (excused) A-1 Agenda Approval a. Vice Mayor Measles noted 2 additional papers have been distributed this date for item C-2 (Res. ,i 86-110). b. Vice Mayor Measles said the minutes for the Nov. i 19 Council meeting have been distributed this date ( item D-2) . C. Vice Mayor Measles asked that item G-6 (Assignment - Peninsula Savings & Loan to est Federal Bank of Alaska) be deleted from the " agenda. d. Councilwoman Bailia requested H-REPORTS be moved up to the beginning of the agenda. MOTIONt Councilman Ackerly moved, seconded by Councilwoman Bailie, to change the agenda to place Section N (REPORTS) after Section C (PUBLIC HEARINGS). Motion passed by unanimous consent. A-2 consent Agenda MOTION: Councilwoman Bailie moved, seconded by Councilman i Ackerly, to approve the Consent Agenda as submitted. r� Motion passed by unanimous consent. B. PERSONS PRESENT SCHEDULED TO BE HEARD B-1 Ron Dolchok - City Exercising Option to Re -Acquire Gas Facilities from Enstar 4 Mr. Dolchok was not present. B-2 Sandra Daniels - Insurance For Runway Lounge Ma. Daniels was not present. C. PUBLIC HEARINGS F C-1 Ord. 1171-86 - Amending KMC - off -Road vehicles MOTION: Councilman Ackerly moved, seconded by Councilman { Mccomsey, to adopt the ordinance. A L 0"' fir • trI J f �I KENAI C11 r UGCRMbr.�t ), 1':Rr,, Page .! mcm oN, PoatqunemnntI Counc:ilwr,u,an [:1.11110 m';ved, ncn;or,lni ty ,nncil4�*, Ackorly, to prrs:pono actiun un the n d:nnn�ry tltl !hq One. 1'l mooting. There w3u no public comnont. Councilwoman Dailio explalnod, the Dosutlfit,etir,n Committee hope,] to develop wo:ding that will ailUd minimum use of 3-whoelers but keep them eft the road. Motion passed by unanimous consent. C-2 Res. 86-110 - Confirm Assessment Roll - Aliak/McCollum MOTIONS Councilman Ackorly moved, seconded by Councilwoman Monfor, to adopt the resolution. PUBLIC COMMENT: a. Donald Graham, Spur Rd., Kenai. He owns property in the area. He did not know why he is on the assessment roll. He has paid over $6,000 for water and sewer for his lot. Councilman Ackerly noted it is $416 to be be paid over 10 years. Mr. Graham asked, why should he be charged anything? He already paid for this. Vice Mayor Measles asked if he had talked to anyone about this. Answer - no. Vice Mayor Measles explained, council has no information regarding this. It should go to Administration first. Mr. Graham asked, what if they cannot do anything? vice Mayor Measles replied, then he should come to Council. Mr. Graham stated he is lodging a protest regarding the payment at this time- Councilman Wise noted the property in question is parcel #045-110-10, Lot 80, sect. 34. He added, Mr. Graham has been to Council before regarding assessments. b. Ray Rogers, 808 E. Aliak, Kenai. He presented a letter to the Clerk on Dec. 2 regarding a protest of his assessment. It was his desire to obtain city water & sewer. In Fall 1985, he was approached by Public Works Director Kornelis, Engineer LaShot and McLane & Assoc. in lieu of City water & sewer, he was told he would get a septic system at no charge. He entered into an oral agreement with the City. It would be a test system. The City would be monitoring the system to determine use in the future. Had he been told he would be charged, he would not have said yes. His system was working fine at the time. As the area is developed, the sewer system will go down his street and he will have to join it then. He noted Hillside area in Anchorage was given a septic system. The sewer system was later extended and they were charged 2 assessments. He has City water but he does not want city sewer. When the area is developed in the future, he would be assessed 2 times. He did not know how he got on the assessment role. The system is on private property, the city will not be maintaining it. Finance Director Brown explained, this was discussed when the assessment role was done. In the preliminary assessment, his lots were listed L r- r • 4PRI-AIV KLNAI CITY COU1101f, vrcN,MDER 1. 198t) f' page for water & newer. 'rilfj ('ity dcf-,14 1 t,r_:aUne sf the cent not to tun newer dawn the dtrcot. The tout wan $8,500 to inntull, he roceived a bonofit, thorn should be a cont. Nublib Wf)rkn Director Kornolin explained, there wore public: hearings. It wan dincunnnfi at that: time that bringing the line down the road to serve one individual wok4ld cost $60,000 to $100,000 bccauao there would be a lift station. Because of the swamp in the area, 1 the City anticipated little development. It wan always the intent of the City that the individual getting free septic system would be part of the LID. This is specia.L because of the high water table. If he was assessed 25% of $8,500, it would be $2,125. The sower assessment is $2,766. It is very close to what it would be if we had run a sower line. He does have water & a septic system. It should be part of the LID. Administration never said it would be free, he said if the City put it in, it would be part of the LID, Councilman wise said, if Mr. Rogers accepts this, there would not be another assessment. Mr. Rogers asked that this be put in writing, if it is in writing and signed, he will agree to it. Atty. Rogers said if Council wants to put it in writing, he will. But that is not to say it may not change. Councilwoman Bailie asked Mr. Rogers if his septic system was giving him trouble. Answer - no. Councilwoman Bailie asked, why did he put a new one in? Mr. Kornelis explained, he was part of the petition to run sewer there. He agreed to this at the time. We said we could add as part of the LID. Mr. Rogers said the City agreed to allow 1 him to be part of the system. Finance Director Brown said he did not feel Mr. Rogers should be dropped off the role when he derived a benefit. Also, he is a City employee, people would feel there was an impropriety. MOTION: Councilwoman Monfor moved, seconded by Councilwoman Bailie, that the City write a letter or contract saying at such time as a sewer is brought to Mr. Rogers' lot he will not be assessed, that he go ahead and pay. Mr. Rogers noted the letter is not binding. Atty. Rogers explained, he said it would be written up. The consideration is he will allow himself to be on the assessment role as stated. VOTE (Passed): Yes: Monfor, Wise, Ackerly, Bailie No: Measles, McComsey C. Dale Bondurant, Kenai. Why is there so much difference between the estimate and the final assessment? There is a 9% increase. Finance Director Brown explained, the total project did not cost more. When they drew the preliminary assessment, laying of the lines was sketched. They did not put in as many places as they said. The same amount of distribution and less lots. Mr. Bondurant said he thought there should be an objection when people anticipate one amount and it is not the same. Public Works Director Kornelis explained, when the people come to the City with a petition a rough estimate is done. The City takes J —, ■ k, KENAI CITY routiv i L DECEMHE.R 1, 190b Page 4 the luWont tonp,jnnible hid. 7111710 1n NO any tt, got the exact cunt. Mt. h0nldirnnt on1'I flit: %�nr.rl ownor in buying a "pica 1n a Ii ko." The Clty Arun if the reoidont wnntn it nt this Cont. Vice Mayor Meaelon explained, thoto in Ito way tho City Fran give an exact coot till it in completed. Tho figures weto given an ontimates. Tho City pnyn i times what the resident pays. Ito onkod ter. Bondurant, if it had come in undor ontimate, would h,�, bu hero? Mr. Bondurant ropliod, that is not the problem. If the City says there in no way they can come up with a cost till the project in complete, does that mean they do not believe the bid amount? vice Mayor Measles noted we have had change orders many times. tor. Bondurant replied he objects to the fact you cannot give the public a pretty good idea of cost and the contractor can come back saying he made a mistake. The City l.s allowing the contractor to over -charge. It is not right to say you cannot give a cost till the project is done. vice Mayor Measles said the total engineering is going out to bid, the contractor puts together a bid. At that point, if it was turned down, the City would bear the cost. We cannot wait that long, we cannot go on estimated numbers. Mr. Bondurant replied he did not buy that. Private business does not do that. Vice Mayor Measles asked, how would he arrive at an exact cost with only preliminary engineering, not final engineering? Mr. Bondurant replied, he did not know, but when the City says they cannot come up with a final cost before everybody commits themselves, that is fooling tho public. He noted Administration had said it could be 400% increase. Vice Mayor Measles replied if it was 400%, the City would not go ahead with it. Mr. Bondurant noted Vice Mayor Measles had said there are cases where the City would lose money if it was a mistake. But in this case, because it is not 400%, the property owners will pay for it. 25% is what we agreed to. Many people got theirs free. MOTION, Amendment: Councilwoman Monfor moved, seconded by Councilwoman Bailie, to amend the resolution per Finance Director Brown's memo dated Dec. 2, 1986 regarding changes to 045-050-06 and 045-050-07. Motion passed by unanimous consent. MOTION, Amondmentt Councilman Wise moved, seconded by Councilwoman Bailie, to amend the resolution per Finance Director Brown's memo dated Dec. 2, 1986 regarding changes to 045-090-05. Councilman Wise asked if a report is available for the public that the project cost has been audited and verified. Finance Director Brown replied, they are available for the public but no one has come in to see. Councilman Wise asked if a cover letter was sent that the figures were available. Answer - no. Amendments Motion passed by unanimous consent. L W-t" rr_ J ME r KLNAI r'ITY COUNIAL DE( 'EMCIrm 1. 1�1Nrt ('— rage 1 VOTE, f4ttin Mst:lnn as Amondndt Motion ynudud Un1111JInnuoly by toll cnll VAA. C-3 Ron. 86-112 - Trannf. of Funds, A9!1111ormA Inn,t'(Aintl Cook Inlet Vlow/LLInt. $9,000 a. Requont for Funds - M. Tnuliainer: - rgr,B I" of View/Lilac r� MOTION: Councilman Ackorly moved, seconded by Councilwoman Bailie, to adopt the resolution. There was no public commont. Councilman Ackerly asked Public works Director Kornelis if he thought this was a fair assessment. Public Works Director Kornelis replied, he did not have knowledge of the figures, but he has gone over this with Mr. Tauriainen. They were design problems, not field problems. Councilman Ackerly asked if they were OcoanTech problems. Answer - yes. Councilwoman Bailie asked if we keep out retainage on design engineering. Mr. Kornelis replied no, this was over a long time ago. Councilwoman Bailie suggested we should till the design is implemented. Mr. Kornelis explained, we have drawings from 1977 that are not complete. We could not keep retainage that long. Councilman Ackerly asked if there will be an investigation into oceanTech projects to see if there is legal recourse. It has happened on many projects. Vice Mayor Measles asked if they E&O insurance. Answer - yes. Councilwoman Bailie asked who is responsible for applying for permits that were not applied for? Mr. Kornelis replied, the design engineer. Councilman Ackerly asked if we had the final drawings from the engineer? Mr. Kornelis replied, the as-builts are turned over to the City, we turn them over to the inspector. Councilman Ackerly asked if we are current on the other projects. Mr. Kornelis replied, the Juliussen, Ames, Barabara, Basin View, Angler project is not. VOTE: Motion passed unanimously by roll call vote. C-3a Request for Payment MOTION: Councilman wise moved, seconded by Councilwoman Bailie, to approve the request for payment. Motion passed by unanimous consent. Atty. Rogers asked if it was consensus of Council to start proceedings on this matter. Council agreed to include all problem projects and pursue this. H. REPORTS City Manager None Attorney L Fr"Al CUl"I CIANV11. UECGPIHF:14 1, 1NNo pain• 0 Atty. Pogorn op -An rn0ordinq thn nttf-t` t„',t'"t•,! appraisal fok the flr:nt plan" ),noln. t4,',t,0 wnfy approved, it will he 111,000 tnf,:e. Ho will hatOl t�], feel with the 160 acro hr,rrol. Tho lotro: ftWm thn appratoor wag too late fur tho pnrkot. 110 regj](30tf.9 tontativo approval, tho roatetial will be in the tac;kot for the rice. 17 rneet.inN. Ho wl.i.l filr, pee', )h. MOTIONS Councilman Ackerly moved, seconded by CoUtiCilwaman Hailio, that per the attorney's request, add $1,000 additional to the appraisal fee for condemnation action. VOTE (Passed): Yost Measles, Wise, Ackerly, Bailin, McComsey Not Monfor H-3 Mayor None H-4 City Clerk Clerk Whelan distributed the 1986 Milepost magazine ad for the City. Per council request, she had contacted the Chamber regarding increased promotion for the City. The 1987 ad has been finalized, she suggested Council work with the Chamber for 1988 issue, we could start work next Spring. Council agreed with the request. H-5 Finance Director None H-6 Planning b zoning None H-7 Harbor Commission None H-8 Recreation Commission Recreation Director McGillivray noted the minutes of the last meeting are in the packet. He noted the new secretary had prepared them. Their meeting date has changed. H-9 Library Commission Chairman Swarner spoke. a. The new secretary was at the last meeting and was appreciated. b. A library calendar for December was distributed to Council. They will be publishing this regularly. C. Friday night movies will begin Jan. 1. d. She invited everybody to the library open house on Dec. 18., 1t00 to 8:00. They will honor the 35 employee/volunteers. Councilwoman Bailie noted they average 210 people per day, thero were 347 in one day. ION: L. W 1 a1+ r� KENAI VITY CUt1IWII. V ;rL;'i,t:li 1, 19LI" Page i Cotrnailman Wine m0vr1A, na!:n:"ImI by r.,}tr" tI4nPAR tt,Gf^e, that $100 110 MIA& avnldnblo fu.m CuuA:ii funds tut t?"I voluntoora' open hljuso. Motion passed by III Intl l:n.wa (2013ant.. 0. NEW BUSINL55 0-1 pills to be Paid, Bills to be Ratified MOTION: Councilman Ackerly moved, seconded by Councilwoman Bailie, to approve the bills as submitted. Motion passed by unanimous consent. G-2 Requisitions Exceeding $1,000 MOTION: Councilman Ackorly moved, seconded by councilwoman Bailie, to approve the requisitions as submitted. Councilman Wise asked about the lights on Spur, they are $250 each? Public Works Director Kornelis replied, this is a rough estimate. Motion passed by unanimous consent. G-3 Ord. 1177-86 - Increas. Rev/Appns, Senior Citizen Van - $20,000 0-4 Ord. 1178-86 - $500 Exemption - City Purchases from Council Members Approved by consent Agenda. G-5 Change Order - 2ubeck Inc. - Airport Way Widening & Landscaping MOTION: Councilman wise moved, seconded by Councilwoman Bailie, to approve the change order. Motion passed by unanimous consent. I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD a. George Wright, Kula Rentals, Alder St., Kenai. He had distributed a reply to Engineer LaShot's letter on this date. He asked for a response. MOTION: Councilman Wise moved, seconded by Councilwoman Monfor, to approve the request for payment. Councilman Ackerly asked why this was postponed from the Nov. 19 meeting. Mr. Wright replied, so he could respond to Engineer LaShot's letter. Public Works Director Kornelis said he has not had a chance to review the response. He thought Mr. Wright was to respond to Administration. He added, Engineer Lashot feels we should pay the amount of the PO and he felt the as -built plans are correct. He asked if he could review the letter and report at the Dec. 17 meeting. Mr. Wright said Councilman Wise and Mayor Williams had asked him to bring the response to the meeting. L r-, 4" • KF.NAI CITY COUNCIL DFCEF10r14 1, 1906 Pago H Regarding the ap•built, the onglneot r0ld he hAl a hnrrl time with it. Mr. wright'a onglhaer paid it wan wrong. It in not wnat in in the ground. There WMO rv, IGC' tea where it said they were. He put in 60 ft. an he wan told to. lie wan 14 ft. short. Enginoor haLhot paid to give him more. He completed the job, t1:e water line ie 14 ft. short. Vice Mayor Meanlen paid Council hao just received the letter. Mayor williatns had asked Mr. Wright to give the reply to Administration. It han not been reviewed. Mr. Wright said the City furnished the footings, they engineered it wrong. Councilman Ackorly . asked if he had been paid. Mr. Wright replied, he was not paid for the additional work. He said he would wait for the Dec. 17 meeting. He is not disputing the r bid, just the extra work. He had a watchman for 2 days. Councilman Wise said Mr. Wright had used as-builts from 15 years ago. Mr. Kornolis replied Mr. i Wright had used corrected as-builts. Mr. Wright said they were not correct. He added, the de -watering was 1i{If inadequate because the as -built was wrong. MOTION, Postpones Councilman Ackerl•r moved, seconded by Councilman McComsey, to pos.e:.ne action till the Dec. 17 meeting to hear a report from Administration. f VOTE, Postponet Yea: Measles, Monfor, Ackerly, Bailie, McComsey Not Wise Mr. Wright asked if he could see the City's XCU (underground explosion) insurance. He questioned if the City had any. He was told he had to have it if ` there was a gas line. He had to hire a back hoe that had insurance. b. councilwoman Bailie noted there were several Christmas decorations on spur that are out. i Public Works Director Kornelis explained, his crews have been on 15 hour days with snow clearing. They no longer have the equipment to service the decorations. They have to rely on HEA �i or Air Tech. They cannot use the loader. HEA had to finish the installation. Councilwoman Bailie 1 asked why they had not checked them before installation. Mr. Kornelis replied, they were in 1 a hurry, some poles do not have power and some went out when they were put up. The State has r said we cannot use the loader. We may be able to use the new loader with a variance. vice Mayor Measles suggested renting a man -lift. Mr. Kornelis replied, so far HEA has donated their labor, but they will do it when they have time. Council took no action. r ADJOURNMENT: I Meeting adjourned at 8:40 PM. ' Janet Whelan City Clerk W 7. � 1 i J ++ GOVERNED BY: Ir,rl� `� �t�� iC l� l�' l ) �• Gouar_d Of t-tat" no-dwofiottl * * Intojit dbonat Csrr Maratgra ntrd � As,abon SIC11c C�tld 1...o cii—i1 G V �r.l Nauonai ororr�bot` )-ur�ttg5!a=urc9 National GovornorW A rucmbon National Loa4luo of 0410n 'nic State and d L( )('i 11 Lt'gill (:t `111('1' U.s. CoMoronco of Mayors 444 N. CAPITOL STREET, N.W., SUITE 3491 WASHINGTON, D.C. 20001 (202) 638.1445 �' 11 November 18, 1986 r,`1%90t 1' y The Honorable John Williams Mayor, City of Kenai 210 F idalgo Street �rqq:.. j Kenai, AK 99611 f Dear Mayor Williams: t !` On behalf of the Academy and the Legal Center, we want to } Ii� offer our personal thanks for your support of the Legal Center. Our ability to continue providing vital advocacy and support services to state and local governments involved in Supreme Court cases is now dependent upon direct assessment of state and local governments themselves. We appreciate your remittance; and we are confident that, through your payment and those from other jurisdictions, all state and local governments will benefit. Again, our thanks, Enid Beaumont Benna Ruth Solomon Director Chief Counsel 1 Academy for State and Local State and Local Legal Center # Government F cc: William Davis, III, NLC • Alan Beals, NLC ,t . 1 • f m 1'•1 J+N m� Or •y Q t�ON a �J0 fO V1 N U tl _ ,�) ' y. h N 0 CO q N h ON�t •�-r n •1 n Y1 O 1 ) P pp POJ e•1 N•Pn O. JrO[7 fi gp4ii OCD wMNN " t7 1 Mt�1 .O :00 f`I fA GO V10; O�N M04n I + � I' O rz N(4 14 mf1� VP1 Qr t�l m P1 M M •' � M 4 4 1�� -' "'r •r� C G R vl u u rp0 u M u u tN p H k+ N M •.� •.Or .e y �ruwyN.+ 'A I to u uro'�O'� 14 ePr+ 6 y a Aai roV ro Aj � p �a�ra rpp+ aid �aiai i �t�•[� p� M � p y G Oy Oy tly UUCWi V V Viyy D•.ros 'LO C7 "✓ro t�irU G�Cf i � •� pp M N C M M •M� (/py 11�� � �1 Y1 M 10, Lp V V •.eayWWW� M M ri N ai M 'r�r Fi O � ••r �OO 7 0 O CO a api O M� ru y Pc L 07'f. SG qN F+N W00 a ;,� q UO Is' u0 O vw •V�+6 A6 QP uyl� y Nyy V u?MM66 � 8.0 �Myp ri 0E.O O ►rM WM .•1 gg I, 1 4j"wH~u� 9 A w L a I J I PUKHASE ORDER rANARV ITE • VENDOR CITY OF KENAI 210 FIDALQO ST. PHONE 283.7638 LDENROD • ACCOUNTTNr 4 . LI ' Lt SHIPP NGUNTIN VIN KENAI, ALASKA 99611 FFN • APPROVED COPY �, PINK • REQUISITIONER VENDORNO, O 0 lmlS Pvpflw" CJ DIP NUtRDEG WAI AP'TAo(ra All PAr IIAGIS Apb PAP163 RIIAIIWY TU IWN NI? CHASE Ne. w,e 12/17/06 Merit Inn TO i L �t SHIP VIA: BY FOB YEROUOrA1�ON uvtRr pArt PREPAY SHIPPING •CHARGE PURCHASES AUTHORIZED ONLY WHEN SIGNED ABOVE BY THE SEPARATE ON INVOICE FINANCE DIRECTOR OR HIS AUTHORIZED AGENT ITEM NO. DESCRIPTION OR ARTICLE OR011to UNIT UNIT PRICE AMOUNT a I Catering for City Christmas Party Cost olus gratuity = 100 $17.55 $1,755.0 TOTAL 1 $1,755.00 L s ff � CITY OF KENAI %od (?ap4W aj 4" 4:0i:0ALGO KENA1. ALAS::A "..Att TELEPHONE2Aa• M9 MEMORANDUM TO: Tim Rogers, City Attorney City of Kenai FROM: J. Ron Sutcliffe, Legal Assistant. City of Kenai DATE: December 17, 1986 RE: Computer Purchase You have asked me to review the Xerox personal computer as presented to the City by a retailer (David Jockmen). You also requested that I review for Council should it be necessary, the process we have gone to determine that the Compaq 286 is the machine for the Legal Department. As you know, we spent a considerable amount of time, actually over six months, studying various computer configurations. After much study and consultation with Cheryl Kirk, who is incidentally one of the more knowledgeable computer salespersons that I have ever met, we determined that a 80286 based unit would be appropriate. We could have chosen an Intel 8086-2 or an Intel 8088 machine, but after careful review, we concluded that these machines are fast approaching obsolescence. Dozens of Taiwanese and Korean clonemakers have flooded the market with 8088-based units. The 8086 unit, which the Xerox personal computer has is nothing but en upgraded version of the 8088 unit, which runs at a faster speed (8 MHz). The 8086, to my knowledge, is not expandable beyond 640 K on the main motherboard. As more and more software is built for the 80286 and now the 32 bit 80386 units, less and less of it is predicted will run on the 8088 and 8086 machines. 1 A recent article in InfoWorld, the tnduntry trade inaqurtem. written by Bill Gatoo, who to unquentionahly ono of the InoA n in the field of microcomputer" au head of Mic:ronuft Corporoton, suggested that buatnoonoe and uueru buth� should ohy away from 8088-based machines. The Council may want to conaidor the history of Xerox in the ` microcomputer industry. My recollection to that they have had l several microcomputers in the past, none of which have lasted i very long. I cannot personally remember a Xerox microcomputer being advertised in the trade magazines since their C/PM operating system machine of several years ago. This is not to say that such machines have not been on the market. It should also be added that we have absolutely no idea whet sort of accessory cards will run with the Xerox PC. If we wanted to upgrade to a EGA standard, it is unclear whether any or all of the cards would run in the machine. While the standard reply is "of course it will run anything," it has been my experience in close to four years of dealing with microcomputers that promises seldom aspire to the reality. The Compaq 286 is one of the industry's standards. It is a machine to which other companies aspire. In fact, Compaq recently introduced an 80-386 based { machine. Presumptively, IBM will have to now aspire to the Compaq standard. It should also be remembered that through Cheryl Kirk's help at Computerland, we are able to get a considerable discount through the Government Services Administration because we are using Federal Revenue Sharing. I have no idea what the Xerox people could do. It is my opinion that in both price and performance, the Compaq 286 will prove to be a system the Legal Department can live with for the next fivE years. s JRS/clf 2 L L.� 2 i; NF3 stig(jentod by councll CITY OF KENAI ORDINANCE NO. 1179-86 AN ORDINANCE OF THE CITY OF KENAI AMENDING KENAI MUNICIPAL CODE, TITLE 14, TO DELETE THE WORD "ADVISORY" FROM THE ENTIRE SECTION. WHEREAS, Kenai Municipal Code, Title 14, refers to Planning and Zoning, and WHEREAS, throughout Title 14, there is reference made to the Advisory Planning & Zoning Commission, and WHEREAS, the Planning & Zoning Commission now has full power to take action and is more than advisory in capacity. NOW THEREFORE BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that all references in the Kenai�unicipal Code to "Advisory" Planning & Zoning Commission are hereby deleted. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA this 7th 1 day of January, 1987. ATTEST: Janet Whelan, CIFr Clerk JOHN J. WILLIAMS, MAYOR 1st Reading: Dec. 17, 1986 2nd Reading: Jan. 7, 1987 Effective Date: Feb. 7, 1987 L 1. :�u(j<. Uilt (I by Couric .I CITY OF KENAI, ORDINANCE NO. 86- AN ORDINANCE OF THE CITY OF KENAI AMENDING ENAI MUNICIPAL, CODE, TITLE 14, TO DELETE THE WORD "ADVIS Y" FROM THE ENTIRE SECTION. WHEREAS, Kenai Municipal Coda, Title 14 refers to Planning and Zoning, and WHEREAS, throughout Title 14, there reference made to the Advisory Planning & Zoning Commissi and WHEREAS, the Planning & Zoning Cc ission now has full power to take action and is more an advisory in capacity. NOW THEREFORE BE IT ORDAINED BY HE COUNCIL OF THE CITY OF KENAI, ALASKA, that all refere es in the Kenai Municipal Code to "Advisory" Planning & oning Commission are hereby deleted. PASSED BY THE COUNCIL OF TH CITY OF KENAI, ALASKA this f day of 1987. {C d ATTEST: anet wheian, JOHN J. WILLIAMS, MAYOR 1st Reading: / 1 2nd Reading: / 7 Effective Date: _ `Alb j-7, f~, -I I F /' — toy: AdmiLoo:ol rot iron CITY Of KENAI ORDINANCE NO. 1180-86 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING TITLE 16 OF THE KENAI MUNICIPAL CODE BY ADDING A NEW SECTION PROVIDING FOR SUPPLEMENTAL ASSESSMENTS FOR SPECIAL ASSESSMENT DISTRICTS. WHEREAS, KMC 16.10.080 states that the City Manager shell prepare en assessment roll after the costs of improvements are computed; and, WHEREAS, it is poesible that the City Manager may believe that all costs are known and may prepare an assessment roll, but be unaware that additional costs may be incurred due to claims arising from construction or other reasons; and, WHEREAS, the Kenai Municipal Code should provide for a method of supplemental assessments against benefited properties so that all taxpayers will not be burdened with the additional cost. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that KMC 16.10 be amended by adding a new Section 16.10.180, as follows: 16.10.180 Supplemental Assessments: (a) If additional costa are incurred that are chargeable to an assessment district after the initial assessment roll has been approved by the City Council, the City Manager may prepare and file with the City Clerk a supplemental assessment roll. (b) Procedure for notice and public hearing for a supplemental assessment must conform to that utilized for the initial assessment. (c) Billings and payments on a supplemental assessment shall be kept separate from the initial assessment. Supplemental assessments may have payment terms and due dates different from the initial assessment. L L -i (d) More than one uupplomontal ouuotiomnnt, mny t,t, oiloWP�i. , PASSED BY THE COUNCIL OF ttit CITY Ot KENAI, ALASKA, t_hia aoventh day of January, 1987. ATTESTS Janet Whelan, City Clerk Approved by Finance:� 12/10/86 First Readings December 170 1986 Second Readings January 7, 1987 Effective Dates February 7, 1987 2 L w J fiu(Iryl,otef) by: Adrniiiitit r01om 4' CITY OF KENAI I 1 ORDINANCE NO. 1191-86 Y r AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KMC 8.05.010 TO ADOPT THE LATEST EDITIONS O1 111F NATIONAL FIRE CODES AND THE UNIFORM FIRE CODE. 4' WHEREAS, the Council of the City of Kenai previously adopted by s reference the 1982 Edition of the National Fire Codes and the 1982 Edition of the Uniform Fire code; and, WHEREAS, new editions of the National Fire Codes have been promulgated for 1986 and the Uniform Fire Code has been i promulgated for 1985; and, WHEREAS, it would be most beneficial and in the best interest of the City to have the latest codes adopted. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as follows: t. Section 1: Pursuant to the provisions of Section 2-14 of ;. the Charter of the City of Kenai, the National Fire Codes, 1986 Edition, consisting of nine volumes, promulgated by the National Fire Protection Association are hereby adopted and incorporated by reference as part of the Ordinances of the City of Kenai. Section 2: Pursuant to the provisions of Section 2-14 of the Charter of the City of Kenai, the Uniform Fire Code of 1985, is hereby adopted and incorporated by reference so a part of the } Ordinances of the City of Kenai. Section 3: That in order that the Municipal Code of Ordinances of the City of Kenai reflect the adoptions by reference set forth above, KMC 8.05.010 is hereby amended as i follows: � 8.05.010 Adoption of Fire Prevention Standards: (a) The City of Kenai hereby adopts the following fire prevention standards: - (1) The NATIONAL FIRE CODES of nine volumes, [19821 i 1986 Edition, of the National Fire Protection Association; (2) (Repealed by Ord. 798) (3) That certain bound volume known as the Uniform Fire Code of [19821 1985. j 1 F �: (b) The Above codes urn avuilablo for 1nolpfirf.:nn end 'Jof' 11V the public in the Public Snfvty Nuildinq in on offire donignated by the Fire Chiof. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, thin novonth day of January, 1987. ATTESTS Janet Whelan, City Clerk 12/11/86 JOHN J. WI11—f-05, MAYOR First Reading: December 17, 1986 Second Reading: January 7, 1987 Effective Date: February, 1987 2 L L" a 1a - 6 jugge5red by Clerk. CITY OF KENAI ORDINANCE 1182-86 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING KENAI MUNICIPAL CODE, SECTION 6.05.030 (a), LOCATION OF POLLING PLACES WHEREAS, Section 6.05.030 (a) of Kenai Municipal Code states the location of polling places for the City of Kenai, and WHEREAS, polling places for City elections are the same as those for Borough, State and Federal elections. NOW THEREFORE BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that: Section 6.05.030 (a) is amended to read, 116.05.030 Precinct and Pollin Place: (a) The City of Kenai shall be composed of such election precincts as may be set up or modified by the Division of Elections of the State of Alaska for all City elections, both regular and special. The polling places will be as designated by the State of Alaska, Division of Elections. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 7th day of January, 1987. ATTEST: Janet Whelan, City Clerk JOHN J. WILLIAMS, MAYOR 1st Reading: Dec. 17, 1986 2nd Reading: Jan. 7, 1987 Effective Date: Feb. 7, 1987 In L CITY OF KENAI I 10d (?a#4d 4 4" 210 PRAM KENAI. A"SKA "611 December 11, 1986 TO: Council FRONT: Janet Whelan 6vul City Clerk RE: Ordinance 1182-86 - Location of Polling Places This ordinance deletes any reference to specific location of polling places. Division of Elections suggested this amendment to Code to eliminate the need for pre -clearance if the polling places are changed. We will still need pre -clearance if the City changes the polling places, but without this amendment all three government entities would have to request pre -clearance if the polling places are changed by any of the three that are involved in the election. NE CITY OF KENAI "D Ca wW f4"c 110 PIOALGO KENAI, ALASKA "Gil TELEPHONE 283 • MIS • and the Kenai City Couuct4 Administrative Assistantt" it from David Brown to purchase ina Pt. Estates ,-equest from David B. Brown on that the referenced tract be parcel was sett aside ffo pusblic use r attached). plat i for your reference. tuber 10, 1986, the Kenai Advisory lion voted to deny the requested omission further recommended that e Parks and Recreation Commission item will be reviewed by the Parks a at their January 13, 1987 meeting. e to have an ordinance drafted to , please direct administration by ,ill be introduced at the January 7, LE 1 J �J p��,tiaa lt::� icti�a? city , �t GIly December 3, 1986 • Ms. Dana Gerstlauer Land Manager City of Kenai 210 Fidalgo Kenai, AK 99611 Dear Ms. Gerstlauer: Persuant to our recent telephone conversation, I am requesting the city consider making Tract F located in Section 36 available for sale and residential development. With this request I am offering the city a fair market price of $7,000/acre for Tract F. I would request this sale to have the same terms as what was available on my previous land purchase in Section 36. I believe the city code allows, with council approval, a negotiated sale. Because there hasn't been any other offers for this property I wouldn't think there is much interest in it. As such I would request the City opt for a negotiated sale rather than the long tedious process of offering for public sale. Thank you for your continued help. Respectfully, David B. Brown DBB/mrk L a] i ' EGEt r. dllnd official sur.ev rU."ftent see 69e'r10tla^ O Qund 0•x 0' tafttrete R/w abn,.dert.A 0 N �'. ( � ndfcetee dall4m q! rocartl ``P,�LOF4C4 1�� d et a• elum►num cap on 0/0•• 10,stee1 rdbar.%d03�-h r /•yam; ,fV 9L!1.• Mt1A9t DETAIL N.T. S. + 1 �Oi1 92 � o � to �2 • hh a 1� ~ A V1• per!• g1Y91 TRACT F / h h v to 2.236 AC. DETAIL N.T.$. �Fnd. B.C. m cone. mN sJ�� 1) �o h it All rho �ry 1�.9J iv 0ihry. 79 !0 •r -�- Fad. B.O. in can. ' f Fed. B.O. in cone..99 ell r 1 • i ( IA ; V�^h P.t'r Q gip' +' • rod. B.C. in cone. 1 •� OTES Q 9 mo s 1: BASIS Of BEARING is the G.L.O. record datum of North / s fpr trot boundary of Section SB. ', � j A 1�.B0 f _•� Z / /y^� ;. All waste water treatment and disposal systems ihail comoir with existing law at time of construction. / Tracts traversed by the section lines are subject to a SO too: easement on each side of the section �•�„oo t TRACT E %ins ontc•1 to reserved to the State of Alaska for f 1 1 1.706 AC/ public hignwere under A.S.t9.1O.0f0. d, tract 0 is eoojeet to a SO foot wide lineal peroetue i >; $ 1 public easement slang the mean high water, line of f al it / a ':ook Inlet. y. There 10 a 30 foot no cut sere'enlno easement • l: -� ..i \A/wle Uw 1/\a Y•w-\ w...w u•.. w•.•. .• .... \i.. ._. i� r" I 3 %%,��J7h•�'Kr:'Y_•rr%1NIw... M *4 i l I. t , i . r yl , I I 'I r 1 city of KENAI ORDINANCE NO. 927-84 AN ORDINANCE Of SHE COUNCIL or SHE CITY Of KENAI, ALASKA, I1010100G i o 114A1 CERIAIM City -OWNED LANDS ARE NOI REQUIRED FOR A PUBLIC PURPOSE. R'- YHLREAS KMC 22 OS 010 00 end OSO requites that the Council � shell determine whether aeftoln City -owned properties ere needed ,}}!. y'5 for a public purpose, and ,'. WHEREAS, the disposition or sale of such lands shall be made only L . upon finding that said property is not needed for a public !.' purpose, end •b WHEREAS, certain lands with Section )6. 164, 6112w. S.M. were '. conveyed to the City of Kenai Team the State of Alaska in 1900, �? 2, and WHEREAS, the portion of these lands lying west of the Kenai Spur Highway have been deemed suitable for development. and WHEREAS, all of the preceding lands are hereby found as not needed for public purpose escer� f,ie Tracts A-S, E, / A G of �. described on •oene'sne Point Estates Subdivision* as prepared by i Z. NOLsne A Associates, Inc. Now, TNERerORE, et It ORDAINED BY THE COUNCIL Of THE CITY or KENAI, ALASKA, as followas l Section 1s The deseelbed City -owned land is not needed foe � s pu0 c purpose and shop bs made w ailable for eeles ,. Tracts A-19 A-2, A-), A-4. B-1, B-2, B-), 9-4 B-!, 6-6, 6-2, 0-4. +• 0-7. B-B. C-1, C•2, C-',PC -4, C-S, C-6, 0.1. 0.1. . 0-S, 0-6, 0.71 Oana'1na oint [stales Subdivision. •" '' Section 2s The described Cily•owned land'sholl be retained + for pu i�6Te use and shall not be made available for sales Tracts A-S, E, / A Ot Oens'ins Point Estates Subdivision Section )s Tha City shall Initiste the sale of the lands desce Mirge eln and KNC 22.OS.040(r) shall not be applicable to sale of lands described in Section 1 herein. i ,I =-I m DI-Xili', 111-4 19147 - 1411 (AP f I'll �q_ P CITY OF KENAI „ad eap ;ate„ 210PIDAM KINAI,ALASKA M 111 TELMONE 293.7035 MEMORANDUM TO: Bill Brighton, City Manager FROM: Keith Kornelis, Public Works Director DATE: December 11, 1986 FOR: CITY COUNCIL MEETING OF DECEMBER 17, 1986 SUBJECT: 1987-88 CIP PRIORITY LIST REQUEST FOR STATE GRANTS Attached is the Preliminary Capital Improvement Projects' Priority List dated October 29, 1986. As you know we should have the new brochures available in January for the legislators. Therefore some decision needs to be made very shortly. Does the Council want to go with the attached list marked Preliminary 10-29-867 Because of the economic situation and the fact that we do not have much time, I think we should have just the brochures printed this year and not the detailed book. KK/sw J CITY OF KENAI. G'aPdW 0j A"" 210 PIOALOO KENAI, ALASKA 9"11 TELEPHONE213- MS MEMORANDUM TO: Bill Brighton, City Manager FROMs Keith Kornelia, Public Works Director DATES October 30, 1986 SUBJECT: 1987-88 CAPITAL IMPROVEMENT PROJECTS PRIORITY LIST REQUEST FOR STATE GRANTS PRIORITY PROJECT DESCRIPTION ROUGH $ EST NO. x 10000 1. VIP Subdivision - G 550 2. Kiana, Colonial, Steelhead & Kulile - G 450 3. ** Upland, Old Town, Highland, & Cook - P 550 4. ** Wildwood (Spur to State Prison) - P 800 5. ** N. Spruce, Second & Third - P 900 6. Trading Bay (Drainage - Curb & Gutter) 250 7. ** Candlelight & Linwood Area (LACK) - P 600 8. ** 1st, 2nd & 3rd (East of Forest) G & P 550 9. Cohoe & Coral Street - G 300 10. ** Haller, Evergreen, McKinley (HEM) - P 850 11. Aspen & Fifth - G 500 12. Sewer Interceptor to Thompson Park 1,450 13. Sewer within Thompson Park 19000 14. Beaver Creek Fire Station 300 15. * Float Plane Basin 3,000 16. * Extend N. Taxiway Airport - P 10750 17. * Airport Runway Extension 5,500 18. Addition to City Hall 800 19. RV Camper Park 200 NARY 14"f-.86 L A CIP 1987-08 October 30, 1986 Page 2 • The following prioritized proje to mro to Ion coijoiderod by the State an area-wido projecto of Stunt and Reginnol 1(11p0VfflF#:0- 1. Spur Highway - 4 Lanon, noldotno to Kenai - P 2. Pioneer Home 3. Traffic Signal - Airport Way 8 Spur Highway 4. Traffic Signrl - Spur d Main St. 5. Juvenile Detention Center 6. Float Plane Basin 7. Wildwood (Spur to State Prison) - P 8. Forest Drive h Redoubt - P 9. Extend N. Taxiway at Airport - P 10. Airport Runway Extension - P *" The following projects which are also listed above are for pavement improvements, but it is the Council's intention to follow a policy that an assessment district (LID) will be formed in residential areas whereby 5O% of the cost of the paving improvement is assessed to the benefited property owners. II N. Spruce, Second & Third - P S! Candlelight do Linwood Area (LACK) - P j. let, 2nd, & 3rd (East of Forest) - P Haller, Evergreen, McKinley (HEM) - P This pamphlet was produced under the direction and approval of the Mayor and Council of the City of Kenai. Public meetings were held on October 29, The Mayor and the Council of the City of Kenai pledge their affirmative vote for maintenance and operational costs of the City projects listed. Resolution No. 86- of the City of Kenai adopted this 1987-88 Capital Improvemen s Project list. COUNCIL Mayor John J. Williams Tom Ackerly Raymond Measles Sally Bailie Chris Monfor Art McComsey John Wise City Meneger: Wm. J. Brighton Public Works: Keith Kornelis Finance: Charles Brown I��A ��� IF - °`aq Sb H f 1r� CITY OF KENAI Vid 62aladai a/ 4"" 210FIDALOO KENAI, ALASKA 99611 TELEPHONE 213. 