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HomeMy WebLinkAbout2002-11-06 Council PacketKenai City Counci i Meeting Packet November 6, 2002 AGENDA KENAI CITY COUNCIL- REGULAR MEETING NOVEMBER 6, 2002 7:00 P.M. KENAI CITY COUNCIL CHAMBERS http' //www. ci.kenai.ak.us ITEM A: CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. Agenda Approval 4. Consent Agenda *Ail 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. ITEM B: SCHEDULED PUBLIC COMMENTS (10 minutes) . PROCLAMATION -- Celebrating the Kenai Central High School and the 2002 Football Team/Recipients of the Alaska State Small Schools Football Championship. , Heather Arnett, Executive Director, Women's Resource/h Crisis Center -- Request for Bufldin§ Permit Fee Exemption. ITEM C: ,,, ITEM D' REPORTS OF KPB ASSEMBLY, LEGISLATORS AND COUNCILS PUBLIC HEARINGS , Resolution No. 2002-73 -- Urging the U.S. Forest Service to Approve the Plan of Operations for the Exploratory Drilling Program at Katalla, Alaska. , Resolution No. 2002-74-- Supporting the Approval of the Kenai Kachemak Pipeline Right-of-Way Lease Application. , Resolution No. 2002-75 -- Transferring $3,650 in the General Fund for Abatement of Dangerous Buildings. ITEM E: COMMISSION/COMMITTEE REPORTS , Council on Aging Airport Commission -1- . 4. 5. 6. 7. ITEM F: le 2. 3. 4. ITEM G: ITEM H: . ITEM I: . e , . ITEM J: ITEM K: le Harbor Commission Library Commission Parks & Recreation Commission Planning & Zoning Commission Miscellaneous Commissions and Committees a. Beautification Committee b. Kenai Convention & Visitors Bureau Board c. Alaska Municipal League Report d. I<enai Chamber of Commerce MINUTES *Regular Meeting of October 16, 2002. *Work Session Notes of October 14, 2002 *Joint Work Session Notes of October 15, 2002 *Work Session Notes of October 21, 2002. CORRESPONDENCE OLD BUSINESS Discussion -- City of Kenai Letterhead/Logo NEW BUSINESS Bills to be Paid, Bills to be Ratified Purchase Oraers EiCieding $2,500 *Ordinance No. 1976-2002 -- Increasing Estimated Revenues and Appropriations by $5,105 in the Senior Citizen Borough Grant Fund. *Ordinance No. 1977-2002 -- Increasing Estimated Revenues and Appropriations by $431.76 in the Senior Citizens Title III Grant Fund for a Mini Grant for Travel. Approval -- Restaurant at Kenai Golf Course a. Consent to Termination of Lease -- From Morgan Family Limited Partnership and Gary E. Schnelting and Susan L. Schnelting. b. Consent to Sublease -- Between The Morgan Family Limited Partnership and Kenai Golf Course Caf6, Inc. REPORT OF THE MAYOR ADMINISTRATION REPORTS City Manager Attorney City Clerk -2- ITEM L: DISCUSSION 1. Citizens (five minutes) 2. Council EXECUTIVE SESSION- None Scheduled ITEM M: ADJOURNMENT , -3- MAYOR'S REPORT NOVEMBER 6, 2002 REGULAR COUNCIL MEETING Substitute Purchase Order I-2 CHANGES TO THE AGENDA REOUESTED BY: ., Parks and Recreation CONSENT AGENDA No changes. MAYOR'S REPORT Schedule dinner with Soldotna City Council. ,O~O 0 Kenai-Soldotna Women's q'eSOurce & ReSource &- Crisis Center October 3i, 2002 · The Honorable John Williams Mayor, City of Kenai M'embers, Kenai. City Council Dear Mayor Williams and Members of the Council" The Kenai-Soldotna Women's Resource and Crisis-Center Plans to construct a 528 square foot conference room addition to our emergency. shelter/administrative headquarters in the spring and summer 'of 20'03.. Since the main faci lity'., was built in 1985, the agency, has grown from 8 employees to 35' employees. WRCC. provides emergency and transitional housing for viCtims of domestic' violence and sexual assault, the state certified Batterers Intervention-Program, operates the state's Child Care 'Assistance Program, Child Care Food Program and Women,~ Infants and Children.(WI.C) Program. The small conference room in the facility at 325 S. Spruce Street has space for no more' than 1'0 people. The new conference room will .allow the full multi- program WRCC staff to meet together and will provide a better space.-for educational groups' on domestic' violence, sexual assault; parenting and' more. To, date., $10;000. in cash and in-kind contributions have. been .donated to the project. A '.local architect drew. the building plans at no'.cha, rge, local exCavatOrs cleared the site and a concrete company, has agreed-to pour the' conCrete-on a- donated basis. Local building suppliers have contributed materials for the project. We recently learned that the City's building permit fee and plans reView fee would probably exceed.. $900.00. As this project is being built through donations, and as WRCC has limited fund's available to pay for project costs not covered throu§h 325 South Spruce Street Kenai, Alaska 99611 Business Line ... 283-9479' ~--~ Crisis .Line ... 283-7257 · The Honorable John Williams ... May.or Members, City Council City of'Kenai Page TWo contributions, we respectfully ,request that. the City waive the. permit and plan review foes-for this building addition. Thank. you'very much for yOur. consideration. sincerely, "'~eather Arnett z~'v~-~ Executive Director Kenai-S°ldotna Women's Resource & Crisis Center C ..... Linda Snow City Manager CITY OF KENAI "Oil Capital of Alaska" 210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794 TELEPHONE' 907-283-7535 FAX: 907-283-3014 Memorandum TO: THROUGH: FROM: DATE: SUBJECT: Linda Snow, City Manager Jack La Shot, Public Works Manag~ Robert C. Springer, Building Official October 31,2002 Permit Fee for Addition to Women's Resource Center The building permit fee including plan review for the proposed scope of work will be $945.53. This fee may change if the scope of work changes. Under KMC 4.05.030 and 4.05.031, we are required to charge these fees. If we do not, we would be in violation of the Kenai Municipal Code. If Council wishes not to charge WRCC for their building permit, it could be suggested that WRCC pay for their building permit, and the Council could donate this amount to WRCC as a non-profit group. RS/jet Suggested by' Councilman Banno~ CITY OF KENAI RESOLUTION NO. 2002-73 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, URGING THE U.S. FOREST SERVICE TO APPROVE THE PLAN OF OPERATIONS FOR THE EXPLORATORY DRILLING PROGRAM AT KATALLA, ALASKA. WHEREAS, the Alaska Native Claims Settlement Act (ANCSA) of 1971, Section 12 (c) enabled Alaskan Regional Native Corporations to select federal lands, however, Chugach Natives Incorporated (now known as Chugach Alaska Corporation (CAC)) was restricted to selecting lands outside the boundary of the Chugach National Forest, with the exception of historic sites; and, WHEREAS, subsequent to a lawsuit filed by CAC, the U.S. Secretary of Interior, the U.S. Secretary of Agriculture, the State of Alaska's Commissioner of the Department of Natural Resources, and Chugach Natives Incorporated (CNI) entered into a settlement agreement as culmination of the Chugach Region Study required by Section 1430 of ANILCA and in addition to land selection rights and a cash payment, CNI was granted development fights to oil and gas in the Katalla Area; and, WHEREAS, the proposed action is to approve the Plan of Operations and issue a special use authorization for activities in the Plan of Operations, including, but not limited to construction of a barge access ramp, establishment of a temporary staging area, and use and maintenance of an existing temporary access road, (all on National Forest System lands), which begins at the Katalla River and goes east to private land known as Claim No. 1; and, WHEREAS, approval of the Plan of Operations will be beneficial to national security by easing the dependence on oil imports; will cause minimal environmental impact through the use' of pre-existing developmental footprints on both federal and private property; will enable the fulfillment of the Chugach Natives Incorporated settlement agreement; embodies the spirit of Executive Order 13212 which offers expediting review of permits or other actions as necessary to accelerate the completion of energy-related projects while maintaining safety, public health, and environmental protections; and, it will create employment opportunities. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that it urges the U.S. Forest Service to approve the Plan of Operations for the exploratory drilling program at Katalla, Alaska. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this sixth day of November, 2002. ATTEST: John J. Williams, Mayor Carol L. Freas, City Clerk clf Page 1 of 2 Carol Freas From: John J Williams [kenai_mayor@hotmail.com] Sent: Tuesday, October 29, 2002 7:02 PM To: bannock@hotmail.com; Carol Freas; Cary Graves; cpajoe@kcpas.com; cpajoe@altrogco.com; duanebannock@hotmaii.com; jim.bookey@acsalaska.net;'justpat44@hotmaii.com; Linda Swarner Subject: Fwd: Kataila Permitting As a follow-up to an agenda item for next meeting ......John >From: "Popp, Bill" >To' "John J. Williams (E-mail)", "Duane Bannock (E-mail)", "Linda Snow (E-mail)" >Subject' Katalla Permitting >Date: Tue, 29 Oct 2002 16:48:40 -0900 > >This email is a requested follow up to conversations I had with Mayor >Williams and City Manager Snow on 10/29. I offer the following information >for your consideration: > >The Katalla site is the location of the very first commercial exploration >and production oil wells drilled in Alaska. This site saw initial work in >1909, and initially continued to operate through 1932. This site was never >proven commercially viable and had lain dormant for several decades until >the 1980's when new exploration efforts were attempted that again did not >proceed into production. In the last year, Cassandra Energy Corporation has >initiated permitting to begin new exploration efforts in the old Katalla >field. This site is located on both private and state land and will work to >produce oil and gas subsurface prospects that are located under the Chugach >National Forest. These mineral fights are owned by the Chugach Alaska >Native Corporation (CAC), but will revert to the Federal government unless >commercially viable volumes of oil or gas are produced by 12/31/04. On >behalf of CAC, Cassandra Energy Corporation is attempting to develop these >mineral fights. To do so, it must obtain permits for both road access to >the exploration site through the Chugach National Forest and for the >exploration and extraction plans for directional drilling into the Chugach >National Forest subsurface zones. Cassandra is currently in the midst of >the final stages of trying to obtain the necessary permits from the U.S. >Forest Service. A draft environmental impact statement is currently in the >final stages of review. The public comment period for this EIS ended >10/24/02. However, based on past practices, the U.S.F.S. will likely accept >late comments from governmental entities such as the City of Kenai though >this should be confirmed with the U.S.F.S. There is strong opposition from >environmental organizations to these permits being issued. > >Further complicating this issue are the state regulatory and permitting >processes that still must be completed. The Division of Governmental >Coordination (DGC) suspended its review of this project on July 17, 2002, >pending the outcome of the federal permit process. During the initial DGC >review, the AK Department ofFish and Game raised concerns about some 10/30/2002 >aspects of this project, which have purportedly been addressed by the >U.S.F.S. within the draft EIS currently under review. If this project >succeeds in obtaining the needed federal permits, then the DGC will begin >its review process again. This project faces a number of hurdles because of >its remote location, which is adjacent to the Copper River Delta, and the >extreme sensitivity of communities within the Prince William Sound region to >new oil development. However, this project repeats in many ways the themes >of the recent public hearing process for the UNOCAL permits for gas >exploration within the Kenai National Wildlife Refuge. Both projects have >mineral fights owned by a native corporation. Both projects have access >issues within federal lands. And both projects sites have a history of oil >and gas exploration and production. Ultimately, the very remote nature of >the Katalla project is making for a far more complicated development plan >than the Swanson River Satellite plans in the Kenai National Wildlife >Refuge. Also, the Swanson River project is focused strictly on natural gas, >while the Katalla project is specifically seeking new oil reserves. > >This permitting issue is extremely complex by its very nature. It would be >my recommendation that, if the City of Kenai chooses to provide supporting >comments for this project, they should be generalized in nature. With the >complications of state and federal regulations and permitting, ANILCA, >ANCSA, the 1982 settlement agreement between the federal goVernment and >Chugach Alaska Natives Corporation and other regulatory processes, it may >not be advisable at this time to weigh in on the specifics of this project >within the context of any written comments in support of the project. The >dratl EIS itself consists of several hundred pages of sometimes highly >technical information and stipulations. > >I hope this information is of help. Please let me know ifI can be of >further assistance. >Bill Popp >Oil & Gas Liaison >Kenai Peninsula Borough >43335 Kalifomsky Beach Road, Suite 16 >Soldoma, AK 99669 >907-262-6355 >cell 398-8245 >fax 262-6762 >bpopp~borough.kenai.ak.us Page 2 of 2 Unlimited Intemet access -- and 2 months free! Try MSN. Click Here 10/30/2002 Page 1 of 2 From' Sent: To' Carol Freas .I. .! . . I ....... II . I L.I .... !. [ .... II .. ! .. Itl . I...