7539 December 8, 1986 MEMORANDUM TO: Mayor Williams and Kenai City C uncil FROM: Randy Ernst, Airport Manager RE: Request for Concession Stand in the Kenai Airport by Charles Woodcock A concession of this type may cause an undue economic burden on current lease holders already furnishing similar type snacks and drinks at the Airport terminal (i.e., the Concorde Restaurant, Runway Lounge and Vic Tyler's vending machines). A business of this type might best be accommodated when the south end of the airport terminal is renovated two to three years from now. Therefore, the administration would recommend waiting until such time as either the economy picks up or the renovation of the terminal is complete. RE/dg Attachment i I, I. i I;{ r Noveiril,itr• 20, 110% I9(j2 t7 . At i ail( I)r i v(' Kc "iA . AK 99611 Mr. Randy Ernst 210 FLdaLgo Kenai., AK 99611 Dear SLr: F This Letter Ls Ln reference to our teLephone convernatLon on Friday, November 28, 1986 concerning a concession stand Ln the Kenai. Airport. Snacks and drinks to be offered would consist of coffee, soft drLnks, candy bars, gum, potato chips, corn dogs, nachos, pop- corn, burritos, and LLke items. At present, the north and of the airport would be a Ldeal, Lo- cation. If the airport decided to remodel, Ln the near future, mov- ing a portable or semL-portable concession stand would take mLnLmaL effort. Also, the sLze of the LocatLon would be approxLmateLy 6 feet,( - by 10 feet. PLease consLder my request for such a business and Let me know as soon as possLbLe. UncereLy, r�l�if Char L es Woodcock 1902 E. ALLak DrLve Kenai., AK 99611 L TIM ROGIRS ' an Af1004V CITY OF KENAI • o �o.ln j Kt W. ALMA 90011 M-n" I a W�_A" H o /G LHA06 OP AIRPORT PACILIT:KO THIS AGREEMENT, ontored into this day of 1986, by and between the CITY OP KENA1, 210 ridalgo Street, Kenai, Alaska 99611, a h000-rulo municipal corporation of Alaska, hereinafter individually land PRIENDSHIPdAIR ALASKA, P. O. Box 60129, rairbanks, Alaska 99709, hereinafter called "Lessee". That the City, in consideration of the payments of the rents and performance of all the covenants herein contained by the Lessee, does hereby demise and lease to the Lessee the following described property in the Kenai Recording District, State of Alaska; to wit: Office space and ticket counter space, #34/35, first floor, terminal building, Kenai Municipal Airport, Kenai Recording District, Kenai, Alaska A. LUZ&O : The purpose for which the Lease is issued Office space and ticket counter apses for passenger transportation by air and related functions of aircraft operations/ticket sales B. T=: The term of this Lease is for 2 yearn, 5-1/2 months, commencing on the 15th day of January, 1987, to the 30th day of June, 1989. C. RBNTAL PAIQ7EILT: The rental specified herein shall be payable as follows: 1. Right of entry and occupancy is authorized as of the 15th day of January, 1967. Annual rental for this space shall be computed at 81.6E per square loot per month for 420 square feet of terminal space, plus 15% of the above rentals as a baggage room and equipment use lee, for a total of $9.863.40 per year, including sales tax. If the annual rent exceeds $2,400, then the Lessee may opt at the time of the execution hereof or at the beginning of each new lease year to pay rent in equal monthly instJulyallments and on orpayable in before theadvance on or first of eachbefore the first month thereafter. of The amount of rents or lees specified herein shall bsubject Cper square foot rate Council effective July 1, 1988 setbyCity 3. in addition to the rents speoified above, the Lessee assessments.sand charges to pay to as he appropriate parties 11 levies, as hereinafter provided= Sales xnow enforced rlevied in the future computed uponrent payable in monthly installments whether rent is paid on a monthly or yearly basis. (b) Interest at the rate of eight percent l8bl per annum and ten percent (10%) penalties of any amount of money owed under this Lease which is not paid on or before the date it becomes due. m 1 ft OR TIM ROGERS GM MORNAV C"Y O1 KENAI r o. WA No FUNAI. NASFfA RMF I Ian" L WW, D. Qj9t6RAj-QVPt;ALT1*.1 1. yggpi Hxcopt an provided heroin, any roVtilar use of lands or facilities without the written conoont of the City is prohibited. Thin prohibition shall not apply to use at areas designatod by the City for opocitiod public uses. Such on poosongor torminalo, automobile parking arena, and Otranto. 2. USP.S NOT CONTRM J�4ATbj)PJ3QHIDXT_P solicitation of donations or the promotion or operation of any part or kind of business or commercial ontorprioe, other than as specifically not forth heroin, upon, in or above aArport lands, without the written consent of the City is prohibited. 3. AS§XGNIJFNT OR SUB fL TTING: Les000 with City'a prior written consent, which will not be unreasonably denied, may assign, in whole or in part, its rights as Lessee hereunder. Any assignee of part or all of the leased promisee shall assume the duties and obligations of the Looses as to such part or all of the leased promisee. No ouch assignment, however, will discharge Lessee from its duties and obligations hereunder. d. ¢OSTS AND BxpHMsH$: Costa and expenses incident to this lease, including but not limited to, recording costs shall be paid by Lessee. 5. TREATMENT OF DEMISE: The Lessee agrees to keep the premises clean and in good order at its own expense, allowing no damage, waste, nor destruction thereof, nor removing any material therefrom, without written permission of the City. At the expiration of the term fixed, or any Sooner determination of the Lease, the Lessee will peaceably and quietly quit and surrender the premises to the City. 6. PAYMENT OF RENT: Checks, bank drafts, or postal money orders shall be made payable to the City of Kenai and delivered to the City Administration Building, Kenai, Alaska. 7. CONSTRUCTION APPROIM14 AND STANDARDS: Building construction shall be neat and presentable and compatible with its uses and surroundings. The coat of any additional improvements to the terminal space shall be at the Lessee's expense. S. MAUI& RIGHT OF ENTRY: Should default be made in the payment of any portion of the rent or fees when due, or in any of the covenants or conditions contained in the Lease or in any regulations now or hereinafter in force, then in such event the City shall by written notice give Lessee thirty (30) days to cure such default or defaults, after which if the default is not cured, the City may terminate the Lease, reenter and take possession of the premises, and remove all persons therefrom. 9. LEASB UTILIZATION: Leased space shall be utilized for purposes within the scope of the application (made a part of this Lease and attached hereto) the terms of the Lease, and in conformity with the ordinances of the City and Borough, and in substantial conformity with the comprehensive plan. Utilization or development for other than the allowed uses shall constitute a violation of the Lease and subject the Lease to cancellation at any time. 10. CONDITION OF PREMISES: The premises demised herein are unimproved and are leased on an "as is, where is" basis. a • .,I `4� Tim ROGER$ CITY OF KENAI •owwo 4 KM. AIASKA Wwl �I 1 I V-- 1" 11. QPPPR TA I,PpttP,_(�C� 1'PT'A�lCg: The offer to lease is made subject to application lawn and regulations of City, and may be withdrawn without notice at any time after thirty (30) days from oubminoion thereof, unloan within ouch thirty (301 days the Losses oxecutoo and roturno the lonao to the City. 12. UNDERyUda ILP.: The interacts transferred, or conveyed by this Lease are subject to any and all of the covenants, terms, or conditions contained in the instruments conveying title or other interests to the City. 13. RIGHT OFXNSPECTION: City shall have the right at all reasonable times to enter the promises, or any part thereof, for the purposes of inspection. 14. INDEMNIFIC TIo : Lessee will indemnify, save harmless and defend the City, its officers, agents and employees from liability of any nature or kind including coats and expenses for or on account of any and all legal actions or claims of any character whatsoever resulting from death or injury to any personls) or damage to property to the extent caused by any wrongful error, omission or negligent act of Lessee arising out of this lease. 15. 1j9!M"M Lessee will, during the term of this lease, procure and maintain comprehensive general liability and fire and extended ,overage insurance for the airport, terminal building, and other City facilities at the airport in such amounts and for such insured coverages as may be reasonably required for the prudent operation of the airport. Lessee will, during the term of this lease, rocure and maintain liability insurance for public liability, aviation liability, the leased promisee, property damage, odily injury and death, with contractual liability endorsements insuring all of Lessee's operations under this Jease, including its obligations under the indemnity clause in eneral Covenant D.14 of this lease. These policies will be ith limits not less than those set forth below. These olicies and minimum limits will be consistently applied to all it carriers with similar operations and will be consistent ith prudent airport industry practices and this Lease. Within e Coveraaes __MinImvm—kimit Airline/aircraft/airport public liability insurance or equivalent insurance $1 million per seat* With the following minimum limits regardless of seat capacity or cargo configuration: -- for propeller aircraft 010 million -- for jet aircraft $20 million *Based on the largest seating capacity reported by Lessee an described in General Covenant D.15 in an aircraft operated by Lessee at the airport. All policies of insurance must be in a form and a company satisfactory to the City. Each policy must .de that it may not be cancelled or materially changed 3 L a Lam:. L� TIM ROOM CRT AtIOrtMY CITY OF KENAI son No QNAI, AIASKA 9961 21111M E>� luring its term without at loaot 30 dayo advance written n5tico to the City. A certificate certifying coverago of required insurance muot be delivered to the City within 30 dayo of the affective data of this loneo. Where any ouch policy has a normal orpirntion during the term of thin Lease, Loa000 will provide a certificate or satisfactory written evidence of continued coverage prior to such expiration. Within 10 daya prior to the effective dato of any cancellation or reduction in the amount or extent of insurance coverage, Lesson will deliver to City a certificate or satisfactory written evidence certifying coverage that reinstatoo or otherwise provides at least the required insurance coverage. The failure by either party at any time to enforce the provisions in this section will not be construed as a waiver of these provisions and will not reduce their obligations under this Lease. Lessee and City agree to waive their respectivO rights of recovery or claim against the other for any loss or damage to the premises, the terminal building or their contents (excluding aircraft) resulting from fire or other "all-risk" insurable property hazards caused by the other. Notwithstanding General Covenant D.14, any fire or "all-risk" property insurance policies carried by either party will include a waiver of subrogation clause waving any rights of subrogation against the other party to this Lease. Lessee agrees that every insurance policy required under General Covenant D.15 will include an endorsement naming the City as an additional insured to the extent of city's indemnified interest under General Covenant D.14. Each party will give the other party prompt and reasonable notice of any claim or action involving this Lease. 16. COLLECTION ON UNPAiD MONIES, Any or all rents, charges, fees, or other consideration which are due and unpaid at the expiration of voluntary or involuntary termination or cancellation of this Lease, shall be a charge against the Lessee and Lessee's property, real or personal, and the City shall have such lien rights as are allowed by law, and enforcement by distraint may be made by the City or its authorized agent. 17. &a,SE SU�ORDZMAT'E To FINANCING RF.4UT,RF,MENTS, Lessee agrees that City may modify this 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 rights or privileges granted the Losses by this Lease, nor act to cause the Lessee financial loss. 18.IRRBNpkR 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 tear since the last necessary repair, replacement, restoration or renewal, free and clear of all lettings and occupancies unless expressly permitted by the Citj in writing, and free and clear of all liens and encumbrances other than those created by and for loans to City. Upon the end of the term of this Lease or any earlier termination thereof, title to the buildings, improvements and building 4 ff J ( ' 1 i TIM ROGERS CnrAnoowr CITY OF KENAI roa■No ura,. AL*Uuweu MIM , dp—_V� 3quipmont shall automatically vent in City without requiroacnt of any doud, conveyance, or bill of oa)o thoroon. E;owevor, it City should require any ouch document in confirmation horoof. 4es000 shall execute, acknowledge, and deliver the nano and ahall pay any charge, tax, and toe asserted or imposed by any and all governmental units in connection herewith. 19. RVLFa: Los000 shall obsorve, oboy, and comply with all applicable rules, atc., of the state or Podoral governments. 20. AIRCRAFT OREBh XObS PROTP.CTFD: Thorn is hereby reserved to the City, its successors and assigns, for the use and benefit of the public, a right of flight for the passage of aircraft in the airspace above the surface and all improvements approved by the City of the premises heroin conveyed, together with the right to cause in said airspace ouch noise as may be inherent in the operation of aircraft, now or hereafter used for navigation of or flight in the air, using said airspace for landing at, taking off from, or operating on the Kenai Airport. 21. RIGHT TO ENJOYMENT AND PEACEABLE POSSESSION: City hereby agrees and covenants that the Lessee, upon Dating rent and performing other covenants, terms, and conditions of this Lease, shall have the right to quietly and peacefully hold, use, occupy, and enjoy the said leased promises, except that any inconvenience caused by public works projects in or about the leasehold premises shall not be construed as a denial of the right of quiet or peaceable possession. 22. LROSEg TO PAY TAXES: Lessee shall pay all lawful taxes and assessments which, during the term hereof may become a lien upon or which may be levied by the State, Borough, City, or any other tax levying body, upon any taxable possessory right which Lessee may have in or to the property by reason of its use or occupancy or the terms of this lease, provided however, that nothing herein contained shall prevent Lessee from contesting any increase in such tax or assessment through procedures outlined in State statutes. 23. SPECIAL SERVICES: Lessee agrees to pay City a reasonable charge for any special services or facilities required by Lessee in writing, which services or facilities are not provided for herein. 24. 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 venturer of Lessee in the conduct of business on the demieed premises; and it is expressly understood and agreed that the relationship between the parties hereto is, and shall at all times remain landlord and tenant. 2S. pSFAVLT BANK U CY. ETC.: If the Lessee shall make any assignment for the benefit of creditors or shall be adjudged a bankrupt, or if a receiver is appointed for the Lessee or Lessee's assets, or any interest under this Lease, and if the appointment of the receiver is not vacated within thirty (301 days, or if a voluntary petition is filed under Section 18(a) of the Bankruptcy Act by the Lessee, then and in any event, the City may, upon giving the Lessee thirty (30) days' notice, terminate this lease. 26. NONDiSCB MINATioN: The Lessee, for himself, his heirs, personal representatives, successors in interest, and assigns, as a part of the consideration hereof, does hereby covenant and agree as a covenant running with the land, that: (a) No person on the grounds of race, color. or national origin shall be excluded from participation S LIN A—.*- — _ ___- --- __ dp—_V� 3quipmont shall automatically vent in City without requiroacnt of any doud, conveyance, or bill of oa)o thoroon. E;owevor, it City should require any ouch document in confirmation horoof. 4es000 shall execute, acknowledge, and deliver the nano and ahall pay any charge, tax, and toe asserted or imposed by any and all governmental units in connection herewith. 19. RVLFa: Los000 shall obsorve, oboy, and comply with all applicable rules, atc., of the state or Podoral governments. 20. AIRCRAFT OREBh XObS PROTP.CTFD: Thorn is hereby reserved to the City, its successors and assigns, for the use and benefit of the public, a right of flight for the passage of aircraft in the airspace above the surface and all improvements approved by the City of the premises heroin conveyed, together with the right to cause in said airspace ouch noise as may be inherent in the operation of aircraft, now or hereafter used for navigation of or flight in the air, using said airspace for landing at, taking off from, or operating on the Kenai Airport. 21. RIGHT TO ENJOYMENT AND PEACEABLE POSSESSION: City hereby agrees and covenants that the Lessee, upon Dating rent and performing other covenants, terms, and conditions of this Lease, shall have the right to quietly and peacefully hold, use, occupy, and enjoy the said leased promises, except that any inconvenience caused by public works projects in or about the leasehold premises shall not be construed as a denial of the right of quiet or peaceable possession. 22. LROSEg TO PAY TAXES: Lessee shall pay all lawful taxes and assessments which, during the term hereof may become a lien upon or which may be levied by the State, Borough, City, or any other tax levying body, upon any taxable possessory right which Lessee may have in or to the property by reason of its use or occupancy or the terms of this lease, provided however, that nothing herein contained shall prevent Lessee from contesting any increase in such tax or assessment through procedures outlined in State statutes. 23. SPECIAL SERVICES: Lessee agrees to pay City a reasonable charge for any special services or facilities required by Lessee in writing, which services or facilities are not provided for herein. 24. 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 venturer of Lessee in the conduct of business on the demieed premises; and it is expressly understood and agreed that the relationship between the parties hereto is, and shall at all times remain landlord and tenant. 2S. pSFAVLT BANK U CY. ETC.: If the Lessee shall make any assignment for the benefit of creditors or shall be adjudged a bankrupt, or if a receiver is appointed for the Lessee or Lessee's assets, or any interest under this Lease, and if the appointment of the receiver is not vacated within thirty (301 days, or if a voluntary petition is filed under Section 18(a) of the Bankruptcy Act by the Lessee, then and in any event, the City may, upon giving the Lessee thirty (30) days' notice, terminate this lease. 26. NONDiSCB MINATioN: The Lessee, for himself, his heirs, personal representatives, successors in interest, and assigns, as a part of the consideration hereof, does hereby covenant and agree as a covenant running with the land, that: (a) No person on the grounds of race, color. or national origin shall be excluded from participation S LIN A—.*- — _ ___- --- __ r� TIM ROGERS OW A"OONtr C" OF KINK r o sox so 4M111. AIAAU 9%11 M?1W 0"--I" r- in, denied the benefits u:, or tt, ntharwioo oubjectod to discrimination in tho uno c•f said facilition; lb) In the conatruction of any improvements on, over or under ouch land and the furnishing of aervicoo thoroon, no person on the groundo of race, color, or originnational dons d thebeshall nefitsOf, orxotherwise cluded obepsubjected ito discrimination; (c) The LOOeea shall use the promises in compliance with all other requirements imposed by or pursuant to Title 49, Code of Federal Regulations, Department of Transportation, Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally -assisted Programs of the Department of Transportation - Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended. (4) In the event facilities are constructed, maintained, or otherwise operated on the said property described in this Lease, for a purpose involving the provision of similar services or benefits, the Lessee shall maintain and operate such facilities and services in compliance with all other requirements imposed pursuant to Title 49, Code of Federal Regulations, Department of Transportation. Subtitle A, Office of the Secretary, Part 21, Nondiscrimination in Federally -assisted Programs of the Department of Transportation - Effectuation of Title VI of the Civil Rights Act of 1964, and as said Regulations may be amended. 27. PARTIAL INVA•IDSTY: If any term, provision, condition, or part of this Lease is declared by a court of competent jurisdiction to be invalid or unconstitutional, the remaining terms, provisions, conditions, or parts shall continue in full force and effect as though such declaration was not made. 28. MODIFICATIONS: No lease may be modified orally or in any manner other than by an agreement in writing, signed by all parties in interest or their successors in interest. Any such modification shall require Council approval. 29. WARRAM: The City does not warrant that the property which is the subject of this Lease is suited for the use authorized herein, and no guarantee is given or implied that it shall be profitable or suitable to employ the property to such use. 30. G^s"PLI NCB WITH LAWS: Lessee shall comply with all applicable laws, ordinances, and regulations of public authorities now or hereafter in any manner affecting the leased promisee or the sidewalks, alloys, streets, and ways adjacent thereto or any buildings, structures, fixtures and improvements or the use thereof, whether or not any ouch laws, ordinances, and regulations which may be hereafter enacted involve a change of policy on the part of the governmental body enacting the same. Lessee agrees to hold City financially harmless: (a) From the consequences of any violation of such laws, ordinances, and/or regulations; and (b) From all claims for damages on account of injuries, death, or property damage resulting from such violation. (c) Lessee further agrees it will not permit any unlawful occupation, business, or trade to be 6 J L TIM ROOBRS arr AI1011N V CITY OF KENAI •oWNW 4Wu, ALAI, 9%1 M.7uo VT 01% conductod on said promlaon OrMdinonotoohereyulation thereof contrary to any law, l; ae eforenaid with roapect thnroto, including IInnin7 ordinances, rules and roglllationa. 31. CA�R)'MVMP' Leaaeo, at its own coot and expense shall keep the loaaod premises, all i.mproveMOntn which at any time during the term of thin boace may be situatod thereon, and any and all appurtonancoo therounto belonging, in good condition and repair during the entire term of thin Leone, 32. ��9S�p,P�' 4 oElL10AT:pN To RRMnVP. I,�1'cL : Loonne will not permit any lions including, but not limited to, mechanics', laborers', or matorialmon'o lions obtainable or available under the then existing laws, to stand against the leaned premises or improvements for any labor or material furnished to Losses or claimed to have been furnished to Lessee or to the I.eosea's agents, contractors, or subl00000s, in connection with work of any character performed or claimed to have been performed on said promises or improvements by or at the direction or sufferance of Lessee, provided, however, 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 claimed lien. On final determination of ouch lien or such claim for lien, Lessee will immediately pay any judgement rendered released orjudgementsatisfied proper costs and at shallarges and at Le see's lionown expense. 33. £Ot)pEMNATIONI in the event the leased 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 from such condemnation, there shall be such division of the proceeds, ouch abatement in rent payable during the term or any extension of the term hereof, and such other adjustments as the parties may agree upon so being just and equitable under all the circumstances. If the City and Lessee are unable to agree within thirty (30) days after ouch an award has been paid into Court, upon what division, annual abatement in rent, and other adjustments are just and equitable, the dispute shall be determined by arbitration. 34. StJRR, sHM: At the expiration of the term fixed or any sooner termination of the Lease, the Lessee will peaceably and quietly quit and surrender the premises to the City. 35. PROTECTION OF_ SulaTENAM: To protect the position of any subtensnt(s) hereafter properly obtaining any interests in the leasehold estate granted Lessee hereunder, City agrees that in the event of the cancellation, termination, expiration, or surrender of this Lease (the ground lease), the City will accept the Subtenant, its successors and assigna, as its lessee for a period equal to the full unelapeed portion of the term of the sublease, including any extensions or renewals thereof, not exceeding the term of this Lease, upon the same covenants and conditions therein contained, to the extent that said covenants and conditions are not inconsistent with any of the terms and conditions of this Lease, provided such subtenant shall make full and complete attornment to the City for the balance of the term of such sublease so as to establish direct privity of estate and contract between the City and the subtenant with the same force and effect as though such sublease was originally made directly between the City and such subtenantf and further provided ouch subtenant agrees to comply with all the provisions of the ground lease and all the terms of any mortgage, deed of trust, or security assignment to which such leasehold estate is subject, except the payment of rent under the ground lease and the payment of any debt service under any such mortgage, deed of trust, or security assignment. 7 L a V� TIM ROOMS t1n MOWHir CITY OF KiwN roarwr gNAI, AIAS[A "611 "3-" 4PP__-41" 36. QU99 This 1.0000 ohal l be binding upon and ohall lnuro to the benefit of the roapoctivo ouecossoro and aosidno of the portion hereto, subject to such specific ItAttationn on mooignmont an are provided for horoin. 37. ¢,QVMfjULGjjApt: Thin indonture of Lease shall be governed in all reopocto by the laws of the state of Alaska. 38. NOTT�C ..4,: (a) Any notices required by this Lease shall be in writing and shall be deemed to be duly given only if delivered poroonelly or mailed by certified or regiotered mail in a prepaid envelope addressed to the parties at the address set forth in the opening paragraph of this lease unless ouch address has been changed pursuant to sub -paragraph (b) hereafter, and in that case shall to the most recent address so changed. Any notice so mailed shall be deemed delivered on the date it is deposited in a U.S. general or branch poet office. The City shall also mail a copy of any notice given to the Lessee, by registered or certified mail, to any leasehold lender (mortgagee, beneficiary of a deed of trust, security assignee) who shall have given the City notice of such mortgage, deed of trust, or security assignment. (b) Any such addresses may be changed by an appropriate notice in writing to all other parties affected provided such change of address is given to the other parties by the means outlined in paragraph is) above at least fifteen (15) days prior to the giving of the particular notice in issue. 39. ENTRY AND RE-ENTRY: In the event that the Lease should be terminated as hereinbefore provided, or by summary proceedings or otherwise, or in the event that the demised lands or any part thereof should be abandoned by the Lessee during said term, the Lessor or its agents, servants, or repreeenatives may, immediately or any time thereafter, re-enter, and resume possession of said lands or such part thereof, and remove all persons and property therefrom, either by summary proceedings or by a suitable action or proceeding at law without being liable for any damages therefor. No re-entry by the Lessor shall be deemed an acceptance of a surrender of the Lease. 40. RMNTM _O"RHTAL: In the event that the Lease should be terminated because of any breach by the Lessee as herein provided, the rental payment last made by the Lessee shall be retained by the Lessor as partial or total liquidated damages for said breach. 41. WRITTEN WAIVER: The receipt of rent by the Lessor with knowledge of any breach of the Lease by the Lessee. or any default on the part of the Lessee in observance or performance of any of the conditions or covenants of the Lease, shall not be deemed to be a waiver of any provisions of the Lease. No failure on the part of the Lessor to enforce any covenant or provision therein contained, nor any waiver of any t right thereunder by the Lessor, unless in writing, shall discharge or invalidate such covenants or provisions, or affect the right of the Lessor to enforce the same in the event of any subsequent breach or default. The receipt, by the Lessor, of any rent or any other sum of money after the termination, in e I L. t , 1 r- W� AM any manner, of the term therein dumined, us otter the VIVIftg .,t the L0000r of any notico thereunder to effect auct► tarmination. shall not rotnntnte, continuo, or extend the rooultant torn therein daminod, or destroy, or in any manner impair the efficacy of any ouch notice of termination no may have been given thereunder by tho L0000r to the Ims000 prior to the receipt of any ouch oum of money or other conoidoration, unless so agreed to in writing and signed by the L0000r. 42. fl8PIRAT H P--bflAaR: Unless the Wane is renewed or sooner terminated as provided heroin, the L00000 shall peaceably and quietly leave, surrender, an yield up unto the Leaoor all of the loaned land on or before the lost day of the term of the lease. 43. FIIRF. P O� TP_CTIONs The Losses will take all reasonable precautions to prevent, and take all necessary action to supproos destructive or uncontrolled fires and comply with all lawn, regulations, and rules promulgated and enforced by the City for fire protection within the area wherein the leaned promises are located. 44. MUTUAL CANCELLAUQN: Leases in good standing may be cancelled in whole or in part at any time upon mutual written agreement by Lessee and the City Council. 45. UNLAWBUL USE; PROHIBI ED: Lessee shall not allow the leasehold premises to be used for an unlawful purpose. 46. APPROVAL OF OTHER AUTHORMEB: The issuance by the City of leases does not relieve the Lessee of responsibility of obtaining licenses or permits as may be required by duly authorized Borough, State or Federal agencies. IN WITNESS WHEREOF, the parties hereto have hereunto set their hands, the day and year stated in the individual acknowledgments below. LESSOR: CITY OF KENAI By: William J. Brighton City Manager LESSEE: INDIVIDUALLY: FRIENDSHIP AIR ALASRA By: By: Title (if Lessee in a Corporation) ATTEST: L J TIM ROOERS 01V AIIONNIV CITY OF KENAI ro lox No ,Q►W, ALASKA W611 tAr"n " STATE OF ALASKA 1 Ins THIRD JUDICIAL DISTRICT 1 THIS I8 TO CERTIFY that on this s Aay of 19_,,, Namot _ _ Tit to 1 _ _ _ of FRIENDSHIP AIR ALABKA, being Varunnolly known to me of having produced satisfactory evidence of identification, appeared before me and acknowledged the voluntary and authorized execution of the forogoing instrument on behalf of said corporation. Notary Public for Alaska My Commission Expireot STATE OF ALASKA 1 )GO THIRD JUDICIAL DISTRICT 1 THIS IS TO CERTIFY that on this - day of , 19_1 , being personally known to me or having produced satisfactory evidence of identification, appeared before me and acknowledged the voluntary and authorised execution of the foregoing instrument. Notary Public for Alaska My Commission Expires: STATE OF ALASKA 1 )SS THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this _ day of ig_, WILLIAM J. BRIGHTON# 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 Expires: Approved as to lease form by City Attorney Approved by Finance Director Approved by City Manager Lease approved by Council on Janet Whelan, City Clerk 10 L -_r • J H " // CITY OF KENAI e, 210 FIDALGO KENAI, ALA9KA 9*11 TELEPHONE Z1a • T& V December 12, 1986 F MEMORANDUM TO: Mayor Williams and Kenai City Council FROM: Dana Gerstlauer, Administrative Assistanlcf�'* RE: Assignment of Lease/Metropolitan Mortgage (Katmai) to Lynn Jones The City of Kenai has received a request for assignment of lease from Metropolitan Mortgage, (currently the lessees for the Katmai Pines Motel) to Lynn Jones. After consultation with the City Attorney, it is his opinion that the assignment be made contingent upon Mr. Jones entering into a new lease agreement with the City. The Pines lease is an old version of the City lease and has had multiple assignments and subleases over the years. /dg Attachment VM Vol,_n A';,I.pF1EN4 of 1IA41 In cunaiderutlun of 01.00 nod other gnnd 0e11 VnlHabie t4,nslderat1,e,, In tmf9 paid ro METROPOLITAN MORTGAGE b GECURITIED CO., 114C. Thu undersigned, Mf:TR01'OLITAp MOhT(:Ar.F (. f,CCUItlTIFU fb.^. I116,. o woshingtan Corporation, (Aasignur), hereby annigns all its rights. title and interest, in I and to those certain lesson dated May S. 1967 and March 1. 1968, wherein CITY OF kK'NAI is loaner rind loaaue'a interest in hold oy METROPOLITAN MORTGAGE 6 SECURITIES CO.. INC., to LYNN E. JONES and RUBENIA F. .TONES, husband and wife (Assignee). Said leases are due to be renegotiated with the CITY OF KENAII AusiRnee herein agrees to do their own negotiationo for lease terms. Assignee shall assume all rights and duties required of the leance under the leases and shall comply with all terms and conditions of those certain leases as the same are recorded April 29. 1968. Book 31. page 20 and recorded April 29, 1968. Book 31, page 27, records of Kenai Recording District. Third Judicial District. State of Alaska. DATED this 22nd day of December, 1986. ASSIGNOR ASIGNEE METROPOLITAN MORTGAGE b SECURITIES CO., INC. BY: � Iry Marcus, Vice President Lynn E. Jones BY: Charles V. Carroll, Assistant Secretary Rubenia F. Jones STATE OF ALASKA ) ) Be. Third Judicial District ) On this day of December. 1986, before me. the undersigned, a Notary Public In and for the State of Alaska. duly commissioned and sworn, personally appeared _Lynn E. Jones and Rubenia F. Jones to me known to be the individuals described in and who executed the foregoing instrument. and acknowledged to me that they signed and ` sealed the said instrument as their free and voluntary act and deed for the uses and purposes therein mentioned. WITNESS my hand and official seal hereto affixed the day and year in this certificate above written. Notary Public in and for State of Alaska My Commission expires: STATE OF WASHINGTON ) ) cc. County of Spokane ) On this day of December. 1986. before me, the undersigned, a Notary Public in and for the State of Washington. duly commissioned and sworn. personally apperared Iry Marcus and Charles V. Carroll to we known to be the Vice President and Assistant Secretary, respectively, of Metropolitan Mortgage 6 Securities Co.. Inc., the corpo- ration that executed the foregoing instrument, and acknowledged the said instrument to be the free and voluntary act and deed of said corporation. for the uses and purposes therein mentioned, and on oath stated that they are authorised to execute the said instrument and that the seal affixed is the corporate seal of said corporation. WITNESS my hand and official seal hereto affixed the day and year in this certificate above written. Notary Public in and for the State of Washington, residing at Spokane My Commission expirest 111 is r H / Gr.�C /)�w ` l.c �'• �N �'. %yu/'¢.,t-•�Cr f'C �2 /t/l yl , i' -�y law AdLgw.j 4&1;veved J ("1111,41 I; I)I III I'yI, CITY OF KENAI _ 210 /IDAL60 KENAI, ALASKA M11 TELEPHONE 213.7535 MEMORANDUM TO: Bill Brighton, City Manager FROM: Keith Kornelis, Public Works Director DATEe December 11, 1986 FOR: COUNCIL MEETING OF 12/17/86 SUBJECT: NEW STREET LIGHTS The Council has authorized and budgeted $90,000 for 50 new street lights. Attachment A is the list of street lights that were presented to ounc in the fall of 1986 and approved. Notice that the first 34 were from Burton Carver Bus Company. Attachment B is a copy of the purchase order to HEA for $19,500 to cover the installation of 10 new lights in VIP. They have been installed. I have been waiting for the costs to install the remaining 40 lights from HEA. They came and looked at the locations on December 5, 1986. Attachment C is a new list (to replace the old list) of new street- light rFiE reeq a ts. I worked with the Laidlaw dispatchers (who finally ended up giving each bus driver a form I made up) to come up with a new list of bus stops that need a new street light. Page 1 of Attachment C shows 28 new light requests made by Laidlaw Bus Drivers. Page 2 shows the remaining new street light requests made by various people. Jack LeShot and I drove around town and prioritized (into 3 groups) the new street light requests. This is merely a Public Works recommendation as to priority, not to absolute need. I feel that even though lights are a safety item they are still a luxury not an absolute need. When HEA came to Kenai to look at the locations of street light requests from the original list on December 5, I asked them if they could look at the new list and give me a coat estimate. They hope to have the cost prior to the December 17 Council meeting. Public Works recommendation for First Priority consists of 12 new lights. With the 28 requests from Laidlew and these 12 we have the 40 new lights that are budgeted. Notice that each group of new lights are listed in alphabetical order. 4 i i F i Page 3 show© 11 now light rettunot u t het I would nt1911n0 not trr considered. Aloo pngn 3 tliveo a oummory of the itumbc,r of 11 10" requested. These now lights have been ontimated to have o capital cant of $1,800 each depending on if there in an oxioting pole or tranoformer nearby. I hope to have a not -to -exceed root before Lite Council meeting. The now lights would not be metered and the enoto fnr maintenance and energy would be $13.53/ouch par rnonth pluo $15 service or billing charge. Thorofare the coats for 40 now lights would be $556.20 per month or $6,674.40 per year. If we were to do all 65 lights it would cost $894.45 per month or $10,733.40 per year. KK/sw Li [ a REQUESTS 11011 NEV) %TRf,CT 1,11011'; AUGUST 1906 Burton Carver's request list: 1. Beaver Loop and Juliussen 2. Beaver Loop and Dolchok 3. Bridge Access and Child's Street across from Port of Kenny 4. California and Second 5. Cook Inlet View and Lilac 6. Evergreen and Fourth 7. Evergreen and Second B. Evergreen and Third 9. Forest and Elm j 10. Forest and Fourth 11. Forest and South Stellar 12. Kaknu and Candlelight 13. Kaknu and Linwood 14. Kians and Candlelight 15. Lawton and Wooded Glen Court 16. Pirate and K-Beach 17. Redoubt Avenue 0-,1 - 18. Redoubt Avenue W allo 19. Redoubt Avenue (3) WOE 20. Redoubt Avenue (4) 7-'6V--K 21. Spruce Street - Ballpark (1) � 22. Spruce Street - Ballpark (2) 23. Spruce and Fourth 24. S ur and Robin _D.rive i Sunrise and Ketch 26. Sunrise and Lora 27. Sunrise and Muir O 28. Sunrise and Pirate 29. Sunrise and Set Net 30. VIP Drive and Baleen 31. VIP Drive and Lora 32. VIP Drive and Muir tl ; 3.9, DTP Drive and Sand Dollar G i 3#j ;,r Drive and Set Net i .-Other requests: -t 1. Alisk and Candlelight✓ 2. Aliak and Linwood ✓ 3. Bridge Access and Tern--' 4. California and Wildwood-" 5. Deepwood Court - end- of cul-de-sa 6. Forest and Fifth 7. Forest and North Ste ar/ ' 6. Haller and Fourth 9. McKinley and Second 10. Spur and Evergree ✓ 11. Spur and Lilac 49 -.12. Spur and Linwood w,,�' I 13. Spur and Redoubt ✓ 49 -pol4. Stellar and Cohoe - midway near cul-de-sac !1 15. Wooded Glen Court - end of cul-de-sac . 1 I � PURCHASE ORDER �. a CITY of KENAI „t, ",v".t HITS • VENDOR eiup�nia a,r�r ')ENROD • ACCOUNTING �1D F�DALQO ST. PHONE Z83.7538 All CAf LAf,,1*,AF4lrl ARY • ACCOUNTING KENAI, ALASKA 99611 011AIM61, a; r►us PUR BLUE • 5i +IPPING & RECEIVING EIIASI r REEN - APPROVED COPY No, _ PINK - REQUISITIONER VENDOR NO. 1 r HOMER ELECTRIC D /n/T' Ordproct by �r7AcK•• TO Date -0 AV ContactO Phone L J i SHIP VIA: BY f { I I i ..I I I IIVIII OAI! F_ PREPAY SHIPPING -CHARGE SEPARATE ON INVOICE a IlYQUOIAIION PURCHASES AUTHORIZED ONLY WHEN SIGNED ABOVE BY + THE FINANCE DIRECTOR OR HIS AUTHORIZED AGENT ITEM NO. DESCRIPTION OR ARTICLE GU pip UNIT UNIT PRICE AMOUNT FURNISH AND INSTALL STREET LIGHTS IN VIP SUBDIVISION AT THE FOLLOWING LOCATIONS: Sunrise at Ketch, Lore, Muir, Pirate, & Set Net VIP at Beleen, Lore, Muir, Sand Dollar, & Set Net C TOTAL NOT -TO -EXCEED AMOUNT $19/5d0.1 street lights are served by underground p wer, Thenal estimate was: 50 lights x $1,800/light = $90,000 lights are: glichts 10 lights x $1,950/light = $199500 are underground where most of the remains g are on poles and should coat lose then t e $1800 estimated average. 000 NO ADDITIONAL COSTS WILL BE PAID WITHOUT — — . T IT ooTno_Tn girt jurgy TOTAL $13500. ---- =L DEPARTMENT r+ T R T 1 1. H,T S 001-43150-4538 $19,500.0 BY 0lIM !NI NlAp FOR COUNCIL MEETEW OF ' • -'�i % �CILy IAgr. �-L) ALtarn►/ OUblle WO&I Cur Clerk Fln��ie� Orlgi"Al ToJ w" Submits d 13y---F WWI OK CINO E3Yk% - Ck--.r )01 I F—_ CITY (IF KENAI NEW STREET LIGHTS - DECEMBER 1966 REQUESTS FROM LAIDLAW BUS 9RIVERS AND CONCERNED CITIZENS REQUESTS FROM LAIDLAW BUS DRIVERS (28 Ea.) 1. NP Aliak and Blarney 2. NP Aliek and Japonski 3. P Aliak and Roy 4. P Cinderella and Magic 5. N w/C Dogwood (N) and Richfield 6. P Dogwood (N) and Standard 7. NP Fern and Primrose 8. P Forest and Stellar (1st Section) 9. P Forest and Stellar (2nd Section) 10. P Gill and 4th 11. P Haller and 2nd 12. NP Haller and 4th 13.—'- P Hutto and Magic _ 14. NP Iowa and Eisenhower 15. NP Iowa and Primrose 16. NP Kaknu and Kulila 17. NP Lilac (1/2 way down) 18. NP Lilac and Cook Inlet View 19. P Linwood and Spur 20. P Lupine and Phillips Way 21. P McKinley and 2nd 22. P McKinley and 4th 23. NP Nevada and Primrose 24. P Redoubt - 1/2 way down (middle of houses) 25. NP Richfield and Standard 26. Spruce Street - Ballpark (1) 27. Spruce Street - Ballpark (2) 28.`i NP Stellar at Cul-da-Sec ,an In PUBLIC WORKS' RFCOMMINDAIION FOR FIRST PRIORITY (12 Un) ( 28 -+ 17 = 40 Budgeted) 1. Beaver Loop and U nlchok 2. Bridge Accean and fern 3. P Evergreen and Spur 4.�— P Forest and lot 5. P Forest and 2nd 6. P Forest and Elm 7. Lawton and Wooded Glen Court B. P Redoubt and Spur 9. P Robin and Spur 10.-- Rogers and Susieana (so can see down both roads) 11. P Swires and Aliak 12.— P Spur and Lupine j PUBLIC WORKS' RECOMMENDATION FOR SECOND PRIORITY (11 Ea) 1. NP Aliek and Candlelight 2. Beaver Loop and Juliussen 3.— Bridge Access and Child's Street 4. P Forest and 4th 5. P w/C Kaknu and Candlelight 6. P Kaknu and Linwood 7.—"— P Lilac and Spur B. Magic and 15th (Bus - Treetop Lights) 9. Pirate and K-Beach 10. Spruce and 4th Spur and Rose (3-W) PUBLIC WORKS' RECOMMENDATION FOR THIRD PRIORITY (14 Ea) 2. 3. 4. P P 6. P 7.— P 9 12. 13. 14 f S i Aliek and Linwood California and 2nd Deepwood Court - end of cul-de-sac Evergreen and 4th Evergreen and 2nd Evergreen and 3rd Forest and 3rd Gill and Fathom Haller and Westbet Kaknu Apts Kisna and Candlelight Lawton and Candlelight Siene and Set Net Wooded Glen Court - (end of cul-de-sac) w I L. L NUi CONS lM fit U 1. (7) lot - Redoubt Avenun Exintinq tight, 2. (8) 2nd - Redoubt Av©nu© Existing Light. 3. (4) 5th and Foroot Lighto Acr000 St. 4.— (11) Cohne 6 ;teller 1. ight Ai ready 5.! — (5) Fathom and Forest Light Across 5th 6. (3) For -get -me -not and Fern 2 Yard Lights 7. (1) Highbush and Aliak Yard Light B. (9) Inlet Woods - Redoubt Avenue Existing Light 9. (10) Redoubt Avenue (2 Apts) Lights from Apto. 10. (6) Tanaga and Gill Light Across St. 11. (2) Wildwood and California Existing Light • ,I 1986 NEW STREET LIGHT SUMMARY Laidlew Drivers' Requests 28 j Public Works Recommendation for let Priority 12 BUDGETED QUANTITY . . . . . . . . . . . . . . . . . . t 40 (10 already in VIP) Public Works Recommendation for 2nd Priority 11 Public Works Recommendation for 3rd Priority 14 GRAND TOTAL . . . . . . . . . . . . . . . . . . . . . 65 cm I -i L C011J1'11 01'X11`i',10*4 -' CITY OF KENAI „4�l e� 0J 41�44"„ 210 i1QALGO KENAI, ALASKA M11 TELEPHONE 213.7535 MEMORANDUM TO: Wm. J. Brighton, City Manager FROM: Keith Kornelis, Public Works Director y: DATE: December 12, 1986 I SUBJECT: KULA RENTALS - REQUEST FOR EXTRA COMPENSATION FOR SERVICE LINES - H.A.S. FOR: CITY COUNCIL MEETING OF 12/17/86 rl; ?; Attached is Jack LaShot's memo dated December 99 1986, answering Mr. George Wright's letter of November 24, 1986 to the City Council. l The Public Works policy is not to "roll over" and pay unjust claims such as this. It not only is not right but it gives that contractor and other contractors the idea that they can get more money by just complaining and politicking. I would hope other communities follow the same type of policy. Sure it would be a lot easier, quieter, and draw a lot less attention if we would just pay it, but we treat the City's money as if it were our own. We definitely would not pay KULA Rentals anything extra let alone $1,500 to put in one joint of pipe in a dry trench. Mr. Wright, obviously, has not accepted the i Public Works decision and is appealing to the City Council to overturn our decision. f KK/sw 1 cc: George Wright (Certified P 126 655 093) r �� 1- CITY OF KENAI ` ., „od ca 2/0OIDAL00 KENA1,ALANA onii TELEPHONE 2 1. 7539 MEMORANDUM TOs Keith Kornelis, Public Works Director FROM: Jack LeShot, City Engineer j DATE: December 9, 1986 SUBJECT: KULA RENTALS - RESPONSE TO LETTER PRESENTED AT DECEMBER 3, 1986 COUNCIL MEETING I will respond to Mr. Wright's letter in the sequence in which he has made each point. 1. The contractor was told by me to complete the service line on the morning of 11-10-86. The purchase order was for the entire service line from the main to the property line. No one from the City authorized additional payment. 2. His first price was given to the general contractor on the HAS project. It was decided to wait until the general contractor was gone due to the high price and because the general contractor was not interested in doing the work. I later contacted Mr. Wright directly and received a bid which was around $8,000. I told him the City would have to go out to bid as the bid was over our bidding limit of $6,500, He then submitted a bid of $6,427 if the City furnished all materials. 3. The bid was a lump sum bid to install the service line from the main to the property line, and was not measured by the City, but by Mr. Wright and Mr. Canto themselves, in my office, from the HAS project plans. 4. Mr. Wright has included in the request for additional payment the pipe the City allowed him to install straight up from the main line to get above the water table to ease construction. We normally do not allow this type installaE dn. The time this saved him far out weighs the time to install one joint of pipe at the end of the service line in dry soil. 5. My "note worthy" points show considerable cooperation on the ..e.1. „r 1-ke r:+w in assisting the contractor. w -I ! j E 6. The "uubuitt11 plane referred to Nnry 111-1e1n►iy flop, tIA'i l,ros'leit plans (attoched) 9howinq thr, nPwr!r moin, property tinn, off. These plans are very rorrert in thn dial-oliV •n atilt torn, ion of the main, which is not always the runts with "ttnhui l t n." Mr . Wright and Mr. Canto measured themoolvn') tht! diotnnt-011 of E interest while in my office. They apporpntly mode if mintako +; reading the plane. G 7. Mr. Wright was informed of the need for the insuranco and hoed prior to submitting his hid. The Purehanv Order has o !' statement on it about these requiromotito which to dated 4 9-17-86. On numerous occasions, Mr. Wright did trot show up for meetings he had scheduled to discuss the requirements. KULA Rentals could not have begun the project prior to October 20 because they were not a licensed contractor with the State until this time. I verified this with the State officer in Juneau by telephone. 8. They did not secure the necessary premiums. The packet qiven (: them is explicit as to what is needed. Our insurance agent (Walters and Olson) would not approve their binder. Explosion is considered one of the most important coverages for this type of work, and is obtainable. All contractors licensed to do work in the City right-of-way have this coverage. After the City refused to give KULA Rentals a "cash advance" to buy +. proper insurance, Mr. Wright hired Rappe Excavating in order to obtain the needed coverage and secure the excavation permit. Rappe actually assumed responsibility for the work. We did not i suggest another contractor due to the fact that we would have to go out to bid, whereby the work would not have been completed until next spring. 9. He agrees that we helped make his job easier by allowing them ! to come up straight out of the main with the service line, but does not admit that it saved them much more time than it took f to install one joint of pipe more than they anticipated. 10. By this time of the year, frost was a problem, however, their plan from the beginning was to work on the weekend. The City can back charge a contractor for inspection after normal working hours or on weekends. 11. Barricades and a security guard were not a responsibility of .I the City. 12. Payment was not guaranteed by the end of week, however# I did tell him that normally checks are mailed by the end of the week. Due to Municipal League, checks went out on Monday. 13. Again, the plans were accurate and this did not become a concern until thev had problems making the tie-in. it and unfounded comment. J L 'a • v Ar In conclusion, I foal the City roof►eratnd fully and nnn"Po the contractor more than required. thin woo a daffic"lt 9Prvicn I i" t0v- install, however, if the Watering wan adequate, the i,rut►WO O""I►1 not have been encountered. I do not holiave the City try be obligated in any way to pay the contractor $1499.60 fnr onmethinri that took loos than one hour to inotoll when the City actunlly noved him much more time and expenoo than that. Had the actual lineal feet of pipe installed been lose than 60 feet, the payment to the contractor would have been tho name. JL/ew f` V% a P a' v� t >,zdc 0 < s W' Q t N i' 0 d5 5 F- « y4I 0 w'w do, 8�; 1. N�sNW�I L - 7 , ' LL 111 Fl � •_ � t� JJ ? l� 7 41 N W v W v J M1 y W lox cli c o. ' 0 �° r 44 " 8 20 8wo01 �W xYf aWi 00� JOdi41cN 3 1 Ot<ftNNaa 10:0N tDaaM Q: ............... Q / Y. 4 �.40 1az 3 to d3 oof...................... rf . ...... _...�. Ob zaw 1160 3 �e1 pMf 2.1c N..... A.: .}� Q9'004- Q............................................................ 11 4 r L CITY OF K N AI Too..% fiUNJ1tN yipt A„ ,11A RITE VENDOR 210 FIDALOO ST. PHONE 283.7638 Au PaErAu, Ab1►►M 1 GOLDENROD • ACCOUNTING atlAnfcG TI to'k t,Itt CANARY • ACCOUNTING KENAI, ALASKA 99611 !� BLUE • SHIPPING & RECEIVING No. GREEN • APPROVED COPY 1/ '111 46 PINK • REQUISITIONER ti pats 'I VENDOR NO. / `•'" �� r IIULA ';f.►11 Al. , i; l:. 1'rtTurE:d ;;yL I l'ontor TO L IF 4 SHIP VIA: BY , ,t DEQVtRTOA,t f O B PEtaWTAIWN PURCHASES AUTHORIZED ONLY WHEN SIGNED ABOVE BY PREPAY SHIPPING •CHARGE THE FINANCE DIRECTOR OR HIS AUTHORIZED AGENT 1' SEPARATE ON INVOICE ITEM NO. DESCRIPTION OR ARTICLE pRp TIT UNIT UNIT PRICE AMOUNT I [it:f�1i11 :I zih I'C"4Cr aervlce on fa -It ;1101! ��f2%.1_i1i it the ;•tpu.'IC[tCt< rclsit'lellct.••. i.-ILA r iF ''T-ntctia, oriar to het.)inninq stork, will j t)L.tgin :I Clty of 401WI "Yearly "iyttt-nf L icccnsvII and furninh the rt•ruired otitid •,I,a inF+Urmnce. An int)ivtoual I excaV-ttlan I3E+rslit ijt olloa neadnc7. i Tho City will fvrnich all :ilaterials. r I 1 I l //N3 is vART of /1-4o S. AxoSCuT. ST' 1[1 L 'T I'EL:-! "•E;,') 11P ' All.r! III Vi*-',1111^• ✓f'I, t:., for all cuEt (c frainht to Vellni �Fri.igl-,t I'c)r ti.ic; :''i in nn i'nt. t a t I T l"'! �L i'I.!:T 5 ILI :r c•�\ ii',—'f•I:IT TOTAL '6+142700 '; + :t,il�'ti'17..T(+."' .. �f.' f'n . ,{1�•Y T1, tcf1.171•.'y• I%b—:'1'..'1)-0-1') DEPARTMENT BY i UIPARIMENT NGO t{ 1 FOR MIN6IL MAIEW 'OF d-(3fur Av-- -- 0 �ltMR'T+IFY THAT THE ITEMS ABOVE IN THE'UAQUANTITIES I Cl!tmk W&II+ —I-] CAND`0&CEPTION SHOWN A BEEN, JCEIVED. iiew To-..-. •58Rtlti "d ep OR (340 pTtn 461 �ff i A M fir a Araiwrw`r 0 To; P..en li City CUL111 :i 1 .From: Goor ge C. Wright, Kt.tln Ftontealc;, lnc. Date. Nuvember• 24, 1986 Subjects Additional pilling, F. O. ;i 8031 DThis is a request for payment for the additional billing on the above purchase order. We received verbal authorization from Clyde Johnson and Jack LaShot in the morning on 11-10-86 to install an additional 14 feet of pipe that was necessary to bring the sewer service to the property line. This authorization was received prior to installing the 14 feet, and subsequent to the completion of the 60 feet we were contracted to install. I'm responding to a memo from Jack LaShot to Keith Kornelis recommending that the additional billing not be paid. A copy of that memo is attached. Our negotiations with the City of Kenai began in June, 1986 when we entered a bid of $8050 to install 60 feet of sewer line, and one sewer tie-in. I was told that our bid was the i! lowest received, but still too high. We submitted a second bid in August for $6427. This was specifically for ®installing 60 feet of pipe. The 60 feet was not an estimate as Mr. LaShot is indicating, but was measured by city personnel, and is the amount of pipe furnished to us to complete the job. Even if it had been only an estimate, 14 n feet exceeds it by 23%, far too much of a discrepancy. The iY additional 14 feet of pipe that was necessary had to be purchased while we were doing the Job. It is the cost of installing this additional pipe that is in debate. Mr. LaShot's memo addresses other "note worthy" points that n seem to be not relevant to the cost of installing 14 additional feet of pipe, but that I would like to respond to Just to keep the record straight. The project did take twice as long as we had anticipated, and it is true that we did not adequately dewater. The entire reason for this is that the "as -built" plans supplied to us by the city were wrong. The sewer main was ten feet north of what was shown on the plans. We did call in more men, and Mr. Zubeck was available with his large backhoe, which would not have been necessary if the plans supplied to us had been accurate. It was fortunate that we had back up our disposal. payment: for addLtion-al 61 11 fr„)". I��6+r �iFy LaShot and Mr. 1 ort,r-1 1 to3. Float:,( gi Yc! t111 S f111t't t't your [:owil 0- Fit 11,1,, Lflit) ((oft) ,,rt- bit! if you rc: Ltir(a uiorc., do'- -111t3 c1l" Cltlr i 1 11. At")'I- L L • KulA Rentitis, Inc. P.O. E-fo:-. 17:62 Kenai, Alaska 99611 October 13, 1986 A City of Kenai 210 Fidalgo Kenai , Alaska 99611 Re: Billing for services in addition to original Purchase Order. Your Purchase Order Number: 80813 Authorization Date: 9/17/86 "Vender Number t 1439:3 Installation of an additional 14 foot to bring sewer service line to property line of Mr. Woodcock. 14 foot at 0 107.12 1,499.68 Thank you for the opportunity to be of service. Your business is appreciated Georges Wright Kula Rentals, Inc. rk 'e'awff 'V"? f a -I L . 'e; a de R ;y CITY OF KENAI N Vd ed,d4i 4 4i44a.1 210FIDALOo K3NAL ALACKA 99611 TELEPHONE 9e9. 9035 MEMORANDUM TO: Keith Kornelis, Public Works UUDirector FROM: Jack LaShot, City Engineer Y DATE: November 19, 1986 4 SUBJECT: KULA RENTALS - CLAIM OF EXTRA WORK KULA Rentals, who was hired to install a 4" sewer service to the Woodcock residence on East Aliak Street, has billed the City an additional $1,499.63, which I returned as unjustified. The original P.O. was in the amount of $6,427.00 and the City furnished all materials. This amount was a lump sum price for installation of the service line from the main to the property line, and not a lineal a foot quote, although we may have estimated a distance. Service lines are typically installed in this manner, as the time and energy expended is proportional to the difficulty of the tie-in, working around other utilities, working in the water table, replacing the street, etc. j This project took all or portions of four days to complete. The 11 contractor had hoped to do the job in two days. Due to not adequately dewatering before attempting the tie-in, the contractor also had to call in more men and Bill Zubeck's large backhoe to help. At no time prior to these problems did the contractor mention being displeased about any discrepancy in the amount of pipe installed. The actual installation of this pipe was after the tie-in problem and could not have taken more than one hour to i. complete. He is attempting to charge the City $107.12/foot for this distance. Other points worthy of note are: 1. The purchase order was approved by the City Council on 9-17-86. The contractor finally arranged for the necessary bonding, insurance, and licenses in order to start on 11-7-86. During a normal freeze up the job would not have gotten started. tt L L K. Kornelis November 19, 1906 r�1 Page 2 2. Due Lo the problems the rontractor wan hnvinry whilli mekinq tho tie-in, the City allowed him to come ntraiyht tog) thron feet out of the main lino to help got above thre water. Thin type of installation is nnrmolly not allowed. 3. We allowed the contractor to work through the weekend which is normally not allowed. Clyde Johnson and I were there moot of the time to provide inopecti6r, and anniotance. 4. The City provided the pipe, saddle, plug, post, barricades, hauled gravel to patch the street and bladed it smooth. We provided more than our share to complete the job. 5. I understand the contractor is unhappy because he did not receive payment quick enough. I told him that the finance department usually mails checks at the end of the week. Last week, due to Municipal League, I did not realize that checks would not be mailed until Monday. Hie check was mailed 7 days after completion of the project which would probably be considered timely by any standards. In conclusion, I would not recommend the additional payment to the contractor for problems of his own making. I i JL/sw L, J F i r Jq e / 4 () In ruljp n<3(t o hI Ot.t1 114111;1 '' Wt i f t,, 111 '--I ' I''I PA`rdgil y 1. On ALIUJIVA 2-'r rl Mr . LWAilif inf or mt d 11i) 1 ►r 0 lair r IY.41 J A bid would ya hu(i.)ru t•.hu 4701111r. i 1 fIar g)Iirtiv, il ui, '_�j.t t i'al.", 17. I informod him at that t i mn flint W? VJV.r'f' COM111 "t tr,rl u contract: in Anrhor•iiiyr?, and woutrl 111)t he avot 1 mif i 1 It. .completion. On October 10 we were ready to begin the liruject. WV - contacted Mr. LaShot who told uii to came in anti P i rt' tip a © license packet. We dinGavered from the pacl:ut that we needed to secure additional insur•anca coverage And a right of way bond. We secured the necessary premiums and submitted our* packet to Mr. LaShat on October 22. Ho then notified Lis that we needed X. C. U. coverage, which is explosion, collapsing and underground digging insurance. We found the policy not to be readily available, and the cost prohibitive. Our insurance agent suggested we leave out the explosion coverage, which was the most costly; that the collapsing and underground digging would be adequate for our needs. The city would not give us the go-ahead without the explosion coverage however. Mr. La5hot was aware of the difficulties we were having obtaining coverage, and did not at any time suggest that it would be better for the city to hire a different contractor. 2. We are in agreement here. %i 3. This was necessary due to the threat of frost. 4. Providing materials was the cities responsibility. The Obarricades provided were inadequate; it was necessary to go and rent five safety barriers as well as post a security guard by the project. 5. The only argument we have with the payment is that it was not provided when Mr. LaShat stated it would be, and that the additional billing has not yet been paid. In conclusion: This was our first project for the City of Kenai. In retrospect, I can understand why our bid was lower than any contractor familiar with doing business with the city. Our Qbid was based on the length of the pipe being 60'1 as we were advised and 14 feet less than was necessary, and we depended on the plans we were provided with being accurate. I understand Mr. LaShots position on accomplishing the necessary work for the least cost, but doing so by providing the contractor with incorrect and inaccurate information does not seem to be a fair way to accomplish it. I have also been in touch with Jahn Herring of Construction Unlimited, the contractor for the HAS project, and s having the same problem receiving a r) PaiumTo: Chance and Conlsota of Gkitl iseko Department of RoWonue Alaska Games at lance Section CompllencaSeelion Compliance PERMIT APPLICATION 1111 W.81h Street. Room 108 Juneau, Alaska MI '' FEES: 820.00 due with opplioation;1% of entire not proceeds duo with Annul Financial Gletament. 00ee0rOsOirwmatruclronm"Olamt.umplalinp1105svv f,A(,nn 4AANNLICA710N NLW 1. Namool Organization . Number of Yours Orgardlolivr _ 11aB I30ijn in iixi0iettco in Alaoka _.-.. - MeK ng Address Thu following must be �Um111od wan this appllenllon ui 95g,� K ngi. SngF�},Il�lyft3y L) Current Alaska momborchip list fmual hove sf %':ast City, State, Zip Coda 25 mombera); Ke ❑ Certified true copy of articloo of Incorporation or, it not 2. Typo of Organization. (Check the appropriate box. Rotor to Incorporated, copy of bylaws and national and state AS 05-15.210 and 15 AAC 105.010-.100 for definitions.) chartere; ❑ Municipality D Police or Fire Department ❑ Copy of IRS certificate of tax exemption issued to non. and Company profit organizations, If applicable. ❑ Civic or Service ❑ Dog Muehers' Asaoclatlon Name and Meiling Address of National Organization (it applicable) O Religious ❑ Charitable ❑ Political D Fraternal D Non•profltTrede Association ❑; Educational ❑ Fishing Derby Association ❑ Veterans ❑ Outboard Motor ❑ Labor Association 48. RENEWALAFFL►GATIUM Most Recent 86-041 Year 1986 Permit Number: Issued Organized as. (Check the appropriate box.) The following must be submitted with this application: ❑ Current Alaska membership list (must have at least ❑ Corporation El Association ❑ Partnership 25 members); O Firm Ci Company O Copy of amendments to bylaws, if any. Local Officers (must be current, bona fide members in good Standing) DAYTIME PHONE NUMBER NAME TITLE Paul Epperson Principal 283-7524 Richard Hultberg Asst. Principal 283-7524 Marlene Benson Asst. Principal 283-7524 Cliff Massie Athletic Director 283-7524 0. Types of Games to be Conducted. List types of games by common name If other than those listed. See AS.05.15.180. AS.05.15.210; 15 AAC 105.110•.160. rp a. Bingo (NOTE: Bingo Q b. Raffles d LOtterlea ❑ f. Fish Derbies C I. Oooae Clc;.ofC games must not be held more than 9 occasions ❑ c. Pull -tabs 0• Contests of Skill ❑ it. Salmon Classic In a calendar month with no more then 35 ❑ d. Ice Classics O h. Rain Classlce 1 games per session or series of games.) ❑ e. Dog Mushors' Contests ❑ 1. Mercury Classic THE SPACE BELOW IS RESERVED FOR DEPARTMENT OF REVENUE USE ONLY. Permit Number. Date of Issue: Financial Statement: ❑ Yes O No New ❑ MAY NOT BE CONDUCTED UNTIL TNE PERMIT IS ISSUED. L w n U DEDICATION OF NET PRO(:CCUS Theontim proceeds of the games shall bn devnred to and doilmMed in accordance with 15 AAC 105 280 Use of Dedicated Not Procoods 18) The dediColed not Procoods given to a nualificd olgonifalfon may nol 00 used to Pay any person for services rendered In connpc, lion with the activities from which the funds were dewed. Delailod records of all disbursements must be kept for later audit mviow. Those must be kept with the other accounting records for a period of three years. (b) Disbursements for the promotion of the welfare and well being of the membership means that a member may receive assintanco in the form of various charitable donations, which have boon approved by the arganizahoWs board of directors, Charitable projects which an organization may sponsor Include education grants, (raining assistance or job counseling, food baskets, medical or health-care Onslstatiro, cho ItOG113 lut%t I,,ry and tJ,mr*fo 1 a tRe C0-If M tllgqutll111Cg11Lnslrt►eLauoIh0[halIT4T,!gefG`atrJrrsrr:Jtlu 1Js1140 O ►(ten f0fnenl In al ell PMMI"I' tl Ot Ihn fJga*itrahU'r v.411 �n Ihit G(rrr- mUnllyntpyttVlli�lynttllcr-elrnffine49iblati'e:lr.ESepsfmr�rf)n� - not tit) dovutno In urpnforaliennt 1pblfie0, d.nngrg GI reroaMl, p7tr-- of social functions limn is to momuclo end tneif famil,e! (C) PermI111002 may 110110100, buy Of 10030 bJfiiingil 01 land for their Olg0nlr011pn with 11-0 not proccoog un1035 these tiutidtngs eye if) 1.1091110ACIUe1YPly for educational. Civic publlG, Gr fgllgiGu9 pur pose$ lquch as hospitals, churches, schools. govorninent Wifdings. or Community centers), or 12) turned over to an appropriate nonprofit organization which qualities as a tax-exempt organization under the Internal Revenue Code, Section 5011C►(3), or to a local, state or fedora) government. to the apace below, state the specific purposes for which the entire not proceeds are to be devoted and In what mannor. School Organizations such as lettermens club. Spanish, club, cheerleaders. Athletic Teams etc. need to raise funds for their own needs. Choir and Band often need to raise funds for travel. S. Estimated Yearly Gross Receipts $ 4500.00 9A. Person In charge of games (Must be a bona fide and active member of permlttee organization) NOTE: The member in charge shall be present during the conduct of each of the specified activities elated on the permit. An alternate maybe designated to conduct the authorized activities during the absence of the member In charge. NAME MAILING ADDRESS DAYTIME PHONE NUMBER (Primary) Pai1T F.nnprann g5RA tCeinnj S Iir Ifigh'AnT '2S3-2S24 (Alternate) V Cliff Massie _ 95.83__Kenai Spur Highway 2RI-75 4 9B. If a Commercial operator Is employed to conduct gaming activities on your behalf, please provide the name of the premises, the name of the person operating the premises; the street address and daytime telephone number of the premises. NAME OF PREMISES STREET ADDRESS DAYTIME PHONE NUMBER NAME OF OPERATOR: 10. Has either person listed in 9A or 98 above ever been convicted of a felony or gambling misdemeanor? Cl Yes M No 11. WIII either person hated In 9A or 9B above receive compensation of any kind from the receipts of the 10 Yes M No gaming activities? 12. What Is the HOURLY wage to be paid to employees? 13. Signature of TWO Officers Required We certify under penalty of perjury that to the best of our knowledge and belief all the Information on this application, including any at. lachmenig4s true, correct and complete. We understand that any false statement made on this application Is punishable bylaw. We fur ther ced that we have delivered two copies of this application to the nearest city or borough office for review. 04443 Bac, nasal L ANY FALSCMATEMENT MADE ON TWS—APV4WATION IS PUNISHACE BY LAW. -11 Return To: Alaska Deall"M01 of Revenue Public cervices;: melon Compliance Section lilt W. elh Street. Room Ice �I JYneaY.AlaskaQW1t I - AUTHORIZED DAMES OF CHANCE AND CKILL ANUUAL FINANCIAL STATEMENT AS0515010.0510910 19 Kenai Lumr rl nLB11 ��na,u• __ Mailing Address Profit Address or RO Box. City, State, tip Code) CALCULATION -V CURRENT YEAR NET PROCEEDS Out (WE JA14UAgf 31 PermrtNvrrlba► -_- - - �� i I. Total dross Receipts (from page 2. Schedule A. line 10) ...................... 1 { 4276.00 � J 2. Total dame Prizes Awarded (from page 2, Schedule B. Ilnn 10) ................. 2 O 2020.49 3. Total Game Related Expenses (from page 3. Schedule C, line 19) ............... 3 1 0 4. Total Prizes and Expenses (Add lines 2 and 3) ................. ...................................... 4 5. Current Year Net Proceeds Before 1 % Fee (Subtract Ilne 4 from line 1; enter difference here) ............... 5 1 8.1 % of Net Proceeds Dw with this StrtenNnl (Multiply Ilne 6 by .Ot; enter amount ere) AMOUNT DUB Op8 22.56 Do not send payment if lose than$1.00........................................... . 7. Current Year Net Proceeds After Deduction of 1% Fee 7 2232.95 (Subtract line 8 from line S. Enter here and on line 9 below) ................................... RECONCILIATION OF FUNDS 8. Prior Year Balance of dames of Chance and Skill Account .......................................... 9. Current Year Net Proceeds (from line 7 above) ...................................................... 10. Total Net Proceeds Available for Disbursement (Add Imes 8 and 9) ...... . ............................ . 11. Total Dedications of Net Proceeds (Enter total from page 7, Schedule D) Must be disbursed according to law. See AS 05.15.1 So and 16AAC 105480 ............................. �I 12. Year -End Balance of Games of Chance and Skill Fund as of December 31. 1 (Subtract line 11 from line 10; enter difference here B 0 9 2217-09 10 11 2232.95 12 S 0 1', { 1 declare yynderpenalty of unswom falsification that t have examined this Flnanolal8tatemenL Including accompanying schedules and statements, and to tXd best of my knowledge and belief It Is true, correct and complete. r �I ,I I� Ifs commercial opera%r was employed to Conduct gaming aotifitles on your behalf, please provide the name of the premises, the name of the per- son ooeratinp the Premises. and the street address of the premises. ol-elilRev. 1e1e61 X 13 SCHEDULE A. TOTAL GROSS RECEIPTS Authorized Oamaa of Chincu and Skill List only that Income received as a direct result of the Narne of 010anliallon aermn "UMNIFr Games. or bale of gaming equipmonl. Memhaiehip I — dues, donations, food booth receipts, olc. can not be ( 1 f{f,�lr6f Included in this report. C m t rul .1110 i SClinn - _ 1. Gross receipts from Bingo ...................................... 2. Gross receipts from Raffloa and Lotteries ......................... 2A. Gross receipts from Pull•labs................................... 3. Gross receipts from Monte Carlo ................................ 4. Gross receipts from Contests of Skill ............................. 8. Gross recelpte from 000 Muehere' Contests ....................... S. Gross receipts from Fish Derbies ................................ A. Receipts from ticket sales ................................... a. Receipts from sale of fish .................................... 7. Gross receipts from Classics' .................................. S. Gross receipts from Rein Classics ............................... 9. Sete of game equipment and/or supplies .......................... 10. Total Grose Receipts (Add lines 1.9; enter here and on page 1, line %. SCHEDULE S. GAME PRIZES AWARDED Authorized Games of Chance and Skill On lines 1.10 list the total cost to the permitlee organization of all prizes awarded during the year. On tine 11, list the total market value of these prizes. Including the value of prizes donated In pan or In whole. NOTE: Schedule E. Prize Listing must also be completed. (SAME N1jjtiri� IN UM N S MERCHANDISE SERVICES 8 REAL ESTATE TROPHY TOTAL BY GAME 1. Bingo 1 2. Raffles and Lotteries 2 3 Pull Tabs 3 4. Monte Carlo 4 & Contests of Skill S 0. Dog Musher's Contests B Z Fish Derbies 7 B. Classics • S 9. Rain Classics 1 1 2020.49 1 1 g '918e8108—I00, salmon, Qooae, Mercury IV 1 J V I Eli 10.. Enter amount of Total Prizes on page 1, line 2....................................... $ 2020.49 ' 11. C tal Market Value by, 2020.49 ategory (Include donahonsl aaFASO- ) Page 2 t L L_ all �- i SCHEDULE C. GAME RELATED EXPENSES Authadled Gamsa Of Chance and Skill IMPORTANT: SEE PAGE a FOR INSTRUCTIONS. Enter only those exponsos that ero game related. Name of OrganissHen hunr n N❑rc( r Please See the back of this schedule for fine -byline Instructions. Kemal Central High 901mil Rfj-041 1. Computation of Proration Factor for Building Rent and Expenses Is) Total hours building andlor eww (b) Total hours building and/or anulp- Ic) Proration factor to four dotom.1 ment was used by permittee for melt was available for any use by places. games during the year. permittee this year. t(a) NA + t(b) NA - 1(a) NA .�- 2. Building Rent. (Allowed only If building was not owned by permittee organisation) (a) Total Rent Paid (b) Proration line FaItoctor (c) AllowableRent Expense uilding from21a) NA X 2(b) NA a 2(c)NA a Building Expenses. (Allowed only If building was owned by permittee organization) 3. Repairs and Maintenance .................. 3 a NA 4. Utilities ............................... 4 a WA 5. Building Depreciation (See instructions on back) ................ 5 a NA (a) Add lines 3.5 (b) Proration Factor (a) Allowable from fine 1(c) Building Expense Ile) X alb► I(c► B. Total Building Expense .................... a NA NA — a NA Other Expenses 7. Postage and Stationary .................... S.Freight................................. 9. Printing of Tickets or Cards ................ 10. Advertising for Games ................... 11.Accounting ............................. 12. Non -Alcoholic Refreshments for Games .... 13. Permit Fees (Please see instructions) ....... 14. Equipment Actually Purchased for Games ... 15. Repairs for Damages to Equipment Used forGamee .............................. 18. Wages (from Schedule C•1)................ 17. Miscellaneous expenses directly relating to games only (List In detail on separate sheet) . . 7 a NA ea NA 9a NA 10 a NA it a NA 12 a NA 13 a.NA 14 a NA 15 a MA t8 a NA t7 a NA tl. Total Other Expenses (Add lines 7.17;enterhere)..................................................... 19. Totai Game Related Expenses (Add lines 2(c), or /(c) and 16; enter here and on page 1, line 3)............... o44ue then L tea NA 19 is NA Page 34overl J qC� �4 .5 � n g � s M g Gl 8 Z i15 1 _i Authorised (Iemee of Chance and Skill Name of Orgnufstlan r'xr",0 SCHEDULED. DEDICATIONS OF NET PROCEEDS Kenai. Central 1111ji Sr list Hfr..11r,1 � Give file lull ame of each Gyrgf�ae of Ins payr+cnt Use in drilall alldedications ofand lthe 10alig"inlormal aList on�r ortany rensonabb (a oimuods. dditional lhol contains allofit,o requoolodt Failure to report dedications of not proceeds In dolall may result in the nonronowel of your games of c:hence and skill offroil AS 05.15.150 LIMITATION ON USE OF NET PROCEEDS, Is) The to conduct the activity authorized by this chapter is con• support candidates for public Office, or by erecting of maintaining public buildings or works, or loosening Inn burden on goiernmont, authority tingent upon the dedication of the not proceeds of the games or contests to the awarding of prizes to contestants or participants but do not include trio erection, acquisition, improromcni. maintenance or repair Of foal, porsonal of mixed property unless it and to political, educational, civic, public, charitable, patriotic, Or is used exclusively for one or more of the uses elated. religious uses in the slate. ,Political, educational, civic, public, charitable, patriotic, at religious uses,, moan uses benefiting (b) The net proceeds defived from the activity must to devoted persons either by bringing them under the influence of education relieving them from disease, suffering, Or constraint, within one year to one or more of the uses stated. An organization desiring to hold the net proceed$ for a period longer than one year or religion or or by assisting them In establishing themselves In life or by providing for the promotion of the welfare and well-being of the must apply to the COmml$eiOnef of ROVOnUe for special permia- slon, and upon good cause shown, the Commissioner may grant membership of the organization within their own community, or through aiding candidates for public Office or groups which the request. NAME OF RECIPIENT OF DEDICATION REASON OR PURPOSE AMOUNT GIVEN International Karate Assoc. Karate S 1791.42 Nikiski Elementary Wrestling 441.53 and on page 1, line ll................................1' 2232.95 1 L L • I 1 KKNAI P1:N111SU1A BOROUGH / ,�, i. ►„ RF.CWAR A90 MBLY MEETING , ►,,'.,, f., j ;; `•' DECEMBER 2. 