[ ................ I I ...................... LI!..[ ........ .....& .... John J Williams [kenai_mayor@hotmail.com] Wednesday, October 30, 2002 3:47 PM amyj@xofficetech.com; bannock@hotmail.com; Carol Freas; Cary Graves; duanebannock@hotmail.com; jim.bookey@acsalaska.net; justpat44@hotmail.com; Linda Snow; Linda Swarner Subject: Fwd' Katalla update >From: "Popp, Bill" >To: "John J. Williams (E-mail)", "Duane Bannock (E-mail)", "Linda Snow (E-mail)" >Subject: Katalla update >Date' Wed, 30 Oct 2002 13' 11' 19 -0900 > >Here is an update on the Katalla project. > >The State of Alaska Division of Governmental Coordination has started the >clock again on the review of the Katalla permits. Information requested by >DEC regarding spill response plans has been submitted as well as additional >information requested by Fish and Game. The review period for DGC is 50 >days or less. > >In talking with the DGC staffer assigned this review, it appears this >application is even more controversial than I originally thought. Cassandra >Energy, the applicant, is the company that did the previous work on the site >in the 1980's. They "abandoned" the site previously and left a substantial >amount of hazardous materials on-site when they quit the site. Katalla is >still identified as a hazardous waste site according to DGC, which has >raised the ire of a number of groups in the Cordova area. Other issues >muddying the water include the impacts of the project on tourist lodges >located on adjacent properties, impacts on the salmon bearing fiver the >barge will travel upstream through to reach the beach where off loading of >materials will take place, and the storage plans for hazardous materials >near salmon streams. Cassandra has incorporated a'clean up of the previous >contamination as part of their start up plan, but they do not have much >trust from the local communities based on their past history, which makes >the new plans even more suspect in the minds of those opposing the permits. > >Very touchy project. I do urge caution in how you present your support for >this permit application. Please note that you should address your >letter/resolution to both the U.S. Forest Service and the Division of >Governmental Coordination in Anchorage. I can provide those addresses if >you need them. > >Bill Popp >Oil & Gas Liaison >Kenai Peninsula Borough >43335 Kalifomsky Beach Road, Suite 16 10/30/2002 Page 2 of 2 >Soldotna, AK 99669 >907-262-6355 >cell 398-8245 >fax 262-6762 >bpopp ~borough.kenai. ak. us > Get faster connections -- switch to MSN Intemet Access! Click Here 10/30/2002 Suggested by: Cc ..... City of Kenai RESOLUTION NO. 2002-74 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, SUPPORTING THE APPROVAL OF THE KENAI KACHEMAK PIPELINE RIGHT-OF-WAY LEASE APPLICATION. WHEREAS, the Kenai Kachemak Pipeline, LLC (KKPL) has been formed as a subsidiary of UNOCAL and Marathon Oil Company to design and build a thirty-three mile long natural gas pipeline to connect the existing natural gas transportation system to newly discovered natural gas reserves between Ninilchik and Clam Gulch on the western shores of the Kenai Peninsula; and WHEREAS, KKPL has applied for a fight-of-way lease with the State of Alaska, Department of Natural Resources (DNR), which is one of the final steps toward the start of construction of the new pipeline; and WHEREAS, DNR's thirty day comment period will end on November 14, 2002; and WHEREAS, natural gas represents a comparatively clean and inexpensive source of energy for the residents, businesses and industries of the Kenai Peninsula Borough; and WHEREAS, the KKPL project will transport up to 120 million cubic feet of natural gas per day which equals approximately 40 billion cubic feet of delivered natural gas annually; and WHEREAS, the KKPL project offers an excellent opportunity to develop previously uneconomical or undeveloped gas fields and will further facilitate new natural gas exploration efforts in the southern Kenai Peninsula; and WHEREAS, the KKPL project provides the potential of new and future development of residential and business natural gas services in regions and communities of the Kenai Peninsula Borough that have not had economical access in the past to supplies of natural gas for home and business; and WHEREAS, it is in the best interests of the citizens of the City of Kenai that new sources of natural gas be developed in an environmentally sound manner that balances environmental concerns with the project economics; and WHEREAS, based on the Alaska Coastal Management Plan Consistency Review completed on July 23, 2002 by the State of Alaska, Departmental of Governmental Coordination, the DNR Commissioner's Analysis and Proposed Decision and Action (ADL 228162), the KKPL pipeline, as proposed, will not conflict with state statutes, Resolution No. 2002-74 Page 2 of 2 regulations, or DNR departmental policy, and that the right-of-way lease agreement will include stipulations to ensure protection of the public, fish, wildlife and the environment; NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that the City of Kenai agrees with the findings contained within the State of Alaska, Department of Natural Resources, Commissioner's Analysis and Proposed Decision and Action (ADL 228162) approving the Kenai Kachemak Pipeline right-of- way lease. PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 6th day of November, 2002. John J. Williams, Mayor James C. Bookey, III, Vice-Mayor Linda Swarner, Council Member Joe Moore, Council Member Duane Bannock, Council Member Patricia Porter, Council Member Amy Jackman, Council Member ATTEST: Carol L. Freas, City Clerk )STATE PIPELINE COORDINATOR'S OFFICE Department of Environmental Conservation Department of Natural Resources Department of Fish and Game TONY KNOWLES, GOVERNOR 411 West 4th Avenue, Suite 2 Anchorage, Alaska 99501-2343 Phone: (907) 257-1300 Fax: (907) 272-0690 TDD: (907) 269-8411 October 14, 2002 Letter No.' File No.' DD.' 02-235-DW (63) 3.2.4 (30) 1.3.2 N/A Mayor John Williams City of Kenai 210 Fidalgo Avenue, Suite 200 Kenai, AK 99611 Re: PUBLIC NOTICE Commissioner's Analysis and Proposed Decision & draft Right-of-Way Lease Kenai-Kachemak Pipeline Right-of-Way Lease Application, ADL 228162 Dear Mr. Williams: The Commissioner, Department of Natural Resources, invites the public to provide written comments on the approval of the Kenai-Kachemak Pipeline Right-of-Way Application and offer of the Right-of-Way Lease. Please post the enclosed public notice in a conspicuous location from time of receipt to November 14, 2002. Your assistance is greatly appreciated. Sincerely, John Kerrigan State Pipeline Coordinator Enclosure' Public Notice "Develop, Conserve and Enhance Natural Resources for Present and Future Ahtskans" printed on recycled paper STATE OF ALASKA DEPARTMENT OF NATURAL RESOURCES STATE PIPELINE COORDINATOR'S OFFICE 411 WEST FOURTH AVENUE, SUITE 2C ANCHORAGE, ALASKA 99501 (907) 257-1300 PUBLIC NOTICE KENAI-KACHEMAK PIPELINE RIGHT-OF-WAY APPLICATION ANALYSIS AND COMMENT PERIOD ADL 228162 The Department of Natural Resources, State Pipeline Coordinator's Office, hereby gives notice to the public of the opportunity to provide comments on the following proposed action: Approval of the Kenai-Kachemak Pipeline right-of-way application (ADL 228162) and offer of the right-of-way lease. pipeline Right-of-Way Application Subject to the provisions of AS 38.35, and pursuant to regulations promulgated thereunder, the State Pipeline Coordinator's Office has received a right-of-way lease application from Kenai-Kachemak Pipeline, LLC (IGr~PL LLC) a limited liability company formed by Marathon Oil Company and GUT LLC, a wholly-owned subsidiary of Union Oil Company of California, dba Unocal Alaska, for the Kenai-Kachemak Pipeline (ADL 228162). ICd~L LLC proposes to construct a buried pipeline to transport natural gas. The proposed Kenai-Kachemak Pipeline Project would be located on the Kenai Peninsula, between the communities of Kenai and Ninilchik, Alaska. The pipeline would extend from the Alaska Pipeline Company 500 Master Meter Building (located east of Kalifonsky Beach Road) located within Section 30, Township 5 North, Range 11 West, Seward Meridian, to approximately Milepost 128 of the Sterling Highway, located within Section 5, Township 1 South, Range 13 West, Seward Meridian. This southernmost point of the line is approximately 13 miles north of the community of Ninilchik. The public notices required under AS 38.35.070 were published in newspapers in Homer, Kenai and Anchorage. Public notices were sent to post offices, libraries, communities and ANCSA corporations in the vicinity of the project area. No party requested a public hearing within 30 days of those notices. Copies of the fight-of-way lease application were provided to coordinating agencies, local libraries, and other interested state and federal agencies. Pursuant to AS 38.35.080, the State Pipeline Coordinator prepared a Commissioner's Analysis and Proposed Decision for the right-of-way lease application and a draft Right- of-Way Lease for the Kenai-Kachemak Pipeline. The public may obtain copies of the Commissioner's Analysis and Proposed Decision and draft Right-of-Way Lease at cost or view at the following location: State Pipeline Coordinator's Office 411 West 4th Avenue, Suite 2C Anchorage, AK 99501-2343 Open Monday thru Friday Hours: 7'30 AM to 5'00 PM The Commissioner's Analysis and Proposed Decision and draft Right-of-Way Lease may be viewed on-line at http-//ww~v.corecom.net/JPO/kkpl/kl~pl.htm Additionally, these documents will also be available for viewing at the following locations' Kasilofi Public Library Kenai, Community Library Ninilchik, Community Library Soldotna, Public Library Comment Period and Decision Persons desiring to submit written comments on the Commissioner's Analysis and Proposed Decision, and the draft Right-of-Way Lease are invited to do so. Any comment, objection or expression of interest pertaining to the proposed actions must be received in writing by the State Pipeline Coordinator's Office at the above address on or before 5:00 P.M., November 14, 2002. Comments may be provided at a public hearing on the right-of-way lease application to be held pursuant to AS 38.35. The hearing will be held in Soldotna at 6'00 P.M. on November 13, or the next available date, at the Kenai Peninsula Borough Assembly Chambers, 144 N. Binkley. The scope of the hearing will be on the Kenai-Kachemak Pipeline application (ADL 228162). The Commissioner's Analysis will form the basis of the final decision required under AS 38.35.100. If the Commissioner, in his discretion, after review of comments received during the public comment period, does not find cause to amend his Analysis or Proposed Decision, the Analysis and Proposed Decision will become the Commissioner's final decision under AS 38.35.100 without further notice, and KKPL LLC will be offered a right-of-way lease for the Kenai-Kachemak Pipeline. A copy of the Commissioner's final decision and a copy of the right-of-way lease will be available at cost from the department. If public comment indicates the need for substantial changes or additional analysis, additional public notice will be given on or about December 16, 2002. It is anticipated that the Commissioner will issue a final decision within approximately 30 days of the close of the period of public comment. The State of Alaska, Department of Natural Resources, State Pipeline Coordinator's Office, complies with Title II of the Americans with Disabilities Act of 1990. Individuals with disabilities who may need auxiliary aids, services, or special modifications to participate in this review may call (907) 257-1300 or 269-8411 TTY/TTD. Please provide sufficient notice in order for the department to accommodate your needs. The State Pipeline Coordinator's Office reserves the right to waive technical defects in this publica, ti~h. .//' ~./....? /si ,. Johh/Ken'igah State Pipeline Coordinator Suggested by: Administration City of Kenai RESOLUTION NO. 2002-75 A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA TRANSFERRING $3,650 IN THE GENERAL FUND FOR ABATEMENT OF DANGEROUS BUILDINGS. WHEREAS, inspection has determined that the building (mobile home) located at 9245 Kenai Spur Highway is dangerous and a public nuisance; and WHEREAS, the KMC 4.10.010 and Section 202 of the Uniform Code for Abatement of Dangerous Buildings allows the City to demolish the building; and WHEREAS, the City does not own the property at 9245 Kenai Spur Highway, a special assessment can be made and a lien attached to the property to recover the cost of the demolition; and WHEREAS, money is available in Non-Departmental contingency. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that the following budget transfers be made: General Fund From: Non Departmental- Contingency $3,650 To' Buildings - Repair and Demolition $3,650 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 6th day of November, 2002. JOHN J. WILLIAMS, MAYOR ATTEST: Carol L. Freas, City Clerk Approved by Finance' {10/24/2002} hl KENAI AIRPORT COMMISSION OCTOBER 10, 2002 KENAI CITY COUNCIL CHAMBERS 7:00 P.M. AGENDA ITEM 1: ITEM 2: ITEM 3: ITEM 4: ITEM 5: ITEM 6: ITEM 7: ITEM 8: ITEM 9: ITEM 10: b. ITEM 11: CALL TO ORDER AND ROLL CALL AGENDA APPROVAL APPROVAL OF MINUTES -- September 12, 2002 PERSONS SCHEDULED TO BE HEARD OLD BUSINESS Discussion -- Off-Airport Car Rentals Discussion -- Airplane Taxes (Dave Wartinbee) NEW BUSINESS Discussion -- Commission Meeting Site REPORTS Commission Chair Airport Manager City Council Liaison COMMISSIONER COMMENTS AND (~URSTIONS PERSONS NOT SCHEDULED TO BE HRAI~D INFORMATION ITEMS Kenai City Council Meeting Action Agendas for September 18 and October 2, 2002. 9/02 Kenai Municipal Airport Enplanement Report 9/02 Kenai Municipal Airport Float Plane Basin Activity Report ADJOURNMENT KENAI AIRPORT COMMISSION OCTOBER 10, 2002 KENAI CITY COUNCIL CHAMBERS 7:00 P.M. CHAIRMAN HENRY KNACKSTEDT, PRESIDING MINUTES ITEM 1: CALL TO ORDER AND ROLL CALL Chairman Knackstedt called the meeting to order at 7'00 p.m. confn'med as follows: Roll was taken and Present: Knackstedt, Bielefeld, Kleidon, Van Zee, Holloway, Haralson, Watldns Others Present: Councilwoman Jackman, Airport Manager Cronkhite, Department Assistant Harris Public: Pat Porter ITEM 2: AGENDA APPROVAL MOTION: Commissioner Kleidon MOVED to approve the agenda as presented and Commissioner Holloway SECONDED the motion. There were no objections. SO ORDERED. ITEM 3: APPROVAL OF MINUTES -- September 12, 2002 MOTION: Commissioner Holloway MOVED to approve the minutes as presented and Commissioner Van Zee SECONDED the motion. There were no objections. ORDERED. SO ITEM 4: PERSONS SCHEDULED TO BE HEARD -- None ITEM 5: OLD BUSINESS 5-a. Discussion -- Off-Airport Car Rentals Airport Manager Cronkhite asked the Commissioners to review the enclosed information on state regulations regarding off-airport car rental agencies. Cronkhite stated the airport currently charges on-site car rental agencies ten percent (10%) of their gross income as an 'airport concession fee'; plus $1.65 per square foot of office rental space. This tax applies to passengers who have arrived on an airplane and walk-ins, alike. Cronkhite contacted the Spokane International Airport regarding off-airport car rental operators and was informed Spokane charges ten percent of the monthly gross revenues payable by the tenth of each month with an additional .50-cent fee accessed per trip to the airport. Commissioner Van Zee addressed the following: · Informed the Commission that according to his contract with the City of Kenai, he is required to pay ten percent of his gross income on car rentals or risk being in violation. This, he stated, creates an unfair atmosphere as off-site agencies ut/lize the airport and its parking lot by using it for drop-offs and/or pick-up's; without paying the ten percent airport concessions fee. · His lease allows four rental car agencies to conduct business at the airport. This, in essence, is being violated as the off-airport rental agencies are utilizing the airport. The Commissioners agreed a code revision could be in order to rectify this problem and requested the following: · Recommend a draft ordinance/amendment to the code to begin taxing ten percent (10%) of the gross revenue from off-airport car rental operators. · Set a public hearing for Soldotna and Kenai area car rental bUsinesses to review and discuss the proposed code change. Discussion -- Airplane Taxes (Dave Wartinbee) Cronkhite stated Wartinbee could not be in attendance due to a work conflict. She provided copies of the two letters submitted by Wartinbee who requested his comments be made a part of the meeting. The Commissioners read and reviewed the letters submitted and commented on the following: · Cronkhite stated she would provide Wartinbee with the information compiled by Finance Director Semmens and from the inquiry and poll taken at the request of the Commission several months ago. · The Commission discussed various differences in methods of taxation for boats, cars, airplanes and other personal property tax issues. · Several Commissioners opined that if the tax is eliminated more business would be generated by overall business moving in; the result of this trickle down effect could eventually make up the loss of taxation revenues. Pat Porter- 310 Rogers Road: Porter briefly addressed the Commission and suggested they rea/firm an earlier motion to request looking into the notion of a flat tax and/or exemptions. KEN~ AIRPORT COMMISSION OCTOBER 10, 2002 PAGE 2 Councilwoman Jackman informed the Commission of upcoming work sessions and urged all to attend and to reiterate the Commission's request for a flat tax and exemptions for aircraft. MOTION: Commissioner Haralson MOVED to recommend City Council review airport taxation to be in line with the current Borough.method of exemption. Commissioner Holloway SECONDED the motion. There were no objections. SO ORDERED. MOTION: Commissioner Haralson MOVED to encourage City Council approach the Kenai Peninsula Borough to enact a Borough-wide fiat tax similar to Anchorage and the Mat- Su Borough. Commissioner Holloway SECONDED the motion. There were no objections. SO ORDERED. ITEM 6: NEW BUSINESS Discussion -- Commission Meeting Site Cronkhite informed the Commission of several problems involved in conducting a meeting at the new Airport Operations Facility including: acoustics, meeting space and public notification. Because the November meeting may involve a larger than usual public attendance, Cronkhite suggested having the December meeting at the new facility, if the Commission was so inclined. Commissioner Bielefeld stated he did not mind having one meeting at the new facility, but felt the best place for the Commission meetings is at City Hall. Councilwoman dackman stated she and Council wanted the Commission to hold a meeting at the new facility at least once. The Commissioners agreed to hold the December meeting at the new facility; the meeting will also include a Christmas party. ITEM 7: REPORTS 7~a. COmmission Chair- Knackstedt reported on the following: · Stated he recently returned from the Reno Air Races; he found it to be interesting and fun. Encouraged all to attend the October 15, 2002 work session at 7'00 p.m. Alrpo~ Manager-- Cronkhite reported on the following: Earl Hicks was hired as the new Airport Operations Manager. added he is very qualified and she is very pleased to have him on board. Cronkhite KENAI AIRPORT COMMISSION OCTOBER 10, 2002 PAGE 3 · The airport had a visit from the FAA Compliance section which inspected areas involving persons with disabilities. Cronkhite noted the inspection went well. · The airport has received over $900,000.00 in grant funds to be used toward equipment purchases, runway improvements, security, etc. 7-c. City Council Liaison -- Councilwoman Jackman provided a brief recap of City Council action items. ITEM 8: COMMISSIONER COMMENTS AND QUESTIONS Commissioner Holloway stated he would not be in attendance for the work session meetings. Commissioner Van Zee encouraged the Commissioners to not lose focus of the goals of the study; which is not about airfare. Van Zee stated the planned study is about the airport itself and its future. Commissioner Bielefeld stated ERA is grounding and selling their Conveyor aircrafts. Commissioner Haralson requested information regarding past Commission discussions and surveys, as well as other pertinent information, be put into a Tact- book' prior to the October 15 work session with Council. Commissioner Watktns requested the grass and weeds near Granite Point be mowed prior to winter, as the grass in this area is shaggy a.nd unsightly. ITEM 9: PERSONS NOT SCHEDULED TO B_E HEARD -- None ITEM 10: INFORMATION ITEMS 10-a. 10-b. 10-c. ITEM 11: Kenai City Council Meeting Action Agendas for September 18 and October 2, 2002. 9/02 Kenai Municipal Airport Enplanement Report 9/02 Kenai Municipal Airport Float Plane Basin Activity Report ADJOURNMENT The meeting adjourned at 8'45 p.m. Minutes prepared and transcribed by: Sharon M. Harris, Department Assistant KENAI AIRPORT COMMISSION OCTOBER 10, 2002 PAGE 4 lo e CITY OF KENAI PLANNING & ZONING COMMISSION AGENDA CITY COUNCIL CHAMBERS October 23, 2002 - 7:00 p.m. CALL TO ORDER: a. Roll Call b. Agenda Approval c. Consent Agenda *All items listed with an asterisk (*) are considered to be routine and non-controversial by the Commission and will be approved by one motion. There will be no separate discussion of these items unless a Commission Member so requests, in which case the item will be removed from the Consent Agenda and considered in its normal sequence on the agenda as part of the General Orders. *APPROVAL OF MINUTES' a. *October 9, 2002 3. SCHEDULED PUBLIC COMMENT: e Se CONSIDERATION OF PLATS' a. PZ02-62 - Preliminary Plat- Yragui Subdivision- A Resubdivision of Government Lots 51, 42, and 61 & Vacation of 3' Candlelight Right-of-Way. Plat submitted by McLane Consulting Group, P.O. Box 468, Soldoma, AK 99669 PUBLIC ItEARINGS: a. PZ02-64--A resolution of the Planning and Zoning Commission of the City of Kenai recommending to the Council that KMC 14.20.220(e)(M) be amended to limit the use of sandwich board signs from May 1 to September 15. e OLD BUSINESS: NEW BUSINESS: a. *PZ02-63~Home Occupation Permit (Day Care)--For the property known as Lot 1, Block 2, Peck Subdivision (414 Haller Street gl). Application submitted by Brandy Gage, 414 Haller Street #1, Kenai, Alaska. 8. PENDING ITEMS' 9. CODE ENFORCEMENT: 10. REPORTS: a. City Council b. Borough Planning c. Administration 11. PERSONS PRESENT NOT SCHEDULED' 12. INFORMATION ITEMS: 13. COMMISSION COMMENTS & QUESTIONS: 14. ADJOURNMENT' COMPREHF~NSIVE PLAN WORK SESSION IMMEDIATELY FOLLOWING REGULAR MEETING CITY OF KENAI PLANNING & ZONING COMMISSION CITY COUNCIL CHAMBERS OCTOBER 23, 2002 - 7:00 P.M. VICE-CHAIR PHIL BRYSON, PRESIDING MINUTES ITEM 1' CALL TO ORDER Vice-Chair Bryson called the meeting to order at 7'04 p.m. 1-a. Roll Call Roll was confirmed as follows: Commissioners Present' Commissioners Absent: Others Present' Glick, Nord, Bryson, Osborne, Tunseth Amen, Goecke City Planner Kebschull, Department Assistant Harris 1-b. Agenda Approval MOTION: Commissioner Glick MOVED to approve the agenda as presented and requested UNANIMOUS CONSENT' Commissioner Tunseth SECONDED the motion. There were no objections. SO ORDERED. 1 'C. Consent Agenda MOTION: Commissioner Glick MOVED to approve the consent agenda as presented and requested UNAN~OUS COl/SENT. Commissioner Tunseth SECONDED the motion. There were no objections. SO ORDERED. ITEM 2: APPROVAL OF MINUTES_-- October 9, 2002 Approved by consent agenda. ITEM 3: SCHEDULED PUBLIC COMMENT-- None ITEM 4: CONSIDERATION OF PLATS: PZ02-62 - Preliminary Plat- Yragui Subdivision - A re-subdivision of Government Lots 51, 42, and 61 & Vacation of 3' Candlelight Right-of-Way. Plat submitted by McLane Consulting Group, P.O. Box 468, Soldotna, AK 99669 Kebschull reported administration had no objections to the new plat. MOTION: Commissioner Osborne MOVED to approve PZ02-62 and Commissioner Nord SECONDED the motion. The Commissioners briefly discussed the new plat and no objections were stated. Bryson noted the new plat addressed previous trespassing concerns. VOTE: There were no objections. SO ORDERED. MOTION: Commissioner Tunseth MOVED to recommend council approve the three-foot variance as requested. Commissioner Glick SECONDED the motion. There were no objections. SO ORDERED. ITEM 5' PUBLIC HEARINGS PZ02-54--A resolution of the Planning and Zoning Commission of the City of Kenai recommending to the Council that KMC 14.20.220(c)(M) be amended to limit the use of sandwich board signs from May 1 to September 15. Kebschull stated she received no complaints regarding sandwich board signs and' Nord stated she viewed limiting the use of the signs as unnecessary. Tunseth stated he could see some logic in mending the code as it was possible abandoned signs could become a nuisance in the winter. MOTION: Commissioner Osborne MOVED to approve PZ02-64 and Commissioner Glick SECONDED the motion. VOTE: Tunseth Yes Glick Yes Goecke Absent Nord No Osborne No Bryson Yes Amen Absent MOTION FAILED. PLANNING & ZONING COMMISSION OCTOBER 23, 2002 PAGE 2 ITEM 6: OLD BUSINESS-- None ITEM 7: NEW BUSINESS -- None PZ02-63--Home Occupation Permit (Day Care)--For the property known as Lot 1, Block 2, Peck Subdivision (414 Haller Street # 1). Application submitted by Brandy Gage, 414 Hailer Street # 1, Kenai, Alaska. Approved by consent agenda. ITEM 8: PENDING ITEMS -- Kebschull stated she is waiting to hear back from the Borough regarding the education zone. ITEM 9: CODE ENFORCEMENT -- No report. ITEM 10: REPORTS 10-a. City Council --Absent 10-b. Borough Planning-- Vice Chair Bryson provided a recap of Borough Planning action items. 