1966, 700 P.M. BOROUGH ADMINISTRATION BUILDING `�•. OOLOOTNA, ALASKA '•;:,,�,. «�, .'.,,;�. ,AGENDA • ,. • seambl `� {' A. CALL TO ORDER .1+ !i 1 .. Phillips S. PLEDGE OF•ALLEGLANCB'.•S?,�"';?;:+' !leans �,•..•• Walli t}�i C. INVOCATIONf Rev. Carl Landerholm, North Star Mullen + - United�Methodist Church�t/ 5 :.',1•I• ,aword S✓' 0. ROLL CALL '� ;S. �'.'r; J ; ; : Mo Casa E. VACANCY, DESIONATION OR SEATWO OF ASSEMBLYMEN! Olio . • •Sewall •'+ �r F. APPROVAL OF MINUTES, November 18, 1906 1';' i" .:' Meoshan .7,5� s• .Y.::O'Comall `u4 :1.:. 0. COIOIIT[EE REPORTS ;;t!1,! ,y)�`_:'+i�;ok!"7s'$ {;Vandal l•Fi.�},,• <. k•,.:y::'?: p: ''••.hygla;) ' lea': McLane (s) Finance - Audit Aport -- Price Waterhouse �.� `;Johnson (Crawford, Carey, 0 Connall, Nash) :.'.iro.•ab -� �i ,' (b) Lands/Resources (Skogstad. Fandel. Johnson.; McOshan Mullen) (a) Local Affairs (Moore, Phillips. Fandel, Hutton, ;' .4•'• by Welii) .,ta,,.,,.. ....,,... f::glai•,.t',( h' , '(d) Public Worke/Education (MaLene; 8kegetad, WaIIt."`}`""'.'��; McGehee Keene) • _..� i rf}�)6e y�•j�n ,}. •eREItAINDER OF NOVEM88R id. 1966 AOENDA** .• ` hH'` � ' k- i4 9. CONSIDERATION OF RESOL 1014E i1; �..°����fy�'�'41�+e�it�,ic?scl�;!�'Pe�• }per'+"ti (a) Iles 86.148 A`K "Requestiag That the State Delay �njs "T. ssuanae u• ermits that Would Alloy E )oration for Minerals in Cook Inlet South of the Forelands .. �.',. (Mullen) ,r; ; : f; .�.,,. •. r; �+'yy►w,;:: �: ,.� ?i ,t .,r ... � r :.'? i'; •.► '' • .:'' ;,'•.wS.,v ` Y tiy+�. :,} / r' ' , :. {::.}t'' •i •4�.. _yt?;•Y�x,►. Res. 86-148 Sbst,• "Supporting the issuance of ��;,;a'' t��+�;• ()iii ore rosppecting Permits in Cook Inlet by the State of Alaska" (Mayor) .':)1 ;'�: �.7•i•a.;... :. ..: at:.;ai. .dt.).i:w9•i�/�>; i I.. is •... (b) 19s..86-1]2(Sbstt "Accepting a Kenai Peninwla , .- t•;t;,�L. Dorougn 999459eeourae Management Study".(Mash) (a) Res. 86-140 "Approving Inesrgoveramental Mutual D. ^� td) (a) M Asese or Govertmont Agencies" (Mayor) a sussriTM Res. 06.1411 "Impeovin6'yyt..}h}�.0 Roid Service System" '� (Brown)tli1,'P..y,i •r••` y1I.E4 ► '�'�, "W" r.:.r,�v;i;R;t;i i;;; , P?'"H; . "' t r'l, j.ti5'r�i1ti'L'!,..�,.yta{. •. ��.. .+.•''�1':►$'2 Res. 86-144 "Accepting Omeerel+ip of Lot 16. Block 7 0 o—f"C�ricTi Acres Subdivision No. 4 i-am Anne L. •4, Goodrich and Classifying the Parcel for Public Use as a Park" (Mayor) LOCAL AFFAIRS/LANDS C=— .: a .. ... r,. .. Ras. 86-15 "Opposing the Merger of Kenai Peninsula o eges w th ehhss Uniivetreit of Alaska or With Anrr ` )they Community College" (Nash) LOCAL AFFAIRS CMTB. F Res. 86-198 "gloating to Participate is the Retire-���•'� nenTive Program (RIP). Chapter 211. SLA 1986. ,,. and Authorising the Mayor to Enter Into an Agreement'. .Krr•.u..S/.'J.IIIM:,.1L..�.�.++�`jl•.Yr'.n0•W. a O.f�r�.�„�. 1��, _IL a I with the Administrator'of the Pubic Employees I Retirement System (PERS) to Fund the Cost of Perel- cipation in the RIP" (Mayor) FINANCE (h) Rea. 66- 39 "Providin` Tax Adjustsent for Properties sc • y a Chomtee Spill at Crown Point" Wevolt) (i) n, ROD 86.160 "Urtin Conersss to Open the Arctic Ratchet dliio Refuse to Oil and Oae Exploration n and Development" (Mayor) H. AGENDA APPROVAL AND CONSENT AGENDA ; t: (a) Vacatiwo of porn:on Wolf Trail Lana within Clyd• w Ring SID i Woodland Rills Estates Part Two (b) 6 "Amsading the Allocation of Municipal Res. 96-an1un �� s rProvided in Roo. 86-156 B Traneforring �� $2,304 18 from West Poppy Lens to Robson Loop Road ,•, '. (Mayor) ORDINANCE HEARINGS 01 (a) Ord 86-80 "Establishing Code Provisions for Access o hollc acords" (P i P Cots) i d. 96- 0 S eZ _ (includes amendments proposed by Asem. se (b) Ord, 66.86 "Amending the Borough Code of Ordinances Legislation". respecting Reeonsldsration of (McCaban) (c) Ord. 86.92tObst) "Reergonisin and Reestablishing Cosmission and Recodifying {<. • eoorce unvoLopassur and Asionding RP8 2.42 ad Requiring Quarterly Report- ing to the Assembly"(Nash/randel) ;�a. , ., c;_t�,,.: •., i't' (d) Ord 86-94 "Establlebing Penalties for Violation of• ".: ,. ';' .,°- ; �;t 171$:0S':Q40 Probibition on gas of Public Moniee to tiler Advocate Passage of a Ballot Fropositton" (MCOabat) (a) ad 86- 6 "Accepting Dlsastor Relief funds from ET�e Shand redesal Government and Appro riatln6 in Disaster Arsea V thin eha �. Those Funds for Ballet Rent Peninsula lorougb" (Mayor) J. INTRODUCTION OF ORDINANCES ;,ijPage-No. (a) Ord. 66-100 AM "To Reduce the Assembly Membership a Districting Plan for This Reduced on opp on o! ,;,, Mamberehip" (Mullen) (b) Ord, 96.103 "Amending RPe 1.12 to Clar!!y the Fotm ,, ` .',, ; • r;1;r. • equ remen s of Ordinances and Reeolutione (Nash) (a) Ord. 86-104 "Aaendtn6 the Land Uses Allowed j- o s sward urbsn Dietrjet Zoning Code" (Mayor) CONSIDERATION Or RESOLUTIONS j';;,.,._::.;.._'.,,.J�~ (aI 'Roe: eb 146 "Urgingthe Alaska Lagieiatere to A� and • " '`' ' e n C pal Taxation Law• to Provide the Stela Assessment from Tine of Purchase Untie the Property io Sold" (Meashan) (b) Rae. eb-162 'Rat aTd! the Preparation of the Beni fiscal en u a orou-h School District Budget for 19e7-ee" (Nub) Year (c) the a Aria Uavvelloopraisening and10- giant a flocri:eion racilitiss in she tbrth Peninsula RecT•ation Bowies ' Area" (Mayor) , a L N. 0. PENDING LEGt9LATt0H (This item lists )egtelation which Witt he addreesad at a istsr time as noted$ not for action this Iaeeti0f.) (a) Ord. $6.11 "Stating the Principal Purposae of Fenel is Peninsula Borough computerised Recotdas Setting Potth Criteria for Classification of Such Records. According to Access and Processing Requirements) and Providin for the Disposition of uch Clssetfied Records" NEAT 12116 + fb) Ord. 86-91 "Authorising Conveyance of Borough Patented Land@ Located Within Section 17. T1N, RllW, S.M., Alaska" (Mayor) HEARING 12/16/86 ,• (c) Ord. 86-101 "Amending RPS 21.12 to Prohibit the Dieposel or storage of Hasardous Waste" (Nash) HEAR 1120/87 REPr WDC' (4) Ord. 86-102 "Accepting and Appropriating State Grans funds to Project Accounts for Grants Received from the p State of Alaska Totalin 069,446 Made by Chapter 130, it Session Laws of Alaska �986" (Mayor) NEAR 11/16I86 PON" PRESENTATIONS WITH PRIOR NOTICE UPON SUB ECTS NOT ON THE MEETING AGENDA �'. i (a) Rni$ht Drive Representatives tb) Louis March, Local Hire PUBLIC COMMENTS AND PUBLIC PRESENTATIONS UPON MATTERS I NOT ,;,,..,f:. " r r ✓''' CONTAINED IN THE ASSENSLY'S AGENDA MAYOR'S REPORT . !. _.. :>„•::. ,ilir.-r; ;,_ (a) Hamot Central Peninsula Waste Disposal Cost Analysis , ,,.,::.,.+, 'r'•: f•�' h if 0171ER BUSIN688 ... ; '. , ' . . 1� „z•'•'. to . 1.;>•��', `ti ' f; t ";i l.;f f;• ASSUSLY AND MAYOR'S COMMENTS ' � ' Ala}%• " ' INFORMATIONAL MATERIALS AND REPORTS NOTICE OF NEXT MEETING AND ADJOUR01ENT (December 16. J •tY i at1f, nl'r "r .fir'•; s'• ,nl • i • ,.�.r , ..,. ' r 1 t > la vz�a� F •+ r s� ;� v t );'t, t:�`f:(;�y,7{k. k1 li i t t 3 f 1{ '• 1 riy � ,• 1� is j,rGslj{Y i�N 1 '•tip,./V.} ,i1, I. ...,....... �n:.w:..-..:u,t.e.�:.>_—i: _._.•s�_�:..i..«._,. �.. r.> ,.a:.:uJI:Z.:�WY=:iitr. ft Kenaritxe /ndiar� Tribe i` P. O. BOX 960 KENAI, ALASKA 9%11 (9071 283.3633 December S, 1986 It�ry�,�l�d6 0/6 l blfy/-�� 4. Mr. Jake Lestenkoff, Area Director Juneau Area Office, B.I.A. P.O. Box 3-8000 Juneau, Alaska 99802 Dear Mr. Lestenkoff: Enclosed for your review is a letter dated November 20, 1986 from Charles F. Bunch, Acting Area Rights Protection Officer, B.I.A. of Anchorage, to Mr. William Brighton, Kenai City Manager. After reviewing the letter, I hope that you are in disbelief, as was our Tribal Council about the appropriateness of this letter. Several issues are apparent to the Council and they are as follows but not limited to: a) By what authority did Mr. Bunch come to these conclusions? b) Was the letter reviewed by B.I.A legal Council? c) Was Mr. Bunch aware that writing such a letter reduces the Tribe's political status below that of the city of Kenai's? d) Why wasn't the Tribe informed prior to this response? e) Was Mr. Bunch aware of Kenaitze vs United States on Trespass that went to the Federai'Court of Claims? are of legal opinions of David Case on Sovereignty? j KENAITZE INDIAN TR181,-, IRA Jake l.estenkof, f , Area Director Page Two F-_. The Kenaitze I.R.A. Council is expecting a thorough review of these issues and a rewriting of this letter, or we will. seek legal. re edies. in erely ; C raSacaloff Tribal Chairperson KENAITZE INDIAN TRIBE, IRA cc: Bill Brighton, Kenai City Manager Native American Rights Fund L rI '� �X F._ fic.•,I q J5bfi ,ter UNITED STATES DEPARTMENT OF THE INTERIOR r V f � BUREAU OR INDIAN AFFAIRS ANCHORAGE AGENCY P. 0. 80X 100120 ANCHORAGE, ALASKA 99510-0120 (907) 271-4104 Mr. William J. Brighton Kenai City Manager 210 Fidalgo Kenai, Alaska 99611 Dear Mr, Brighton: ntatlY November 20, 1986 In response to your request to extend the City of Kenai's zoning laws to the Kenaitze Tribe. First, let me state that although the Secretary of the Interior is ultimately responsible for the majority of happenings in "Indian Country", much of that responsibility has been delegated to a lower level and it is not necessary to write directly to the Secretary in most matters. I would be glad to field any questions you may have in this area. I have reviewed the files at the Anchorage Agency and find that the Kenaitze Tribe is in the process of purchasing the subject parcel from the original allottee. As the Tribe cannot own the parcel in a restricted status, the restriction against alienation will disappear when title is transferred to the tribe. At that point the parcel -will come under the City's jurisdiction. As the City will be able to enforce its ordinances at some point in the future, and I am hesitant to start a precedent which may have a wide-ranging effect in Alaska; I am going to recommend to the Area Director that the Native allotment not be made subject to zoning laws at this time. ww.-Vnna41-2A TrihA Sincerely, A. Charles F. Bunch Acting Area Rights Protection Officer Office j lit---?- .2 Kenaitze India rMhe P. O. ROX 986 KENAI, ALASKA 99611 1907) 283.3633 �a56I�y o G oC,�'�'bA December 5, 1986i,-y' w Mr. Jake Lestenkoff, Area Director Juneau Area Office, B.I.A. P.O. Box 3-8000 Juneau, Alaska 99802 Dear Mr. Lestenkoff: Enclosed for your review is a letter dated November 20, 1986 from Charles F. Bunch, Acting Area Rights Protection Officer, B.I.A. of Anchorage, to Mr. William Brighton, Kenai City Manager. After reviewing the letter, I hope that you are in disbelief, as was our Tribal Council about the appropriateness of this letter. Several issues are apparent to the Council and they are as follows but not limited to: a) By what authority did Mr. Bunch come to these conclusions? b) Was the letter reviewed by B.I.A legal Council? c) Was Mr. Bunch aware that writing such a letter reduces the Tribe's political status below that of the city of Kenai's? d) Why wasn't the Tribe informed prior to this response? e) Was Mr. Bunch aware of Kenaitze vs United States on Trespass that went to the FederaT-Court of Claims? f) Was Mr. Bunch aware of legal opinions of David Case on Kenaitze I.R.A. Sovereignty? J KENAITZE INDIAN TRIBE, TRA Jake Lestenkolf, Area Director Page Two The Kenaitxe I.R.A. Council is expecting a thorough review of these issues acid a rewriting of this letter, or we will seek legal (injerely edies. �1Sacaloff Tribal Chairperson KENAITZE INDIAN TRIBE, IRA cc: Bill Brighton, Kenai City Manager Native American Rights Fund K —i �,. UNITED STATES DEPARTMENT OF THE INTERIOR 13URRAU OF INOIAN AFFAIRS ANCHORAGE AGENCY P. 0. BOX 100120 ANCHORAGE, ALASKA 99510-0120 (907) 271-4104 . too all VL'. A.iew To, RIJIL" November 20, 1986 lb Mr, William J. Brighton Kenai City Manager 210 Fidalgo Kenai, Alaska 99611 Dear Mr. Brighton: Ia response to your request to extend the City of Kenai's zoning laws to the Keneitze Tribe. First, let me state that although the Secretary of the Interior is ultimately responsible for the majority of happenings in "Indian Country", much of that responsibility has been delegated to a lower level and it is not necessary to write directly to the Secretary in most matters. I would be glad to field any questions you may bave in this area. I have reviewed the files at the Anchorage Agency and find that the Kenaltze Tribe is in the process of purchasing the subject parcel from the original allottee. As the Tribe cannot own the parcel in a restricted status, the restriction against alienation will disappear when title is transferred to the tribe. At that point the parcel will come under the City's jurisdiction. As the City will be able to enforce its ordinances at some point in the future, and I am hesitant to start a precedent which may have a wide-ranging effect in Alaska; I am going to recommend to the Area Director that the Native allotment not be made subject to zoning laws at this time. Sincerely, 1 -Charles F. Bunch Acting Area Rights Protection Officer Office ur��i�����' LI ECONOMIC DFVFI,OPMI:NT COMMITTEE, December 2, 1986 Kenai City Hall Vincent O'Reilly, Chairman 1. ROLL CALL Present: O'Reilly, Miller, Scott, Shelden, Thomeon Absent: Carter, Elson, Meeks NOTE: a new member joins the Committee this evening, Mr. Barry Thomson. Mr. Hugh Malone has declined the seat based on a prior commitment to the State. Chairman O'Reilly asked that item 2 become Agenda Approval; and that item 6 become Public Testimony or Comments; item 5-c be deleted, Mrs. Russell not in attendance. The agenda was approved with the changes. 2. APPROVAL OF MINUTES of November 18, 1986 Chairman O'Reilly asked that on page 2, paragraph 2, the word "within" be added so that the sentence would read: "preferably within the City". The minutes were approved with the addition. 3. REVIEW OF PROGRESS TO DATE Chairman O'Reilly brought the Committee and the speakers up to date. 4. PRESENTATION OF NEW MATERIAL The Committee asked how up to date the material was contained in the Comprehensive Plan, answer; the date on the Plan was April 1986, however the Plan has not been adopted. The Committee questioned whether Mr. Kevin Waring could be contracted to update the economic portion of the Plan. Mr. Waring had been a subcontractor through CCC Architects, the original drafter of the Plan. As the Plan was under contract with CCC Architects through the Borough rather than the City, Mr. McIlhargey was asked if he could check the contract to ascertain whether Mr. Waring could do w ECONOMIC OEVELUPMEwr s'ovnu`I vi.: December 2, 1986 pn 2 NOTE: Tho minutoo are not intonded to nupply dot nf lis of tiip,a't f> t'mr0fill out, only gonaral reporta and diocuaofon 5. PRESENTATION OF 'I't;:� IFLERS AND/Olt 81)FrIALISTI; a. Neil Fried, Alaska Dopt. of Labur Mr. Fried passed out graph material to the Committec Momboro. The first graph refers to employment indicators for the City of Kenai alone. This is a new format this year. Prior to this year, Kenai had been taken together with Soldotna, however, this graph does include Nikiski to a point. (Mr. Fried also explained that he works closely with Kevin Waring and this report and material will update much of the material in the Comp Plan.) The first graph also compares Kenai with the rest of the State. The two largest employers are government and manufacturing for Kenai while the state shows government and, trade, and services. Manufacturing includes the fish industry and refining. The employment factor in this graph shows that Kenai has 3 times the amount as the rest of the state. The average is actually closer to that of the national level. Mining is also closely related to the national average. In secondary categories, F.I.R.E or finance, insurance, real estate, eating & drinking services shows less employment than the rest or the state. When Soldotna is included, the category becomes larger and is closer to the rest of the state levels. Because the two areas are so close in area and do interact, we must look at as a whole. Over the last 5 years, all three of the main categories had rapid growth. There were no indications in 1985 that employment would decline as it did. 1985 will be looked at as a benchmark year. During the period of 1980 through 1985, Alaska was the fastest growing state in the U.S. Until 1985, the mining categories (or the oil platforms in Cook Inlet) were counted with the Anchorage population, therefore the unemployment reports reflected in Anchorage. This was changed in the latter part of 1985 making the Kenai area reflect higher. Construction fell by more than half, however, even if the oil dollar had not fallen, construction would have had to fall or decline. Usually, overall, the government category does not fall, however, this is not the case. Our overall employment levels are still above that of 1980-1984. There are 2900 unemployed on the Peninsula . The population has not decreased as much as expected. i The prediction is that the employment levels will actively decline through 1987 and no decline in oil yet. Committee Member Thomson noted the meaningful vs permanent jobs, the seasonal jobs have such a large impact on the area. Chairman ....._.,,__ ing that the seasonal jobs have no impact on for instance. Dick Stettler asked if the shermen, answer no as they are self-employed. r • C i 1 ECONOMIC DEVELOPMENT r'r)(gmrr*rvr December 2, 198b Page 3 Chairman O'Reilly asked if thy flquron voirn liroPen d"Wrr try (VIS) Forul academic levels, answer aonowhat, mf)nt ly l3o nrlo rin nf;a4f-itfr lcwnln. b. Alaska Statebank - Dick 11tottlor Mr. Stettler of Alanka Stntobnnk preunntod rrtatiuticn relntive to the lending institution. Mr. Stettler obrrerved that the underemployed are almost worse than the unemployed. Where a wage earner would enjoy $16/hour a few years ago, he now earns $9/hour. This affects litterally everyone. During the first quarter there was a large decrease in the taxable amounts, however, the total bank accounts are not down in this. area+ Mr. Stettler attributes this to people being more prudent, saving instead of spending. Commercial lending is up 3% while residential is down 10% and we can expect to lose more people, however, keep in mind that you can play with numbers which are relative to what? Mr. Stettler felt that by August 1987 we will hit the bottom of the decline. Committee Member Shelden noted that Alaska Statebank is pretty much a local bank as opposed to say NBA. The number of "bounced" checks from other banks is very high which may indicate that your bank is healthier than others. Mr. Stettler informed the Committee that in Kenai alone the figure was 46 million in 1982 and up to 65 million in 1985. There are no 1986 figures available as yet, however, preliminary figures appear to be good. Committee Member Thomson asked Mr. Stettler if he felt people were over -reacting in anticipation of something that may yet to be, answer; if you look around, everything on the peninsula is for sale, people are cutting down to basics and many are out of work. Chairman O'Reilly asked Mr. Stettler for his opinion on mortgage foreclosures, Mr. Stettler answered that he had no solid figures, however, the peninsula is still heavily dependent upon outside investments. The lending policies have changed, where a certain person would easily obtain a loan a couple of years ago, would have a difficult time now. People are buying real estate more for a tax advantage and less on speculation. Chairman O'Reilly asked Mr. Stettler for his feelings regarding what the City can do referring to a generalized gripe, "if only the City were doing......" Mr. Stettler answered that a part of the answer lies in availability of land. The City has priced itself out of the city. The cost of facilities is high which is why K-Beach has seen a rise in growth. C. Kenai Peninsula Borough - Frank McIlhaLU Mr. McIlhargy produced material which spoke to sales tax information. The Committee reviewed this material alone with the Situation and Prospects. After 1985 construction would have had to slow down due to over -building regardless of the oil industry. Once the figures are in it will show an increase. When you have a boom as a result of state spending private businesses are attracted. Services result, however, are not supported in a down L t-- w I 0 j ECONOMIC DEVELr PMENT CQMM [TTEE December 21, 1906 1. Page 4 9 trend. Referring to Pago 58 Of they Situat.lrin (, Pt'eul_=c,�:tr>. Krt�fll �r C has not kept pace with oalen growth. In tho amnn porind tho f assessed values inercaeed by 140%. Mr. Mellhargy agrnnd that: there is additional nnemp.laymont and a lone of populatlon. The Committee discussed taxable rialos an opponod to groan receipt - and agreed that further information is neconna ry. The figuron also �. include residents but who do not work hero and does not include fishermen. Mr. Stottler estimated that the salmon fishery would reach 50 million this year, however, very little of that stays here, rather it goes to the states through itinerant cannery workers, boat handlers, etc. The Committee asked Mr. Scott to estimate what percent of the local population is employed by the j canneries, Mr. snatt felt that his company hires about 20% locally 1 and is a fair average for other canneries. ii 6. PUBLIC TESTIMONY None 1' 7. COMMITTEE DISCUSSION Committee Member Thomson felt that the figures are somewhat elusive and the members need to define what we are looking for. There are large sums of money that are not reflected in the data, the Committee agreed. Mr. McIlhargy agreed to send a representative to the next meeting with additional information requested by the Committee regarding the gross sales records, etc. i i 8. PREPARE NEXT AGENDA a. Representative of Board of Realtors b. Representative of Homebuilders Association c. Airport - Economic Impact d. Representative - Frank McIlhargy's Office 9. ADJOURNMENT (9:30 PM) There being no further business, the meeting adjourned at 9:34 PM. The next regular meeting of the Committee is Tuesday, December 16th. Janet A. Loper, Planning Specialist • Secretary to the Committee a w U U. � O �WLG r OD 00 cn N 1. 1 � M O u, L C !O t^O a !- % r w W ►- < •l1J Q ~ W O �a.. 5 `6 °� O LU a a a 4 a V H 6 w z o G Z 0 a � •,© O p 4 � � 0 a Q J • rl W 4M 9 - 6r {J L In vy r_ c, � u, Ir, •r, ui t •L l: •: d r• H O y u .0 n n U Ea a Ov' vai O � � Q _ O P a, °5. oe t u Es N cr, U V '~ CL o ¢u c ►- a o e, % O u r O a O W � a � 7_ W Vhf w U � o Ca O a :U w C O V w � ? •uC % w a .� ia• U .+ N 0— r't c` mi o W OC h t,. .I V1 E ! 1' r p II O li � i� 0 I Q O I 5 N I O C C � 0 n J e p I ' � O. ..ram.._»....IO 12-• _`L T J C o ,N 0 v t. s « c O 4*1 v _ 1••n• U C •� i V.n p i C fi.0 huh T s L M � uyr On o x— ®+•u n3 c r Q 0- a ,pus 0 LU B.S � o % j 8 5 i•.. c �, •a�uS G •� � n'� ova (4 a65 ui V ry ` c« c c M o G 'a q ° N u 2 C L�V�'Uci U ~ C c 0 a . v a Cr- p•„y� "2 :� Q • J -1 r h.LNA i DO P I NU f- AC I L 11 Y PAY ESTIMATE NO. 3 BACKUP ITEM 1 - MOBILIZATION Amount Requested: $64.500.00 Total Item: $189.000.00 (15% of Project) w Percentage: (64,500/189,000) X 100 0 34% Percentage allowable = 75% after completion of 10% of Work Amount Approved: $64,500.00 ITEM 2 - TYPE III FILL Include 200 C.Y. additional fill placed in vicinity of abutment: 8,000 C.Y. (Estimated for Pay Estimate No. 2) i 200 C.Y. (This Estimate) 8,200 C.Y. X $9.00/C.Y. _ $73,800.00 �4 1 ITEM 2 - FILTER FABRIC Include additional material placed on slope under i gabions to complete slope coverage area: 180' X 15'/9 = 300 S.Y. 6,300 S.Y. (Pay Estimate No. 2) 300 S.Y. (This Estimate) q�liu4 b, 600 S.Y. X $1.50/S. Y. _ $ -9+90evee— ITEM 2 - GABIONS 1'X3*X12*: 112 ea. X $190/ea. 1'X3'X9' : 2 ea. X $170/ea. i'X3'X6' : 4 ea. X $120/ea. I'X3'X3' : 0 ea. (Estimated Value) 21,280.00 340.00 480.00 -0- $ 1,000.00 ! r 7-7 f Kenai Boating Facility - pc%v C"tirnaty No. • Backup - Page ITEM 2 - TRENCHING Estimate 250' 0 $4.00/L.F. Q $ 1,61-10.00 ITEM 2- SURVEYING r ' Estimate 50% complete X :$10,000.00 10,004.U0 ITEM 5 - ELECTRICAL ' ! Conduit runs from wellhouse to restrooms: r, 6% of $80,000.00 c 4,800.00 ' ITEM 6 - WELL AND PUMPHOUSE Furnish drill & install 6" casing: r; 177 L.F. X $22.00/L.F. _ $3,894.00 d Y Furnish and install screen: 25 L.F. X $80.00/L.F. _ $2,000.00 1 I - Develope and test well: 70 hrs. X $150.00/Hr. _ $10,500.00 $16,394.00 $16,394.00 ITEM Al - FUELING FACILITY Electrical: 180 L.F. trench X $4.00/L.F. _ $ 720.00 (Estimated Cost) ITEM 3A - RESTROOMS, SEPTIC SYSTEM, BUILDING PAD, CURBING, LANDSCAPING AND MISCELLANEOUS Restrooms: - -� Foundation & slab = 10% of total cost. ! Underslab plumbing & electrical = 5% of total cost. $80,000.00 X (10% + 5%) _ $12,000.00 N � Septic systems 100 % complete = $17,000.00 Building pad: 82% complete X $11,000 = $ 9,000.00 L w Wm, J. Nelson & 21B FIDALGO, SUITE 204 December 4. 1986 r a : r� �Cs J t!If -QN,11.0 MI-AlA1 AI Al -' w1r!11 Keith Kornelis Public Works Direct r ,� City of Kenai Q O� {' 210 Fidalgo St. Kenai, AK 99611 Rea Kenai Boating Facility'' Pay Estimate N3/Monthly Status Report Dear Keithe Pay Estimate No. 3 as revised was forwarded to you under separate cover. We recommend payment in the amount of $76,827.70 as shown on the pay estimate. The pay estimate submitted by the , Contractor had to be revised in order to more accurately repre- sent the work completed to date and due to further revisions to the Schedule of Values. The revised pay estimate will be used as the Schedule of Values from this time on for this project. INSURANCE Your legal counsel can advise you as to the feasibility of making payment on this Pay Estimate prior to obtaining a Certificate of Insurance from the Contractor per specifications. EARTHWORK Additional filter fabric was required in order to cover the slope under the gabions. 300 square yards at $1.50/S.Y. was required. In spite of the extra filter fabric, I still project a cost ! underrun for Earthwork items of approximately S109500. The septic system has been installed and the building pad for the restrooms is approximately 90% complete. EROSION PROTECTION She gabions have been placed and appear to be performing as intended to protect the fill slope from erosion. I have noted some erosion near the south east end of the gabions. This was due to the condition created by the Contractor leaving the Type III (sand) fill unprotected. The finished fill in that area is to be protected by Type I (gravel) fill. If budget constraints will allow it, I would recommend that filter fabric and loose rock fill similar to that used in the gabions be placed in selected areas for additional erosion protection. I will get a cost proposal from the Contractor on this to see if we can Include it in this project. lip r I P E Keith Kornelia - December 4, 1906 - Pago 2 RESTROOMS A weather protective tent structure han been built by the Contractor over the restroom site and construction of the rest - rooms is proceeding. To date the underground plumbing and elect- rical conduit have been completed for the resitrooms and the foundation and slab has been paved. Construction of masonry walls is scheduled for the upcoming week. WATER WELL The well has been drilled and cased to 177 feet. 25 feet of screen has been installed from 152 to 177 feet. The Contractor claims to have expended 127.5 hours of development time. The artesian well was test pumped at 20 gpm with 149 feet of draw - down. This is far short of our intended production level of 200 OPm. I believe that irregularities may exist in the Contractor's calculation of development time and will be gathering additional data to substantiate this. I am also concerned that possibly the well driller, either intentionally due to incompentance, drilled and cased beyond superior water bearing strata without properly testing for flow. Logs from wells drilled by others in the vicinity of this project indicate that upper formations produce flows varying from 60-250 gpm for similar wells. Upon receipt of the well driller's written logs of well development time and a signed well log, I suggest that we meet with Western Marine Construction, Inc. to discuss this problem. Based on the Contractor's verbal quote of development time and casing actually placed, the well will overrun by $17,024. GENERAL The Contractor's supervision has been virtually non existent on this project to date. I have written a letter asking Western '.,'; Marine Construction, Inc. to designate an onsite superintendent. They responded by naming Dave Chapman as their onsite represent- ative. Mr. Chapman is based in Anchorage and so far has made a few appearances onsite. This has caused various problems in ' coordination amoung subcontractors and also has resulted in delay of submittal of Pay Estimate No. 3. Sincerely, WM. J. NELSON & ASSOCIATES v Wm. J. Nelson, P.E. December 3, 1986 Kenai City Council 210 Fidalgo Kenai, AK 99611 _ Honorable Council Members: As you know, the Bookey family has run a restaurant in Kenai for over twenty years. I'm sure you recall the recent dispute between my family and the City of Kenai, regarding the flashing sign on top of our building. This letter is not "sour grapes"- we won our battle. The court agreed with us, our sign should be "grandfathered" in, since it was in existence many years before the ordinance was. What I am questioning is the apparent "selective enforcement" of our city's ordinances. I'm sure you've noticed (as has anyone who drives the Kenai Spur Highway between Kenai and Soldotna) the new "Omni Foods" store, and the brightly lit flashing sign that was recently erected. Now, please understand I bear no grudge against Omni Foods. The purpose of their sign is to attract attention and hopefully customers, just as we hoped to do with our sign. What I don't understand is this: With the City of Kenai sign ordinance being what it is, how did Omni Foods ever get their sign approved by the "powers that be" in our fair city? The Omni Foods sign is obviously an expensive item, employing up-to-date technology, unlike the "old-fashioned" sign my family constructed. Perhaps ease of approval of one's sign by the City of Kenai is directly proportionate to how much money one spends on it? Or is it merely relative to how much money one has, period? I don't want to think so, but I'm at a loss for a better explanation. I hope someone with the City administration or Council can provide one. 4SiKe11V J. Hookev trion L L I 1� � � I ' �11 l k •� t L J I ! i' ?0Oo, ca ST - cavemen vincent gintoll. airchitect f 130 trading bay road, suite 330 kenai, alaska 99611 907 283.7732 December 9, 1986 r' DEC INS Clio] of %;' ia% r • 1` •, City of Kenai 4 210 Pidalgo # Kenai, AK 99611 i Attentions Keith Kornelis, Director Public Works Department Re: Invoice for Architectural Services Lief Hansen Memorial Park AMOUNT THIS IMVOICE: A 9.695.00 ` MAXIMUM BILLABLB: $,3.794,00 a . h THANK YOUI ;± f it I� .. i(At w.ayV.L I....L 11.... ,.I City illy. 1.uryinal ia���'JJ-- uumitteJ l:y_ L --A. ----- • Lief Hansen Memorial Park Invoice for Architectural Services Labor Summary/Breakdown December 9, 1986 Page 2 of 2 Carmen Vincent Gintoli 11.0 hrs. @ $75.00/hr. Terry Stocker 50.75 hrs. @ $60.00/hr. Suzanne R. Little 90.0 hrs. @ $60.00/hr. Linda Gintoli 17.0 hrs. @ $25.00/hr. TOTAL $ 825.00 $ 3,045.00 $ 5,400.00 S 425.00 $ 9,695.00 - -ee fc4�J4/G 9��4olietl oil Is ANNUAL R1,11011T TO: City of Kenai 210 Fidalgo Kenai, AK 99611 Mayor Tom Wagonepr��p FROM. Women B. R source & Cr�8�sn etile or 325 S. Spruce St. Kenai, AK 99611 Ih d RE: Review of the State Day Care Assistance Program in July 1985 to June 1986. DATE: October 10, 1986 The following report summarizes the services of the Day Care Assistance Pro- gram in Kenai during -the State Fiscal year which ended June 30, 1986. The Women's Resource & Crisis Center administers the Day Care Assistance Program. This program helps low and moderate income parents (who are working or in training programs) with the cost of child care. During the past year we served -48 children, 7 of them infants up to two years. -old and 41children-aged two through eleven years. We assisted 31 families. The program vas available to 28 single parent families and 3 two parent families. The Day Care Assistance Program helps parents who are employed orin training programs. The Day Care Assistance Program enabled 33 parents to work, 1 parents to attend school or vocational training. programs, and 0 parents to do a combination of work and training. Parents participating in the Day Care Assistance Program must meet certain income -qualifications. The amount of State assistance is keyed to the income level. For example, a family whose -adjusted net income is $1,150 per month • r or lower, the State pays 100% of the cost up to a maximum. Thi maximum is $313•per month for full time care for child over two and $418 per month for an infant in full time care. Some of the centers and homes charge more than the State maxioRm, and so -parents pay that difference. Child Care payments do not go directly to parents. Rather, the centers and homes bill VZCC, which in turn bills the State. The State sends WRCC a check, j which in turn pays the child care homes and centers. In Kenai, two family day care homes and 3 child care centers care for j children whose parents participate in the Day Care Assistance Program. These I homes and centers are licensed by the Alaska Department of Revenue and the j Department of Health and Social Services. J L • Annual Report Page 2 Kenai For example- in June, 1986, the 20 enrolled in the progrimi received anolotance at the following subsidy levelst Vat 100%; 1 at 907#1 0 at OMI 1 at 70%; 0 at 60Z; -0 at 50%; 0 at 40%; 0 at 302; oat 207o; and 0 at 102. The Day Care Assistance Program is administered through a contract between WRCC and the Alaska Department of Comnunity and Regional Affairs. In the past year, the contract allocated $106,410 for child care subsidies and an additional $10,641 (which is a flat 102 of the billings or at least $1,000) for defraying administrative costs. I serve as the local administrator -for Kenai Day Care Assistance Program. I'm responsible for advertising the availiability of the program, interviewing parents to see if they're eligible, writing three-part contracts between parents, the licensed home or center of their choice and the WRCC. Each month I submit the child care provider billings to the State and prepare statistical reports. I workabout• 30 hours a week performing these duties. If I can provide you with additional information on the Day Care Assistance Program,• please contact me at 283-9479. L r CITY 4F KENAI Dil G'� of �41 1 1 210FIDALOO KENAI.ALAGNA Wit TELEPHONE 263.7535 -- CITY OF KENAI BACKGROUND AND PERSONAL DATA - CANDIDATES FOR APPOINTMENT TO COMMISSIONS AND COMMITTEES NAME ft"P,"O-IP ) LQ Resident of City of Kenai? U(?,,A)* How long? Home Address .1�/V�Ui\r�A�l(i1)e?� Tel._— a� "ddBe Tel. Name of Spouse Presently emplo7ed by e � r Job Title current Membership in organizations: P tk5 C 1A.A Past Organizational -me bership: Committees interested in•: .' C , �3�,! Signature O � � pip V C L� `ry\ L ft -I I ikenai f on,triednit q 1I1'1.J1t1 A PUBLIC UOAAAV IN ntf1Y1(d MNt [ 1141 163 MAIN STREET LOOP KENAI, ALASKA U9611 REPORT FOR THE MONTH OF NOVEMBER 1986 Circulation Adult Juvenile Easy Books Fiction 1080 386 949 Non-fiction 1622 128 263 Total Book Circulation 4428 Films, Phonodisca, Pamphlets, Periodicals. etc. 69 141 159 77 -493 Total Circulation 4921 Additions Adult Juvenile Easy Books AV Total Gifts 33 32 8 73 Purchases 89 29 18 5 141 Total Additions 214 Remedial and Re -worked Books Adult Juvenile Easy Books AV Total 56 17 18 1 92 Interlibrary Loans Ordered Received Returned Books 95 40 35 AV 35 31 30 Interlibrary Loans by Our Library 94 Volunteers Number 38 Total Hours 539.5 3 Full time positions i Income Fines and Sale Books $497.25 Lost of Damaged Books 119.15 Xerox 231.00 Miscellaneous 5.00 Total Income for November 1986 $852.40 IN �6?/gl►Zllgl�41 LIL�tf111� A POLIEI 4,111HAHY IN UAVICI BIWA IVAV 103 MAIN STHE k T LOOP KENAI. ALAUKA (r3fi/ 1 Illi :i 1 I LIBRARY CARDS ISSUED IN NOVEMBER, 1986 KENAI 60 CLAM GULCH 1 KASILOF 2 NIKISKI 11 1 SEWARD 1 SOLDOTNA 46 tl STERLING 4 t TOTAL 125 TOTAL PATRONS IN NOVEMBER 5.488 MONDAYS ARE OUR BUSIEST DAYS OVERALL, BUT THE DAILY AVERAGE FOR I NOVEMBER IS 250 PERSONS. REMEMBER THE LIBRARY OPEN HOUSE DECEMBER 18 FROM 1:00 PM UNTIL 8:00 PM. 1 MERRY CHRISTMAS i ob - C) r, Vr'IAI P1141104t A }lnWnti!,41 TAML.AR Att1 "1111.Y 11EPT 1411: quVV.F1BPR 1H, 101, 7 • 40 P.M :;EWAIID 11IG11 !X,11001. A11111` 611111M NEWARU, AIAUMA A G P N D A : A. CALL 1u OR0FR B. PLEDGF OF ALL.F.GIANCF I C. INVOCAT10Nr Rev. Charles Fulty„ ChriaCisn Church D. ROLL CALL. ) E. VACANCY, DESIGNATION OR SEATING OF ASSEMBI,YME:MBYRS (n) Election of Officers 1. Assembly President 1 2. Assembly Vice President 1 F. APPROVAL OF MINUTEST October 28, 1986 1 Appvd. G. COMMITTEE REPORTS 2 (a) Finance (Crawford, Carey, Fandel, Johnson, Keene, McLane, Nash) (b) Lands/Resourcee (Skogstad, Fandel, Johnson, Mullen) (c) Local Affairs/Legislative (Moore, Dale, Skogstad, Sewall, Crawford, Walli) (d) Public Works/Education (Sewall, Brown, McGahan, McLane, Mullen, Walli) (a) Data Processing (Johnson). H. AGENDA APPROVAL AND CONSENT AGENDA 2 (a) a V 86ty56aoement"Granting Across Borough owned Electric Association owned Lands 2 (Mayor) (b) Ratification of Telephone Poll: (1) Location of Meeting (2) Adoption of Res. 86-151 "Agggreeing to Support Any "'ominees rom t e- enai Peninsula Borough Who Legia lativeeCommiitteedand the to vBoard e on tof he D rectors" (Glick) (c) ori. 86-99 "Amending the City of Kenai Land Use p or arson's Homestead No. 2 & 3 (Preliminary Plats) from Medium Density Residential to Low DenEILY We9t, S.M." Section hay r) (INTRODUCTION) North, I. ORDINANCE HFAk1N68 (a) r„ ;, g4_97 "Establishing a Floodplain Management rnFram to Conform to Requirements of the National Flood Insurance Program (Mayor/Glick) (b) Ord.Q`36'8e ub)tcbRecords"C(Pe6ProP Cmtejne for (c) Ord. 86-4) "Establishing a New Chapter 5.09 to Borough Code, for S;arifyin the Form and Procedurej s for the Sub- 0 c a Complete and Acceptable Bid"(Erown) L_ L Ens c:d I Pat .o:,d. J a] r Ord. 86-41 511ha1.1.tUCn "E0leht1"1119 "11 P". r)""F" + egeTcna �rusonr" of the Yu1.11r wor@c U1trr!r.t n u] the Finance Ot.rector a+, all Did (Ijaininµn for Vr-jtlf+f Over 0250,001) to Dotormitm 10allf"tl"nn of Dlddpra and Requiring Strict t;nmpl i nnve with All 1110 11—I f f Etln•-t.ori Cations" (1(a111 6 Mct;ahnn) a An-ml. (d) Ord. 86-82 "Amending rho Boeitigh Code of Ordinancns espact rig Aoeembly Agenda Preparation Deadlines" i Enacted (McGahan) (o) Ord. 66-86 "Amending the Borou��((h Cade of Ordinancen ospect� Reconsideration of foginlation"(McGahan)(+ Pontpnd. (C) Ord. 86-88 "Authorizing the Lease of Borough Patented an e t in Section 36, TBN. R12W, S.M., Alaska. to t Enacted Offehore Systems, Inc. (Mayor) INTRODUCTION OF ORDINANCES (a) 76nTnsu al orougthng the Computerizedpal Purposes of RecordeKenai l Setting Forth Criteria for Classification of Such Records, According to Access and Processing Re uirementst and Providing for the Disposition of Such Clasai- 7 St Hrng. fied Records (Johnson', gg 12/16 (b) OgiBTCed1: "AundetLocatedgWithinyance of Section 17, T7N, R11W. S.M.. Alaska" (Mayor) 7 St Hrng. 12/16 (d) Ord. 86-100 "Repealing KPB 2.12.020 and Reenacting ew a ect on to Reduce the Assembly Membership to 11 Members Upon Adoption of a Districting Plan for 8 Poetpnd. This Reduced Membership" (Mullen) as Amnd. (e) Ord. 86-101 "Amending KPB 21.12 to Prohibit the _gg eposa or Storage of Hazardous Waste" (Nash) 9 1%20 87, (f) Ord. 86-102 "Accepting and Appropriating State fromtthen79- to State of AlaskaAccounts Totalingfor $69,446Grants MadeReceived Chapter 130, Session Laws of Alaska 1986" (Mayor) 9 12/16 e CONSIDERATION OF RESOLUTIONS (a) RDelay eauancelo8^�risita48( pthatiwould ng aAllow Expt the loration for Minerals in Cook Inlet South of the Forelands" 10 Patpnd. (Mullen) Res. 86-148(Sbat) "Supporting the Issuance of Off- e ore Pros ecting Permits in Cook Inlet by the 10 Pstpnd. State of Alaska" (Mayor) (b) Res. 86-132 "Adopting the Kenai Peninsula Borough oreet esource Management Plan" (Mayor) 10 Actn Inc. (c) Res. 86-135 "Directing the Kenai Peninsula Borough ann ng otmission to Prepare a Comprehensive Plan for the River Outside Cities" (Dale, Glick)ADOPTEDW/RECONSIDERAT ON7 Failed Re PENDING LEGISLATION (This item lists legislation which will be addressed at a later - -- - -' not for action this meeting.) !