10-¢. Administration -- Kebschu11 reminded the Commission of the upcoming meeting on November 13, the Specie meeting on November 19, and the second meeting in December cancelled due to holidays. ITEM 11' PERSONS PRESENT NOT SCHEDULED -- None ITEM 12' INFORMATION ITEMS -- None ITEM 13' COMMISSION COMMENTS/h (~UESTIONS-- None ITEM 14: ADJOURNMENT The meeting adjourned at 7'25 p.m. Minutes prepared and transcribed by: Sharon M. Harris, Department Assistant PLANNING & ZONING COMMISSION OCTOBER 23, 2002 PAGE 3 PLANNING ~ ZONING COMPREHENSIVE PLAN WORK SESSION CITY COUNCIL CHAMBERS OCTOBER 23, 2002 7:28 PM NOTES Commission Members Present: Commission Members Absent: Staff Present: Others Present: Bryson, Nord, Tunseth, Osborne, Glick Goecke, Amen City Planner Kebschull, Department Assistant Harris Eileen Bechtol, Kevin Waring Associates Bechtol and the Commission reviewed the Comprehensive Plan implementation guidelines on an item-by-item basis. The following suggestions and comments were made: Residential Neighborhoods: Bryson suggested further review in the statement 'retain natural vegetation' as many of the existing trees are unstable. · As no landscaping requirements are currently in the KMC, perhaps rewording this particular section could be beneficial; i.e. require re-planting of new growth. Commercial Land Use' · The Commission agreed the idea of providing tax incentives should be addressed by Council and the Finance Department rather than from the Planning and Zoning Commission. · Several Commissioners questioned the effectiveness of providing a tax break; perhaps additional taxation would be more effective in improving existing buildings. Street Improvements: Add landscaping and buffering guidelines. City Center/Millennium Square: · Bluff stabilization. · Provide public amenities (benches, etc.) Townsite Standards {Historical Zone) · Encourage more private investments. · Review code section dealing with Section 105 and design standards of the code. · Bryson stated he felt uncomfortable with this particular section as he is unsure how to implement or define a design standards code. Natural Setting and Open Space' · Promote bluff stabilization. · Develop map of public trails. Community Facilities: · Look into promoting more non-profit entities like the Boys and Girls Club and Community Schools Program for youth activities. Research more mixed-use options and joint uses of the facilities. Bechtol stated she would make the necessary changes. The next meeting is scheduled for November 19, 2002 The meeting ended at 8:20 p.m. Notes prepared by: Sharon M. Harris, Department Assistant PLANNING & ZONING WORK SESSION COMPREHENSIVE PLAN OCTOBER 23, 2002 PAGE 2 ~_k,I, ZY, ZVVZ I i '~Jyl-I¥1 -'1'0' KENAI DATE: October 29, 2002 F ROM, AK MU TO' Mayor and Council/Assembly Manager, Administrator, Clerk FROM: Kcvin Ritchi¢, Executive Director With the 52nd Annual Local Government Conference right around the comer, you may have reasons to discuss your community's participation in the Alaska Municipal League. The bottom line is that hammer- ing out consensus on municipal policy and interacting with the state and federal governments and other Alaskan communities is critical to every local budget and every local economy. Outlined below are a number of examples how your participation in the AML was a good investment in thc future of your community. Alaska Municipal League/~aska Conference of Mayor~ 2002 Annual Report Card How Did Your Participation in AML Benefit Your Community? No State Sales Tax: AMLled a successful legislative information campaign on the negative impacts of a state sales tax on municipal finances. A state sales tax could cost municipalities as much ~s $60 million per year in lost municipal revenue and preclude sales tax as a reliable part of local fm~c~ for the futura. Community Dividend Adopted in House.: While the Community Dividend was adopted only in the House, it is an active pan of continuing fiscal plan deliberations. Former Governor Hickel has offcrccl to help champion the issue in 2003. F_or. ceAccount Success: AML lcd a succcssful negotiation to ~llow municipalities to continue to set local wages on grant funded infrastructure, while also working with the State, unions, and contractors on their conccrns. This is a major local control ~nd financial issue for communities. Local Government Assistance: AML was awarded a $50,000 Denali Commission grant to increase direct assistance to communities in coordination with state and feder~ agencies. Federal PILT to _A!__aska · 60% increase over the past 5 years to $14 million in 2002 for ali Alaskan boroughs and cities in the Unorganized Borough. Payment In Lieu of Local Taxes (PILT) is a major AML and NACo priority and is slated for a large increase again this year in Congress. Municipal Revenue Sharin_~ ma'_m.ts~ed sgsin: After a history of 17 straight years of cuts, and given thc current state fiscal crises, this is a major state policy change. DOT/PF Local Project Review Saved: AML coordinated a statewide effort to turn around a proposed DOT/PF rule that would have severely reduced local highway project review. k,/..-~ I, l.,7, Z. VV/. I i V~I 11/I _ E_dueation funding and school are, a cost differe, ntials: AML helped crca~¢ the consensus to study arm co~t differentials to be completed by the State in November 2002, and h~ advocated for high~' per student school funding. Denali Commission- Over $80 million entered Alaska's economy this year for economic development, tank farms, cncrgy, health clinics, washeterias, and job training. A key policy improv~ent is rcquiring adequate long-term maintenance for/dl public infras~cture to ensure it meets its useful life expcctan~, AML has a scat on the Dcnali Commission. NLC and NACo: Due to Alaska's resource economy, nearly every major Alaska industry is dependent upon working with people in other states to make federal environmcmal and other legislation work for Alaska. AML holds leadership seats in the National League of Cities and the National Association of Counties to make sure Alaska's unique conditions are considered in national policy discussions in each state. "Cod,e Blue" Statewi.de EMS Rquivme~_,: AMLplayed a kcyrolc advocating for a Denali Comm/ssion program to replace failing EMS equipment statewide. Pooled Power of AMI. Member.Services: TheAML $o/nt Insurance Pool (AMIYJIA), AML Investment Pool, and NLC & NACo joint purchasing program help stabilize long-term insurance costs, provide the highest returns on short-term mun/cipal money, and reduce purchasing costs by utilizing nationwide joint municip~ purch~ing power. · Municipal Health Insurance_Pro_or_am. AML/J~ is working on a joint program to negotiate a partnersh/p with ~he-State to provide a mun/c/pal health insurance program. Collect Lo. cai S~es Tax on Cat_s_!oa and lnternet Out ofS. t, te Sales: AML is partn~g with other state municipal leagues to protect local business and maintain local sales tax revenue. This is a current Congressional issue. Property Tax Cap Defeat (2001_): AML's key role in thc S~ate Property Tax Cap defeat is still a major win that put mun/cipal r~vcnues issues on thc citizen map. It continues to avert a $150 million per year loss for schools and other local services. , .AML. Train_in~: There is no better training for local offidals on the skills needed to efficiently nm a community and conf~'ences allow you to find t~'t~l ideas to improve your ¢ommurdty efficimtly and effectively. AMI, Service Center: Job Ads Handbooks Individual Research Newsletters Sala Surve and many qthers_~ All of these services improve your ability to serve your citizens. AML and You Get High Mark, s! You can see that your participation in the Alaska Municipal Lea~,ue returns many times over the amount of annual dues to your commun/ty. AGENDA · KENAI CITY COUNCIL- KEGULAR MEETING OCTOBER 16, 2002 7:00 P.M. KENAI CITY COUNCIL CHAMBERS ht~p://www, ci.kcnai, ak.us ITEM A: CALL TO ORDER , 2. 3. 4. 5. 6. 7. Pledge of Allegiance Roll Call CERTIFICATION OF ELECTION OATHS OF OFFICE ELECTION OF VICE MAYOR Agenda Approval Consent Agenda *Ail 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. ITEM B: SCHEDULED PUBLIC COMMENTS (10 minutes) . David Wartinbee -- Personal Property Tax on Airplanes ITEM C: PUBLIC HEARINGS . Resolution No. 2002-65 -- Directing the Continuation of the Project Entitled "Schooner Circle Paving District" and Designating What Improvements are to be Included in this Project. C. Remove from table. Substitute Resolution No. 2002-65 -- Directing the Continuation of the Project Entitled "Schooner Circle Paving District" and Designating What Improvements are to be Included in this Project. Consideration of substitute. 0 Resolution No. 2002-68 -- Rescinding Resolution No. 2002-59 and Awarding the Bid to Hutchings Chevrolet Cadillac, Inc. for an Airport Dump Truck - 2002 for the Total Amount of $78,969.30. e Resolution No. 2002-69 -- Adopting the City of Kens_i, Alaska 2003- 2004 Capital Improvement Project (CIP) Priority List for Request of State Grants. 4~ Resolution No. 2002-70 -- Directing the Continuation of the Project Entitled Toyon Way Paving LID and Designating What Improvements are to be Included in this Project. . Resolution No. 2002-71 -- Supporting the Development of a Dental Clinic in Kenai. Resolution No. 2002-72 -- Designating Department Assistant Sharon Harris as Deputy Clerk. ITEM D: COMMISSION/COMMITTEE REPORTS . 2. 3. 4. 5. 6. 7. Council on Aging Airport Commission Harbor Commission Library Commission Parks & Recreation Commission Planning & Zoning Commission Miscellaneous Commissions and Committees a. Beautification Committee b. Kenai Convention & Visitors Bureau Board c. Alaska Municipal League Report d. Kenai Chamber of Commerce ITEM E: MINUTES . *Regular Meeting of October 2, 2002. ITEM F: CORRESPONDENCE ITEM G: OLD BUSINESS ITEM H: NEW BUSINESS . Bills to be Paid, Bills to be Ratified e Purchase Orders Exceeding $2,500 , Discussion -- Arctic Winter Games Support ITEM I: REPORT OF THE MAYOR ,. ITEM J: ADMINISTRATION REPORTS 1. City Manager 2. Attorney 3. City Clerk ITEM K: DISCUSSION 1. Citizens (five minutes) 2. Council EXECUTIVE SESSION -- Matters, the immediate knowledge of which would clearly have an adverse effect upon the finances of the City of Kenai. ITEM L: ADJOURNMENT KENAI CITY COUNCIL- REGULAR MEETING OCTOBER 15, 2002 7:00 P.M. KENAI CITY COUNCIL CHAMBERS http://www, ci.kenai, ak.us MAYOR JOHN J. WILLIAMS, PRESIDING MINUTES ITEM A: CALL TO ORDER Mayor Williams called the meeting to order at approximately 7' p.m. in the Council Chambers in the' Kenai City Hall Building. A-X. PLEDGE OF ALLEGIANCE Mayor Williams led those assembled in the Pledge of Allegiance. A-2. ROLL CALL Roll was taken by the City Clerk. Present were: Moore, Porter, Bannock, Jackman, Williams, Bookey, and Swamer. A-3o CERTIFICATION OF ELECTION Clerk Freas read the following into the record: CITY OF KENAI REGULAR ELECTION OF OCTOBER 1, 2002 WE, the members of the Kenai City Council, do hereby certify the results of a canvass of the ballots for the Regular Election of October 1, 2002. CITY COUNCIL/THREE-YEAR SEATS: VOTES RECEIVED CANDIDATE' Osborne, John "Ozzie' 455 .Swarner, Linda 708 Eldridge, R. Barr7 410 Bannock, Duane 569 Aaronson, Dustin 263 Write-Ins 12 ABSENTEE BALLOTS RECEIVED (in-person, personal representative, by-mail) 141 QUESTIONED BALLOTS RECEIVED 39 ABSENTEE BALLOTS COUNTED 136 QUESTIONED BALLOTS COUNTED 19 ~NAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 2 POLL VOTER TURN OUT 1232 TOTAL VOTER TURN OUT 1412 NUMBER OF KENAI REGISTE~D VOTERS 4896 VOTER TURN OUT 29% MOTION: Councilman Bookey MOVED to approve the election of October 1, 2002 as presented by the City Clerk. Councilwoman Swarner SECONDED the motion and requested UNANIMOUS CONSENT. There were no objections. SO ORDERED. A-4o OATHS OF OFFICE Mayor Williams administered the oath office to Linda Swarner and Duane Bannock. A-~o ELECTION OF VICE MAYOR Mayor Williams opened the floor for nominations. NOMINATION: Councilwoman Jackman nominated Councilwoman Swarner and Councilman Moore SECONDED the nomination. NOMINATION: Councilwoman Porter nominated Councilman Bookey and Councilman Bannock SECONDED the nomination. There were no further nominations and Williams declared the floor closed. Both candidates offered election statements and a paper ballot was distributed to each member for voting. Attorney Graves noted each member should write their name on the ballot as well as the person for whom they were voting. Upon voting, the ballots were read aloud by Clerk Freas as follows: Linda Swarner: 3 Jim Bookey: 4 Councilman Bookey was elected Vice Mayor and Councilwoman Swarner was thanked for her service as Vice Mayor for the past several years. A-3. AGENDA APPROVAL KENAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 3 Mayor Williams requested the following changes to the agenda: ADD TO: Resolution No. 2002-70 (direc~g the continuation of the Toyon Way LID project) -- 10 / 14 / 02 Randy Canady letter supporting the paving project. ADD TO: D-3, Harbor Commission Report -- 10 / 14 / 02 letter of resignation from the Harbor Commission from F.C. Ro§ers and copies of current applicants for consideration. SUBSTITUTE: H-2, Purchase Orders Exceeding $2,500 -- Addition of purchase order to ACS for a telephone system for the ARFF/SRE Facility. ADD TO: I-1, Report of the Mayor -- 9 / 26 / 02 Jumor Achievement Letter requesting sponsorship donation. MOTION: Councilman Bookey MOVED for approval of the agenda as amended and Councilman Bannock S~2OI~ED the motion. There were no objections. SO ORDERED. CONSENT AGENDA MOTION: Councilman Bookey MOVED for approval of the consent agenda as presented and Councilman Moore SECONDED the motion. There were no objections. SO ORDERED. ITEM B: SCHEDULED PUBLIC COMMENTS (10 minutes) B-X. David Wartinbee -- Personal Property Tax on Airplanes Wartinbee continued his discussion regarding his desire for the city to change its position on personal property tax on airplanes. He offered his and other citizen comments as follows: He (Warfinbee) moved his plane from Kenai to Soldoma. · A mechanic has his plane in Soldotna to avoid the tax. · People working at the Soldoma Airport have observed a substantial increase in planes parked there since the tax exemption in Soldotna. · At the Soldotna airport, there are two commercial tie-downs left and additional spaces are being developed. KEN~ CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 4 · Two mechanics want to start a business in Kenai, but because they feel there are not enough planes in Kenai for servicing and they have decided not to open the business. Chip Versaw, Alask~ Flying Network-- 48285 Patsy Court, Soldoma. Versaw explained he operates a flying school from the Kenai Airport. He asked the city's help in revitalizing businesses at the airport and noted, he would like to increase his business and needs a place for people to park their planes in Kenai. Versaw also noted: · He believes the lack of aircraft parking at the airport is due to the personal property tax in the city. · He feels he is at a disadvantage because of the lack of exposure he has at the Kenai Airport due to the tax. · He has learned there has been a decrease of 60,000 gallons of fuel sales per year at the Kenai airport which is an economic loss of $150,000. Discussion followed with council and comments including: · The personal property tax issue has been discussed with the Airport Commission and council will be discussing it further at a scheduled November work session. · The Airport Commission performed a survey and council will be reviewing those responses. · Packet information reviewed and included personal property tax options; potential impacts of changes to the tax in the city; new tax accounts since 1998; closed accounts since 1998; and comparison of tax by location for a large charter operator. · There is value in the amenities the Kenai Airport offers (tower, security, paved runways, etc.). · Exemption of the fund will have consequences to the General Fund, along with the exemption of sales tax on senior rents. Those losses to the Fund will have to be made up elsewhere. · Because the airplane owners do not want to pay a personal property tax on their airplanes, should the property owners in Kenai have to make up the loss through higher taxes. · Discussions on personal property taxes should include boat owners as well. · What is equal in the big picture should be strongly considered. BREAK TAKEN: 8:03 P.M. BACK TO ORDER: 8:14 P.M. ITEM C: PUBLIC HEARINGS KEN~ CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 5 C-1o Resolutioa No. 2002-65 -- Directing the Continuation of the Project Entitled ~Schooner Circle Paving District" and Designating What Improvements are to be Included in this Project. C-la. Remove from table. MOTION: Councilman Bannock MOVED removed Resolution No. 2002-65 from the table and Councilwoman Porter SECO~ED the motion. There were no objections. SO ORDERED. C-lb. Substitute Resolution No. 2002-65 -- Directing the Continuation of the Project Entitled "Schooner Circle Paving District" and Designating What Improvements are to be Included in this Project. MOTION: Councilman Bannock MOVED for approval of Substitute Resolution No. 2002-65 and Councilman Bookey SECONDED the motion. There were no public comments. It was noted a meeting was held with the property owners and they agreed to absorb the ten percent cost of the Milionta property (which it was explained at an earlier council meeting, does not front Schooner Circle). Additionally, the city's portion of the cost will remain the same and reference was made to the agreement (signed by the property owners) in the substitute resolution. It was also noted, the passage date and the date referred to in the tenth whereas' needed to be changed to October 16. C'1¢. Consideration of substitute. VOTE: There were no objections. SO ORDERED. C-2o Resolution No. 2002-68 -- Rescinding Resolution No. 2002-59 and Awarding the Bid to Hutchings Chevrolet Cadillac, Inc. for an Airport Dump Truck - 2002 for the Total Amount of $78,969.30. MOTION: KENAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 6 Councilman Bookey MOVED for approval of Resolution No. 2002-69 and Councilwoman Jackman SECONDED the motion. There were no public comments. Public Works Manager La Shot reported the resolution to rescind was brought forward because it was discovered after its passage there was a significant difference in the specifications and the truck being offered. He added, after discussing the issue with all the parties, it was felt the best thing to do was re-bid. La Shot noted, the specifications for the re-bid were changed so more bidders could get involved in the process and be responsive. There were three bidders for the second bid and the same bidder won the bid. He added, because the purchase of the vehicle is federally funded, the preferential bidding process did not apply. VOTE: There were no objections. SO ORDERED. C-3o Resolution No. 2002-69 -- Adopting the City of Kenai, Alaska 2003- 2004 Capital,Improvement Project {CIP} Priority List for Request of State Grants. MOTION: Councilman Bookey MOVED for approval of Resolution No. 2002-69 and Councilman Moore SECONDED the motion. There were no Public comments. Public Works Director Komelis noted the funding request for the coastal trail was increased to $10 million, the request for road development was increased from $2 to $3 million; and funding for the dip net fishery projects was increased from $900,000 to $1 rni!!~on. Komelis also reported the Corps of Engineers was attempting to call a joint meeting of all the agencies for October 29 in the Council Chambers. He noted it was a tentative date and subject to change. He added, the Corps has a copy of all his files and comments for the project and are aware of the city's desire to continue using Peratrovich, Nottingham & Drage, however the Corps will honor their contract with Tryck, Nyman & Hayes. Williams noted all the congressional funding will be back on the table in the next budget. He added, any request for additional funding from Congress will need to be made before March, 2003. Bookey noted, if a full environmental impact study will be required by the Corps, a request of Congress will be required. Bannock reported the Planning & Zoning Commission reviewed the priority list and unar~_i_m__ously approved it. KENAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 7 VOTE: There were no objections. SO ORDERED. Resolution No. 2002-70 -- Directing the Continuation of the Project Entitled Toyon Way Paving LID and Designating What Improvements are to be Included in this Project. MOTION: Councilwoman Porter MOVED to approve Resolution No. 2002-70 and Councilman Bannock SECONDED the motion. There were no public or council comments. VOTE: Councilwoman Porter requested UNANIMOUS CONSENT. There were no objections. SO ORDERED. Resolution No. 2002-71 -- Supporting the Development of a Dental Clinic in Kenai. MOTION: Councilwoman Jackman MOVED to approve Resolution No. 2002-71 and Councilwoman Swarner SECONDED the motion. Stan Steadman-- Executive Director, Cottonwood Health Clinic, 252 W. Marydale Avenue, Soldotna. Steadman explained the collaborative effort of the "Healthy Communities, Healthy People" and Bridges Community network to partner in the establishment of a clinic offering dental care for under- and uninsured individuals on the Peninsula. He noted, funds have been made available to Alaska for both dental and medical care; the local priority is dental and the federal priority is health. Recently the Cottonwood Clinic was opened for medical care and it is felt the clinic will serve approximately 4,500 patients visits this year. Establishment (up and running) of a dental clinic must be done within this fiscal year. Funding possibilities have been investigated and a Kenai site has been found and negotiations are in process for use of the facility. Todd Wortham, DDS -- 213 Susieanna Lane, Kenai. Noted he opened his clinic in Kena/approximately two years ago. Dental care for the under- and uninsured is a KENAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 8 nationwide problem and efforts to get dentists involved at the state level is ongoing. The biggest concern for dentists is a hold harmless and indemnifica~on clause. Wortham noted he was not against the clinic and felt dental care for children needs to be the priority of the clinic if it is opened. Asked if he felt this type of clinic ~vould be detrimental to private dental clinics, Wortham said no, if it focused on the under- and uninsured and Denali Kid Care clients. He added, he is aware the clinic would not compete with private clinics and there is a tremendous number of children needing the care. , Jim Julien, DDS -- Ciechanski Road, Kenai. Julien agreed access to care for these clients is a nationwide problem. He added, going forward with this clinic would be a positive for the commumty and would provide services now not available. Julien continued, he felt private dentists in town would support the establishment of the clinic, unless they would be competing with discount prices. He added, there will have to have guidelines in place to qualify for the assistance and Julien stated he personally felt it would be great if the clinic and funding go through as it would be a positive for the health-care community. Tracy Martinson -- Soldoma. Martinson explained federal guidelines demand open access to anyone, however discounts in prices would be available to only those who provide the required documentation. Noel Rea -- Department of Health & Social Services, Anchorage. Rea confirmed no one can be turned away for care. Funding for the clinic was discussed at length using the information included in the packet for reference. Attorney Graves and Finance Director Sern__m_ens reported they had spent a lot of time investigating the funding proposal and felt it was legal under Medicaid regulations. However, there was some concern if the federal agencies decide against the funding process. They also noted they felt the city would be at risk to reimburse the funding, unless the State gives the city adequate assurance of indemnification or the federal government indicates the program is allowable under the Medicaid rules. It was also noted, the city requested a legal opinion from the Attorney General but had not yet received one. It was also stated the Borough could not get involved in the program due to the state's timeline. The Borough also shared concern of the risk and what exactly the risk would be. Councilwoman Porter noted her objection in supporting the effort because there would be no guarantee the city would not beat risk. Williams noted, he requested the reaolution be written for generic support and not tied to any funding. Bannock asked if the hospital had the tools to take the process on and it was noted the hospital is under the Borough a.nd the Borough could object anyway. ~NAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 9 Bonnie Nichols, Central Peninsula General Hospital -- Stated the hospital was supportive of providing dental health care services and have reviewed the process. Stan Steadman -- Stated, if the funding process is approved, they would apply for property tax exemption, purchase a site in Kenai because of its ties to medical care, Job Service, shopping, etc., which is a major factor in their wanting to be situated in Kenai. Williams stated he wanted to support the effort primarily from a social standpoint and was relying on a" leap of faith" based on the information and reports received and encouraged council to do the same. Jaclanan stated her' agreement with Williams. Bookey stated he would support the program since there were supportive comments from the private sector. He