(Sbst) (Nash/Fandel) SET HEARING 12/2/86 (McGahan) SET HEARING 12/2/86 i (Mayor) HEAR 12/2 3 (Mayor)(HEARt1INGING DATEt DATE,1/18/86)86) L_ L� I -I M. I-10))l1AW 11111 'ZIN "ol.o Nl'fil MEFIT I t it N. PU91.11: 1 0 Mrtlr'; AND i't'P)'C vw- ;yinnY;tPw; o,!7 C.ONTA' ' h IN N: A5''5 HBLY'S AGENDA 0. MAYOR'" DFPORT (n) Seward Vl,�od Damage (b) Guatoms Port: (c) CNR Dcadllno Changed (d) ,of tvaro development (o) Lenne option, Diamond Alaoka P. OTHER IUSLNESS (a) Naming of Schools 11 (b) Appointment of Repronentative to KPCC 12 (c) Approval of New Liquor Licenool Anchor Point VFW Q, ASSEMBLY AND MAYOR'S COMMENTS R. INFORMATIONAL MATERIALS AND REPORTS S. NOTICE OF NEXT MEETING AND ADJOURNMENT (December 2, 1986) w MI'1)AI 1'1711111'XI-A �nL+1e�+1d4 it IAll A!N+HIIILY Ifft ! t[lri 11ihllipt; v1:1111ti11 111, leaf„ Iii i .14 ;F,WARI1 HIGH SCUuul., 5l.NANU, AL4_'.YA A. CALL TO ORDFR The regular meatinh of iht+ aonemhly wrta cra114Jd to r-rdrr 1r, +!n auditorium nl the Sewrird Iligh School by Prea. Betty J. G11rP. B. PLEDGE OF ALLI?GIANCE C. TNVOCA`1'ION The invocation was given by Rev. Charles Fultz, pastor A 0-1, Christian Church of Seward. D. ROLL CALL PRESENTi Assemblymember Carey, Crawford, Fandel, Click, Keene, McGahan, Moore, Mullen, Nash, O'Connell, Phillips, Skogstad, Sewall, Wallis Mayor Thompson, Admn. Aest, Beet, Atty. Boedeker, Finance Director Barton, Public Works Director Rakert, Borough Clerk Brindley EXCUSED: Assemblymembera Johnson. McLane E. VACANCY, DESIGNATION OR SEATING OF ASSEMBLYMEMBERS (a) Election of Officers 1. Assembly President Pres. Glick stated nomination were open for the office of Assembly President. Mr. Skogstad moved to nominate Jonathan Sewall as President. Mr. Carey moved nominations be closed and requested a unanimous ballot be cast. There was no objection and Mr. Sewall was elected by unanimous consent. The gavel was transferred to Mr. Sewall. 2. Assembly Vice President Pres. Sewall stated the nominations for the office of Vice President were in order. Mr. Nash nominated Karen McGahan. Mr. Carey nominated Fran Moore. Mr. Fandel nnminated Betty Glick. Mr. Carey moved the nominations be closed. Ballots were passed. marked and tallied by Admn. Asst. Best, Atty. Boedeker and Clef% Brindley. The Clerk announced there would be a runoff between Kareir McGahan (with 7 votes) and Fran Moore (with 4 votes). The result o-' the runoff ballot was the election of Karen McGahan (with 9 votes) a; Vice President. Pres. Sewall thanked Betty Glick for her service to the Borough r.:> President for the past year. He stated she always kept the interest: of the entire Borough of primary importance, never held a paro chii•'t view, through a yaii ,,ade difficult b declining revenues. Whit« that problem remgins, the Assembly wou.-d have the advantage of tt- experience of an immediate past president. Pres. Sewall auka:d Mx. Carey to serve the remainder of the meet±ng Parliamentarian. And do wnuld appoint that position at the end of this meeting. F. APPROVAL 01 MIN'J:E3 regular meeting of October 28. 1986 were apTrovrrl - 1 - L • E' r `e c Y j r.. KFNAt PEN INR111.A ROPQIT -11 11V IU-Alt A','',W111.'r r" CrJMMIT-TFF HEVOUTN CounatcQa Chairmen all 1.vppnrtn'i rUnif ,•,rCJtl�t:nn ,„n, ._:*^ ngenda t.toma except Public Ii Itt" Chalt 'tnwall. (a) Finance (Crawford, Carey, P'andel. .iohnar,n, Koons, ilaLuno, Noah) (b) Lando/R000urcen (Skogatad. Fandol, Johnson, Mullen) (c) Local Affaira/Legiolative (Moors, Date, okngatad. Sewall, Crnwford, Walli) (d) Public Work o/Rduention (:r"wgll, Browa, McGnhnn, McLane, Mullen, Walli) Mr. Sewall reported in addition to a joint eaaoion with Local Affairo on agenda items, the committee discussed problems reviewed in a memo concerning the Central Peninsula Nigh School and some noncnnformina bolts and structural steel and general discussion of quality control procedures and inspections. (e) Data Processing (Johnson) H. AGENDA APPROVAL AND CONSENT AGENDA Mr. Moore reported the Local Affairs Cmte. recommended placing Ord. 86-99 on the Consent Agenda and the Consent Agenda and Meeting Agenda were approved by unanimous consent as set out belowt (a) RCs• cyementAcross Borough owned -las"Granting Homer ctric ALands" (Mayor) (b) Ratification of Telephone Poll: (1) Location of Meeting (2) Adoption of Rea. 86-151(Sbst) "Agreeing to m Support Any Ponees from the Kenai Peninsula Borough Who Are Appointed to Serve on the AML Legislative Committee and the Board of Directors" (Glick) gg (c) Ord. 6 the arsono9HomeesnNteado. 2 613yof Kenai (preliminarynPlato)Map fromor Medium Density Residential to Low Density Residential. Section 30, Township 6 North, Range 11 West, S.M." (Mayor) (SET FOR HEARING DECEMBER 16) I. ORDINANCE HEARINGS (a) Ord. 86-97 "Establishing a Floodplain Management rogram to Conform to Requirements of the National Flood Insurance Program" (Mayor/Glick) LOCAL AFFRS. Local Affairs Cmte. Chmn. Moore reported the committee recommended passage. Public hearing was opened. Sharon Traber, resident of Old Mill Subd., encouraged the Assembly to a opt w atever was necessary to enter the flood plain insurance program. She reported she lives a mile from any stream and did not believe her home is within the designated flood plain and yet the ed manywas close to her ofher neighbors okface rduring rebuildingeshould have the recent flood. Soptionhe t nyn h Of purchasing flood insurance. Charles Ceasara, resident of Girdwood. stated he is owner of the con om n um which suffered approximately $200,000 damage during the He reported without some help from the federal government he :t know how he could accomplish the reconstruction into needed - 2 - a FENAt i CriI1L,1n.A ,,,,� „ I+F'Ct11 Ai n'r't tti y r'F t „1 , hntol npnct+ ,r rnpv l t flint faun rr,i,.1 t r,t if,, 111 , 1 +• A., enact the 1f,Jln,nco n ,+rAor rn {tat tat,+ +lit, 11u„irnr+,- f., I�tL Jaeh Mernn, Hope, t, Vet rt,d to rho 191111„nn of d'+1!lit - "tT-9pwitxtl aren to bath etwimarcial 4411.1 Fen I(ImitInl t.t,.j,.,rry Nr• stated pnoplt+ land boon led It+ believe onnr-frat+t' t,f ilia r,rt131,nt,,. ,r,n necessary to Iles: dionnler rol.lof £nr !;,,ward. lit, h(id lonnrr+i t -It .; the damage was outside rho mnppod 1,, d!:olpnnted arela w),1.!.h �1,•'1] entitle then, to federal divasrer relief, ord. 06-41 rerviftr„ f+o Borough to r_otmnfr. tit federal flootl plain refltstremonrs thrt.•.; n permit procena. He hel.l.oved thin would rofitai.e flit, a whulo nf••a departmont to adminiuto. at a time of budget uonstralnf. Rolf Bardaraon old 14ill Subd., h the hel0repported losing his home to the fl,+,+d planned to build wathouse that wouldswithstandgovernor�anotheru100Tyearlfloodt, on steel pilings. He reported his home had boon 7 ft. above the river after it tied raised 20 feet. N would be coat effective considering what is invested in flood home. A._I, Corbin, Old Mill Subd., urged Assembly support of Ord. 86-97. Dean Rudifer, Old Mill Subd., Seward. spoke lr, favor of Ord. 86-97. ASSE14BLYMEMBER GLICK MOVED THE ENACTMENT OF ORD. 86-97. Pros. Sewall asked for the staff report. Kevin Fenner, Planning Director, pointed out that on the National Flood Insurance Program the insurance is not offered by the Borough, but can be obtained through local insurance agents. Individuals on the Peninsula would not be able to obtain it without enactment of the ordinance. He indicated maps on the wall showing areas which would have to adhere to regulations in order to rebuild, stating of 38 panels designated, possibly 10 might be removed from the progthe ram. Even though the panels represent approximately 52 of the area of borough, the areas delineated as special flood hazard are much smaller. He reported areas flooded which would not have been expected to because of the debris which filled the channels and caused them to migrate. In answer to questions, Mr. Fenner reported the Federal mitigarion team is requesting additional information for the special type of flooding that occurred in Seward. The map that will be developed will not be incorporated into the program. He reported the FEMA representatives have indicated there is no further mapping planned for United her State as is the only Borough. valableHestated thr ugh the flood Federalinsurance the Emergency Management ARencyl they subsidize the insurance rates with a long term interest in reducing flood losses. Lending institutions WRY require home owners outside the special flood hazard areas to get flood insurance although that is not a requirement of the ordinance, but they will not be subject to the building regulations. In regard to enforcement, Mr. Fenner stated FEMA does not :equtt? Borough peroonnel to search out unqualified structurest they w1;1 periodically investigate and if they determine the Borough is not doing adequate enforcement it will be removed from the program. rt will be advertised that permits are required to build in the :,peci3l flood hazard seas. He stated an applicant's property would be reviewed to determined whether they were in the special flood hazaco area. If that were the case, they would be provided with detailed information. As to the question of staff time, he anticipatt•d eeth permit would regaire approximately 4 hours to process. — -------orted enforcement of the ordinance could require two employees if the program is admiuiEtered a:. A representatives. Several possibilities !nclud. .mplementation has not been entirely planned -3- L L RE.NAI VENIHS111 A 1',011011(31 9FFIA?IAli Ati;i")At.Y lIffttf- "1 ' „0 ;�r-u , • "I", Mr. Fanner reporred tho ou. „ml l,nrt of flit, permit pr+, PI,, - 411 hr a requirement Chat the potmt-,-, wnilld lwvu 1., 11it i, r,a.: ,nfrifv according to throe npecial Innpn rant rhoy trnvo elnvntau tht, 100-..,•tirrn or taken either ra(uiroil tii-opt,. An the nannsnnrn Iorn,,a rev structures identified to he within Ilit-oo opucl.ol ernes, rhny wr,uid ho chocked to -ea if they comply. Exintinl otroctorep w,aj)d tin gqrandfnthered i.a. If n person, now to the area, built In tho designnted aces in ignorance of the law, the )egnl depnritrannt wnleld have to take stopn to have it removud. Atty. Boodaker roportod violationo could be handled In two way", an described in the nubdivinion code where a violation is n mtndemonnor and each day a separate offense nubioct to a fine of up to 5300, or proceed with an injunction under TiCle 29 to conoo occupancy. In reference to the statement that Federal help was available without participating in the program, Mayor Thompson stated relief would be available to those within the designated flood area if the Borough comes under the programs those outside it would receive disaster relief in either case, but not insurance. Mr. Beat added it has been suggested lees money would be available for mitigation programs if the Borough does not come under the program. Funding that has been approved has not as yet arrived. Pros. Sewall passed the gavel to Vice Pree. McGahan in order to report the relief available to victims outside the designated area would not come close to what they would receive from an insurance policy. Other positive aspects include that considerable improvement would be possible in the 100 year flood areas through the program and the restrictions as to building only make good sense under the circumstances. The gavel was returned to Pres. Sewall. ASSEMBLYMEMB£R NASH MOVED TO AMEND BY ADDING A NEW SECTION, "21.05.060 Enforcement. The Borough Attorney shall promptly seek injunctive relief including cease and desist orders, removal orders, an contempt proceedings for violations of this chapter which come to the attention of the borough administration." Mr. Nash stated with this section included the borough would not have to have special investigators out in the field, the neighbors, banks and assessors could report violations and the legal department could take it from there. Mr. Carey objected to enacting law without the intention of enforce- ment; with the attorney's statement he intends to enforce it, he saw no need for the amendment. VOTE WAS CALLED AND THE NASH AMENDMENT FAILED BY A VOTE OF 8 YES TO 6 NOl Carey. McGahan, O'Connell, Skogstad, Sewall and Walli voting No. Mrs. Glick recalled past years when the Kenai River overflowed its banks and areas such as Tyonek and Anchor Point have also suffered damage and she believed it would be a good thing for the whole Borough to have the choice whether to purchase flood insurance. ORD. 86-97 WAS ENACTED BY A VOTE OF 11 YES TO 3 NOt Carey. Keene and McGahan voting No. Pres. Sewall called a 15 minute recess. (b) Ord. 86-80 "Establishing Code Provisions for Access tofu I c Records" (P 8 P Cmte) PSTPND 10/14/86 There was no public comment. ASSEMBLYMEMBER GLICK MOVED THE ENACTMENT OF ORD. 86-80. "" - - ---------� regarding the difficulty of considering lengthy by Mr. Nash along with the ordinance as written. - 4 - L _. 4 KrNAI 1IFNIN'MI AI�,pi,l' :11 VIA-111,AH A' 'a t1N) i ASSFMHLYM{?F1RF.'+ ASSEM!iIIIIST1' YMEUTF. + . ►' .r n v 1N� upt'ul+All'71, 11!', 1'P+ri' ,::f 1, N"�`il "; WAS APPR':)VM:u +tY C,Nh; ,itn1`,; rrrti:11iN1'. r Ord. f;i,-'J "i;utnt�!ltrl,fnp, a tJnw r:hnptvr i.r)'' ''Lv Vs,,,7 e) Coda flit' lr,attncr)otin {n,lfvin,� rt+ punTttou�n ,.errut)Sh Farm and 1'rer'echrran for thu 'iuhmtonlr,e of .c Cr"mylc Form lnblo Hid" (rirown) 1'TiTPt4l) IrO I!!18/8/+ pl)1a.1(. W01+Y Ord. 86-4/ SubotituPe "rotablinhir..F. A1? i'r, ruduruo r,. Aeq—t3ra ti-tc�i'e9enco rrf tho public WbYkn USPttilLn FinunDant�tt' co Director, B for Mn1er Bond land the Harouµµh Atturw'Y at, atl Bid Contract, pr")ecto Uvrr $500,000 to Determine Qualificnt.ionn of. Bidder'n and Requiring equi(WallingStrilMcGahan)C6PSTPNDcfO 11/18/96 PUBLICe with All bid cWORKStiunn" There was no public cement on either 86-47 or the Subotitute• t Of Ord. eGaba asrpatoroverrc ect Public Works Cn.CeexperienncedBin dthe apast The er rear which have ecommended enactmenteofethe Substituteen addressed iwithhsub tantial amendmntsoe There was discussion of previous action on the two f obrodtinances and some confusion expressed on the setting for hearing ASSEMBLYMEMBER CAREY MOVED THE ENACTMENT OF ORD. 86-47(SBST). ASSEMBLYMEMBER McGAHAN MOVED TO AMEND THE TITLE OF LETORD86"AND TH BY ADDING "AND" AFTER "PUBLIC WORKS DIRECTOR", DELETING "AND THE BOROUGH ATTORNEY OR HIS DESIGNEE", SUBSTITUTING "OPENINGS FOR "CONTRACTS", DELETING "MAJOR BOND ISSUE" AND CHANGING "S500,000" TO 1S�future".ANDLEmajor bondlissuRST esEltEAS CHANG NGE'S500 000'GTO 'S25014 C000N ,t ADDING and AFTER "public works director" AND DELETING "and the ` UBLIC WORKS attoz AND B Aor PPROVED BY his desi STAFF AS THEO AMERECMMENDME TY WAS THE PAPPROVED BY COMMIUNANIMOUS CONSENT. �QQS�iNNTRICTACOMPLIANCETO AME14D WITH ALL TO STRIKE FROM TIRE ID SPECIFICATIONS" TITLE, AND STRIE,THE 4N "WHEREAS" AND STRIKE SECTION 2, RENUMBERING SECTION 3. FOLLOWING DISCUSSION, AMENDMENT WAS ADOPTED BY UNANIMOUS CONSENT. )osoned if to t forosomeoreason the Finance i Directorg oruPublic ld eWorkseweretpdetained outside the Borough. Attv. Baedeker stated this was true, a desigr,,e would not be allowed. An acting director according to job descrip- tion, would be qualified. Mr. expr for the out �f town bidder if a bid wasp Pe were and PublicaWorkso staffs agreed it was problems asdiscussed workableproposaln ce)rttainly work trying. ORD. 86Nash -BSO)ConneEENACTED SAS AMENDED BY NaVOTE OF 10 YES To 4 t:t'1 Fand (d) O�s.e'16-82 ARsembly AgendaaPreparationh Code oDeadlinesces _ p c t n g Y (McGahan) There was no pubs lc c:umment . AGSEMBLYMEMBER McGAHAN MOVED THE ENACTMENT OF ORD. 86-82. Mrs • 14cGahat1 ut.ated t1ne only change proposed by the ordit,ance. was to on or telephoning in of endrequested to beleavai l ao I islatton '.bc equiring an outline aR since the Borough is now closed on Frid.ya. �I I(ENAI PEN IN3111A LIV11lHh.F1 Nk4VfA A'.'�"nl ORD. 86. q; NAn ENAC 11131 nY tltlAlt it'rnCr r ',vas i (o) Ord, 96-11b "Am"T11109 tiro oapoetTg Ntirunnidntat l:,n ,f I vo atnr. i"t". - { Ib r Thore was no public r,rimmuttt. ASSEMBLYMEMBER McGAHAN MOVED Tilt: hNACTHVNT nV tr0t1, Mrs. McCahan cetnment.odtt(�hen�t of the na en la an�drrn�yctr+{nhri4rd tut customarily placed at g completed prior to the midnight doodiine, they are nu.. c.rrF:ed r.ve,t to the next meeting. 'Chin change would create r, nyaciol { intro for ' such items following Ordinance Heariagn- ated Mnson's Manual of Procedure allown a peratin to Mr. O'Connell at make the lace to reconsider at any time --he need not wait for a ifeaiopecialcitem i9h created forTitton rthelagenda, to placed in jeopardy has the is me ointed out a motion to effe t as reconsideringrascind to previous action - FURTHER in order which j, AFTER DISCUSSION, ASSEMBLYMEMBER MULLEN MOVED TO POSTPONE ORD. 86-86 TO THE NEXT MEETING AND IT WAS APPROVED BY A VOTE OF 9 YES TO 5 NOt Fandel, McGahan, Moore, Nash, Phillips voting No. **ASSEMBLYMEMBER MC GAHAN MOVED TO SUSPEND THE RULES IN ORDER TO TAKE r UP RECONSIDERATION OF RES. 86-135 PRIOR TO INTRODUCTION OF ORDINANCE3 AND THE MOTION WAS APPROVED BY A VOTE OF 11 YES TO 3 NOt Carey, Na-h and O'Connell voting No. i (f) Ord, 86-88 "Authorizing the Lease of Borough Patented an s t in Section 36, T8N, R12W, S.M., Alaska, to Offshore Systems, Inc." (Mayor) There was no public comment. i ASSEMBLYMEMBER GLICK MOVED THE ENACTMENT OF ORD, 86-88. Mrs. Walli noted the memo states 37 adjacent acres are already leased to the f mpany oa m y theveBorough e and she believed this sufficient for placement Mr. Keene reported calls he has received on this issue indicate this { company ie not one that practices local hire which the Assembly has taken a position on. At least it should be looked into before leasing another acres at minimal coat. In response to Mrs. Phillips' queetis t Mr. 8oe stated the of Borough assessed value annually, itypically used for leased lann d and based on state leases they are 55 years duration. Mrs. McGahan reported the company is guilty of hiring outside people to worl-. on the dock, bypassing local longshoremen, but she did not think hs local hire issue should apply to this type of action. think nc9 the company has offered to share use of the tower with the Nikieki Fire Dept. Mr. Carey noted the location is approximately 1/2 mile from the — Nikieki high School site. ASSEMBLYMEMBER CAREY MOVED TO POSTPONE ORD. 86-88 UNTIL AN ANSWER TO �. THE REQUEST FOR COMMENT IS RECEIVED FROM THE SCHOOL DISTRICT. MOTION FAILED BY A VOTE OF 4 YES TO 10 NOt Carey, Fandel, Keene and Walli voting Yes. ORD. 86-88 WAS ENACTED BY A VOTE OF 11 YES TO 3 NOt Carey, Keene and Walli voting No. l _6- L L lb -I r__ KENAT _PEN1NSUt A rtnNl In( ltLr�(il_AII n'.'•t t+fl' Y tfc c �i(-• -t I'. .,- +* (}t) Hen. tih,lt4 "U1re't 111A tI" i"s,rd P..r,^„ '.i11 - '/ F'.orin}Y arn►uulnn Pu Prnpntr, n r.�•�I.,nt,nn,:"r, I' for tao El rat kl^er (•rrtrirh"r Irutrotrtr, (.1 Irri" ':r,,•, G1 ic:k) AI+r,P1'F.0 W/PVA'(11J!j1 DEPAI Ilr'lr LANI,'tlt r l AI. ! i YA r' ASSEMBLYMEMIER MtA;A11A9 t-IOVil() TO RFV(JtVl:)JEli tli:: H4-i Local Affalva ('mta. Chairman Mnere repnrtect 1:he cutraai+tr•o ror " ++r1 rather r Landing ntn airlering to ogentl dCll nt at0eta � nKa Coop VOTE, WAS CALLFD AND RE.CONilDFRATION FAILED BY A VOTE OF Crawford and McCahnn voting Yen. **ASb14MBLYMEM1BER MOORE MOVED TO SUSPEND THE RULES TO (;01151filil� NY. C86-148 IMMEDIATELY. arey, McGahan, Moore, THE MullenMOTION andFAILED SewallBvoting. VOTE Yes�F 5 YES TO 9 tJO; J. INTRODUCTION OF ORDINANCES (a) Ord. 86-71 "Stating the Principal Purposes of Kenai en nsu a Borough Computerized Recordst Setting, Forth Criteria for Classification of Such Records, According to forAthess and DispositionsofnSuchgClassified Recorand rdsvidig (Johnson) 6ND ASSEMBLYMEMBER WASAPPROVEDLICK TO SET UNANIMOUS FOR HEARING DECE14BER 16, 198 (b) Oan•s86o9ateduWithiniSection Conveyaof nce R11Wt,gS.Patented Moo Alaska" (Mayor) LANDS ASSEMBLYMEMBER SKOGSTAD MOVED TO SET ORD. 86-91 FOR HEARING DECEMBER 16. 1986. Mr. Skogstad reported the Lands Cmte. has considered the conveyance and had some concerns as to what assurance the borough has that if subject land is conveyed back to the state the borough would be breimbused etterr rfor the borough Ato conveyapplicant. lso it uestioned whether it would not be directly to the applicant Mr. Bat wouldereceiveted in anothere40rn for acres in its conveyance the borough entitlement account. Mrs. Phillips believed it would be wise to wait until the new state administration is in place to make the transfer in order to ensvIre continuity in the transaction. ASSEMBLYMEMBER NASH MOVED TO ADD TO SECTION 1 AFTER "disposal to", State THE SENTENCE o WRITTEN settlement of the claim:" STRIKING THE BALANCE transfery yhigh value did not `lievlandeto it in the best interest thestate on he promise an equalonumber of acres would be credited to the borough. O'Connell Planning t the disposalaction and Mrs. Walli noted from the letter voted lett rfromgthesstate, there is question as to the validity of the applicant's claim. Mr. Nash noted the letter suggests the federal ggovernment could sue ot convey the title. Mr. Boedeker. did not the borough if it does n know if the overnment would sue, but if it determined the claim AS, valid it could take the land and the borough would not receive an;r .otments get priority. r WAS APPROVED BY A VOTE OF 13 YES TO 1 NO; Muller, - 7 - L • 07 KENAI PENINSULA UO}i011CN_Ftl�Glll-AP A'ii1F-t1iq,7 teFI;+1S, t+E t 'lf,°N ,a. ' Ann FURTHER Discim8"Ou. ()PI). "fi.91 WWI !,Vt P'P ItiPI'!I" G, BY A VOTE OF 9 YES T(1 9 Nlit Corny. Feonn, 'r ,t,t,� i l , '.✓ •r. •"a 7 n,..1 Walli voting No. (d) Ord. g6-100 'Hopealing ypn 1 A Z A)'LO and H,+rnet r t ni; n t1f1H iiin tiu ltedttco the Aonotiibly Mcmberahip to, 11 11r',,born Upon Adoption of a DietrictinKK plate for Thin Reduced Membernhip" (Mullen) LOCAL AFFAIRS Jack Mornn, Hope, atatod an 11 raesiher aoccmbly w:11 not necuooarily unct on otter. The larger body allows for divornity of tha population it oorvon. ASSEMBLYMEMBER MULLEN MOVED TO `;FT OPD. 96-100 FOR HEARING DF.CFMBBR 16. 1986. Mr. Mullen reported hearing commenta I,oroughwide that the asoembly io too large to work efficiently. Also, the lanue of equal repreoenta- tion needs to be addressed. He stated he would propose amendmento after it is act for hearing. Mr. Moore reported Local Affairs Cmte. discussed but came to no conclusion on the ordinance. Mrs. McGahan spoke against the ordinance, recalling what happened in 1980 proved it is not wise to start with an ordinance and follow with a plan. If the assembly wants to reduce its size, it should formu- late a plan and then develop an ordinance. The inability of the assembly to agree on a plan in 1980 resulted in the state taking over reapportionment and designing the plan. She did not think it had been proved a 16 member body was unwieldy. Mrs. Phillips supported the concept of reducing the size in response to many comments from constituents but was not sure the number 11 needed to be specified. Mr. Fandel suggested better utilization of the committees could result in shorter more efficient meetings rather than reducing the number of members. Mr. Carey reported two years ago a comparison study was made which showed the central peninsula area was under represented. He tried to et consideration of reapportionment but the argument was reduction Is size needed to be discussed. He urged the ordinance be set for hearing and work on the problem begin. Mr. Moore stated each member needed to take on the responsibility of increased productivityi the number serving was not the problem. ASSEMBLYMEMBER NASH MOVED TO AMEND BY SUBSTITUTING THE FOLLOWING TITLES "CREATING A SPECIAL COMMITTEE TO STUDY ASSEMBLY APPORTIONM-ENT" STRIKE THE LAST TWO WHEREASES AND SECTION 1, RENUMBER SECTION 2 AND DELETE FROM IT "within 60 days of this ordinance", SUBSTITUTE "conduct" FOR "prepare". ADD "study and make recommendatione to the assembly.", STIKING THE BALANCE OF THE SECTION AND STRIKING ALL OF SECTION 3. Mr. Mullen stated rather than see this amendment pass, he would prefer not to introduce the ordinance. if the assembly does not wish to deal with the issue. perhaps the initiative process would. He inted out if the assembly, were reduced to 11 members it would still goamong the largest in Alaska. with only the Senate and House of Representatives being larger. He recommended the plan that would be developed by the proposed committee be approved at the next regular election. THE NASH AMENDMENT FAILED BY A VOTE OF 6 YES TO 8 NO( Crawford, Fandel, McGahan, Nash, Skogstad and Sewall voting Yes. - 8 - P �' 40 Z� r KENA1 PS,NItl:;ll1.A It11Pr '1.!1 hl'I,IILAII A'';'',l fin, 'i ur 11 A';SVMBLYiIFMBI`II 1'IIII,Lfl'!; ItIovj T1 "In A111-llll 110, !,i^tbr P "1 ' h APPOIN' IM6 A Gviitlll IVE Gl(Op! co Ih I'r PAY', p'rl, 11 :;A r•Vf 1'+ ;� VOTE OF 13 VES It, I 1,111 M.-Gahan v„r ink; Ili-. A5SEMBl,YMF.1'111VR MIi1.I,V,!l I4011ED TO AMEND !;f•.CTION t 11) 1"1'" " 1. •, i of thin ordinaece ahn1, ,nl•e effect ,ifter vutr,r. nt,pr,•vnl.,, In df.ncuselon ui fill'inlple�nept'atIon of 1ho ordlnnme, tor. 11.111,n stated whirGher tare ap[+rnvnl of tilt+ plan or the r lert.irn „f the r a anoembly wan Act!nmp1131Ud by regular of special u1r, t luu Waal t I,r• the deeisfort Of the committee propened by the ordinance. ASSEMBLYMEMBFR KEENE MOVED TO AMEND BY 9TI1iK.ING ALL. RFFEitEI;C . TO : l MEMBERS TO GIVE THE COMMITTEE THE. DECISION AS TO THE NUMBER. N.OTlt1i WAS APPROVED BY UNANIMOUS CONSENT. FOLLOWING DISCUSSION AS TO HOW TO 114PLEMENT THE ABOVE AVENDMENT, MEETING ANDBER IT WASLLEN APPR APPROVEDD FOR POSTPONEMENT BY UNANIMOUS CONSENT. THEURCEMBER 1 ending to the (e) ord toragelofAtiazardouaPWaste^2(Na h)oPBLCtDisposal WR1tS/LCLAFRS Ed Oberts, Sterling, stated this is an emotional issue, but someone must tam responsibility and as the assembly, the body cannot just say No. If everyone just keeps hoping the problems will go away and no one solves them, someday we'll have a real mess. ASSEMBLYMEMBER NASH MOVED TO SET HEARING FOR ORD. 86-101 FOR DECEMBER 16. 1986. Mr. Moore reported the Local Affairs Cmte. reviewed the ordinance and recommended hearing be set for the second meeting in January with interim referral to the Waste Disposal Cmsn, Pres. Sewall reported the Public Works Cmte. concurred with Local Affairs. Mr. Nash stated the purpose of the ordinance was to focus on the real problems at the present time there are no standards or requirements. if the state or federal government decided they wanted to make a disposal or storage area within the Borough for the rest of the state, which is what they are considering, they could do so without any real involvement by the residents of the Borough. When there was consideration of incinerating PCBs on the North Road he introduced a similar ordinance and after eventual enactment, the Mayor vetoed it. Following that action a resolution was introduced to develop standards funding was provided to get proposals to write the stand- ards, it was transferred to the Waste Disposal Cmsn. But the administration sis writing e the statedid standards anot. thtce wasnoneedfor duplicationnow it seems the ASSEMBLYMEMBER NASH MOVED TO AMEND THE NEARING DATE TO THE SECOND MEETING IN JANUARY WITH REFERRAL TO THE WASTE COMMISSION. THERE UAS NO OBJECTION. ORD. 86-101 WAS SET FOR HEARING BY A VOTE OF 13 YES TO 1 NOs Carey voting No. **ASSEMBLYMEMBf.R MOORE MOVED TO SUSPEND THE RULES TO TAKE JP R01 86-155. Keene, Moore MOTION lash FAILED Phillips VOTE OF 7 YES TO 7 voting Yes. NOs Carey, Gli^.k, (f) Ord. 86-102 "Accepting and Appropriating State Grant run -as to Project Accounts for Grants Received from the Statt of Alaska Totalingg $69,446 Made by Chapter 1.30, Session Laws of Alaska 1986" (Mayor) FINANCE ASSEMBLYMEMBE,R CRAWYURD MOVED TO SET ORD. 86-102 FOR HEARING DrCEMer.!! -__ •..- .- WA" APPROVED BY A VOTE OF 10 YES TO 4 NOs Carty Id Wa?li voting No. - 9 - L of KENAII PENINS(11.A 1A01Vl1!t41 ItV4.111,AN K. CONSIDERATION OF Nlbt►LU1'llttl! (a) Rea , Oh- 14H(A14) "Kvrynwiting That tho itbt.l. N!Inr Toduariclf-du-pdnnirn that: a:.nld AI low Enpl: for Mineraln Lit C•mk Inlet 11+mrh if tiro Nc.relz�n.ir:" (Mullen) LANDS/RESOIIRCI'.J Rea. 86-148(Shnr) "Supporting, the Ianuance t,f ttftt:kare roepecC ng Pernilto in Cauk Inlet by the "rat" 01 Alaska" (Mayor) LANDS/RESOUPCES Ed Oberts, Sterling, spoke in favor of the Subatitute, holiovir:x the e ort put forth by the industry denevven the opportunity rn at lesat investigate the resource. Jack Moran, Hope, spoke in favor of the Subst+tute, ntated there are no sty of the bottom of Cook Inlet and he felt permits ahn+tld be issued for prospecting. ASSEMBLYMEMBER MULLEN MOVED TO ADOPT RES. 86-148(AM). Mr. Moore reported the local Affairs Cmte. recommended postponement to the December 2 meeting in the central peninsula area. ASSEMBLYMEMBER MULLEN MOVED THE POSTPONEMENT OF RES. 86-148(AM) AND 86-148(SBST) AND THERE WAS NO OBJECTION. (b) Res. 86-132 "Adopting the Kenai Peninsula Borough re ost esource Management Plan" (Mayor) LANDS CMTE ASSEMBLYMEMBER SKOGSTAD MOVED THE ADOPTION OF RES. 86-132. Mr. Skogstad reported the Lands Cmte. had considered the resolution and approved it as a means of setting up procedures for letting of timber sales on borough lands. They recommended amending the "adopting" to "accepting" which will detail procedures outlined in the pamphlet which will answer concerns expressed by callers. *PRES. SEWALL ANNOUNCED THE MIDNIGHT DEADLINE FOR LEGISLATIVE ACTION. Mr. Moore noted items remaining on an agenda used to be addressed first on the following agenda. The Clerk reported this was done in response to a request from the President. Recently, items remaining have be placed at the top of the appropriate category, but not as a separate item prior to the new agenda. **ASSEMBLYMEMBER NASH MOVED THE RESOLUTIONS REMAINING ON THIS AGENDA BE ADDRESSED FIRST ON THE DECEMBER 2 AGENDA AND THERE WAS NO OBJECTION. L. PENDING LEGISLATION (This item lists Legislation which will be addressed at a later time as notedi not for action this meeting.) (a) Ord. 86-92(Sbst) (Nash/Fandel) SET HEARING 12/2/86 (b) Ord. 86-94 (McGahan) SET HEARING 12/2/86 (c) Ord. 86-96 (Mayor) HEAR 12/2 (d) Ord. 86-86 (McGahan) (HEARING DATE: 11/18/86) (e) Ord. 86-88 (Mayor) (HEARING DATEt 11/18/86) M. FORMAL PRESENTATIONS WITH PRIOR NOTICE UPON SUBJECTS NOT ON THE MEETING AGENDA Mra_ Glick reported both Louie March and the persons scheduled to -ive were unable to attend this meeting and would be :e next. ITS AND PUBLIC PRESENTATIONS UPON MATTERS NOT THE ASSEMBLY'S AGENDA - 10 - A a a —I J 11% KF.tIAi pI.t4It4 l.[• r�ui•��.�rf YFI,t'IA1� AV,If!r,�r r t i l• n R•1 .i , it , , "10 rr+ � . . 5hefl.t i-tnct'n, ,cunt�l, >> 'i I I, , ,. . rt n.l 1 inp, +hit 1np ' 1�+ f rltp u1J FTl) T 1�uv, 1 , , ; ' . . t of Par i.vp 1101 n,n unn lit) tr�FU m,+r"t„ ,r i f �eot t •ty the 1.1' f tlf;r npnntti tttr I.c,nt t-t lit, t.p. 1L) hu;ar:. At nit-,nl', 011 hpn11111"tt I rP+(1� 1 r11 Y lit") t'd(" would br rp(,)tu'o.d u, i u, eHn• At s,,^oi r,n+1 H1i1 the culvert,! are n11"ndv f 111fnf, ofrh v, thprp to fur that runt Iff, WI111 the (+n'+vnpt •,1 J.kold nc,u olt,ept icism han crept lut ihpy nrlp•,i fnf,+tt^at.+ ,n t,r• 1'+""1' `"t attention to lit" m,lttpr, :;t'orIitt� addresaod rhp Iuahftiry at t4„ enr.ta•hly to h.d Oberto' hill 4' nn;nptit.n Wer TTF1:_Ai_Tca agenda nr the mppcini{. (Mllflt p icked up on taps• . ) O. MAYOR'S Rh:PQRT (a) Seward Flood Damage Mr. Best stated adminisrration is trying to complete with representa- tives of the state and federal government, a damage ourvey report and to determine how much money will be available to replace the bridge. Design depends on the budget and this has slowed down the process to replace the bridge, mmayor Thompson read a letter from Rep. Don Young in which he livesthat no e were lost and much tile ,addition 1 publiceqnonse to the and privated. the s loss of property was prevented. (b) Customs Port Mayor Thompson reported an effort had been made to meet with the regional commissioner on the issue but it was unsuccessful, tie stated Customs tService doesn't really want to expand tohey are workinthrough Sen. Stevens fany new ice but areas. the (c) Deadline for comment on mining proposal Mayor Thompson reported the receipt of a letter stating the deadline for public hAspen proposal 9 rpasarequ sted specting in Conk Inlethad been backto J (d) Software development Mayor Thompson reported the borough has been approached by the Burrough's Corp. concerning the marketing of the assessing program. The borough could contract out the rights to a software package and receive royalties to recoup some of the costs of developing the system. Also the workload of the Data Processing Dept. will begin to decrease as the conversion process is completed, and personnel rnnel no longer needed would be free to represent the assessing package. (e) Lease option, Diamond Alaska to anek Saturday, November 22 orted the fornaihearing onwould hebproject, assembly emb-tan could attend. Pres. Sewall reported the local Soil Conservation Cman. annoulced at the Seward City Council meeting that some emergency funt's u!t%' available for dredging out streams filled with silt. Mr. Best stat.ad he was following 4 Ott It- P. OTHER BUSINESS (a) Naming o: Schools Mrs. McGahan rPP°�ited ewedoandhtheinamesschosenrweresHoltehoadthat :lerct�ttn L • UNAI PENINSULA 110114111611 PV01I-Alt A; _ ,111111 Y ""V i 11.1, y,i rnty for the ned H1h.luki n,h,,, t ,:n,l �•,' {r, � ace end Kenat oiemnnt:ary no that u' w be rlhle to locate rho pehnoln print ly by rhrair ilea'r r Mr. Mullen reported the Diatriet. tpprp»rnt++t tv.a had ''.n not ss vet dot ided on a name for t-he new hiMh grh"eI Soldotna. (b) Appotntment of Repreoentntive to Kl'C(: ASSEMBLYMEMBER MOORE MOVED DAVID CARRY BE HEAPPOIt471'IU " A.`=':.!IBL•t REPRESENTATIVE TO THE KENAI PENINSULA COM141MITY COLLEGE Brl/•Ht' ANI) IT WAS APPROVED BY UNANIMOUS CONSENT. (c) Approval of New Liquor I.icennet Anchor Point There was no objection to issuance of the license. Q. ASSEMBLY AND MAYOR'S COMMENTS Mrs. McGahan commented that although the assembly eeetinp,s are lengthy and much time is spent on some items, when they have serious consequences for people she felt it justified. Being efficient is not more important than being careful. Mrs. Glick reported at the AML Conference, all the appointments to legislative committees recommended were approved. Mr. Fandel and Mr.. Nash were appointed to Finance/Taxation Cmte., Mr. Keene was appointed to Education Cmte. and Mrs. Walli and Mr. Skogstad were appointed to the Lands Cmte. Mr. Skogstad was made Co-chair and the committee will be dealing with land entitlement as a Subst. for SB 414 has been prefiled which would have an adverse effect on the KPB. She stated her appreciation for the privilege of serving as president of the assembly. Mrs. Phillips reported she also serves on the Community College Council and requested Res. 86-155 be addressed at the December 2 meeting which would be helpful at the meeting with the college Board of Regents on December 4. Pres. Sewall stated members would be hearing from him for indications of serve was Parliamentserve arian for the coming year requested Firs. Glick to R. INFORMATIONAL MATERIALS AND REPORTS S. NOTICE OF NEXT MEETING AND ADJOURNMENT Pres. Sewall stated the next meeting will be December 2, 1986 at 7:30 p m. in the Borough Building, Soldotna. This meeting adjourned at 12:40 a.m. Date approved w o� /��� K/. nat an ewa seem y tea. AT ST: 0 oug er - 12 - 0 a' A f YF,tiAl F'G�IIt�5UtJ1 DhR�;t'%;N PE(;tit.AR A9gF.M11LY tVETING tAINUTE9 LICTUBER Zy, 10964 71,10 P M, POR011GN ADMINIGTPATIfit7 0111LUING gOLDOTNA, AI.ASVA - A C E N B A- p, CALL TO ORDER 1 B. PLEDGE OF ALLEGIANCE 1 C. INVOCATION, Rev, Sam Hinkley, Church of Chrisr 1 Funny River Road 1 D. E. F. G. H. ROLL CALL VACANCY, DESIGNATION OR SEATING OF ASSEMBLYMEMBERS (a) Res. 86-149 "Correcting Certain Vote Tallies Shown in Res. 86-141 Certifying tt►e Results of the Regular Borough Election Held on I October 7, 1986" (Mayor) (b) Presentations by Candidates for Appointment I District, Seat C (c) Selection of District 4, Seat C Assembly Member 2 (d) Oath of office. District 1 and District 4 2 Assembly Member APPROVAL OF MINUTES% October 14, 1986 2 COMMITTEE REPORTS 2 (a) Finance (Crawford, Carey, Fandel, Johnson, Keene, Nash) (b) Lands/Resources (Skogstad, Fandel, Johnson, Mullen) (c) Local Affairs/rdgis) latie (Moore, Dale, Skogstad, Sewall, (d) Public Works/Education (Sewall, Brown, McGahan, McLane, Mullen, Walli) (e) Data Processing (Johnson) AGENDA APPROVAL AND CONSENT AGENDA utility (a) oncLotsn2,f3, 400Blocka10 12, Nikishkaot lSubdeasement vi ion, Fox Addition, Section 1, Township 6 North, Range 12 West, S.M. LOCAL AFFAIRS (b) Vacation of 1 foot strip of a 10 foot utility easement within Lot 1, Echo Hills No. 5, Sandpipper Addition, Section 10, Township 4 North, Range 11 West, S.M. LOCAL AFFAIRS (c) Vacation of a portion of Cove Circle, Kucbta Sub- division 02, Section 29, Township 7 North, Range 11 West, S.M. LOCAL AFFAIRS (d) Liquor BlClubBBSterlingeHwy store) Red Diamond Center transfer of ,, 86-147 "Declaring Vehicles and Apparatus of ear reek Fire Service Area as Surplus and :horizing the Sale of the Vehicles by Sealed i" (Mayor) 1. 86-92(Sbet) "Reorganizing and Reestablishin z esource eveloppwent Commission and Recodifyig ng g toe then Assembly"(Nash/Fa2 and ndel)nBE�aWING 1212/86 di a (g) Ord. 86-94 "E.otahlinhin8 Ponalrlon f."r Vio►&i,•n F,f 4.96. i40 Pr-Ahihition on Una of Publi"• Mf,rltoo rfi Advocate Paeanµa of a 8d11Ut Pcupuu i r l"n" f "f'"bar, ) ► SET HEARING 12/2/86 ) I. ORDINANCE HEARINGS (a) Ord. 86-84 "AmondinK the Seward Urban Diarcict Zoning oLo3o Chapter 21.78 Within the City of Seward" fM4 vnr> LCL AFRS b LANDS CMTE. A Enctd (b) Ord. 86-89 "Accepting a $6,500 Increase to a Grant rota t e Late of Alaska for Continuation of the Coastal Management Program and Amending the Grant Budget" (Mayor) FINANCE 8 Enctd (c) Ord. 86-90 "Accepting a Grant from the State of Alaska or un ng Staff, Travel and Consultant Services for Work on the Coastal Management Plan" (Mayor) 8 Enctd J. INTRODUCTION OF ORDINANCES 11 (b) Emergency Ord. 86-93 "Establishing a Floodplain Man- agement Program toConform to Requirements of the National Flood Insurance Program' (Mayor/Glick) 7 Dftd (d) Emer enc Ord. 86-95 "Appropriating Funds for Disaster e e ayor 7 Enetd (e) Ord. 86-96 "Appropriating Funds for Disaster Relief" Mayor) 7 H2/2gg (f) Ord. 86-97 "Establishing a Floodplain Management program to Conform to Requirements of the National Flood Insurance Program" (Mayor/Glick) 7 Hugs 1 _ K. CONSIDERATION OF RESOLUTIONS ' (a) Res. 86-150 "Permitting the Kenai Peninsula Borough town Enter the Federal Emergency Management Agency q Flood Insurance Program" (Mayor/Glick) 3 Adptd (b) Res. 86-152 "Providing Tax Adjustment for Properties 6 Adptd Aftected by the Flooding in t e Borough" (Mayor) (c) Res. 86-153 "Authorizing the Public Works Department to freg9tiate a Contract with Construction and Rigging Group for the Construction of the Lost Creek Bridge and Access Road" (Mayor) 6 Adptd (d) Res. 86-148(AM) "Requesting That the State Delay issuance or Permits that would Allow Exploration for Minerals in Cook Inlet South of the Forelands" ► _ .. (Mullen) 8 Action + Inemp t 1 Res. 86-148(Sbet) "Supporting the Issuance of Off- shore ProspectLng Permits in Cook Inlet by the State of Alaska" (Mayor) r3 r S. i NOTICE OF NEXT MEETING AND ADJOURNMENT (Nov. 18, 1986) L w I, 11 0 N VtNAI PF1MJ!;If1.A P1-,Pf-r1!r-:11 REGULAV At S091.Y MEETING HI*PUIF' o:T013F..I3 28. 148fil 7 10 P.N. ROROUGH AOHSt11.3TRA` ION 1111ILUI1113 1;01.(10TNA. ALA`;VA A. CALL TO ORDER The regular Asnembiy meating wan called to order at 7-10 p.n. by Pren. Betty J. Glick. B. PLEDGE OF ALLEGIANCE C. INVOCATION The invocation was given by Rev. Sam Binkley, pastor of the Church of Christ, Funny River Road. D. ROLL CALL PRESENTS Assemblymembers Nash, Keene, Walli, Mullen, Crawford, Sewall, Moore, Carey, Glick, McGahan. O'Connell, Fandel, Skoggstad, McLane and Johnson] Admn. Aset. Best, Atty. Boedeker, Planning Director Fenner, Borough Clerk Brindley ABSENT, None E. VACANCY, DESIGNATION OR SEATING OF ASSEMBLYMEMSERS (a) Res. 86-149 "Correcting Certain Vote Tallies Shown In Res. 86-141 Certifying the Results of the Regular Borough Election Held on October 7, 1986" (Mayor) ABrown. Homer, commented on the importance of accurate numbers n the certification of results although the correction resulted in no change of the outcome. ASSEMBLYMEMBER CAREY MOVED THE ADOPTION OF RES. 86-149 AND IT WAS APPROVED BY UNANIMOUS CONSENT. (b) Presentations by Candidates for Appointment of Assembly Member from District 4, Seat C Marc Cowart. Nikolaevsk, requested the votes of the Assembly on the as e o mpartiality, he lives outside city, and would represent the larger portion of votes in District 4. He stated he has been a legislative aide to a State Representative and has become acquainted with constituents throughout the borough. He is familiar with the problems of the District and would work effectively to obtain State funding to solve them. He would like to see the upgrading of roads through the maintenance program instead of the capital project fund to spread funding further and obviate quarrels between Districts. Carl Hille, Seldovia, referred to his letter reporting the years of wor or the Borough stating he is a problem solver, not a problem maker. He reported he is a graduate of the Univ. of Connecticut with a grown family. He no his experience with finance. audit procedures and familiarity with the statutes which qualify him to fill the vacancy. Richard R. Hostetter, Ninilchik, commented as a long time resident of t e en nsu a e as seen a lot of people come and go although his family has chosen to stay. As a recently retired person, he felt he had the time required to be an effective representative. Gail Phillips, Homer, reported moving from Fairbanks to Homer 8 years ago to buy a sporting goods store, and has been involved in community functions and government all of those years. She stated a community is only as good as the people who live in and participate in it. Being familiar with the process of government through serving on the city council, she believed she would be an effective representative of the District. -1- L • J 0 N VtNAI PF1MJ!;If1.A P1-,Pf-r1!r-:11 REGULAV At S091.Y MEETING HI*PUIF' o:T013F..I3 28. 148fil 7 10 P.N. ROROUGH AOHSt11.3TRA` ION 1111ILUI1113 1;01.(10TNA. ALA`;VA A. CALL TO ORDER The regular Asnembiy meating wan called to order at 7-10 p.n. by Pren. Betty J. Glick. B. PLEDGE OF ALLEGIANCE C. INVOCATION The invocation was given by Rev. Sam Binkley, pastor of the Church of Christ, Funny River Road. D. ROLL CALL PRESENTS Assemblymembers Nash, Keene, Walli, Mullen, Crawford, Sewall, Moore, Carey, Glick, McGahan. O'Connell, Fandel, Skoggstad, McLane and Johnson] Admn. Aset. Best, Atty. Boedeker, Planning Director Fenner, Borough Clerk Brindley ABSENT, None E. VACANCY, DESIGNATION OR SEATING OF ASSEMBLYMEMSERS (a) Res. 86-149 "Correcting Certain Vote Tallies Shown In Res. 86-141 Certifying the Results of the Regular Borough Election Held on October 7, 1986" (Mayor) ABrown. Homer, commented on the importance of accurate numbers n the certification of results although the correction resulted in no change of the outcome. ASSEMBLYMEMBER CAREY MOVED THE ADOPTION OF RES. 86-149 AND IT WAS APPROVED BY UNANIMOUS CONSENT. (b) Presentations by Candidates for Appointment of Assembly Member from District 4, Seat C Marc Cowart. Nikolaevsk, requested the votes of the Assembly on the as e o mpartiality, he lives outside city, and would represent the larger portion of votes in District 4. He stated he has been a legislative aide to a State Representative and has become acquainted with constituents throughout the borough. He is familiar with the problems of the District and would work effectively to obtain State funding to solve them. He would like to see the upgrading of roads through the maintenance program instead of the capital project fund to spread funding further and obviate quarrels between Districts. Carl Hille, Seldovia, referred to his letter reporting the years of wor or the Borough stating he is a problem solver, not a problem maker. He reported he is a graduate of the Univ. of Connecticut with a grown family. He no his experience with finance. audit procedures and familiarity with the statutes which qualify him to fill the vacancy. Richard R. Hostetter, Ninilchik, commented as a long time resident of t e en nsu a e as seen a lot of people come and go although his family has chosen to stay. As a recently retired person, he felt he had the time required to be an effective representative. Gail Phillips, Homer, reported moving from Fairbanks to Homer 8 years ago to buy a sporting goods store, and has been involved in community functions and government all of those years. She stated a community is only as good as the people who live in and participate in it. Being familiar with the process of government through serving on the city council, she believed she would be an effective representative of the District. -1- L • J VFNAI PENTN5111,A BOROUGH RVC11; AR A-PIFry(.Y NY,) "t i` f. 'IV ',! if#RFP : q , , +44 (c) Selection of District 4, 9rat C, Aonerlik, 1'enber Paper ballots were panned and votrd . hnvit'Ag entnhl 0014-1 N vr.toa w,..,;d be required to elect. and t" t0P two wnnld ha chr,sen ff-T a f"fl"ff If none received 8 votes on the first hallut. The ballots were counted and Gail Phillips woo elected On the first ballot with 8 votes. (d) Oath of Office, District 1 and Diotrict 4 Annambly Meebers The Oath of Office was administered by the Borough C1erM to Jonathan Sewall. District 1, who was not able to attend tho October 14 meeting, and Gail Phillips representing District 4. (e) Election of Officers Pres. Glick reported the Code states the Assembly will elect officers at the first meeting after all members are sworn ins she stated this would be the next meeting. If Assembly members wished to hold an earlier election the rules would have to be suspended. ASSEMBLYMEMBER McGAHAN MOVED SUSPENSION OF THE RULES IN ORDER TO HAVE ELECTION OF OFFICERS AND IT FAILED BY A VOTE OF 10 YES TO 6 NOs Keene, Crawford, Sewall, Carey, Fandel and McLane voting Not 2/3 vote required. Pres. Glick announced she would not be a candidate for president a second term although she appreciated the confidence some had shown in her. She commented it is not who you serve but how you serve that is important. F. APPROVAL OF MINUTES The minutes of the regular meeting of October 14. 1986 were approved with a correction on page 6 to the vote on Ord. 86-87, "voting Yes." G. COMMITTEE REPORTS (a) Finance (Crawford, Carey, Fandel, Johnson, Keene, Nash) Mr. Crawford reported the committee considered only agenda items. (b) Lands/Resources (Skogstad, Fandel. Johnson, Mullen) Mr. Skogstad reported the committee met jointly with Local Affairs. (c) Local Affairs/Legislative (Moore, Dale, Skogstad, Sewall, Crawford, Walli) Mr. Moore reported the committees considered only agenda items. (d) Public Works/Education (Sewall, Brown, McGahan, McLane, Mullen, Walli) Mr. Sewall reported meeting jointly with the Finance Committee to discuss agenda items. (e) Data Processing (Johnson) Mr. Johnson stated he would save his report until after consideration of legislation. H. AGENDA APPROVAL AND CONSENT AGENDA ^res. Glick requested the addition to the consent agenda of the iquor license transfer approval and the setting of hearing for Ord. 16-92(Sbst) and Ord. 86-94. Also, she suggested the moving of Res. 16-150 and addition of Res. 86-152 and Res. 86-153 to be considered kith the ordinances dealing with the same problem, flood damage. -2- L ob -I __-_.._A Kt NAI PFtIIfl,ULA HnPI)IN-3I RVY011 AN AS11RATI .Y t11'£; lr: '.y :.9Y0 , A, Mr. Mullen requeorod Non, Hh-14H hq nrejoll rn ►tin "R;frlra f FFn section due to a numhot of pe(,0r, prenent ,,, nponi, +hn apnin^. ]9 nf convent agenda wore approved art fr-iinwal (n) Vacation of ) (oot of a 10 foot utill.tyy neoor'eni' on Lots 2, 3, 4, Bioek 12, Nikinhka AulirlivLOL"r. Fox Addition. Soctioll 1. Tuwnnhip h llnrth. Range 12 Went, S.M. (b) Vacation of 1 foot ntrip of a 10 foot utility easement within Lot 1. Echo Hills No. 5. Sandpiper Addition, Section 10, Township 4 North, Range 11 West, S.M. (c) Vacation of a portion of Cove Circle, Kuchta Sub- division 02, Section 29. Township 7 North, Range 11 West, S.M. (d) Res. 86-147 Declaring Vehicles and Apparatus of o ear Creek Fire Service Area as Surplus and Authorizing the Sale of the Vehicles by Sealed Bid" (Mayor) (e) Ord. 86-92(Sbet) "Reorganizing and Reestablishing t e esource evelopment Commission and Recodifying and Amending KPB 2.42 and Requiring Quarterly Report- ing to the Assembly"(Nash/Fandel) SET HEARING 12/2/86 (f) Ord. 86-94 "Establishing Penalties for Violation of RFB 4"06.040 Prohibition on Use of Public Monies to Advocate Passagge of a Ballot Proposition" (McGahan) SET HEARING 12/2/86 Tom Brown, Homer, asked if Ord. 86-94 would prohibit a Principal from travelLng during school hours to promote bond issues. Mrs. McGahan stated the purpose of this ordinance is to place penalties on an existing ordinance which is quite detailed but allows for informa- tional meetings. Mr. Brown stated the problem to address was how to insure information provided was factual and asked if it covered borough employees using borough time on ballot issues and Mrs. McGahan did not believe so. He also believed the penalties should be increased. Louie March, Seward, spoke in support of Ord. 86-94 as a penalty is appropriate for for those who would not adhere to the ordinance. Dennis Carlson, Kenai, spoke in support of Ord. 86-92(Sbat) and any means that could be found for increasing employment in the area. He believed there were plenty of people to head committees on specific areas of development to be encouraged. Mr. Moore reported the Local Affairs Cmte. approved the three vacation items and discussed alternatives to Section 2.43.020. K. CONSIDERATION OF RESOLUTIONS (a) Res. 86-150 "Permitting the Kenai Peninsula Borough to nter the Federal Emergency Management Agency Flood Insurance Program" (Mayor 6 Assm. Pres.) LOCAL AFFAIRS CMTE Tom Brown, Homer, stated since no private insurance companies can carry —'yT burden of flood damage, the federal government has provided •----� ^-••,rage but has also in effect promoted the development of [tat areas and other areas abnormally subjected to The result is an additional tax burden. He felt if on building homes in documented flood areas, they the burden themselves. orted the Local Affairs Cote. had no specific recommen- - 3 - 1N w KENAI PENINSULA HnRO"(1 RE(A'I tt A'.F"":'; 'iF ASSF.MBLYMEMBER McGAHAN MOVED THE ADOPTION Oy PF'+ ADDITION OF "ADOPTED BY THE A5SEMBLY OF THE VL11A1 PENIN9+1rA ON THIS DAY OF . 1986". In response to questions from Mr. Nr►s'i, Mr. Br,odek", Matod !,nrtir.r GO of the National Flood Insurance Prngrom Pogo nre ",tic prrvininn(t placed in the ordinance requiring pormits, restrictiona nn 4truettrron in flood plains or high water damage prone areas. Mr. Nanh preferred a reference to the ordinance rather than federal regulations. Mr. Fenner, Planning Director•, ropt),tod in nrder to enter the FPMA program certain documents must be submitted, an application form, a resolution of intent, and an ordinance in which is adopted the flood hazard boundary maps. Rise. 86-150 contains the basic requirements to qualify the Borough for the program. Mr. Nash asked what the Planning Dept. would be required to enforce and Mr. Fenner replied that would be the ordinance which comes from Section 60. He stated if the resolution is changed tt would have to be approved again by FEMA. Mr. Nash stated he is in favor of what is trying to be done, but not of giving a blanket approval to enforce- ment of regulations he felt were not clearly specified. Mr. Keene asked if with further information it was determined the Borough should withdraw from the program they could. Mr. Boedeker stated the Borough could withdraw, but if it was later viewed as an advantage, more restrictions would be placed on getting back in the program. Mr. Keene stated his difficulty with legislation that had to have immediate approval) this was considered in 1981 and there did not seem to be any urgency. He believed there could be serious implications in joining such a program which was in effect a federal zoning program. Mr. Carey referred to comments from a Sterling resident that whenever the federal government provides money there are strings attached which work to the benefit of the federal government. He was concern- ed it was too easy to agree to requirements it was later too hard to carry out. He felt more information was needed. Mr. Skogstad asked what would be required of an individual desiring to build in the flood plain after the Borough enters the program. Mr. Fenner stated if the plan is to build in a special flood hazard area, they would have to comply with the terms of the ordinance. Current)y, a person is not able to et a loan to build in these areas. Basicall , it would be developing a land use management plan for particular flood hazard areas. In requiring the ordinance, the federal government has said it will not keep bailing out people every year. If the Borough wants to reduce flood losses it will make people comply with the ordinance through elevation or floodproofing of structures, thereby reducing the future liability of the federal government through disaster assistance. Once in the program, a person cannot sign a waiver of future assistance, everyone must comply who is in the delineated flood hazard area. Structures existing prior to the effective date of the flood insurance rate maps would be grandfathered into the program) those structures built after that date would have to comply. Mr. Skogstad reported viewing the damage in Seward, noting much of the damage was not near a stream bed. He felt the bigger issue was not involvement with a restrictive ordinance but helping people who have been and will in the future be adversely affected. ASSEMBYMEMBER SEWALL MOVED TO AMEND SECTION 1 BY ADDING AT THE BEGINNING, "That the Assembly of the Kenai Peninsula Borough..." In response to stated confusion, Mr. Boedeker stated the ordinance does not say the Borough will enforce Federal regulations, it says the Borough will adopt and enforce an ordinance that is consistent ulations. 4 - f i KETJAL ['t:NTTi"iJi.A figl�UUt.N PF'.1;111.AP AS.'1iF'Ht7 MUJING rF rr''rMV'P ;4, Mrs. McGahan objected to tho word "onforcoMent" 01,d P'r A'.Odekor believed the wor would need to be ineludr*d t'c,r the F04rel ingvrancp i administration to be rnatisflod; the rasolvtton t-fit4inn chair wording. The preparation of panel maps and subeequont onactnent nQ ordinances to implement ors normally done in oequento niter ljditptinn of ouch a resolution but because of pirco0nt need, the Borouggh is attempting to accomplish everything at once in order to cccply tr, receive funding. Mr. Boedoker replied to other quentiono by reporting conversation with FEMA representatives made clear in regard to enforcement; if the Borough does not enforce the ordinance it can be involuntarily with- drawn from the program. If there are complaintn that the borough is not in compliance, FEMA representatives will investigate. THE AMENDMENT WAS APPROVED BY A VOTE OF 12 YES TO 4 NO; Naoh, Keene, Walli and Carey voting No. Mr. Sewall spoke to the urgency of adopting the entire program in order to get $3 million reimbursement for public works projects and possibly an equal amount in low interest loans and grants to residents of the damaged area. He stated he had worked for 3 1/2 t' years and introduced an resolution urging Borough administration to adopt the program while the present anti -regulatory administration is i in Washington. He regretted it could not have been done through the usual public hearing process but felt if later massive public objection was received the Borough could withdraw from the program. He reported there was much damage done outside the 100 year flood plain and the Borough cannot afford to pay the costs. Mr. Fenner reported federal disaster teams would be coming in to evaluate each instance and there is relocation funding to move some of the residents out of the delineated flood hazard areas rather than elevating and flood proofing. He stated people outside the flood plain areas who received damage are eligible for federal flood r insurance as well. If the program is adopted anyone in the Borough exclusive of Soldotna. Kenai and Homer will be able to get flood insurance. Mr. Nash felt his question as to who would do the enforcement of the regulations had not been answered --particularly with the present budget constraints. Mr. Best stated there would not be additional employees, people will be advised that if they believe they are within the flood hazard zones they should check with the Borough which would verify the location on the maps. If they are not in the zone, they will receive a letter to that effects if they are they will be advised as to what they must do to comply. Through as built surveys, etc. by the private sector the Borough will determine whether or not they have met the requirements, not by personal inspection. If they do not comply, they will be notified and will not be eligible for the insurance and the lending institutions will call back loans. The FEMA representative indicated this will be l sufficient enforcement. Mrs. Walli asked for verification that if this is adopted a homeowner who has had flood damage can go to the bank and apply fora loan and if what he plans to construct complies. he will be eligible through the ability to purchase insurance and Mr. Beat acknowledged. Mr. Crawford requested information regarding the small log structure and Mr. Fenner stated as long as it was not in a floodway which might cause flood damage to other homes it will probably not be bothered. Mrs. McGahan sympathized with the victims of the flood but expressed long held concerns about the strings that come attached to federal ' hough she had no fears about the present administration t depend on the same type of enforcement by another n. She reported the Lands Cmte. of the Kenai River down a proposal to enter the program. She hoped some ping the flood victims other than entering the entire e program could be found. -S- KENAI PEN-IN!;ULA BOPOVt;H_ PF(WLAN A55"M I_Y_E*iii:t.. "r ' '.1 fi P.� � JAC Mr. Boedoker stated 44 oervice area opproarl, wao •1111 !�,.m FOLLOWING FURTHER 013CUSSION. VOTE WAS CALLED AND IOU. 0-,V, Wk-, ADOPTED BY A VOTE. OF 9 YFS TO 7 NO, Haah, Yoono, Lravfor(i, V---re, Carey, Mc(;ahnn and Faudei voting No. (b) Roo. 86-152 "Providing Tax Adluntment for Prr)portton XFfo-c-t-oTT-y the Flooding in the Borough" iMnyorl Tom Brown, Homer, naked if the adjustment would apply to next ,-ar a1-'`nd-lloodeker stnted it woo a tax relief for thio year. The Assembly can grant an adjustment which would, in the cone of29S $100.000 home which had ouffered $20.000 damage, amount a of the $20,000 multiplied by the mill rate. The Statutes allow adjustment only on the balance of the year of the disaster. Mr. Brown asked if a computation had been made of the financial impact of this adjustment. Mr. Moore raised a Point of Order, etatinthe purpose of the opportunity, for public comment is for the public to give opinion on 6atters or information, not a question and answer period. Mr. Brown objected. Mr. Brown commented people who build beside streams and rivers have an obligation to take upon themselves the burden of relief and not the taxpayers of the entire Borough. Mr. Keene supported Mr. Brown's right to ask questions regarding agenda items. ASSEMBLYMEMBER CRAWFORD MOVED THE ADOPTION OF RES. 86-152. Mr. Crawford stated the resolution did not have to do with the budget shortfall but rather not taxing people for value that is no longer there. He noted the memo stated in the Bear Creek Fire Service Area a $20,000 reduction would amount to $28.79 less tax. MrCarey supported the move to bring some assistance through fairness in taxation, RES. 86-152 WAS ADOPTED BY UNANIMOUS CONSENT. (c) Res. 86- 53 "Authorizing the Public Works Department to Nego a e a Contract with Construction and Rigging Group for the Construction of the Lost Creek Bridge and Access Road" (Mayor) Joan Bennett Schrader. Kenai, asked if the contractor was a local company an wou is set a precedent of assigning rather than bidding of projects. Jack Moran, Hope, asked if there was anything in the FEMA program to cove--�T►is type of project. Mr. Beat stated it is in accordance with the program. ASSEMBLYMEMBER SEWALL MOVED THE ADOPTION OF RES. 86-153 WITH THE ADDITION OF "IMMEDIATE" PRIOR TO "INSTALLATION" IN SECTION 1 AS RECOMMENDED BY THE FINANCE/PUBLIC WORKS COMMITTEE. Mr. Sewall reported in the height of the emergency phase, Clancy Johnson contacted Construction 6 Rigging Group in Anchorage and they installed two of three under emergency provisions. Later it was deemed by the State that the immediate danger was over and standard operating procedures would have to be complied with for the third. RES. 86-153 WAS APPROVED BY UNANIMOUS CONSENT. lied a brief recess. -6- L L • M KENAI PENINgULA AOPOtIGR PEGMAN_A'1`.'0111tY�°.�''"U,, r r r,r�t,pA t ,n ��e, INTRODUCTION 0! ORUINANCTS (a) Fmer enc Ord. 86.93 "ZotablinhinK a Vii,odplaln S",nnn4tj-nne Mr—o rem u of irm to Nequ!reemonto of f:ho Nartf,flal V1'.1 4 Inouraijco I'rgrnm" (Mayor 6. Anoeabl/ Proo.) tMtAL AFVAIVII ASSEMBLYMEMBER SEWALL MOVED TO GET F,MFRfiF11CY ORD. 86-9) FOR 11FAP11:G THIS DATE AND IT WAS APPROVED BY UNANIMOUS CONSENT. Mr. Sewall noted becauoo of the emergency otatuo a three forthn vote would be required and the ordinance would only be in effect for GO days. Ord. 86-97 is the name except it would follow tho ununl process with notice of public hearing. He stated it wan extremely important for the next 60 days to have 86-93 enacted. There was no public comment. ASSEMBLYMEMBER SEWALL MOVED THE ENACTMENT OF EMERCE`iCY ORD. 86-91. Mr. Nash reported he had been the director of a State program that was "mandated" by the Federal government, For two and a half gears he tried to tell the State administration and legislature Federal law requires an effective program but they did not take it seriously. After he left the post, a 83 million penalty was assessed. He felt the Borough should go into the program with staff and money needed or not at all. EMERGENCY ORD. 86.93 WAS DEFEATED BY A VOTE OF 11 YES TO 5 N0: Nash. Keene, Moore, Carey, McGahan voting No (3/4 vote required). (b) Emer encv Ord. 86-95 "Appropriating Funds for Disaster Reel a ayori Mr. Boedeker reported the relief funds are to cover repair to roads, bridges, and other public facilities. Whether or not the Borough is in the flood plain insurance program, it can receive disaster relief funds for its own property. ASSEMBLYMEMBER CRAWFORD MOVED TO SET EMERGENCY ORD. 86-95 FOR HEARING THIS DATE AND IT WAS APPROVED BY UNANIMOUS CONSENT. There was no public comment. ASSEMBLYMEMBER CRAWFORD MOVED TO ENACT EMERGENCY ORD. 86-95 AMENDING THE let WHEREAS TO 6,000,000". ADDING estimated PRIOR TO amount AND FILLING IN "$3 million". ADDING TO SECTION 1, "estimated" AND 41S3 million", ADDING TO SECTION 2, "up to $3 million" FOLLOWING "appro- priates", AND ADDING TO SECTION 3, 11510,000" FOLLOWING "appropriates" AND ADDING AT THE END, "for items not reimbursed by State or Federal disaster relief." THE ORDINANCE WAS ENACTED AS AMENDED BY UNANIMOUS CONSENT. (c) Ord. 86-96 ppropriating Funds for Disaster Relief" mayor-) F114 There was no public comCmmeenCCtMM.TTEE ASSEMBLYMEMBER McGAHAN MOVED TO SET ORD. 86-96 FOR HEARING ON DECEMBER 2, 1986 AND IT WAS APPROVED BY UNANIMOUS CONSENT. (d) Ord. 86-97 "Establishing a Floodplain Management rogram to Conform to Requirements of the National Flood Insurance Program (Mayor 6 Pres. Glick) Tom Brown, Homer, believed the ordinance needed to be amended to prohibit the development of Borough owned land in the 100 year flood plain, which is near an earthquake fault. or in high wind area. He suggested restrictions be applied to land in the platting process. KENAI FEN19SULA 100-111GH WEGITLAP1 A : F(A131.Y=!!p►",7'!�i. t.F f r cr:fiPB _A L _'44• ASSEMBLYMEMBE'l. SKOGSTAO MOVED TO SLT HFAP.ING n11 ('Mp A6.1)1 F ,a NOVEMBER 1G. 1986, REgUEBTIN(; UNANIMOUS C0119FIJT AKG 7HERX, OBJECTION. 1. ORDINANCE HEARINGS (a) Ord. 86.84 "Amending the 9ownrd Urban Dinttict 7.Fn1ng uL~ od Wip for 21.78 Within the City of 'toward" IMayetro The Local Affairs and Lands Committee Chairman reported the cnmzit- toes reviewed the ordinancd and had no objection. Thorn was no public comment. ASSEMBLYMEMBER MOORE MOVED THE ENACTMENT OF ORD. 96.84 AND IT WAS ENACTED BY UNANIMOUS CONSENT. (b) Ord. 86-89 "Accepting a $6,500 Increase to a Grant roF m— "$tate of Alaska for Continuation of the Coastal Management Program and Amending the Grant Budget" (Mayor) The Finance Chairman reported the committee had no objection. There was no public comment. ASSEMBLYMEMBER CRAWFORD MOVED THE ENACTMENT OF ORD. 86-89(CORRECTED) AND IT WAS APPROVED BY UNANIMOUS CONSENT. (c) Ord. 86-90 "Accepting a Grant from the State of Alaska or un ng Staff, Travel and Consultant Services for Work on the Coastal Management Plan" (Mayor) The Finance Chairman reported the committee had a do pass recommendation. There was no public comment. ASSEMBLYMEMBER McGAHAN MOVED THE ENACTMENT OF ORD. 86-90. Mrs. McGahan asked if positions would be added with the grant funding. Mr. Best stated it would nott only continue an ongoing program. ORD. 86-90 WAS ENACTED BY UNANIMOUS CONSENT- (d) ea regntpioDyIssuance oea hat wouldAlowExloratnfor Minerals in Cook Inlet" (Mullen) Res. 86-148(Sbat) "Supporting the Issuance of Offshore Prospecting Permits in Cook Inlet by the State of Alaska" (Mayor) Mr. Moore reported the Local Affairs and Lands Committees held a lengthy hearing with Mr. Bailey, Aspen Mining Co. present to answer questions, but had no specific vote to report due to time constraint. Tom Mears, Exec. Director, Cook Inlet Aquaculture Assn. and fisheries bL0L0$1St, reported the area under consideration for exploration is a familiar sport and commercial halibut fishing area. In addition, the drift fleet harvests salmon from these waters and it is rich in biological resources. He believed this could be damaged by mining activities through the dietruction of their food supply such as crab and other small organisms. The Dept. of Fish and Game as well as aquaculture groups believe the Anchor Point to Ninilchik area has been demonstrated to be a high use, and critical habitat area. The Director of Division of Mining. Dept. of Natural Resources, could not provide assurance that offshore mining in this area would have no significant impacts on existing valuable resource uses. He urged the Assembly to continue its existing stand that until it could be assured there would be no harm to known resources, there would be no prospecting in this area. -8- L KENAI PENINSULA Bt)Hf11'611 NFGULAP A 5NIBLY t11FTT1% Aiv "t.'(t,HFP !A 140,01 In response to questions, Mr. Mosru stated in thrw nripslarlon in regard to the biological study, it would be tip to f)? , not At)F6t, tr, i' decide what the likely onvirunmontal ttnpactn are and it crvld not lead a person to a conclusion that the area is tuu valuable to have mining occur, If the prospecting proceeds and in ouccosoful, nintiog will follow with poonibly noaaonal rentrictiono. Tom Brown, Homer, recalled viewing video tapes of the bottom uO the n eTI't wch he believed would be disturbed in the mining process. He also :poke to the high level of unemployment and the need for a toot to determine what the affects of such activity are. Bill Holt, Kasilof, Board of Directors, Cook Inlet Drift Anon., statue Moir support for Cook Inlet Aquaculture's position and Res. 86-148(Amended). He referred to an earlier report by Div. of Mining that such development was not in the beet interest of the State and inconsistent with the Alaska Coastal Management Program. He questioned the change of position to offer the option of development. Berths Glud, Stariski, commented on the need for additional jobs in t e areas outside oil development areas. Katherine Keened Ninilchik, believed there was no more information ava a e on t e impacts of prospecting than there was the last time the Assemblyvoted against it. She referred to a list of 43 residents oftheAnchor Point area that objected to the proposal and as the Vice President of the Ninilchik Chamber of Commerce noted they would not support it without assurance it would not damage the fishing and tourism resources the community now has. She hoped there could be a public hearing at either Anchor Point or Ninilchik to be held collectively by the Depts. of Natural Resources, Environmental Conservation, Fish and Game and Fish Habitat with the Assembly being an active participant. She stated support for Res. 86-148(Am). La rr y Clendenen, Anchor Point, recalled a few years ago his boat was usea or resting purposes to investigate the bottom off Clam Gulch, noting baby clams were found 3 miles off shore. He urged further study before any permitting was allowed. Dennis Carlson, Kenai, spoke to the mining process which he stated wooleave the bottom much as it was found. He believed a dredging operation would be interesting to the tourists. He felt the require- ments should be stiff but if the mining were done in strips the over- all damage would be recoverable. He spoke to the need for additional jobs in the area. a�R. V. Baile , Pres. of Aspen Exploration Corp., reported the company ro ects in Alaskat a placer site at Valdez Creek, between Anchorage and airbanks and a 17,000 acre onshore project in Nome and the Cook Inlet site. This site has been an effort for 6 1/2 years to get permits to explore offshore which was selected because the Inlet le a natural giant sluice box. The beet deposits from streams are in ribbons paralleling the beach on the East side. He described the method that would be used wherein large amounts of gravel are brought aboard a floating platform and washed. In Nome, a steering committee was formed to alleviate fears the State would not maintain sufficient oversight, a program which has worked well and he proposed the same for the Cook Inlet site. The committee would have the authority to stop work whenever it felt it was necessary to protect the environ- ment. In the eleven step process proposed, a number of decision points are included ae to whether the project was worthwhile to continue. If exploration indicates there is sufficient gold, mining mnuld nrneQad and they hope to produce 100,000 ounces of gold per i rate they would expect to spend $20 million a year on for labor, supplies and services. They project a need leopple full-time. They proposed to establish a trust irch into the marine biology of the Inlet from 3x of the 'rom the mining and administered by residents of the -9- . -77 a KENAI PENTN5II? A RflR AIGH REIOI'LAP A"I:PHB1.'i !WF-T'.t:!_'?F LLT0AEP-- `- .'JA►, In discussion with A000ribly members, Mr. Bailey doe•-W-1 t?.n personnel that would he neoded and stated they pinnned to htro AA •f the employcoo locally, Nick GanAl, Humor, member of the Ronmirce Development t,oinlonu.n, a-sethe need for employment nn rho Peninsula and the potential for jobs with thin project, lie reported the C,cmminnivri brie OndnrFad it after following the operation in Nome and believed it could he balanced with tho fishing resource. He ul&c... ;raged adoption ref Ron. 86-148(Sber). John Williams, Konal, urged support of the Substitute, noting it ad reeses only a prospecting permit. without which tho Peninoula would not have the oil development which has caused it to prosper. He reported extensive travel around the state in the last several weeks and the need for a boost to the economy is critical. The private sector must be allowed to develop itself to take up where the government must and will leave off in a few months. He believed all of the work force needed was available on the Peninsula and even geologists were available in the state because of the decline in oil production. Louie March, Seward, spoke in favor of Res. 86-148(Sbst) with the potential for needed jobs, noting the endorsement of the Planning Commission and Resource Development Commission. Duane Edelman, Soldotna, Boardmember, Cook Inlet Aquaculture Assn., stated n1.9 support for Res. 86-148(AM) with further amendment to include "all waters of Cook Inlet within the Borough" As a commercial fisherman he did not believe mining to be compatible with uses of Peninsula residents of the Cook Inlet resource. He felt upper Cook Inlet development would be as vulnerable as the lower with such development. He stated with the budget constraints facing the State he was sure the studies promised would never be made and over the long term more than the anticipated 200 people employed would be adversely affected by the loss of the fishery. James V. Arnese. Nikiski, recalled the early days of exploration for oil and fears that such development would destroy the fishery. then the installation of the platforms came and neither seemed to have a destructive effect. He reported off the East coast where clams are harvested in 600 feet of water with air vacuums whereby large amounts of the bottom is raised and replaced without damage to the resource. He also commented on the increase of herring around the dock he installed in Nikiski. Jack Moran, Hope, supported the Substitute, stating in general the mining n ustry in Alaska has been denied. This is an opportunity that should not be turned down. He suggested instead of a 3% trust fund, a bonding procedure might be considered to accommodate any impact that might present itself. Pres. Glick noted the passage during public hearing of the deadline for legislative action and since the final date for input to the Dept. of Natural Resources was November 10, perhaps an extension could be requested in addition to asking a public hearing be held in Anchor Point or Ninilchik. There was no objection to the proposal. ASSEMBLYMEMBER MULLEN MOVED TO ADJOURN THE MEETING. Pres. Glick asked if there was any public comment and there was none. THE MOTION TO ADJOURN WAS APPROVED BY A VOTE OF 9 YES TO l NOI Nash, us11+ -- Glick, McGahan, Skoastad and Johnson voting No. ,ported there would be an organizational meeting of the m November 8 at 2 p.m. Also the resolution nominating Ire to serve on the AML Legislative Committee was not she would ask the Clerk to conduct a telephone poll in the results in time for the League meeting on November 10 L_ J F KENAI PENINSULA 1101411UGt1 A55WIBLY LfFRif1P; r.F S . NOTICE OV NEXT MEETINI; ANDAUJt)IIHt7t'Y.t7T Pros. Glick stated the next Muettriq W6U1d tic 'lrivemher 18 V This mooting adjourned at 1:,;5 a-m. WE 11 01. 