added, he believed the funding process was unique, and wanted Administration to keep the council informed of any problems that may arise. VOTE: Moore No Porter No Bannock lYes Jackman Yes Williams Yes Booke¥ [ No Swarner Yes MOTION PASSED. C-6. Resolution No. 2002-72 -- Designating Department Assistant Sharon Harris as Deputy Clerk. MOTION: Councilwoman Porter MOVED for approval of Resolution No. 2002-72 and requested UNAITIMOUS CONSENT. Councilman Bannock SECONDED the motion. There were no public comments. consent. Bookey objected to the request for unanimous VOTE: Mo'ore lYes Jaclcman Yes Swarner Yes Porter Yes Bannock Yes Williams Yes Bookey No MOTION PASSED. BREAK TAKEN: 10:00 P.M. KENAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 10 BACK TO ORDER: 10:22 P.M. ITEM D: COMMISSION!COMMITTEE REPORTS D-1. Council on Aging-- Swamer reported the minutes of the October meeting were included in the packet. She added, since then, she and Director Craig had been working on the predevelopment grant application. The application has since been delivered to Alaska Housing with lots of letters of support from around the co~__,nunity. It was noted the Council on Aging had made recommendations of rent increases for both the housing and dining room/kitchen and will be discussed further by the city council at the policy work sessions. D-2. Airport Commission -- Jackman reported the Commission met on October 10 and the minutes of the meeting will be included in the next packet. She also noted, the joint council work session with the Commission and ERA Aviation representatives was very productive and she hoped good things would come from the discussions. Airport Manager Cronkhite reported actions of the Commission as: · Reaffirmed their previous recomm__endation to council to consider removing the property tax on airplanes and encouraged a flat tax. · Recommended a draft ordinance/amendment to the code to begin taxing ten percent (10%) of the gross revenue from off-airport car rental operators be brought forward for further discussion and review. · The December Commission meeting will be held at the new SRE building. D-3. Harbor Commission -- Bookey reported a meeting was held on October 7 at which the main discussion was the boating facility and budget recommendations to council. He added, the Commission requested council to bring forward a resolution to make the following determinations: · Continue the operation of the dock as it is currently. · Credit the boating fund with all harbor-related revenues, including the dipnet parking fees, boat taxes, and fish taxes. · Increase launching and parking fees. Bookey requested the resolution be brought forward at the November 15 council meeting, after the policy work sessions. Council had no objections. It was noted, the resignation of F.C. Rogers from the Commission was added to the agenda at the begirming of the meeting in addition to current on-f'~e applications. Bookey requested appointment be held for additional applications to be received. KENAI CITY COUNCIL MEETING OCTOBER 16, 2002. PAGE 11 Williams suggested a note be forwarded to the on-file applicants and encourage them to attend the next Commission meeting and request the Commission to make a recommendation. Williams discussed the effect the shutting down of railway service to Seward for the winter will have on cargo coming to Kenai. He suggested a transport system may have some use of a facility in Kenai. D-4. Library Commission-- Moore reported the next meeting is scheduled for November 5 and reminded the audience of the Friends of the Library raffle and dinner on October 25 and 26. D-5. Parks/h Recreation Commission-- Porter reported the Commission met on October 3 and discussed thc followin§: A request by Frank Getty to place a small gazebo in the cemetery. She noted, the Co_m____n~ssion urged council's approval of the project when it comes before them. · Currently, there is a seat available on the Co~ _mission which was previously occupied by a KCHS student. · The Rotary Club is helping with work at Municipal Park. Director Frates also noted a work party would be at the Park on Saturday morning at which time they'd be removing approximately 15 spruce trees and raising the canopy. A brief discussion followed regarding a permanent location for the skateboard park. Porter was asked to request the Commission to make some recommendations. It was suggested a funding request be made following the November general election. Frates noted users of the Teen Center were developing some park layouts for consideration. Williams noted the council had previously requested a plaque be placed at Memorial Park for former Legislator Hugh Malone. To date, the family had not responded with a choice of space or plaque information. He suggested a space be chosen administratively ff the family does not make a decision soon because there are very few spaces still available. Council had no objections. Porter noted a memorandum included at J-3 suggesting council direct their January 1 meeting be moved to January 2 and canceling the Commission's meeting of January 2. She requested the question be taken to the Commission for their consideration. D-6. Planning/h Zoning Commission -- Bannock rePorted the notes from the September 25 Comprehensive Plan Commission Work Session were included in the packet as well as the minutes of the October 9 Commission meeting. Actions taken at the meeting included' KEN~ CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 12 Approval of a conditional use permit for a transitional living office at the Women's Resource & Crisis Center. Approval of a conditional use permit for townhouses at Five Iron Heights · Subdivision. board, signs. Scheduling of a public hearing regarding the limited use of sandwich · Approval of a conditional use permit for a building addition to the Women's Resource & Crisis Center. D-7. Miscellaneous Commissions and Committees D-Ta. Beautification Committee -- Swarner reported no quorum was available on October 8. D-Tho Kenai Convention/h Visitors Bureau Board-- No report. D-Tc. Alaska Municipal League Report -- Williams reminded council if they planned on attending the AML Conference in Valdez to notify the Clerk as soon as possible. D-7d. Kenai Chamber of Commerce -- No report. ITEM E: MINUTES ,, Regular Meeting of October 2, 2002 -- Approved by consent agenda. ITEM F: CORRF~PO~ENCE-- None ITEM G: OLD BUSINESS-- None ITEM H: NEW BUSINESS H-X. Bills to be Paid, Bills to be Ratified MOTION: Councilman Bookey MOVED to pay the bills and Councilman Bannock SECONDED the motion. There were no objections. SO ORDERED. H-2o Purchase Orders Exceeding $2,500 MOTION: KENAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 13 Councilman Bookey MOVED to approve the substitute H-2 purchase orders exceeding $2,500 and Councilwoman Jackman SECONDED the motion. Finance Director Semmens noted the purchase orders to Computer Doctors and Mikunda Cottrell and explained: · Computer Doctors -- extends the current contract. · Mikunda Cottrell -- remaining funds in the current budget that can be applied to the preparation of the 2003 budget. Other items noted were: · The phone system costs the SRE building were excluded from the construction contract. The system is being purchased from project funds at a lesser amount, however recurring charges will be taken from the airport budget. · Water damage in the solarium at the Senior Center resulted in rotted framework around windows. A contractor will be investigating the issue and report when and how it incurred and whether it will be an insurable claim. VOTE: There were no objections. SO ORDERED. I'I-3 o Discussion -- Arctic Winter Games Support Williams noted he discussed the level of participation hoped to be received from Kenai, Soldotna, and Homer for the Games with Jack Brown. Brown stated they hoped Kenai, Soldotna and Homer would split $100,000 and donate $33,000 each toward the effort. ITEM I: REPORT OF THE MAYOR -- Williams noted the following items: · Referred to a request for a donation from the Jr. Achievement Program added to the agenda at the beginning of the meeting. It was noted no funds were included in the Leg/slafive budget for this item. Clerk Freas was requested to send a letter to Jr. Achievement noting no funds are available. · Referred to a request from Peninsula Winter Games for a donation toward, the event. It was noted no funds were included in the current budget for this item, but the city does participate through in-kind support. Freas and Councilman Bannock were requested to send a letter noting that information. A request to allow cutting of chunks of ice from the pond along Marathon Road for the Peninsula Winter Games has been received as well as plowing a pathway to the pond. It was noted, the lake is a portion of the property leased to the University and if permission is received for this purpose, the city would have no objections in malting the necessary pathway. KEN~ CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 14 ITEM J: ADMINISTRATION REPORTS J-1. City Manager-- City Manager Snow noted the following: · Department Head reports were included in the packet for council review and comments. · Three city properties that had been included in the Borough's foreclosure sale were sold. No excess profits were received due to payment of delinquent taxes paid upon the sale. · The deed for the Bureau of Outdoor Recreation (BOR)/FAA conversion (transferring Birch Island to the BOR) was signed over to the Department of Natural Resources. With that completed, BOR can now transfer the restrictions from the old football field property (which the city already owns) to the Birch Island properW. The city now has the authority to move ahead w/th the property transfer and plans for the field, however, it is pending a final review by the national office. Attorney Graves stated he was comfortable with the process. It was also reported, the old antenna facility has not yet been transferred and is pending environm__ental work. Public Works Manager La Shot noted, his last information was there were still some problems (prove no harm done by contamination to the water table). He added, the fuel tank on the Daubenspeck property had been pulled. · Directed Archer Escrow to final/ze the land sale to Clint Hall for the Inlet Woods properties, disburse the $180,000 to the City of Kenai, and record the documents before the end of the year. · Referring to a concern from Councilwoman Porter regarding the collecting and handling of monies collected for public skate at the multipurpose facility, she and Director Frates discussed the issue. In their discussions they agreed there were three primary things to do to improve the situation, i.e. money pouch, signage, DR Ice will wear jackets/hats with their logo on it for identification. Also, Director-Frates will be investigate the use of a pass-card system. Bookey stated his concern for the accountability of the money and felt it was necessary. Frates stated at the end of the shift, DR Ice completes a money receipt which is then picked up by Frates. Council suggested a token or ticket to the skaters, pass card system, or placement of an iron ranger. Administration was requested to discuss the matter further, J-2. Attorney-- City Attorney Graves reported the following: · Because cable is not installed in the back portion of the Inlet Woods Subdivision, developer Clint Hall may try to amend the covenants to allow small satellite dishes to increase the marketability of homes to be built in that area. He noted, as a property owner in the subdivision, the city may have to participate in a vote to this regard. KENAI CITY COUNCIL MEETING OCTOBER 16, 2002 PAGE 15 Semmens noted he believed this would be a good time for the city to retire the debt in the Debt Service Fund with the $180,000 coming in from the sale of properties. He stated his interest in bringing an ordinance forward to do so. Semmens added, the debt is $200,000 and the funds coming from the sale will be approximately $180,000. Porter stated her interest in elim_inatmg the fee for public skate at the ice rink and Bookey stated he wanted to wait until budget time to make that decision. Porter requested an accurate account of the funds raised through this charge be kept for furore reference. J-3. City Clerk -- Clerk Freas referred to her memorandum included in the packet regarding suggested commission and council meeting date changes due to upcoming holidays. She suggested the following: 12/25/02 Planning & Zoning Commission meeting -- Cancel 1/1/03 council meeting-- Move to danum3r 2, 2003 Council had no objections. ITEM K: DISCUSSION K-Xo Citizens-- None. K-2. Council Bookey-- No comments. Swarner -- Stated she would not be in attendance at the October 21 work session and requested local improvement district property owner percentages be added to the list of topics. Moore -- No comments. Porter-- No comments. Bannock-- No comments. Jackman -- No comments. EXECUT~ SESSION -- Matters, the immeffiate knowledge of which would clearly have an adverse effect upon the finances of the City of Kenai -- No executive session held. ITEM L: ,,ADJO~ENT The meeting adjourned at approximately 11:45 p.m. Minutes transcribed and prepared by: Carol L. Freas, City Clerk KENAI CITY COUNCIL WORK SESSION OCTOBER 14, 2002 7:00 P.M. CITY COUNCIL CHAMBERS MAYOR JOHN J. WILLIAMS, PRESIDING NOTES Council present' Staff present: Williams, Bookey, Swarner, Moore, Porter, Jackman and Bannock Freas, Snow, Graves, Kornelis and Semmens Williams requested council to review the list, amend it, combine subjects into groups and then indicate what backup material they would like for the next work session. Categorizing' Categories were noted as · Revenues and Expenditures · Future revenues · Capital Projects · Acquisitions · Status of library building * Acquisition of borough land · - Buildings and maintenance/General (including city hall ventilation and heating). Bookey noted, during the discussions, he wanted council to decide whether they would raise the mill rate or keep it as it is. Additions' Additions to the draft list provided by the city manager were as follows' · · · · · meeting with Unified water distribution Acquisition of borough land, Hire of a planner (discuss with VISTA volunteer, No. 14 on the draft list). Arctic Winter Games Partnering with Boys ga Girls Club (Snow noted administration has been their representatives and working on combining the teen programs.) Legislative affairs · State sales tax · Borough sales tax code Groups' A. Revenues/h Expenditures 1. General Fund Overview/Status Report 2. General Fund Balance Minimum KENAI CITY COUNCIL WORK SESSION OCTOBER 14, 2002 PAGE 2 , , Employee Wages & Benefits Revenue: Mill Rate/Sales Tax/Rates, Fees, Charges/Grants, Loans, Bonds General Fund balanced budget (current revenue = current expenses) vs. supplementing operations budget with unrestricted General Fund Reserve. Bo Revenues Ih Expenses/General , 2. 3. 4. 5. 6. 7. 8. Personal property taxes Senior housing rent increases Dock operations Deferred building maintenance Old library and jail status Boys & Girls Club Partnering DOTP&F Maintenance Reductions Maintenance of airport terminal Co Capital Improvement Plan 1. Unified water district 2. Acquisition of borough land 3. Capital Improvements/General .. · Shop replacement · Library expansion · Recreation park · Street improvements/LID assessment allocation · Water/sewer projects · Erosion Control · Other Do Donations 1. Donations/General 2. Arctic Winter Games E, Legislative Affairs Williams explained, the Arctic Winter Games package was hand-delivered by the borough. If the Games are awarded to the Borough, the different communities will be asked to contribute financial and in-kind support; dividing $100,000 between Kenai, Soldotna, Homer and Seward. The rest of the funding is hoped to come from Senator Stevens, the State, and the borough, totaling $4 million. Williams added, if the Games are awarded to the borough, council will have to decide on which addition to make to the ice rink and then request funding from Stevens. KENAI CITY COUNCIL WORK SESSION OCTOBER 14, 2002 PAGE 3 Back-up Materials for Group A (to be heard at the October 21~ 2002 work session)' · General overview · Chart indicating past history of the General Fund balance, including an explanation of major expenses from the General Fund, balance capital, yearly deficits, etc. Incentives program: Employee cost savings reward. Individual chart of sales tax fluctuations. Employee wage and benefits -- a seven year review · COLA information · Comparison of health insurance costs and inflation · Personnel services (FICA, 401, PERS, etc.) · DOT letter noting their plans for service to the City of Kenai. Contact them and request a schedule for snow removal. A brief discussion followed regarding VISTA volunteers and whether it would advantageous for the city to investigate acquiring a volunteer with economic development background. It was noted you can recruit on a local basis or from a national pool; they earn a stipend of $900 a month and their benefits are paid; the city would need to assist in locating adequate housing and provide travel costs for city meetings/events; the city will also have to develop a job description for the position to include: under the city manager's supervision; inventory assets of the city; identify industry and businesses to contact; develop strategy for economic development; etc. Council requested administration pursue acquiring a VISTA volunteer. The work session adjourned at approximately 8' 11 p.m. Notes transcribed and prepared by: Carol L. Freas, City Clerk KENAI CITY COUNCIL WORK SESSION WITH AIRPORT COMMISSION AND ERA AVIATION, INC. REPRF_~ENTATIVES OCTOBER 15, 2002 CITY COUNCIL CHAMBERS 7:00 P.M. MAYOR JOHN J. WILLIAMS, PRESIDING NOTE~ Council present: Staff present: Airport Commission' ERA Representatives: Moore, Williams, Bookey, Bannock, Swarner, Porter and Jackman Freas, Graves, Snow, Cronkhite, Hicks Bielefeld, Van Zee, Knackstedt, Haralson, Watkins Paul Landis, Judy Erikson, Cherisse Millett Williams opened the work session at approximately 7:00 p.m. and welcomed the Airport Commission members and ERA Aviation, Inc. representatives. After introductions, Williams requested opening remarks be made and include what each person was hoping to accomplish through the work session discussions. Landis noted the following in his opening remarks: · Kenai has the strongest carrier at the airport and the carrier has the strongest alliance with Alaska Airlines. · An alliance with a major carrier is very important. * Other carriers serving Kenai over the years were not aligned with a major carrier. · Effects of the industry feed down to everyone. The thought that Kenai has the highest airfares in the nation is untrue and he provided a chart indicating fare comparisons on routes similar in mileage to Kenai. They are phasing out the Twin Otter and using Dash 8s as they have found they are more popular with their customers; flights using the Dash 8s are less frequent than the Otters. · Price of fuel used to be the highest expense in carrier service and it is now wages. Discussion continued regarding the proposed market study. The question of what should or should not be included in the study and why was asked of all those in attendance. The following comments were made' · Haralson suggested the focus of the overall intent of a market study would be what can be done to market the airport for the community and generate more revenue through the airport. He asked Landis what he could share w/th the city. · Williams stated the study would not be to only gather information about airfares, but would address other areas of concern. He explained the council charged the Airport Commission to look at the airport and market it and to do that, they need the tools with which to do the work. The market study will be the tool with which to provide the information. KENAI COUNCIL JOINT WORK SESSION OCTOBER 15, 2002 PAGE 2 · Porter stated she was not interested in anything to do with the history of airfares, but wanted information of how to bring airport-related business, as well as others, to the city. She added, the airfare information should already be available to the city. · Landis stated he would want the study to offer a fair analysis; didn't believe the ticket lift information was needed and would be not be available from electronic ticketing; recommended enhancing air service, i.e. put in place infrastructure for security screening and other requirements to allow Kenai to be used for diversionary traffic. He added, this was an untapped market for Kenai. He also noted their flight attendants take training at PRISM and suggested the city attract other corporate, state and federal groups to use the facility as well. · Williams noted he would want to find if there are companies that may want to locate in Kenai and if so, can they be accommodated. Also, he would want the study to expand Kenai's economic development and fill the gap for jobs three to five years ahead; the city needs to think "out of the box"; and to identify development that will bring people to Kenai on a 12-month basis. · Porter noted, at the time the ordinance to appropriate funding for the study came to council for public hearing, the council had not had the opportunity to review the contract. Had the discussion at the public hearing not turned to the tabling of the issue, some of the council would have questioned what would be included in the study. Her intent wasn't to go with everything discussed in the proposed contract. · Airport Manager Cronkhite noted they have contacted corporate users of the airport and indicate what is offered at the Kenai Airport; they advertise in corporate-based magazines; and that normal FBO responsibilities are offered by the airport staff. Cronkhite also noted, the Commission was charged with marketing the airport, which includes air service, community concerns about airfares, and getting information on leakage. · Van Zee noted the Commission was investigating acquisition of federal grant funds and to receive the funds, specific information is required to include in the grant applications. That information would be garnered from the study. He reviewed information requested in a grant application. He added, the city cannot provide information for the applications if the market is not identified. He suggested the study include information about where people are going and where they are coming from. Bannock suggested the study should include an inventory of assets. It was noted the Airport Master Plan includes an inventory of airport lands. · Tim Polk, Natron Air, agreed the study should include an inventory of what is available. Cherie Brewer suggested using local personnel to do the study and Williams noted, there are no expert opinions here and felt someone should be recruited to do the study. Bookey stated he wanted an RFP and incorporate ideas stated during the work session into the contract, rewrite the contract and then fund it. KENAI COUNCIL JOINT WORK SESSION OCTOBER 15, 2002 PAGE 3 Jim Bielefeld noted, information is needed to include in grant applications and the Commission needs to get the information and he wanted the Commission to have the freedom to apply for the grants. BREAK TAKEN: 8' 17 P.M. BACK TO ORDER: 8:35 P.M. · Referring to an earlier comment council had not received information in regard to the study, Swarner noted a copy of the Airport Manager Report included in the July 11, 2002 council packet which discussed airport marketing and stated council should read the reports when they are made available. She also noted the ordinance for appropriating funds for the study was introduced in August. · Kurt Wisniewski stated he felt it would be good to have competition as he had received unfavorable counter service at the airport recently and would have used a different carrier if it had been available. Williams requested a list be formulated by the group, including everything suggested to be included in the study. It was as follows: o 2. 3. 4. 5. 6. 7. 8. 9. 10. 11. Inventory physical assets of the airport Perceived needs of the customer Perceived needs of the airport Passenger leakage Inventory of personnel Services to the airport Inventory vacant buildings Lease rate comparison on airport lands/taxes/fees Types of businesses on the airport Types of businesses' perceived needs Answer who the market serves; what the market wants; what is market and marketing to passengers/cargo. 12. What are the available grants and whether they are applicable to market the airport. 13. 14. 15. Airfare study (from Cronkhite records) Float plane basin useage/marketing Marketable assets of the city to market the airport (include the Chamber's study of city assets). 