011 nncro y irerfl enC ATTEM oroug r� L L J �� I i O I ;i - Moth► ■ a AMNOCIAT86, INO. I PROFESSIONAL. ENGINEERS, SURVEYORS A PUWNM December 10, 1986 i` I (+ Mr. Keith Kornelis Department of Public Works I City of Kenai DEC 190E 210 Pidalgo 'v Kenai, Alaska 99611 City ut Kenal Pvvx W@!k5 Oepl. References 1986 Kenai Municipal Airp2rt Improvements Our Invoice Numbers 5910 Our Job Numberss 86-40451 87-4009; 87-4011 Billing Periods Through December 6, 1986 Contract Amount 75,000.00 This Billing (5910) 27,220.54 Balance of Contract 47,779.46 Guuned OK Qj;10 j .,j red 90LOOTNA, AK eSS89 e07-263-4216 i 1 I 1, I. ON November 26, i986 Ronne Graham °t Alaska Department of Natural Resources •��,. «�;� Division of Mining & Geology ~� P.O. Box 7016 Anchorage, Alaska 99510 Re: Proposed Cook Inlet Offshore Prospecting Permits Deer Ms. Graham: This acknowledges receipt and responds to your request for review comments on proposals under consideretion to ' rent offshore prospecting ' permits in Cook Inlet. The Soldotne City Councl considered this subject at a regular meeting held November 5,1966. (� The Council members were of unanimous opinion that these endeavors should be encouraged in order to help diversit the Kenai Peninsula economy. The Council perceives that the perm conditions you have proposed should provide adequate safeguards to protect the marine environm } It is our understanding that this proposition has been endorsed by the Kenai City Council as well as the Kenai Peninsula Borough Plannin Commission. The Soldotna City Council likewise, encourages you to issue these permits for exploration in the dock Inlet area, including the area between Anchor Point and Ninilchik. Sincerely, Richard Underkofler 1 City Manager cc: Stan Thompson, Mayor, Kenai Peninsula Borough 1! John Williams. Mauor, Citu of Kenai Li J is f 1 Suggeotod by: Council CITY OF KENAI RESOLUTION NO. 86-109 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, SUPPORTING THE ISSUANCE OF OFF -SHORE PROSPECTING PERMITS IN �. COOK INLET BY THE STATE OF ALASKA. WHEREAS, Aspen Exploration Corporation has applied to the State of Alaska for off -shore prospecting permits, and WHEREAS, the economic benefits derived from off -shore j exploration and mining will diversify and expand local basic industries and help reduce the high unemployment in the Kenai Peninsula Borough,and WHEREAS, Aspen Exploration Corporation has committed to local hire for a major portion of the jobs created by off -shore prospecting, and WHEREAS, the State of Alaska has a responsibility of protecting the fisheries in Cook Inlet and would not grant t 1. off -shore prospecting permits if such damage were to occur, and WHEREAS, Aspen Exploration Corporation has agreed to establish a steering committee composed of Kenai Peninsula residents that will be representative of the overall economy a ' of the Kenai Peninsula, and { , WHEREAS, said steering committee will monitor the program through all stages of the work, including the formation of exploration and mining plans, and WHEREAS, the Kenai Peninsula Borough Resource Development commission and the Kenai Peninsula Borough Planning i Commission have reviewed the proposal and recommended issuance of the permits. L. • aJ f i t I� l; i i, a. r ;f NOW, THEREFORE. BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that said Council supports the iosuanco Of the off -shore prospecting permits with all of %he stipulations proposed by the Department of. Natural Resources to Aspen Exploration Corporation, including the area between Anchor Point and Ninilchik. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 19th day of November, 1986. OHN . WILLIAMS, MAYOR ATTEST: net Whelan, City Clerk L. ft -T-/jVt,- /9_ MAYORS COMMITTEE BICENTENNIAL CONSTITUTION REs'COGNITION The United States of America by direction of the President of the United States to Chief Justice Warren Burger will celebrate the Bicentennial of the United States Constitution during the 1987 calendar year. At the suggestion of Mr. Jay N. Price, Associate Director of State and Local Affairs for the commission I would like to see the City of Kenai with the concurrence of the City Council undertake the task of participating in the celebration. Because of my strong commitment to the education of our youth into the meaning of the Constitution and the Bill of Rights I have taken it upon my self to detail the tasks of the committee and to select members for that committee that I believe will do the best Job possible in promoting the celebration. As a result of the committee's work, the City of Kenai will receive recognition in the National Bicentennial Register. The following represents the basic outline of the committees work to be accomplished during their established period. Other tasks may also be accomplished and other projects may be undertaken as the committee sees fit in a effort to make this, the Bicentennial year of the Constitution of the United States one of great remembrance for all of the citizens of our city. I would now like to ask the City of Kenai, the Council and the Administration to join me in promoting this Bicentennial as our way of furthering our knowledge' understanding and belief in the greatest experiment that mankind has ever undertaken, the experiment of democracy. a 01 PARTICIPANTS; THE CITY OF kENAI, THE KENAI CHAMBER OF COMMERCE, THE KENAI ELKS LODGE, KENAI CENTRAL HIGH SCHOOL. THE COMMITTEE; MR. CREG FANNING, MR. WALT KOERBER, CO-CHAIRMEN, KENAI ELKS MR. RICHARD HULTBERG, VICE PRINCIPAL, KENAI CENTRAL HIGH MR. TOM ACKERLY, KENAI CENTRAL HIGH AND KENAI CITY COUNCIL MR. WILLIAM BRIGHTON, CITY MANAGER MRS. SUSAN CARTER, DIRECTOR KENAI CHAMBER OF COMMERCE BEN MRS. MARGE O'REILLY, TEACHER AND PARENT MRS. DALE SANDAHL, CITIZEN AND PARENT MR. ROBERT SUMMERS, DIRECTOR KENAI VETS CENTER. 0C, 0'%e- w t\k%u%ft,s OBJECTIVES; PRIOR TO THE BEGINING OF STUDENT WEEK THE MAYOR WILL DISCUSS WITH THE STUDENT BODY THE OPERATION OF OUR CITY GOVERNMENT AND THE GOALS OF THE CITY. EDUCATION OF THE STUDENTS AND CITIZENS OF KENAI IN THE MEANING OF THE UNITED STATES CONSTITUTION, THE CONSTITUTION OF THE STATE OF ALASKA AND THE CHARTER OF THE CITY OF KENAI. THE PLACEMENT OF FRAMED REPLICAS OF THESE DOCUMENTS AND THE PLACING OF THE FLAGS OF AMERICA AND THE STATE OF ALASKA IN PUBLIC LOCATIONS THROUGHOUT THE CITY INCLUDING THE LIBRARY, CITY HALL, AIRPORT, SENIOR CITIZENS CENTER, CHAMBER OF COMMERCE, AND KENAI CENTRAL HIGH SCHOOL. THE ELECTION OF MEMBERS OF THE STUDENT BODY FROM KENAI CENTRAL HIGH SCHOOL TO FILL POSITIONS OF THE ELECTED AND ADMINISTRATIVE GROUP WITHIN THE CITY OF KENAI GOVERNMENT INCLUDING MAYOR, COUNCIL, CITY MANAGER, CITY ATTORNEY, FINANCE DIRECTOR, PUBLIC WORKS,PARKS AND RECREATION,SENIOR CITIZENS, LIBRARY, AIRPORT, CITY CLERK, POLICE CHIEF AND FIRE CHIEF. ELECTED STUDENTS WILL SPEND TIME PARTICIPATING ALONG SIDE OF THEIR RESPECTIVE GOVERNMENT MEMBER, LEARNING THE OPERATION OF THE CITY GOVERNMENT ON A FIRST HAND BASIS. THE STUDENTS WILL ATTEND A CHAMBER OF COMMERCE LUNCHEON AND BE RECOGNIZED FOR THEIR EFFORTS IN LEARNING AND UNDERSTANDING THE CONSTITUTION AND THE OPERATION OF CITY GOVERNMENT. 1 THE ELECTED STUDENT MEMBERS OF COUNCIL SHALL ATTEND A REGULAR COUNCIL SESSION AS THE SEATED MEMBERS OF COUNCIL AND SHALL PARTICIPATE THROUGH A PREARRANGED AGENDA IN THE DISCUSSION AND VOTING OF MATTERS CONCERNING THE CITY. THE j, COUNCIL WILL MOVE THROUGH UNANIMOUS CONSENT TO CONCUR OR OBJECT IN ORDER TO MAKE THE VOTING LEGAL FOR THE RECORD. L L lb J BICENTENNIAL COMMITTEE ASSOCIATED COSTS ALLOCATION; ELKS LODGE; ALL COSTS ASSOCIATED WITH THE PURCHASE OF CONSTITUTION DOCUMENTS, BILL OF RIGHTS DOCUMENTS, PLYWOOD FOR MOUNTING, AND PRINTING OF MASTHEADS. CITY OF KENAI; FURNISH SECRETARIAL HELP FOR COMMITTEE MEETINGS, COPY PAPER, COPIES OF STATE CONSTITUTION,COPIES OF CITY CHARTER AND ASSOCIATED XEROX COPYING. KENAI CHAMBER OF COMMERCE; FURNISH FUNDING OF STUDENTS AT LUNCHEON TO BE HELD DURING REGULAR CHAMBER MEETING AT DATE TO BE SET. CLARION NEWSPAPER; FURNISH FEATURE ARTICLE AND DO PUBLICITY WORK FOR PROJECT. SHOULD THE COMMITTEE WISH TO FURTHER DEVELOP THE PROGRAM, A CO-SPONSERSHIP OTHETHE CONSTITUTIONYPARADE MAY EPOSSIBLE WITH BICENTENNIAL. ITTED 'WILLIAMS CITY OF KENAI 1. Convene/Roll Call 2. Approval of Minutes: December 3, 1986. 3. Agenda - approval and/or changes •AG17NI)A WASTE DISPOSAL CUMM I SS I ON NFE"P I NG JANUARY '1, 1987 7 s 30 ISM Ul'3'1'A I5% COI�'k N;G RtIt3M f' f _l 4. Public Comments (30 minutes maximum)- anyone wishing to speak publicly on waste disposal concerns and issues. 5. Public Hearing Item(s) - 6. Guest Speakers: Mr. Andy Merz, Borough Insurance Risk Manager 7. Old Business (Public Comments 2 minutes per person each item) A. Recommendation to Assembly on Ordinance 86-101. B. Update on Joint Kenai Peninsula Borough Solid Waste Task Group. C. Kenai Landfill Permit Renewal D. Peninsula Sanitation Proposal for Private Transfer Site E. Carmen Gentoli Proposal for Park and Landfill a. New Business (Public Comments are limited to 2 minutes) (these are not public hearing items) A. Letter of Intent from Joint Task Force. B. Introduction of Item(s) by Staff C. Introduction of items too late for packet 9. Set next meeting date and agenda 10. Commission comments 11. Adjourn w -I ik're 0 - December 9, 1986 `: '•'. F�� STATEMENT Jack LaShot City of Kenai Box 580 Kenai, Alaska 99611 Cook Inlet View/Lilac o ect No. 86074 nd B ng Meplaoss Billing #3) Professional Services Principal Engineer 4.0 @ 084-'*' 336.00/ Project Engineer 30 @ 072 2160.00 ✓ Inspection 196 @ 045 8820.00 Stweying 2 Man Crew 2 @ $109 218.00 Laboratory Testing 678.25 Per Attached Suomary Total Effort 'mis Billing $12212.25 4- (1)Previous Payments Total Effort 7his Bill 43,581.75'� 12,212.25 ✓ Total Effort on Project 55,794.00 Or Original Contract Mount 43,830.00 '�;!'� ��� - u l Amendment #1 9,000.00 '✓ eQ,,,) (2)Total Contract Amount 52,830.00 �' al ro- �cuall�,��� ,)I< �;;t, I=, Charged to Overhead 2,964.00 (2)-(1) a Total Amount Due 8 9,248.25 L F 1526 CUstorialsend ONs11tY Control Testing I1110012/ RESULTS TO i 8 oAYE , 9/15/86 City of Kenai BOX 580 PROJECT;�^�^ IRiGG few� '11ne Kenai, Alaska 99611 86074 MwwMMw ytl1C1UPTIDII 1 @ $50 AYO $50.00 9/2/86 504L Sieve Analysis, CA 1 @ $65 .00 505L Sieve Analysis, FA 1 @ $265 265.00 Proctor 1 @ $35 35.00 Fracture Count Sample Collection, Tech II � 25 2 @ $45 @ $60 11.25 120.00 Concrete Control Testof lindens 6 Strength Cy @ $22 132 _0� Compressive 678.25. NO FURTHER PLEASE RETURNTONENCOPILUNLESS REQUESTED. WITH REMITTANOE L A . --I J F -- --■ W .«. .ilia 1. ...... t IAateN�b and Quality Control Toellnp f BILLING/FIESULTS TO city o�ni. Box 580 �. Kenai, Alaska 99611 i i 1' i SUMMARY SHEET All.nlron-'- MrnlNcliCnpmoi:--- - --- Y Copy CaN+aolo+ Lab ° Date 6 w level in Leveling Course Specs Course fr Course from Grade Grade e Retest 505L 3' 2 I 1 " 100 11 100 98* 00 3 4" 70-100 94 9 I/2" 80 82 78 #4 #m 20- 0 38 # 20 #40 23 17 0100 ,0200 .02 mm .05 mm .002 mm MOISTURE LIQUID LIMIT PLASTIC INDEX SPECIFIC GRAVITY % FRACTURE + #4 50% 2 faced 74 USC CLASS BITUMINOUS FROST CLASS MAXIMUM DENSITY ADJ. LAB DENSITY 1 .2 OPTIMUM MOISTURE 6.6 Piffictor 8614 DOES NOT CONFORM r when REMARKsI A proctor was performed on Sample 505L sinnAtaneous to the gradation• i It was determined that rl,e o,•eAerinn was rntt' of spec, a retest was perforrtled. � � t was uc�cailu.teu u•aa. �+•� � determined that a slight variation in gradation w tld have 1v naolia{hlo of ant ne the maximinn density of the material, therefore a second aroctox was not Dertoa: Reviewed By X L ■ f n 404211 • Ifj tt11ateri to •nd Quality Control BILLING / RESULTS TO r City of Kenai BOX- 580 Kenai, Alaska 99611 ww•.Ls!•TC TC QV 0"AA&AADV _ K+�hr►t.[III r•t. VltT�r/l.�Irts - j - AicefHcl%Cnp,nf�r- _. trrni+ootd+ _ I rnrarrlart: Shoot---- LOCATION IN STRUCTURE ppT CAST rC{,ATEEpg CrEBTECR TOTAL t GAYS) (�NCMEB) 1 uMP C0N AIR 8NT UNIT STRvB OTN COYYENTS ST p D CYI�I�O6R 1-1 1-2 1-3 Garb & Gutter Lilac Sta 42+00 to 38+00RT 8/15 8/22 9/12 9/12 7 28 28 1.5 5.6 4050 5270+ 5270+ 2-1 2-2 2-3 C & G Sta 13+25 Cook Inlet View to Sta 11+50 RT 8/18 8/25 9/15 9/15 7 28 28 1.75 5.8 3510 5290 5380 ;.- 3-1 3-2 3-3 C & G Sta 22+97 RT Cook Inlet View to Sta 21+00 RT Cook Inlet View 8/19 8/26 9/15 9/15 7 28 28 1.25 4.8 3640 5290 5260 0 OTHERS 0 s BY NORTHERN TEST LAB UNLESS NOTED OTHERWISE i CYLINDERS NOT LOADED ABOVE 5000 PSI, UNLESS OTHERWISE INDICATED. I , i • U = UNKNOWN CC 2 CYLINDER CURED FC c FIELD, — BUT NOT TESTED CURE REVIEWED • i r i� k'A o l 5 p Ison PO4 December 10, 1986 City of Kona 210 Fidalgo Kenai, AK 9 Ur9411t.T1f{1 KI NAr, At ACir(A DCtr III Ale- 206.Y9Ope. h-*97 ' p�tlr et J+►. CO. !✓N�%� �O goo, 00 k� EC10� of Qr:vr /9 �.26.5'l RtC(..\`P 173 Y 6 STATEMENT M8616 - Kenai Boating Facility Construction Professional Services 10/26/86 through 12/09/86: Ij . Principal/Engineer 122.5 hrs 8 $75.00/hr. $99187.50 ✓ Engineer I (10/1 - 10/7) �so,p0 j 3 hrs. @ $ /hr. �To/A • r o✓ cin f raor . 0 I, CV Clerical 12.5 hrs 8 $25.00/hr. 312.50 Miscellaneous Expenses: William A. Kluge & Assoc. 198.00 10/31 Statement Alaska Kwi k Kopys /,Z o, 07242, 07068, H7078 DHL 51.70 z 05035100, #82609516, 08260964 Tryck, Nyman & Hayes 1,498.7511/ M4698.OK � ,1 Northern Teat Lab p. + • M1579 /Lllio+i AS to✓o%cG. �"-------- �) BALANCE DUE: YN111�y1L ..r �a•t%-% $i 95 - mj (] t:ay rnyr. --U .uturncy 1 �OPubife worm --•V bay Clerk 4 Orlalnol To9k Submltud ey i .TRYCK O11 West fflh AVPiwo, Art hnrejo. Ain IYaWI"III I 'i'sI ) 1 o a NYMAN i5r,rit'iliur■av'c..a.a STAittdfNT , 14017 HS December 5. 1986 TO: WILLIAM NELSON b ASSOC, TANGENT BUILDING 215 FIDALGO ST., SUITE 204 KENAI. AK 99611 Project Name: KENAI DOCK Current Charges Period: 11/01/86 thru 11/30/86 BASIC SERVICES @ 98% COMPLETE: (40000 X 982) 39200.00 LESS PREVIOUSLY BILLED @ 95% 38000.00 TOTAL BASIC SERVICES DUE 1200.00 DIRECT EXPENSES: TNH TELEPHONE 51.70 TNH XEROX 2 EA @ .15 .30 S. CENTRAL AIR 33.00 SHOEMAKER/EXP. 77.50 Current Charges 1362.50 x 1. Prev. Billed 38395.51 Total Billed to Date 39758.01 Paid 38395.51 Total Now Due 1362.50 cue on presentation and past due 15 days from Involce date. Interest at the rate of -% per month will be charged on past duo accounts. L a 1 i � 1 WILLIAM A. KLUGE &. ASSOCIATES ' planners Tangent pldri. suite B04 n Aleeke 80811 c October 31, 1986 S . {t WilliamJ. Nelson & Associates 215 Ftdalgo, Suite 204 Kenai, Alaska 99611 " STATEMENT r ( #8176 - Kenai Boating Facility I Contract Amount: $3,000.00 �( Payments Received: $2,820.00 G Services 8/25/86 to 10/31/86 4 - Balance Due $ 180.00 .i I itn THANK YOU. L • s LMil Iti"t, t4iinj(.i{)++1 WdV, ,�l�tl l?IIU, !1 i J";k 11 'I'I H111 —� IQ06 Municipal Membero Hegintration Lint 36th Annual Local Govornrmme Conference AKM - c/o 308 G. Street, Suite 311, Anchorage, AK 99'101 (279-9245) Florence Anderson, Councilmember Helen ProkopLoff, Councilmembsr Jennie Robinson, Vice -Mayor Anna Stepetin, City Clerk Jacob Stepetin, Mayor Erika Tritremmel, Administrator ALAKANUK - P. 0. Box 167, Aiakanuk, AK 99554 (238-3313) Matilda M. Augustine, City Clerk Terry A. Cook, Mayor ANCHORAGE, MUNICIPALITY OF - Poet Office Box 196630, Anchorage, AK 99519-6650 Kathryn L. Carssow, Manager, Community Development, Community Planning Department (264-4222) Chip Dennerlein, Manager, Intergovernmental Affairs (264-4960) Joe Evans, Assemblymember, 1127 W. 7th Avenue, Anchorage, AK 99501 (263-7251) Heather Flynn, Aesemblymember, 918 R Street, Anchorage, AK 99501 (272-5392) Jim Kubita, Aesemblymember Tony Knowles, Mayor (264-4431) 9DERSON - P.O. Box 3100, Anderson, AK 99744 (382-2500) Lanston Chinn, City Administrator Eileen Holmes, City Clerk Warren B. (Bruce) Woolard, Councilmember ANGOON - Post Office Box 189, Angoon, Alaska 99820 (788-3653) Edward J. Gamble, Mayor Cynthia Paul, City Clerk/Administrator ANIAK - P. 0. Box 83, Aniak, AK 99557 (675-4481) Eric Loomis, City Manager ATQASUK - General Delivery, Atqaeuk, AK 99791 (633-6115) Herman M. Kignak, Sr., Mayor BARROW,, CITY OF - P.O. Box 629, Barrow, AK 99723 (852-5211) Earl Finkler, City Manager Eben Hopson, Jr., Finance Director Johnny Leavitt, Councilmember William Leavitt, Counctimember Beverly Long, Councilmember Dorcas Neupin, Councilmember K.C. Miller, Grants Administrator Nate Olemaun, Jr., Mayor Delbert Rexford, Councilmember James Vorderstrasse, Cmmoilmember P. 0. Box 388, Bethel, AK 99559 (543-2097) Ivan L. Widom, City Manager (543-2297) -1- Lin L • a P.O. Box 26023, Bottles. AK 99726 (692.5191) Nail Morriss Mayor BRISTOL SAY BOROUGI, - P.O. Son isq, Naknek, AK 99633 (246-4224) A Steve Anplaneseemblymember Gary Bradford, Assemblymember George Castanedso Finance Director Melvin K. Coghill, planning Comejeeloner jwW M. Fischer, Parke and Recreation Commission Don Penner, Administrative Assistant Fred Pike, Mayor CRIGNIK - General Delivery, Chignik, AK 99564 (749"2280) Mina Anderson, Councilmember Tine Carlson, Counclimember John Levy, City Administrator Roy Skonberg, Councilmember CORDOVA - P.O. Box 1210, Cordova, AR 99574 (424-3237) Mike Anderson, Councilmember Jack verence, Finance Director Erling Johansen, Mayor CRAIG - P.O. Box 23, Craig, AR 99921 Doug Rhodep, Councilmember (826-3275/826-3425) James Spr&pe, Mayor (826-3379) Dave Palmer, Administrator DIUINOW - P.O. BOX 191, Dillingham, AK 99376 (842-5231) Kole Anderson, Jr., Councilmember Curt Armstrong, Cmmallmember Leon Braswell, Mayor Vivian Braswell, City Clark Jeffrey Labahn, City Manager John Pearson, Councilmember II Chow Taylor, Councilmember Thomas Tilden, Councilmbev Lila Tubbs, Finance Director EAGLE - P.O. Box 1901, Eagle, AR 99738 Joan Boone, Clerk -Treasurer Louise Flynn, Mayor SLIM - P.O. Box39009, Slim, AK 99739 (890-3441) Jarri Moore, Secretary/Treasurer (also' 890-3301) Joste Nakarak, City Administrator (also: 890-3761) • EMMONAK - P. 0. Box 8, amonak, AK 99581 (949-1227 or 949-1249) t4m Rkneade. City Manaster •2 ro 0- l AIRBANKS NORTH STAR BOROUGH - P.O. Box 1267, Pairbonke, AK 99707 (492-4161) Linda Anderson, Legislative Liaison Chris Birch, Presiding Officer/Adaemblywiiter, 1300 Viewpointe, Fairbanka, AK 99709 (419-37061 474.2402) J. B. Carnahan, Aseemblymember Paul Chismar, Aseemblymember Paul Cragan, Borough Attorney Mona Lisa Drexler, Borough Clerk (Extension 402) Juanita Helms, Mayor Manny Albrittain-Jackdon, Director, Land Management (Eat. 236) Karl E. McManus, Chief Appraiser Howard Buss Otte, Assemblymember (452-S617) Paul Peeiks, Legislative Analyst Edward P. Shellinger, Asoemblymember, 904 Galena Street 99709 Judith Slajer, Chief Financial Officer (Extension 376) Heather T. Stockard, Director, Environmental Services Sandra Stringer, Assemblymember Valerie Therrien, Assemblymember Jeff Weltsin, Assemblymember Phil Younker, Assemblymember FAIRBANKS, CITY OF - 410 Cushman Street, Fairbanks, AK 99701 (452-1881) Mary Hajdukovicb, Councilmember Janet Halverson, Councilmember John Iamel, Couneilmember Jerry W. Morum, Councilmember rtan C. Phillips, City Manager (Extension 265) Lowell Purcell, Councilmember Bill Walley, Mayor Paul Whitney, Councilmember (456-4342) FORT YMN - P.O. Box 269, Fort Yukon, AK 99740 Jonathon Solomon, Sr., Mayor GALENA - P.O. Box 149, Galena, AK 99741 (656-1301) Pat Myers, City Manager Harry Purdy, Vice Mayor GAMBELL - P.O. Box 189, Gambell, AK 99742 (985-5112) Mmrliese Booshu, Grants Administrator Heneen Irrigoo, Mayor HAMS BOROUGH - P.O. Box 1209, Haines, AK 99827 (766-2711) R. E. Henderson, Mayor HAINES, CM OF - P.O. Box 1049, Haines, Alaska 99827 LuAnn E. Bailey, City Attorney (Haines and Petersburg) Sarah Higgins, Couneilmember April Lapham, Mayor Darrell Maple, City Administrator Fred Shields, Councilmember Carlvie Stuart. Councilmember - 3 - L L. I' IN f I• t. � f HOLY CROSS - P.O. Box 2039 Holy Croso, AK 99602 (476.7139) Richard Peters, Mayor HOMER - 491 East Pionear, Homer, AK 99603 (235-0121) Desist R. Calhoun, Councilmember Phil Shealy, City Manager Bill Snyder, Councilmember W. M. Toskey, Port/Herbor Director (235-8597) Bruce Turkington, Councilmember Patti J. Whalin, City Clerk HOONAR P.O. Box 360, Hannah, AK 99829 (945-3663) James Dybdahl, Councilmember Uv Gray, Councilmember Net& Mille, Councilmember Miles Murphy, Mayor Mike Tavoliero, City Manager ROOM BAY - P.O. Box 37, Hooper Bay, AK 99604 (758-4311/758-4331) Katherine R. Joe, City Clerk Gabriel Seton, Mayor JUNEAU, CITY AND BOROUGH OP - 155 S. Seward St., Juneau, AK 99801 (586.5278) Karen Boorman, Acting Director, Department of Community Development (586.5235) Errol D. Champion, Assemblymember George Davidson, Assemblymember Peter Freer, Asseablymember Dudley Raines, Administrative Officer (586-5280) Jim R. Hall, Assistant Manager (586-5240) Jim Kennedy, Budget Director and Assistant Manager (586-5240) Jamie Parsons, Assemblymember Ernest E. Polley, Mayor (586-5257) Patty Ann Polley, Municipal Clerk Rich Poor, Assamblymember Kevin Ritchie, City Manager Caren Robinson, Assemblymember Rosales Walker, Assembly membar Ira Winograd, Planning Department Clarke Logan Young, Assemblymember KENAI. CITY OF - 210 Fidalgo, Kenai, AK 996U (283-7530) 1 Cousellmember to be registered later Sally Bailie, Councilmember (283-7796) William J. Brighton, City Manager Keith Kornelie, Public Works Director (263-7535) Art McComsey, Councilmember (263-7518) Ray Measles, Councilmember (776-8194) Janet Whelan, City Clerk (283-7539) -4- 4 .ZNA2 PEHINSUTA BOROUGH - P.U. Box 950, Saldotna, AK 99669 (262.4441) LeRoy H. Barton, Jr., Finance Director (ext. 210) Thames R. Baedeker, Borough Attorney Chuck Crabaugh, Planning Commissioner Cary Vandal Kevin Fenner, Planning Director Betty Click, Assemblymember Keith Hureh, Planning Commissioner Ron Johnson Brantley Keene, Assemblymember Phil Hash, Assemblymember Philip A. Reeves, Deputy Borough Attorney Kristine A. Schmidt, Deputy Borough Attorney Jim Skogstad, Aseemblymember Donald E. Thomas, Assessor (ext. 237) Stan Thompson, Mayor Marie Walli, Aseemblymember KBTCHIKAN. CITY OF - 344 Front Street, Ketchikan, AK 99901 (225-6151) Ted Ferry, Mayor Tom Friesen, Councilmember Donald F. Hoff, Jr., Councilmember Val Jackson, Councilmember Karen Miles, City Clerk Georgia C. Skannes, Councilmember tarts Stanton, Councilmember duesell W. Walker, Municipal Attorney (225-2330) Edward W. Zastrow, Councilmember KETCJiIKAN GATEWAY BOROUGH - 344 Front Street, Ketchikan, AK 99901 (225-6151) Georgians Booth, Borough Clerk (ext. 404) Ralph C. Gregory, Mayor Kaye D. King, Assemblymember (404) Dennis McCarty, Assembly membar (404) Chuck McGee, Planning Commissioner Karl Steward, Assemblymember (ext. 404) Kate Troll, Aesemblymember (ext. 404) Cindy Walters, Zoning Clerk (Ext. 421) Linda Zarek, Administrative Assistant to the Borough Manager (Extension 402) KING COVE - P.O. Box 37, King Cove, AK 99612 (497-2340) Edwin Beadixen, Councilmember Dean Could, Coyncilmember Raymond gone, Councilmember Henry Larsen, Jr., Councilmember Donald McCallum, Councitmember Wayne Marshall, City Manager Alex Samuelson, Mayor Cynthia Samuelson, City Clerk M-11 Flo 9. KODLAK. CITY OF - P.O. Box 1397, Kodiak, AN 9961S (486-3224) Robert B. Brodie, Councilmember Alfred B. Cratty, Sr., COuncIlmembOr Nw.:.elia R. Dslke, City Clerk Cliff C. Davidson, Councilmember Smut C. Gesko,Jr., City Manager Joseph A. Perrozzi, Councilmember John R. Pugh, Mayor James R. Bangle, Councilmember KODUX ISLAND SOROUOR - 710 Mill Bay Road, Kodiak, AR 99615 (486-5736) Alan Austerman, Assemblymember Eric BlankeaburS, Assemblymember Ken Gregg, Aasemblymember Wayne Hearer, Jr., Assessor/Chief Appraiser (ext. 285) Jack L. McFarland, Aesemblymember Jerome Selby, Mayor Wayne Stevens, Aseemblymember Gaye J. Vaughan, Borough Clerk Lorne White, Assemblymember KOTLIK - P.O. Box 20268, Kotlik, Alaska 99620 Emanuel Keys, Councilmember Victor J. Tonuchuk, Sr., Mayor KGTZBBUE - P.O. Box 46, Kotzebue, AK 99752 (442-3401) Elmer Armstrong, Councilmember Arthur Fields, Councilmember Elmer Goodwin, Councilmember Lydia Scott, Councilmember Mike Scott, City Manager LOWER KALSKAG - P.O. Box 81, Lower Kalskag, AK 99626 (471-2228) Waeeilie Kemeroff, Mayor M. Rose Nook, Clerk Ephraim White, Council =bar MATANUSRA-SUSITNA EOR000H - P.O. Box 1608, Palmer, Ak 99645 (745-9685) Paul Barry, Aseemblymember Steve Cypra, Assemblymember Doyle Rolmes, Assemblymember Dorothy A. Jones, Mayor (745-9682) Rodger Wm. IA"renz, Director of Public Works Gary A. Lewis, Borough Assessor (745-9638) had Lloyd, Assemblymember Rose S. Palmquiet, Aseemblymember (376-0110) Vern Roberts, Finance Director (745-4601) Lee Sharp, Borough Attorney (745-9678) Gary Silvers, Assemblymember Vern Uagerecht, Assemblymember MOUMTAIN VILLAGE - P.O. Box 32085, Mountain Village, AK 99632 (591-2929) Larry S. Meadows. City Manager -6- L L r �i to J ...PAKtAK - General Delivery, Napakink, AK 99614 (509.2620) Sally K. Billy, City Clark Lawrence W. Black, Treasurer Carl Motgin, City Administrator (589-2611) Fritz J. Willis, Mayor (589-2611) NAPASKW - General Delivery, Napaskiak, AK 99559 (737-7626) Elizabeth Anvil, Councilmember David Nicholas, Mayor Richard Lereen, Sr., Councilmember Elizabeth J. Steven, Secretary NENANA - P. 0. Box 70, Nenana, AK 99760 (832-5441) Steve Bainbridge, City Engineer/Fort Director (832-5501) Joe Cooper, Mayor Karen Harvey, Clerk NMLAI • P.O. Box 25, Nikolai, AK 99691 (293-2113) Ronald S. Baker, City Administrator NONE - P.O. Box 261, Nome, AK 99762 (443.5242) Dion Adams, Councilmember John Handstand, Mayor Lyle Larson, City Manager Craig A. Oleson, Councilmember ,ry Peed, Councilmember Jim West, Counellmember NORTH SLOPE BOROUGH - P.O. Box 69, Barrow, AK 99723 (852-2611) George N. Ahmaogak, Sr., Mayor Jean Ayers, Grants Administrator George Conan, Deputy Director of Administration (Ext. 216) Laura George, Grants Administrator Trainee Cathy Janssen, Grants Administrator Eileen P. MacLean,'Vice-President Elaine Mello, Manager, Grants Division Alice Panigeo, Deputy Director of Finance (Ext. 216) Roseman Peetook, Aesemblymember Burton Rexford, Aseemblymember James P. Sharpe, Director, Administration and Finance Department (Ext. 216) NOIM WEFT ARCTIC BOROUGH - P.O. Box 111o, Kotzebue, AK 99752 John W. Schaeffer, Mayor •7• • U7 MI k I' i fl s jl PALMRR - 231 Evergreen Avenue, Palmer, AK 99645 (745.3271) Joseph Berbertch, Councilmember George W. Carte, Mayor Hobert Hencieraon, Councilmember Marsha Melton, Councilmember Dave Soulak, City Manager PELICAN - P.O. Box 757, Pelican, AK 99832 (733-2202) Rodney Ady, Councilmember Edith M. Carlson, City Clerk/Treasurer Harry Davidson, Mayor PEERSBURG - P.O. Box 329, Petersburg, AK 99833 (772-4511) Doug Barber, Councilmember Patricia Curtiss, City Clerk (772-4319) Kathy Gustafson, Deputy City Clerk (772-4425) Tom Gustafson, Maynr Linda Renshaw, Counailmember Jodell Jones, City Treasurer (722-4425) Dennis Lewis, Power and Light Supterintendent (772-4203) Patricia Okamoto, Councilmmber Ed Pefferman, City Manager (772-4519) Arleen Pence, Councilmember POW PE - P.O. Box 169, Point Hope, AK 99766 (368-2537) Abraham KovUOns Kirk Oviok, Councilmember PORT LIONS P.O. Box 278, Port Lions, AK 99550 (454-2332) Timot-by CC Ward, Councilmember SAND POINT - P. 0. Box 249, Sand Point, AK 99661 (383-2696) Lamar Cotten, City Administrator Scotty Cumberlidge, Councilmember Debra Dushkin, Administrative Officer/Clerk Jack Poster, Sr., Mayor Paul Gronholdt, Councilmember Martin Gunderson, Councilmember Dick Jacobson, Councilmember David Osterback, Councilmember SAV�OONOA - P.O. Box 141, Savoonga, AK 99769 (984-6614) Denny Akeya, Cmmcilmember Arnold Gologergen, Treasurer Charlotte Nava, City Clerk Jackson Mokiyuk, Councilmember San Mokiyuk, Councilmember Paul Rookok, Mayor Raymond Toolia, Councilmember Jerry Wongittiiia, Sr., Vice -Mayor SCAMMON BAY - P.O. Box 90, Seaman Bay, AK 99662 (SS8-5529) John William Alder, City Manager -8- F., r ELDOVIA - P.O. Drawer B, Seldovis, AK 99663 (234-7643) Carolyn Ellis, Councilmember Carl L. Hille, City Manager (234-7878) Billie Lybbert, Councilmember Keith Robbins, Councilmember Gerald W. Willard, Mayor SEW= - P.O. Box 167, Seward, AK 99664 (224-3331) Robert D. Bocher, Councilmember Ronald A. Garsini, City Manager Harry E. Gieeeier, Mayor Kerry T. Martin, Administrative A9648tant Linda S. Murphy, CMC, City Clerk William C. Noll, Councilmember Robert D. Peirson, Comptroller Leslie Simutie, Councilmember SITKA, CITY 6 BOROUGH OF - 304 Lake Street, Room 104, Sitka, AK 99835 (747-3294) Richard 0. Aadereon, Administrator Maxine Brittell, Assemblymember (747-3516) T. Cole, City Attorney Dave Dapcevich, Assemblymember Dick Griffin, Assemblymember Dolores Ingwerson, Municipal Clerk Dan Rack, Aseemblymember 3KAGWAY - P.O. Box 415, Skegway, AK 99840 (983-2297) Malcolm J. Boyle, City Manager Casey McBride, Councilmember SODOA - P.O. Box 409, Soldotna, AK 99669 (262-9107) Pat Burdick (Me.), City Clerk Charles E. (Chuck) Davis, Councilmember Gary Davis, Councilmember Doily M. Farnsworth, Mayor Kristen Lambert, Councilmember M. Scott McLane, Councilmember Sharon Moock, Councilmember Mitchel (Mitch) Robinson, Councilmember Richard Underkofler, City Manager Joel Wilkins, Finance Officer/Treasurer ST. MARY'S - P.O. Box 163, St. Mary's, AK 99658 (438-2515) RaymondrBeans, Councilmember Wilfred Stevens, Vice -Mayor Francis Thompson, City Clerk ST. PAUL - Pouch 1, St. Paul, AK 99660 (546.2331/2332) Vera McCorkle, City Manager Larry Meroulieff, C nnallmember 'ORNE BAY - P.O. Box 110, Thorne Bay, AK 99919 (828-3380) -8. Lyn Ramsey, City Administrator - 9 - L It do L UNALIRLEET. - P.O. Box 28, Unalsktcst, AK 99684 (624.3531/3474) Jim Bckels, City Administrator Robert Foote, Vice -Mayor UMALASKA - P.O. Box 89, Unalaska, AK 99684 (501-1251)) Ronald G. Anderson, Councilmember (581-1373) Paul Me, Mayor Nancy Cross, City Manager Glenda Martin Currier, City Clark Prank Kolts, Councilmember Dennis Robinson, Councilmember VALD62 - P.O. Box 307, Valdes, AK 99686 John Davos, Mayor Dennis Boltz, Councilmember Sally McAdoo, Councilmember George Maykowskyj, Councilmember Jim Watson, City Manager WAS ICHt - P.O. Box 9, Wainwright, AK 99782 (763-2815) Lydia Agnaaaggs, Councilmember Max Akpik, Sr., Councilmember Jim Allen Aveoganna, Counailmember Aims Bodtieh, Councilmember Jacob Kagsk, Mayor Peter Panik, Counciimember Marjorie 8e9evaa Samuel Simmonds, Vice -Mayor WABIU A - 290 E. Berning Avenue, Waeilla, AK 99687 (373-9060) Colleen 0.*Cottle, Councitmember (373-9065) Erling P. Nelson, City Clerk/Finence Director Harold Newcomb, Mayor (373-9055) Donald C. Patterson, Counailmember (373-9065) Warn= - P.O. Box 608, Whittier, AK 99693 (472-2327) Ken Barker, Vice -Mayor Georgia L. Buck, Mayor James Berman, Councilmember Dr. Courtland B. 0£elt, City Manger Don Shoiner, Councilmember Catherine M. 8olem, Councilmember WRANGELL - P.O. Box 531, Wrangell, AK 99929 (874-2381) Urrl P, Kloster, Counailmember Kenneth C. Mason, Vice -Mayor Joyce Reeler, City Manager 10 - L a -1 II 1906 Associate Member Regiotretlan [.ter 36th Annuot Iscal Government Gunference ALASKA DEPT. OF COMMERCE b ECONOMIC DP.VELOPMENT - office of N.nterprice, P.O. box o, Juneau. AK 49DII (46t'2010) Paul Fletcher, Director Tom Lawson, Economic Development Planner James Wisdom, Development Spoeialist ALASKA DEPARTN= OF COMMUNITY & REGIONAL AFFAIRS - Post office Box BH, Juneau, AN 99811 (465-4750) Ken Berlin, Local Government Specialist I, Bethel Mike Black, Planner IV, Anchorage Dan Bockhorst, Local Government Specialist V, Anchorage Irene Catalone, Local Government Specialist 1I1, Fairbanks Jon Cecil, Local Government Specialist III, Fairbanke John Gliva, Planner IV, Anchorage Vic Goldeberry, Local Government Specialist Ili, Nome Doug Griffin, Deputy Director, Juneau Non Hamm, Local Government Specialist III, Bethel Gene Kane, Local Government Specialist IV, Anchorage Tom Lane, Planner VI, Juneau Rebeeha Miller, Local Government Specialist IV, Fairbanks Tom Peterson, Local Government Specialist III, Kodiak Jim Plasmas, Local Government Specialist IV, Juneau ?at Poland, Local Government Specialist V, Anchorage Marty Rutherford, Director, Anchorage Jim Sanders, Local Government Specialist IV, Anchorage Ike Waite, Planner, VI, Anchorage Nelda Warkentia, Planner V, Anchorage Mike Worley, State Assessor, Juneau ALASKA DEFT. OF ENVIRONMENTAL CONSERVATION - Post Office Box 0, Juneau, AK 99811 Greg Capito, Village Safe Water (46S-2664) Gary Hayden, Director, Facility Construction & Operation (465-2610) Amy Kyle, Deputy Commissioner Dick Marcum, Chief, Municipal Grants (465-2614) ALASKA FIRE CHIEFS ASSOCIATION - 696 Seventh Avenue, Fairbanks, AK 99574 (452-1527) William Shechter, First Vice President ALASKA MUNICIPAL BOND BANK - 601 West Sth Aven., Suite 430, Anchorage, AK 99501 (274-7366) Perry T. Davis, Executive Director APPRAISAL CDNPANY OF ALASKA - 3960 Arctic Blvd., Suite 304, Anchorage, AK 99503 (562-2424) Michael C. Renfro, Partner ARCO ALASKA, INC. - P. 0. Box 100360, Anchorage, AK 99377 (265-6133) Beverly Ward, Director, Government and Community Relations, 134 North Franklin, Juneau, AK (586.3680) C. H. Rosenthal, Manager, Government and Coemueity Relations -11- L • Ili w ART R)R YOUNG & COMPANY - 1031 Went 4th Avenue, Suits 6000 Anchorags. AR 99501 Ann Parrish, Principal Chris Robb, Manager BANK OF AMERICA - 555 California Street, 9th Floor, San Frcncieco. CA 94104 Cullen W. Coates, Vice Preeident (622-1647) Carol %,and" pal. Vice Provident (622.5640 CH2M HILL - 2550 Denali Street, Anchorage, AK 99503 (278-2551) Kent Heppe Max Schmiage, Civil Engineer COPFMAN ENGINEERS INC. - $50 West 7th, Suite 700, Anchorage, AK 99501 Neil Pearson, General Manager Robin Shoemaker, Projects Development Coordinator RAIN BOSWORTH, INC. - 999 Third Avenue, Suite 1500, Seattle, WA 98109 (206-621-3130) David Liddle, Vice President & Manager DELTANA COMMUNITY CORPORATION - P.O. Box 930, Delta Junction, AK 99737 (695-4432) Becky McTaggart, Administrator FRANK B. HALL & COMPANY OF ALASKA - 510 "L" Street, Suite 200, Anchorage, AK 99501 (274-2662) Shannon Butler, Claims Adjuster, Adjustco, Inc., Frank B. Hall O. John Baker, Chief Executive Officer Ronald Roberta, Vice President Glenn C. Smith, Claims Manager, Adjustco, Inc., Frank B. Hall Jody L. Smith, Account Executive HUGHES, THORSKESS, GANTZ, POWELL & BRUNDIN - 509 West 3rd Avenue, Anchorage, AK 99501 Fred Arvidson, Managing Partner JoAnne Yerkes, Legal Assistant JOHN NUVEEN & COMpAg._ INC. - 333 West Wacker Drive, Chicago, IL 60606 (312-917-7936) Lorna C. Ferguson, Vice President Sterling Gallagher, Vice President, 240 Main St., Suite 601, Juneau, AK 99801 (586-1634) RRAMSR, CHIN & MAYO. INC.,_CONSULTING ENGINEERS - 124 W. Fifth Street, Juneau, AK 99801 (586-6400) R. Lee Hatcher, P.E., Juneau Branch Manager MUNICIPAL_ ADVISORY SERVICES OF ALASKA - 360 W. Benson Boulevard, Suite 209, Anchorage, AK 99503 Robert M. Nelson, owner (formerly Setpoint Alaska Advisory Services) - 363-8263 OFFICE 07 MAKAOEMENT & BUDGET - P.O. Box AM, Juneau, AK 99811 (465-3568) Thelma Cutler, Budgat Analyist ' OTT WATER ENGINEERS. INC. - 4446 Business Park Blvd., Bldg. B., Anchorage, AK 99503 (562-2514) Mark C. Psemo, Director of Engineering Services William L. Ryan, Regional Manager PEAT, MARWICK, MITCHELL & CO. - 601 W. Fifth Avenue, Suite 700, Anchorage, AK 99501 (276-7401) Vernon R. Johnson, Senior Manager L. - 12 - L a] -J L i r � (C 1; .. i 1 I i A I r (`1 PAEBTON, 11IORCRINSON. EI.I.IS K HOIlMN - 5400 Columbia Center, Seattle, WA 99104-i011 (206.623.759f)) Jim Greenfield, Attorney Cynthia Wend, Bond Counsel/Attorney PRUDENTIAL-BACHB SECURITIES,_ INC. - 1111 Third Avenue, Suite 2750, Seattle, WA 98102 (206.622-1480) Cary Lessen, Managing Director ROH$1CISON. MONAGLE 6 F.ASTAUCH - P.O. Box 1211, Juneau, AK 99802 Elisabeth Cuadra, Municipal Attorney for Haines Borough and Cities of Craig, Skagway, Thorne Bay, and HyGaburg. SHSMSON LEHMAN BROTHERS - 999 Third Avenue, Suite 4000, Seattle, WA 98104 John C. Moore, Sr. Vice President TLINOIT-HAIDA CENTRAL COUNCIL . 230 West Willoughby, Suite 300, Juneau, All 99801 M Ebony Eduard Thomas, President WORLpORTti b FLIHT - 900 West Fifth Avenue, Suite 600, Anchorage, AK 99501 Roger A. Lubovich, Attorney L a NON-MEMBER REGISTRKtION3 36th Annual Local Government Conterenco Willie M. Andrew, Councilmember, City of Kwsthluk, P.O. Box 63, Kwathluk, AK 99621 Milton B. Barker, Acting Commiaeloner, Alaska Department of Revenue, P.O. Box SB, Juneau, AK 99811 (463-2350) Oust S. Bertman, Mayor, City of Manokotak, General Dolivery, Manokotak, AK 99628 (842-5978) Judith W. Eckholm, Owner, Capital Information Group, 523 Main Street, Juneau, AK 99801 Jacob N. Epobook, Administrator, City of Kwethluk, P.O. Box 63, Kwethluk, AK 99621 James E. Fisher, 6643 North Douglas Highw&y, Juneau, AK 99801 Kelly Hagerty, Director of Planning, Calieta Professional Services, 516 Denali, Anchorage, AK 99501 Robert D. Heath, Executive Director, Alaska Power Authority, P.O. Box 190869, Anchorage, AK 99519 (561-7877) Kurt E. Olson, Presient, Walters and Olson, Inc., Poet Office Box 70, Kenai, AK 99611 Gary Roderick, Vice -President, National Bank of Alaska, Pouch 1000, Fairbanks, AK 99707 B. Sue Roth, Rehabilitation Specialist, T-R Rehabilitation, Inc., The Valentine Building, 119 Seward Street, Suite 4, Juneau, Alaska 99801 (586.9432) William R. Tucker, President, AlaekaLand Development Services, 4546 Business Park Boulevard, Anchorage, AK 99503 Michael J. Walleri, Joint Local Option Committee - State Legislature, Poet Office Box U, Juneau, AK 99811 Susan White, Special Assistant, Alaska Power Authority, P.O. Box 190869, Anchorage, AK 99519 (561-7877) John Valensi, Director, Data Resources Management, Alaska Department of Administration, P.O. Box C, MS 0206, Juneau, Alaska 99SU (465-2220) .14. L _J r Legiolatora RaBiatration Lint 96th Annual bent PKivarnw&nt Eonferonce SENATE Johae Binkley, P.O. Box 1065, Bethel, Alaska 99559 HOUSE OF REPRESENTATIVES Ron Larson, P.O. Box 59, Palmer, Alaska 99645 Drue Pearce, 1024 W. 6th Avenue, Suite 204-C, Anchorage, Alaska 99501 Steven Rieger, 1024 West 6tb Avenue, 204-C, Anchorage, Alaska 99501 (276-5140) Fran Ulmer, 1700 Angue Way, Juneau, Alaska 99801 J I 1 aw ", 1'. Guest" (Spouses) 1906 AML Conference Mrs. Scotty (Mary) Cumberlidge, P.O. Box 249, Sand Point, AK 99661 Mrs. James (Edythe M.) Ekstedt, P.O. Box e, Emmonak, AK 99581 Mrs. Martin (Julie) Gundersen, P.O. Box 249, Sand Point, AK 99661 Mrs, Doyle E. (Judy) Holmes, P.O. Box 9, Willow, Alaska 99688 Mrs. Dennis (Linda) Holtz, P.O. Box 307, Valdes, AK 99686 Mrs. Don (Sandy) Penner, P.O. Box 189, Naknek, Alaska 99633 Bobby Smith, c/o Frank B. Hall and Company of Alaska, 510 L Street, Suite 200, Anchorage, Alaska 99501 Bruce Belem, P.O. Box 608, Whittier, AK 99693 Mrs. Jacob (Glenda) Stepetin, c/o 308 0 Street, Suitp 311, Anchorage, AK 99501 Mrs. John (Sharon) Williams, c/o 210 Fidalgo, Kenai, AK 99611 i i i, I 1 i i 16 - i i i f L DAY REGISTRAiit)Nq (Guesta) 3fith Annual Local Government Canterouco THURSDAY Gordon Harrison, Associate Director, Office of Strategic Planning, Office of Management and Budget FRIDAY Peter McKay, local Government Specialist, Alaska Department of Community and Regional Affairs John Gilva, Local Government Specialist, Alaska Department of Community and Regional Affairs Sharon McClintock, Alaska Native Foundation Joe Beedle, Senior Vice President, First National Bank of Fairbanks Howard Awand, CAOHC: ORT, Anchorage Peter McDowell, Partner, Coopers and Lybrand %ve Rose, Member, Juneau's Ad Hoc Revenue and Finance Task Force Patricia Book, Director, Conferences and Continuing Education, University of Alaska, Fairbanks Tony Nakagawa, Local Government Specialist, Cooperative Extension Service, University of Alaska Jeff Otteaen, NorData, Juneau Patrick Anderson, Director, Alaska Economic Development Center Richard Perry, M.D., Fairbanks Claude Keogh, Ruby David Zugsberger, Associate Director, Division of Management Services, Office of Management and Budget Remand Henderson, Director, Division of Administrative Services, Alaska Department of Community and Regional Affairs Oris Orten, Senior Manager, Ernst and Whiney Leo Schilling, Regional Director, Bureau of the Census, U.S. Department of Commerce Brian Rae, Coordinator, State Data Center, Alaska Department of Labor 1 =iAQ '. l f� � U l 1986 NK11181TORS 36th AM. AnnuaL Local Government Canforenco ALASKA COASTAL MANACEWT PROGRAM, DIVISION OR GOVMU ENTAL COORDINATION ORRICE OR MANAGEMENT 6 BUDGEt - P. O. Box AW, Juneou, AK 99811 (465-3562) M Jan Hills, Coastal Program Coordinator AL,AAKA DEFT. OF COMM= 6 REGIONAL AFFAIRS - HRAD, P.O. Box BH, Juneau, AK 99811 (465-4750) ALASKA MUNICIPAL BOND BANK - 601 West 5th Avenue, *430, Anchorage, AK 99501 (274-7366) ARTBUR YOUNG & COMPANY - 1031 W. 4th Avenue, Suite 600, Anchorage, AK 99501 (279-0422) SRISTOL BAY BOROUGH - P.O. Box 189, Naknek, AK 99633 (246-4224) COF6MM1 ENOINSSRB - $50 West 7th, Suite 700, Anchorage, AK 99501 ERNST 6 WRINNSY - 301 W. Northern Lights Blvd., Anchorage, AK 99S18 Charles Nobraten MWK B. NALL & COMPANY OF ALASKA/ADJUSTCO. INC* - $10 L Street, Suite 200, Anchorage, AK 99501 (274-2662) RUGM, THORSNESS, GANTZ._PM= AND BRUNDIN - 509 West Third Avenue, Anchorage, AK 99501 (274-7522) ICMA RETIR> CORPORATION - 1800 Harrison Street, Suite 1661, Oakland, CA 94612 (423-836-4527) Jim Randall, Regional Manager 2NT1Utt*MONAL BUSINESS MACHINES (IBM) - 2525 C Street, Anchorage, AK 99503 (265-0726) Brim Brady, Account Marketing Repreeeutative KETCSIKAN. CITY OF - 334 Front Street, Ketchikan, AK 99901 (225-3111) UMIKAN GATEWAY BOROUGH --PLANNING DEPARTMENT - 344 Front Street, Ketchikan, AK 99901 (225-6151) PEAT. MARWICK. MZTCHEIL 6 CO- - One Kaiser Plaza, quite 1750, Oakland, CA 94612 Paul Nacon SEARCBWARE, INC./PCs. LTD - 4101 Arctic Blvd., Suite 206, Anchorage, AK 99503 Stephen D. Gregg, President, PC$, Ltd. (361-0143) Sharon L. White, President, SearchWAre, Inc. (563-5127) SEVOI T ALASKA - 560 East 34th, Suite 200, Anchorage, AK 99503 (563-0304) Bob Blasscett, Sales, Support Mesager (Computer Application Services) Judy Monday, Project Analyst (Computer Application Services) SOUTHWEST REGIONAL MUNICIPAL CONMRBNCE U.S. CENSUS BUREAU - 1700 Westlake Avenue, North, Suite 600, Seattle, WA 98109 (206-442-7800) Gsorgs Whitaker, Supervisory Survey Statistician VALURZ�. CM OF - P.O. Box 307, Valdez, Ak (835-4313) L -I rl i; �4 �t i I. Oor dNoAlWm (4�C�C /'fc�c kssociaes f tin 21�5 FIQALGO, SUITE @OA KFNAI, At A10 A UFAD1 I December 10, 1986 JlQ Y / A9, J. City of Kenai CoN�ry°f 76 a. 00 210 Fidalgo ST. Kenai, AK 99611 STATEMENT #8617 - Kenai Float Plane Facility Professional Services 10/21/86 through 12/10/86: Principal/Engineer (Nelson) 33.511hrs. @ $75.00/hr. $2,512.50 ✓ Engineer II (Lindholm) 115�Hrs. @ $60.00/hr. 6,900.00 ✓ gineer I (Jolly) 28.5 hrs. @ $50.00/hr. 1,425.00 Drafting ,/ hrs. @ $40.00/hr 3,540.00 ✓ 88.5 2-Man Survey Crew 42.0 Hrs. @ $132. 6/hr. 5,544.00 ✓ Miscellaneous Expenses: N.P.A.S. #3466 4,840.00 ✓ Alaska Kwik Kopys 07376, #7371 42.90 ✓ McLanea #5843 286.00 ✓ 11.94 ✓ Photos BALANCE DUE: $25,102.3 A- ,,106 FUN LOU';;,:.L,tL'A.ti ,a Oh W❑ GIq �. ,I. U Attorney I ---uollc .:....:, - — �] City Cleric Uliginal 7u� �=— CWwfal OJK U:1u l�ias .. t�»�.•• r :r N F-0 — o? CITY OF KENAI " d Cap" of 4" 210 FIDALQO KENAI, ALAKKA M11 TELEPMONE4A- M5 December 12, 1986 MEMORANDUM TO: Mayor Williams and Kenai City Council FROM: Randy Ernst, Airport Manager 69- I have received a request from chary Martin of Martco Vending to place a Pepsi -Cola vending machine in the airport terminal (letter attached). Space could be made available for this machine if the Council wishes to accommodate Mr. Martin. The City could enter into a lease similar to Tyler Vending's lease. ir RE/dg t Attachment { L MARTCO Vendinj; 323 W. Rockwell Ave. Soldotna, AK 99669 December 8, 1986 Mr. Randy Ernst Airport Manager City of Kenai 210 Fidalgo St. Kenai, AK 99611 Dear Mr. Ernst, As a recently established local vending business, we would be interested in placing a coin -operated vending machine in the airport terminal building. We propose the placement of a single Pepsi -Cola machine, occupying approximately 9 square feet of floor space. The machine is capable of cooling and dispensing 348 12 ounce cans of 10 separate flavors. We would be responsible for filling the machine weekly, or more frequently if necessary, and for all maintenance to the machine itself. The city would receive 10% of any gross profits in the form of a check issued every second month, or a yearly lease fee for vending space. We realize that there is presently a Coca-Cola machine in the terminal, but we feel there is room for both Pepsi and Coke products. Please let us know if we can be of service to you in this capacity. S cerely, ary Martin e PAR CO Vending 9 a. OF CITY OF KENAI 210FIDALOU MOVA1,ALASKA 9h1 f EW1 ONE 2#3.7535 December 12, 1986 MEMORANDUM TO. Mayor Williams and Kenai City Council � FROM: Dana Gerstlauer, Administrative Assfstant� RE: Change of Use of Lease/Candy Denkovic Ms. Candy Denkovic is a sublessee of FSLIC on the building formerly leased by Ray Cason and operated as the Golden Hairpin Beauty Shop. Ms. Denkovic has come before the planning and zoning commission with plans to use the space for a soup and sandwich kitchen. No alterations are planned for the building. In the original lease (an old form lease from early 1970), no use was specified for this space. Therefore, no Council action is necessary and this matter is presented to you for your information only. � r 1" r., u «� � a N a ro ro a A r r* H H o � rt � m M 0 M N O 'A bo C �o faD iQQ'� 7� M IO ~ o h0 rt o O BE M O O Pf C 1p ~ v iv rt m w o 0 O M p N o p p1 Q A w A N 1 4 o`�tit►9 tog I, I KENAI RIVER SPECIAL MANAGEMENT AREA HIEWE"LETTEMor-la .4w. No. 18 November 4, 1986 NEXT ADVISORY None Scheduled BOARD MEETING: OTHER MEETINGS None Scheduled n SCHEDULED: N fv r--e, - ay j3456?% PLANNING UPDATE: The Kenai River Comprehensive Management Plan was adopted by Commissioner Esther Wunnicke on October 31st, after two years of work by many people. The final plan should be available for distribution in mid -November. - In adopting the final plan, the commissioner made several revisions of an earlier draft ?plan. The commissioner removed a proposal for a $5-10 annual user fee. She also removed a draft plan proposal to prohibit aircraft takeoffs and landings on most portions of the river. The aircraft proposal had attracted more public comment than any other draft plan recommendation. Another change was the removal of several recommendations concerning fish and game management. The draft plan had called for research and study of fisheries allocation and enhancement issues. As adopted, the final plan contains recommendations in three major categories: land and water use (as they effect fish and wildlife habitat); recreation; and improvements to government programs and functions. The plan calls for a Kenai River Conservancy District, to be established by local government ordinance. The conservancy district would protect fish and wildlife habitat by prescribing strict rules for compatible and incompatible land uses adjacent to the river. The conservancy district proposal is based on the best and most current information on habitat protection. The plan makes numerous recommendations for new recreational facilities at state park units along the river. New access sites, sanitary facilities, parking, and camping areas are proposed. Several additions to the Kenai River Special Management Area are also proposed. The final plan contains a comprehensive list of permitting guidelines and standard stipulations which were developed by permitting agencies and private citizens of the advisory board. The guidelines are intended to streamline the permitting process by bringing predictability j and consistency to permitting actions. ) With the conclusion of the Kenai River project, we will be discontinuing the Kenai River 4 Newsletter. We will use the mailing list occasionally to Inform you of upcoming events .nd meetings. Once again, we would like to thank all those who have participated in the Kenai River project. We believe the final river plan strikes a good balance between the various Interests and influences which the river attracts. We are confident that, once implemented by local government and other agencies, the plan will protect the river's wonderful fishing and public use opportunities. The river will remain as the lifeline of a thriving community and an outstanding recreational attraction. y. TNF-0�� CITY OF KENAI „ail Gap" 4 4",0 210FIDALOO KENALALASKA 0"10 W TtLEPHONB 183.1535 I ,, C CITY OF KENAI BACKGROUND AND PERSONAL DATA - CANDIDATES FOR APPOINTMENT i0'_..�� lr COM ITTE/nJES AND COMMISSIONS NAME Resident of ity of Kenai How long? �Jro--� Meiling Address to /� If Q Tel��.-: Bus. AddresTel.ZS-33 D ` Presently emplo ed y I Job Title r Name of Spouse Current membership in organizations: n Pest organizational membership: -kill P l-, h Arly^ Committees interested in: - - - /-7 ^ . I - /fie ` Signature L • K KRNAI PE"1113 LA 110"011GH fWGU)AR AGBEMBLY MEET RIO D7,CEMBER 16. 19861 700 V.M. 'l4r BOROUGH 1aMINIGTRAT1011 BU14DLt1G 00i. ;i Pi, SOLDOrNA. tiASFA ��" AGENDA - A. CALL TO ORDER OF BOARD OF APPEAL (7100 P. tee) B. HEARING OF APPELLANTS:• s�� 2 C. DECISION OF BOARD D. ADJOURNMENT OF BOARD OF APPEAL ��`'��lz0%I'• Assembly A. CALL TO ORDER Nash Phillips B. PLEDGE OF ALLEGIANCE Keene Walla C. INVOCATIONi Pros. Merrill D. Brigggs Mullen Soldotna Church of Janus Christ of Latter Day Saint@ Crawford ore D. ROLL CALL Care Glicz E. VACANCY, DESIGNATION OR SEATING OF ASSEMBL1MEMSERS SewaheMcCn F. APPROVAL OF MINBTESt December 2. 1966 O' dal ll 0. COMMITTEE REPORTS Skogetad McLane Johnson 00 Finance (Crawford, Carey, O'Connell, Nash, Vandal. Johnson) (b) Lsnde/Resources (Skogetad. Johnson, Mc0ahen, Mullen) (a) Local Affairs (Moore, Phillips, Vandal, Mullen, Walli) (d) Public Works/Education (McLane, Skogetad. Valli, McGahon. Keene) H. MOTIONS TO RECONSIDER (a) Ord. 86-96 "Establishing Penalties for Violation of (@$•T.3'"40 Prohibition on Use of Public Monies to Advocate Passage of a Ballot Proposition" (Mc0ahan) FAILED 12.16.86, MTR FILED MOORE I. AGENDA APPROVAL AND CONSENT AGENDA (a) th Vacation (Seciol.Line Townshippm2n3 uth,Associated and Section 36. Township 1 South, Range 2 East, S.M. J. ORDINANCE HEARINGS (a) Ord. 86-71 "Stating the Principal Purposes of Kenai enM nsi uliBorough Computerized Recorder Setting Forth Criteria for Classification of Such Record:. According to Access and Processing Requirementei and Providingg for the Disposition of $uch Classified Records" (Johnson) (b) Ord. 86-85 "Promoting the Furtherance of Local Hires ro4" viaLng Certain Pfoteotione for Subcontractors, Reducing School Construction Coates and Providing for a Construction Ombudsman" (Nash) (c, Ord. AA-D► "Authorisinq Convevence of dnrm,Ah patenred Wtthtn Sacti"n Ii. TIN. R11W, 9.N . A)aaYa" lNaygrl (d) Ord. B 9246bitt "Rsorganisin and Bsearebltshin■ ttii`Rseou?ice r1lo ment Comesission and Recodifying and AmendingKVB 2.42 and Raqulvind Quarterly Neport- ing to the ssembly"(Nash//andel) ref Ord. 86-99 "Amending the City of Kenai Land Use Nap for a0`reo s omsstsad No. 2 6 3 (Preliminary Plate) from Medium Density Residential to Low Density Residential. Section 30. Township 6 North, Range 11 West. 8.11." (Mayon (f) rdQ_ 66-102_ "Accepting and Appropriating State Crant un e o rv oject Accounts for Grants Recaid from the State of Alaska Totaling $69.446 Made by Chapter 130. Session Laws of Alaska 1986" (Mayor) K. INTRODUCTION OF ORDINANCES (a) Ord. 86-105 "Amending the Borough Code of Ordinances Coonceerrn Ing Assembly Member Tenn of Office and Election of Assembly Officers" (Moore) L. CONSIDERATION OF RESOLUTIONS (a) ea, 86-162 "R,gerding the Preparation of the Kenai en neu a orough School Dietrlct Budget for Fiscal Year 1987.68" (Nash) (b) Iso. 86-148 AM "Requesting That the State Delay •euance 09 Permits that Would Allow Exploration for Mineral, in Cook Inlet South of the Forelands" (Mullen) ADOPTED 12-16-861 VETOED 12-26.66 (c) Res. 86-146 "Urging the Alaska Legislature to Amend Wan pal Taxation Laws to Provide the Same Assessment from Time of Purchase Until the Property Ie Sold" (MeOahan) (d) Res. 86-154 "Expressin Intent to Pursue Establishing o a�T -DE Sposal Facility at Elephant Lake" (NcGshan) (a) Res. 86-157 "Relinquishing Certain Borough Selected enC -de TocaTed Within Section 17. Township 7 North, Range 11 West, S.H.. Alaska" (Mayor) (a) a�i , 86.164 "Authorising the Battlement with Oteco in E •F► Amoun of $95,382 for Site Work at Kenai Elementary School" (Mayor) M Res. 86-165 "Approving a Mutual Aid Agreement Between ty or Seward and Bear Creek fire Service Area" (Mayor) (g) Roe. 86.166 "Approving the Naming of the 1905 School Bond Frroo c and Authorising the General Contractors on the 1983 School Bond Projects that were Formerly Called Central Peninsula High School, Nikiski High School. Nikiski Elementary School, Kenai Elementary School and Hope School to Proceed with Contract Requirements to Order and Install Permanent School Signs" (Mayor) (h) Ras. 86-167 "Re ueeting the Governor to Conduct an n e ra ive Review of the Decision by the Board of Fish to Restrict the Harvest of King Salmon in Cook inlet by Best Side Setnetters" (Mullen) F— M. PENOItlO LEOISLATtON (time an notedlenotgloraaction1thisYill meetto; ddraesed •r a Peter (a) Ord. 66-1100(AN) "To Reduce t,ne` A}eembly Manbershly Upon Aebipio(M fa DistricHEAR Iin plan for This Rsduce44Himbp (b) Ord. r Storagelof�siidous Waste12(Yeah) Prohibit ZV I WDC (c) Ord. 86-103 "Amending KPS 1.12 to Clarity the Ferm HEABir 6 B7 of Ordinances and Resolutions" (Nash) (d) Ord. 66-104 "Amending the Land Uces Allowed Table of the Seward Urban District zoning Code" (Mayor) NEAR 1/6187 N. FORMAL P PRESENTATIONS WITH PRIOR NOTICE UPON SUBJECTS NOT ON THE MEETING (a) presentation of Waste Disposal Commission's Formal RraaPeninsula nrAreate Disposal practices by CCbatcman Joe AAsneasn the Central 0. PUBLIC NEDOHINH'INAND B ASSEMBLY'S AGENDA UPON MATTERS NOT CONTAI(a) Citizens Took Force an Waste Disposal - Mary Sisson P. MAYOR'S REPORT (a) ReapooCommis intizent oh wndua and Keith Laurie to Waste Dis p, OTHER BUSINESS (a) SID 6itolnof oodlandrHillsWEstates Paril t Twone Clyde King R. ASSEMBLY AND MAYOR'S COMMENTS S, tNFORMATIONAL MATERIALS AND REPORTS T. NOTICE OF an MEETINO AND ADJOURNMENT (January 6. 1967) 0 r I CHRISTMAS COMES TO KENAI was once again a hugs MH "'! ' thufit to n+mry Ir r n1 Du l rir r :c , (,nd individuals who so generoutily donated the i r time and antil ntud with tit', 1 r,m11 uc;. WV (HANK EACH AND EVERYONE OF YOU So VERY MUCH1111111 CHRISTMAS DECOWITING CONTEST will again he nponsored by the Chinnber i,nd we ank that if you wish to nominate a business or residence to be considered in the judglup" to pleanm call the Kenai Chamber office no later titan Monday, December 15th. During the Christmas neanon, take time and drive around your neighborhood and view the beautiful decurationn that hnve been put up in celebration of the Christmas Holidays. ANNUAL BANQUET preparations are now underway for Friday, January 30th. United Staten Senator Ted Stevens has graciously accepted our invitation to be our guest speaker. The Chamber will be taking reservations as soon as a time and place have been determined. 1987 MEMBERSHIP BILLINGS will be mailed out to you the first week of December. We ask that you continue your support and help us retain the position of "THIRD LARGEST CHAMBER IN THE STATE OF ALASKAI MEMBERSHIP. We would like to welcome the following as new members for ival . Racnieen and Sid Logan of BIRCH TREE GALLERY located on Funny River Road; Bob Peters and Tom Thibodeau of THIBCO, INC., an oil field service company; and, James Worth of LIBERTY ASSURANCE, a health insurance company. ELECTION OF DIRECTORS. The election for six new directors has resulted in the following Kenai Chamber members election to the Board of Directors for a two-year term of office. Don Gilman of Foodtown Liquor & Soldotna Country Liquors; Leroy Heinrich of Union Chemical; Lester Vierra, President of KPCC; Dr. Dennis Swarner of Kenai Vision Center; Bogue Morgan, Kenai Manager of National Bank of Alaska; and, Bill Coghill, CPA with Mikunda, Cottrell and Company. We wish to congratulate all those who were elected and particularly thank all those members who cared enough to participate and run for the Board. NEW OFFICERS FOR 1987. The Chamber Board of Directors also held elections for 1987 Officers. Serving will be President, Jim Carter (retired FAA); lat Vice President Ron Malston (owner of Malstons, Inc.); 2nd Vice President, Bogue Morgan (Manager of NBA -Kenai) and Secretary -Treasurer, Lester Vierra (President of Kenai Peninsula Community College). The officers will be preparing committee assignments and would like your support and input. If you wish to actively participate, please call the Chamber office (283-7989). December will be a busy month with lees membership meetings due to the Holidays. But please join us at 12 noon at the Kenai Merit Inn for the following: December 3rd - Mr. Charley Wiley - "Accuracy in Media Group" December loth - Mr. Jack Hughes, Marketing Director for GCI December 17th - Mr. Bill Coghill of Mikunda, Cottrell on the "New Tax Laws" December 24th - NO MEETING -- MERRY CHRISTMAS TO ALL111111 December 31st - NO MEETING -- HAPPY NEW YEAR11111111 L . I� i i j i f i 1 ",;If t Almf to FMI AM) IS CJN5MrRAr.0,q of the sum al u„n ltul! r (OI.C)1 end oth,r 1•or4j sideration to the ua"ealgaed In hand p,dd, the roc: i,rt wh-•-af It ;.•-7••4.y ^rantar itcwm, c:ous hereby grant to UNION OIL C7Aii'I,NY 0,1 CAI.lV0;1NIA• a Q'if rattua, ;;ra;,tto _110.rbt,. its success"& or mslgns, thu right of way, from till' to tirno, to lay, eaustruct, malataln, o, auto, { ra.mir, a4ar, changa the dzo and nutnhor of and rtmnvo a Iripo lino rr pipe hucs, and appuricniaxe Ciercof, far the ermupostntion of ell, nt, water and other substnnres, with tite right of ingma and c,,res to and fra:n I tho s.tmo, over, through, under and a10113 that certain parcel of land, Insofar as the Interests of the grsnwr i extend t::emin, atuated In the Xona1 Rocordinu Ulstrict, State of Alaska, desrriboa as follows, to.% j t :ao. (201) in t: 4`11; -' i!Lu.a..c wit:,in Lc.a 2, 3 a,:d 4 Gf 0ac:ic:: S, Rango 11 West, a::::ln tho South Half 00 o: Soctloa 32, iowas:ap f ''t:: t .� , (JQ Il tiVJ3t, And tYlai:n LJ'i3 1S6 :h:ough 17�: of uGCt:Ji1 mil, iGVI,�Siti'i V. �• ot:h, Ra ,-a 11 VJaat, all of the 3otiard e/ssoridlen, City of Xamil, X0:'tc1 11acorta:zg ) fiftoan flat (151) nor::lorly ant: fivo foot (5') southo:ly of o ,no doscr=cd to :ollows: ,1 • ti 1. COMMIMMING for ro.arenco at :he common Section Corner of Sectior.3 32, I i 33, 5 and 4„; 2. T::ENCE West, 482.8 foot to the extondod corterllna tangent of the Kenai Spur of :he Sterling ::ighway shown to bear S 470 321.001, W on Sheet 46 1 of 61 Shoats of the Alaska Road Commission As -Built Plans of the Kenai Spur of ::a Ste:11.~.g Highway, Suction 8 1, E, da:od VIsY 13 ' , :955; 3. THENCE S 470 32. 00" W, 1,297.0 feet along the Conter:iro of the said Kenai Spur of the Sterling clghway to a ilea parallel with and 32 foot northeasterly :run *a Conterline of Dock Road (Commonly called Beaver Loop Road) as shown or. Shoot 1 of 2 Shoots of the Alaska Road Commission Right -of -Why Plans of Dock Road dated 19S1, and the ?OINT OF BEGI.NINWG; 4. THENCE N 420 31' 45" W, 100.00 foot along a lino parallel with and 32 feet northeasterly from the Northwesterly Prolongation of the said Conterline of Dock Road; S. THE\*CE from a tangent mooing said line parallel with and 32 feet northeasterly from, the Northwesterly Provo ngation of the said Centerline of Dock Road, along a curve to the left having a radius of 1, 378.07 feet through an angle of 18* 46, 00% fora distance of 4S1.37 feet; , 6. MMENCE N 61° 17' 45" W, 1, 224.173 feet to the Conterline of Willow Street; 7, THENCE N 610 17' 4S" W, 93.31 foot; 8. THENCE from a tangent bearing N 610 17' 46" W, along 0 curve to the Ion having a radius of 582.0 feet, through an angle of 900 00', for a distance of 914.20 feet; 9. THENCE West, 928.7 feet; 10. THENCE N 750 00' W, S64.1 feet more -or -less, to a point 23 foot North of the Common Section Corner of Sectiora 31, 32, 5 and 6; •1• THENCE N 390 S8' 3^" W, 1, 353.6S foot along a line parallel with and till feet nortiarly from the common boundary of Sections 6 and 31, to the Westerly Right - of -Way Lino of the Public Right -of -Way along the Common Boundary of Lots 166 and :67 of said Section 31; and the TERMINUS hereof. M L 1 C9 f' I I' '1 i i Y - v 1 r1 W�" �/" _.. �» .- .r .. _ _._ _ --.--_.,��..�a�sw.w�..«o�mt�r■was 'f • 4 The Grrnteo, its successors, assigns, agents and contractors, shall have and hereby are granted ::ho tempo- ' rary right to use and occupy land to the extent of tea :eet (10) in width paralleling the aforesaid sight of way strip from time to time during the period or puiods of construction, reconstruction, repair, alteration, maintenance, oporat:on or ror..ovai of said pipe lira or lines to provide an area upon which to work and to store machinery, o.;uipmont, excavated and o&nor materials and supplies; toget:ter with the right to remove trees, shrubs and other growth thereon, subject to payment for loss of or dannnge to such improvements as provided herein. Grantor shall : avo the right to use said promises for purposes not' inconsistent with the rights hereby granted, provided that grantor shall not construct or permit tho construction of any building or other struc- tures within said right of way strip. The grantee shall pay any donages which may arlso or result from its laying, eonssvcting, maintaining, operating or removing said pipo lines; said dnmages, if not mutually agreed upon, to be ascertained and determined by eiroo disinterested persons, one thereof to be appointed by the grantor, or assigw, one by the grantee, or assigns, and the third by the two so appointed as aforesaid; and the award of such three per. sons, or any two of them, shall be final and conclusive. Sold yip a lines, may, Insofar as the interests of the grantor extend therein, be laid along and across ad)a. cant roads and s: cots. T:w. to, of said pipe lines shall be buried to a depth of at least thirty inches (30') below the surface of t%o ground. This agoomont and grant of right of way shall be binding upon all of the parties hereto, their heirs, succcssm-s and assigns. IN WITNESS WHEREOF, these presents are hereby signed this/ day of .: LW. �. Clty Manager Ctw of Knnni • f L TIV" ` 27V CITY OF KENAI "Od (?aPdW 4 4" MO RDAL00 KANAI, ALASKA "B" TQLEPNOMP 243 • M& December 11, 1986 TO: Tim Rogers Attorney FROM: John J. Willia Mayor I # Please advise me as to the conditions of the City of Kenai contract with the old Union Oil group as to the agreement for pipeline right of way for the high pressure gas main that goes through the City of Kenai, specifically past Katmai Hotel down Main St. Loop. Is there any means for continued payment of any sort to the City of Kenai once the 20 year contract for gas is completed? It would appear that if the 20 years for supplying gas from Union to the City is ending, our right to allow right of way should be renegotiable. Also, it would appear that if the term of 20 years for the franchise expires Aug. 9, 1987, Enstar may be premature in filing an application for rate increase on Feb. 1, 1987. Please see if I can have the information by the time Council meets Dec. 17, 1986. Thank you. JW:jw ., Y MEMORANDUM TO: ouncilmembers of Kenai �v� FROMT'� vTim Rogers, City Attorney ' City of Kenai DATE: November 26, 1986 RE: KUSCO/Enster CITY OF KENAI (?ti# d a j 4",. 210FICALOO KENAI, ALASKA "ON TELEPHONE Ze3.7635 . a. Ordinance No. 115, passed by the City of Kenai July 7tt 1967, granted an exclusive franchise to Kenai Utility Service Corporation (KUSCO) for purchase, processing, transmission, and distribution of gas to the City of Kenai and its inhabitants. This franchise was subsequently submitted to and passed by referendum by the voters. The franchise document at Section 9 referred to the gee sale contract with Marathon/Union of May 179 1966 and effectively passed through the City's rights under that contract to KUSCO. Section 13 of the franchise document required prior consent as to a first option of the City to purchase the entire system on terms no less favorable then any bona fide offer and gave the City sixty (60) days in which to exercise the option. Section 14 of the franchise document provided for purchase by the City upon expiration or termination of the franchise and provides a method of price determination for the system. However, Section 15 of the franchise document requires that a City acquisition of the company upon termination or expiration of the franchise requires notice be given at least six (6) months prior to such termination of the franchise. The "effective date" of the franchise as provided for in Section 17 which states that, "This ordinance shall take effect as soon as it shall have been duly passed, adopted and published and approved at a referendum election as required by law, and the acceotance thereof duly filed by the Company as herein set out. The s, lessees or assigns, shall, within thirty days after 1 result of egad election han boon csnvaaood publicly by the City Coernr.11 anti spread upon the records of the minutes thereof and tho result declared anH certified, filed with the City Clerk ita uccoptanee af'fhe sago in writinq, signed by its proper officers and attested by its corporate aeal, otherwiue, the provisions of this franchise shall be null and void; the date of auch acceptance shall be the 'effective date' of this fronchise." The effective date, pursuant to Section 17 of Ordinance 115, which is synonymous with what we call the franchise document is imprecise from available City records. the election was held on Tuesday, August 8, 1967 and was canvassed publicly by the City Council and certified on August 9, 1967. However, we find no corporate acceptance. Thus the effective date of the franchise is unclear. Assuming performance equates to corporate acceptance, the most logical effective date for the franchise is August 9, 1967. That date could be construed as important since Section 18 of Ordinance 115 provides that the term of the franchise is "...for a term of twenty (20) years from the effective date hereof." Thus, the franchise expires on August 9, 1987. Since Section 15 of Ordinance 115 provides a requirement of six (6) months notice prior to termination, should the City Council undertake purchase of the system, works, and plant and property of the company, such notice will need to be given no later than February 9, 1987. TR/clf L K -_--._____-�, , AGRt T MI N I , This Agreement, entered u+tn es of the third {toy Or Docolshor, 1986 between the City of Kono1 and Heroes find Kurnn II 3 Rogers, husband and wife, conatituton thn writt"n rnnfirmetion oI an agreement reached between the parties at thu Konn► tits Council Mooting of December 1, 1906. Thin Agrnomont nuporcedon �1 any and all oral representations or statements and eonotituton I the entire agreement between the parties. In consideration of the City of Konai having installed o privoto septic system for the aforementioned Ramon and Karon Rogers on their residential property, more opeciPicslly Sdescribed oat Lot 1 Parcel No. 045-040-10 Piatt Subdivision, t which improvements were constructed in conjunction with a larger jassessment district of public sewer being provided to the larger area in the vicinity, which project is known as the „ q Aliek/McCollum Assessment District, and in consideration of Ramon ! and Karen Rogers being a part of the larger assessment district and their payment of a pro rate portion of the assessments, 09 shown on the assessment roll attached hereto as Exhibit "A". IT IS HEREBY AGREED, that should the present public septic system which is the improvement for which this assessment district wee formed, be extended to, or beyond, the aforementioned property presently owned by Ramon and Karen Rogers, that no further assessments or charges shell be made or assessed as to Lot 1, Piatt Subdivision. Provided that aeaeeamento shall be permitted and required for any improvements which do not constitute an extension of this system or relate to '4 any other type of improvement or a new system not substantially related to the project described herein, including, but not i , �j 1 — AGREEMENT L limited to, any ronannnnment or ouoenanent fur e�ptu.�^^ t of tin pronent avotom noconettnted by n(jitty, dontsticttor., or rehabilitation of the uyntem. The eovononta, abligatiuna, end rttlhtu cunt utut+4 11nrntn shall run with the land. OATEOt Thin day of _ . 1906. CITY OF KENAI m. J. Brighton City Manager R—emonmoora Karen Rogers STATE OF ALASKA I )6e THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this day of , 1906, WILLIAM J. BRIGHTON, City Manager of the Ci y of enei, Alaska, being personally known to me or having produced eetis- factory evidence of identification, appeared before me and acknowledged the voluntary and authorized execution of the foregoing instrument on behalf of said city. Notary Public ror Alaska My Commission Expirest STATE OF ALASKA ) )ss THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this day of , 1986, being personally known to me or having produce oetisfactory evidence of identification, appeared before me and acknowledged the voluntary and authorized execution of the foregoing instrument. Notary Public for laoke My Commission Expirest 2 - AGREEMENT L L M 1 � it ' STATE OF AIASKA ) No THIRD JuDICIAt DISTRICT ) PHIS IS f0 Cf:ftTifY that on thlo day of .,. 1986, botng porn000lly knuwn to me or having produced oat►nfaetery evidence of Idontlfrentlon, appeared before me and acknowledged the voluntary and outhorlxod oxerutloo of the forogoing inotrumont. Notary Nu-b is for Alauku My Commise'^n Exprrool i NN Alaska Coalition for American Enrrp Se(urily rc►. Boti 111.VI Anchorage, Alaska 49511) 151', ('1117) 561-11641 M=I Arctic National Wildlife Refuge And America's Energy Need L ANWR What you should knew .. . Ihe "o 1,n1ti of thv 1 Iniletl tit•II� u q .nJ as a resull of tilt,dtanlaII, If"(,1n iht- 1e•te-1 ,a -, nnpolled hool tht-.Middle I.INI Tho imltoti•. nunt 1- 1111 •ult, ao•a I'll nr« rnl diuuve•rios hesvit ttnttho.lshml Alask.1 un the( 1..1.1.11 111,1111 of Ihe Antl( Nahon,ll \1•dellne• Relue t, ( ongmss I m.lted tilt- 'I nulhon .1e n• \It u, National W11dIde Range 111 110101 In 19110 ( orlt,n•••• passed the Alaska National Inteto•.1 1.111(k ( un,r•t vation At I renaming the an•a Ihe• •\u (1t Nalton.11 Wildlifo Refuge and doubling Ihe at n .q,o wh(e h is no\a aver le) million at res. At Ihe tune• l not're" recognin'd the neod to assess lho oll aoef t,a' polt-n li.d 1:f :I;.• Rouge", ( oas1.11 1'1ar11 .1 I. mullion ae it - section of ANWK. 1 he I)eparhrlont of Infrnor \\a, dnee led to condo( t a study of the ( oastal I'lani 11oh ntlal. Soon. the quostlon of what to do with ANWR will (ono. hetorc, Congres. attain. I he right dot tsunl will he to maintain Ihe ("nas1,11 Plain as a refuge which could he explored for possible petroleum development under environmentally responsihle measures. The wrong decision would he t(I ( I-Mity it as wildorness and luck up the region altogether. We urge you to consider those I rili(al points: w SIAI I f n AI A4,KA N ( f►ASIA1 III Alb pN/A Alt( lit %4111)vAI WIIi)1III 111114.1 • REMEMBER THE OIL EMBARGO: • TO EXPLORE IS NOT AN EITHER/OR J National security and economic stability depend DECISION: The environmental record in Arctic on sufficient on -going quantities of domestic oil Alaska provides positive proof that sensible production. development can coexist harmoniously with wildlife. • ANWR's OIL POTENTIAL IS HUGE: The Coastal Plain of the Arctic National Wildlife • OIL FIELD CARIBOU THRIVE: Caribou Refuge is America's best prospect for new in North Slope oil fields have tripled in population 1 discoveries of domestic petroleum to replace size since development and biologists expect dwindling supplies. ANWR caribou to adapt as well. I et s i A national need North Slope plotIm tlon I -Aid-, III" q IIU1111N t+.'ll I lilt It IIld11 !II pl'll 1a I II ()I 114 ill)IM..l. +u p1111 of oil. 1 Iowmer, wall the rill ent lies lilt(, ill) )Il Iuu 1• oil nnpow have Ili( wased ,da1n11ngh 10 1-1 1 I)eI I. ent 1% of Septelnhm, 1986. 1111s .Imuunl ss 10 I;I1 I%% as dwindling tl()nu'sU( mwm", aua 11()1 Ie111,1I I'd Who can forget the Ifing gas Ilse, of 197 t/ M(RI of the free world',, proven fill IV1,(4%e1 sldl evst ul the Middle East, a region that Is no nuae p()11u( alb stable today than it was during the oil e1111migo III 1971, or in 1474 when Uric es eskalaled as a msull of thv Iranllrag conlli( I. According; to the Sol retary of I nerm ,Ind an interim report by lilt- National Pelroleunl ( ()lilt( 11 INPCI: • "The positive trends of I'I81-I'185 toward redut - ed U.S. dependence fin imported oil, partik ularly from the Middle East, are being reversed. Imports from the Middle East more than doubled during; the first seven months of 1986:' • "The recent severe oil (trice decline has resulted in significant reductions in U.S, exploration, produ( - tion, and drilling activity; these reductions cannot he quickly reversed:' j• "Lower oil prices are encouraging growth in energy demand while reducing U.S, oil and gas production:' • "Until oil prices increase appreciably. 11.S. 1 exploration will remain stagnant, our depundenco on imports will continue to increase, and our vulnerability to oil price shocks and possible oil %horn tages or stoppages will riso 10 an excessively dangerous level. All of this could seriously affect our strategic and national security as well .1% our economic stability." Economic benefits Virtually every state in the Union has expvrionc- I ed the economic benefits of oil production from li Alaska's North Slope. But future jobs will depend on n(Av discoveries of oil, since the major planned facilities are now in place. In addition to the money the federal government receives from petroleum 1, lease bonuses, rentals, royalties and exclst- and I' income taxes: F Jill Ill st 1'1'11 N%J r 1 rt 111 ►r rh 1.160 1'Ib', 1'1/11 1'1/'� I'IA4 19MS 1'Ihal I'Yla• %fNN1 %(1I1 TUTURE MASKA NORTH SLOPE uRODUCT10N Million Imm-1, Prr Day 20 15 1.0 0.5 1980 1985 1990 1995 2000 2005 2010 • 1 he oil industry in Alaska has spool more than 42 i billion fin North Slope development in goods and %ervi( t-s pork based in all of the 5() %fates during Ili(, last five yvar%. • In Alaska, the nil and gas indu%Iry provides almrnl 110 por( enl of the slate's ila oille, and is the largest private employer. d V 1 • r'A Gigantic potentia tilhlated lichwen NmIl! \nn n, .! hilt —I u fu'Id .11 11nrdhoe IU, ,Intl '.n;nda ""I , ,nnuv r, 1,11 rhscovenes if) Nu' ( anad!,uo IIr',1!Ilolt "I'a .I11,1 MacKennc' R,vc'I Della vytuno Ili,' )t4.'Au!;\ ,.I Ow ('•maul Plain look., eoco'n.11"I t: • Ihemajor t;vologu Rends and nII k unnl,tlurrl•, of known North `rlolw n'sernes aw behesed to es tend into ANWR. • the l I.S. ( ivologu,II tiul4cw eslutlales 111.11 ANWR'sCoast-111'Lnn m.11 e(Iual0l esceed 1'noclbnr• Hay which I; expet Ivd to w(m el 9.0 billion bar lc•Is of oil. An excellent record 1 ho industry's proven (onunllnle'nt to environmental 1)rolecbon, and stnngvni state and federal regulations would ensure that pelnoleunl development In the Coastal Plain of ANWR would be carried out in a proper manner. • Fifteen years of studying the North Slope near Prudhoe Bay, and more than forty year; of engineer- ing in Arctic Alaska will be applied to exploration and production in ANWR in a manner that protect~ the environment. • Developers routinely consider wildlife use, habitat and drainage in selecting sites for prodw - tion facilities, roads and pipelines. Directional (frill- ing allows for the consolidation of facilities, preser- ving acres within the oil field for wildlife habitat. • Millions of barrels of oil are protiu(ed everyday in sensitive environments around the country, including other national wildlife refuges. A caribou success story The caribou of the Central Arctic Herd calve and spend their summers on the coastal plain of Alaska — in the Kuparuk and Milne Point oil fields. Thetis every reason to believe the Porcupine Caribou Hard, whose summer range includes the Coastal Plain of ANWR, would likewise adapt and prosper. • The last Alaska Fish and Game census shows the Central Arctic Herd is continuing to grow at a healthy lul.rl,n, .ern Ih,u,p,1, ,cm ,J Hit, I Il.,rl , .uilun. ,lu nut n,, ,1 1,uul, i„ „1.1, An urgent decision In frontier Alaska, production usually lake; 10 to IS year; ailer (discovery. In 10 years, domesti( prudu( tion will have signiticantly diminished without now exploration and development. IheANWR Coastal Plain holds the greatest pro- mise to supply the domestic reserves necessary to reduce our increasing dependency on foreign oil. File national securityand energy independence of the Unite(I States will be greatly enhanced if ma- jor petroleum reserves are discovered and developed. Petroleum development in the ANWR Coastal Plain could provide jobs and economic benefits throughout the (ountry. • The ANWR decision Congress makes today will affect all our futures. If you agree that our country needs energy security through sensible develop- ment, write your Congressional representative today. 011