16. What do citizens want their airport to be? Small town or something else? Closing comments included: · Haralson asked Landis, based on his knowledge and expertise, what did he think needed to be included on the list. Landis answered, airfares won't drive the business here. He added, that was not the problem -- get business/businesses to the airport and the airport will take care of itself. · Williams stated he wants the revenues the airport produces to spin off to the community. KENAI COUNCIL JOINT WORK SESSION OCTOBER 15, 2002 PAGE 4 · Porter thanked Landis for coming and for ERA's donations to the area. Landis left the meeting. · Williams encouraged council and Commissioners to continue to think about what they wanted included in a study. After the list is completed, the ideas should be reviewed by the Commission, the contract proposed contract rewritten and submitted to council for review at another work session so everyone will be accepting of the end result. · Knackstedt questioned why ERA was so concerned about the study that they had brought three people to the work session. · Bielefeld stated the only way to get lower fares is with aircraft that is less expensive to operate. He added, he didn't think the airfare was a big concern, but he wants the Commission to have the freedom to investigate thoroughly how best to market the airport. · Referring to Knackstedt's comment, Bannock suggested ERA's concern was reactionary. · Williams requested the Commission meet again and short through the list, reformulate the package, meet again with the council to make final changes before bringing the ordinance back for action. He added, he would like a consensus before bringing the ordinance back. · Jackman stated everyone should keep an open mind. · Referring to comments Landis made at the September meeting that he could give information, Haralson stated he was disappointed there was little information offered to them from ERA. He added, he wanted to review the list, etc. and formulate specific questions to ask ERA in regard to request for information. · Bookey stated he would like more information in regard to airline baggage transfer programs. · Brewer suggested marketing the city first and then the airport and working with the Chamber in marketing the city. · Watkins suggested contacting an advertising agency first for ideas and send letters to major airlines in regard to other carriers. · Polk suggested contacting the sign advertising contractor for the airport and question the viability of their working with the city in advertising Kenai in other airports. · Porter suggested treating ERA as a customer. The work session adjourned at approximately 9:25 p.m. Notes transcribed and prepared by: Carol L. Freas, City Clerk K~NAI CITY COUNCIL WORK SESSION OCTOBER 21, ~00o- CITY COUNCIL CHAMBERS 7:00 P.M. MAYOR JOHN J. WILLIAMS, PRF~IDING Council present: Council absent: Staff present: Williams, Bookey, Moore, Jackman, Bannock, and Porter Swarner Snow, Graves, Freas, Walden, Craig, Semmens The work session began at approximately 7'00 p.m. Finance Director Semmens reviewed handouts provided to the council which included a General Fund budget projection; reserve levels from FY92-estimated FY03; General Fund deficit/surplus; General Fund budget revenue projections, 2000-2008; salaries and benefits; and insurance history. Other information provided included notes of the October 14, 2002 work session; AML Salary Survey, wages and benefits comparison and a Schedule of COLA vs. CPI. Revenues tls Expenditures ITEM 1' General Fund Overview/Status Report Semmens reviewed the handouts with the council and noted the projections were very early; it is known the property tax will be $380,000,000; and he felt the sales tax projection would be within $100,000 of the projection. Semmens also noted Revenue sharing and Safe Commumties funds were known; he cut the interest by $50,000 (based on four percent earnings); and the sale of Inlet Woods properties brought the "other" balance up. ITEM 2: General Fund Balance Minimum Bookey noted he had a long discussion with Semmens during the day which helped him in determining what he would like to have as a minimum balance. He noted, there is $4.3 in unencumbered balance in the General Fund as well as other areas of funds within the budget. He would like to have approximately $7 rnilhon as a budget reserve, which is already there, plus the equipment reserve fund. Bookey stated he would like to explore setting up a roads replacement/repair fund and a building maintenance repair fund and still maintain the cash reserve. The subsequent discussion brought forward the following comments: · $5 million would be a good balance for the undesignated reserve. · A balance of more than one-half a year's budget should be in the balance with which to work. There were no objections to setting up a road replacement/repair or building maintenance reserve funds at this point. KENAI CITY COUNCIL WORK SESSION OCTOBER 21, 2002 PAGE 2 Because Admimstration reported they were already investigating a ten-year maintenance formula, further discussion on setting up the funds would be held where the items are currently listed on the topics of discussion Consensus of council was to try for having $5 million in the unreserved balance with $4.75 as the bottom. City Manager Snow noted that was where the balance is currently and means no appropriations can be made or cuts would have to be made from somewhere else in the budget. Semmens also noted a one-mill increase was planned for the 2003-04 budget; sales tax is projected to be up two percent; the interest rate probably won't as projected at 2004; the fish tax is an unknown and the expenditures include a three percent increase over the prior year. ITEM 3: Employee Wages/h Benefits Employee Health Insurance: Discussion followed regarding health insurance. The following comments were noted: · The city is now funding '100% of the employees' health insurance. · It was suggested council give direction on the level of insurance costs employees will have to pay. · A COLA increase will need to be reviewed. Health insurance costs will be a significant effect on the budget. Council held a brief discussion on health insurance wherein Bannock suggested a cafeteria plan should be reviewed as he felt everyone is equal and it would allow a better standard. City Attorney Graves reported an employee committee was already reviewing the health care issue and because it is an extremely touchy subject, he suggested council may want to wait for recommendations from the committee before determining a funding level. Consensus of council was to wait until after a recommendation is received from the employee committee before making any funding determinations for employee health insurance. Wages: Council reviewed the AML survey of wages and benefits comparison included with the handout information. Comments included: · The social security option was capped at $36,000. Today there is no cap and employees and City of Kenai employees have lost ground. Some feel the city should pay into the supplemental benefit program to make up for the difference and some don't feel the city is obligated to do so. · It should be factored in that a COLA is taxable and benefits are not. · The insurance committee has also been discussing this topic and feel it matters more to get a COLA. ~NAI CITY COUNCIL WORK SESSION OCTOBER 21, 2002 PAGE 3 Consensus was for administration to track the committee's discussions/findings in regard to insurance and wage concerns. ITEM 4: Revenue: Mill Rate/Sales Tax/Rates, Fees, Charges/Grants, Loans, Bonds It was noted the projection included a raise of one mill ($350,000) and user fees and rental rates are being discussed and proposed. Because the raise of one mill was discussed last year and noted it would take place this year, Bookey felt it wouldn't be a problem to make the raise, however he didn't want to raise it more than one mill. Williams stated he thought a one-mill raise would work and Bannock stated he wasn't sure a mill increase would be needed. He suggested, in order to sell a tax increase, the city should say what it is that will be done with the raise. Williams noted, a mi!! increase had been programmed and he could see no way in which the city could continue in the direction it is going, and take care of the employees, without raising the mill rate. Other comments included. · A one.-.percent COLA increase would equal $50,000. Though concern was noted that a COLA would use up most of a one-mi!! increase, Porter and Williams agreed they could not continue ignoring the employees year after year. Bannock noted there are a lot of factors going into an employee, i.e. on-time paychecks, insurance, etc. and felt it was not fair to say the employees had been ignored. Williams noted, the employees had been skipped over for the last four of six years. · Referring to the chart included in the information distributed, it was noted approximately 80% of the employees took a step increase within the last two years and less than 20% of the employees had capped out. Within a two-year period, 80% of the employees received a bigger paycheck. · Step increases are included in the pay scale for loyalty, reward, and longevity. · Employees need to understand there would only be so much revenue received and there are other city expenses that will need to be addressed than just a COLA. · A request was made to find out from Public Works by Wednesday why the water is so dirty at his end of town. · No complaints have been reported from the recent increase of fees. Council will discuss bonding and low interest loans when they talk more about capital improvements, etc. at one of the later work sessions. It was noted, current financial conditions are prime for taking on debt and the amount of support the borough's propositions for bonding received may indicate support for the city bonding for project(s). KENAI CITY COUNCIL WORK SESSION OCTOBER 21, 2002 PAGE 4 Council requested the following reformation be made available for the November 4 work session: · Building maintenance schedule. · Assessed value/opinion of value on the old library/jail building (discuss whether to sell or whether to give them to the non-profits that are now leasing the buildings). · Minutes of the last several Harbor Commission meetings. Invite Harbor Commission members to attend the work session. · Personal property tax -- will be discussed further. Snow also noted there was no actual letter from DOT regarding road maintenance through Kenai; it was his letter to him and their phone call back to him. Snow recapped council's discussions and direction to administration: · Include information on deferred maintenance · Stay within $4.7 million as a fund balance amount.' · Continuing working with employees regarding health insurance and wages; bring whatever decision is available. · Include a one mill increase for the upcoming budget. Snow noted, what council has discussed and offered direction on has been very informative. The work session ended at approximately 9:14 p.m. Notes prepared by: Carol L. Freas, City Clerk KENAI, ALASKA KENAI, A L .AS I c_A. KENAI, ALASKA ~,~,~,-~,,/' KENAI. ALASKA Office of the City Clerk- City of Kenai 210 Fidaigo Avenue, Suite 200, Kenai, Alaska 99611-7794 (907) 283-7535, Ext. 231 · Fax: (907) 283-5068 Z 0 ru < 0 z >" Z r.o >.. o') Z I-- ,,~ w I- w ~) < ~ ~ < ~ o 0 0 0 0 0 0 w Z -- Z ..j ::3 ILl 0 'J w ~- Cl 0 I:Z:: <1::: :::) o w ~. w ~ w ~ ~ o ~ ~ o 0 0 _~ 0 < 0 z w 0 ~ w o~ d ~ w 0 0 w < w ~) 0 _J 0 w ::) I-,- Z LU > Z o to o o o o o r-.. o o o .. 0 LU w 0 0 -1- Z >. -- n,' 0 n~ 0 0 o 0 c~ z E -' 0 o,'.' m ~ 0 z n~ ~ ~ 0 n_ 0 0 0 0~1 0 0 0 0 0 0 ~0 0 0 0 0 ~7> Z Z Z Z Z Z o ~ ~ ~ ~ >' o 0 ~ ~ ~ 0 0 ~ · ~ n n n '- -- Z :~ w w w k-: ~: 0 o_ w -J ~J ' 13:: a:: ~ Z O3 =__ ~ m z o~-0 ~ r~ w ILl I'- O. n < ~ z z o ~ o ~- o_ d ci z o < ~ ~ ~ ~ ~ < z o ~ ~ w n~ ~. 0 z w w ~" uJ 0~ I- 0 ~ Z< n o ~. ~ ~' w w d d ~z 0. z ~ ~. z z ~o ~ < Z Z -- -- -- 0 ~ < '- n,' n,' ~1-- 0 ~ Z < w w .0.'~..J I.- LU ~ W W u ._i '~ Z I-- o Z Z W 0 Z o r~ r~k-: ~ o m ~ ~ z z < t./> ~ Z n,' W 0 w ~ ~j >_ 0 ~ z ..J o ~ w ~ w w Z '~ Z 0 I.- ILl ~ < t' W .J 0 v z ~ o > w o = < n,' z w 0 z ~ w w - ~ m z 0 j n 0 -- 0 n~ 0 o z E o c~ n,, o,',' U.I ~, ,,, · I- o uJ 0 0 ~1 0 0 0 0 ~ 0 0 0 CO O~ ~r o o o o o o o o o o ~o ~ ~r~ o o ~ ~-- t~ 0 ~-- Z Z Z 0 ~ ~ ~ 0 ~ ~ ~ ~ w w w Z Z Z -- -- Z 0 Z Z ~ ~ O ~; O O z z LO (.9 n n ~ ~ z ~ z z z z o w o o w w I- I- w LIJ 0. Z Z I-- I-- Z >" ~ - w w ~ ~ (~z n z o ~- z z ;~0 ~ ~ Z Z -- -- 0 "~ < -- ~. n~ :~- o T z < w w .0_~ -'J Z i- o Z Z · ~- ~o ~ < w w nZ LIJ r~ w 0 w ~- 0 >. ~ ~ >- 0 0 ~- z '-~ -- uJ ~ w 0 Z LU !- <~ ~ Z T ..a Z -'3 Z O I-- LU :~ ,~ 'r' w _~ 0 z ~ o > w o m r~ z w 0 Z ~ w W I-- ~ -'~ 0 -r w _ ~ ~ z 0 .~ n 0 -- -- n~ m 0 0 I- 2D uJ Z m v' O ~ O n,' Z <1:: u.I u.I Z '1- > u.! Suggested by: Administration City of Kenai ORDINANCE NO. 1976-2002 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS BY $5,105 IN THE SENIOR CITIZEN BOROUGH GRANT FUND. WHEREAS, the Kenai Peninsula Borough increased the grant to the Kenai Senior Citizens program by $2,405; and, WHEREAS, the Kenai Peninsula United Way increased the allocation to the Kenai Senior Citizens program by $2,700; and, WHEREAS, the additional monies are needed for staff training, program advertising, supplies and minor equipment. 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 Borough Grant Fund Increase Estimated Revenues: Kenai Peninsula Borough Grant United Way Grant $2,405 .2,700 $5.105 · Increase Appropriations: Office Supplies Small Tools & Minor Equipment Communications Transportation Advertising Dues as Publications $ 50O 1,305 1,200 1,400 500 200 $5.105 · PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 20th day of November, 2002. ATTEST: JOHN J. WILLIAMS, MAYOR Carol L. Freas, City Clerk Approved by Finance: (10/24/2002) jl Introduced: Adopted: Effective: November 6, 2002 November 20, 2002 November 20, 2002 Suggested by: Administratio: City of Kenai ORDINANCE NO. 1977-2002 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS BY $431.76 IN THE SENIOR CITIZENS TITLE III GRANT FUND FOR A MINI GRANT FOR TRAVEL. WHEREAS, the City has received a $431.76 grant from the State of Alaska Commission on Aging for travel expenses to the ACOA Title III/VI Training Conference; and, WHEREAS, the conference provided training for the Title III Grant (Nutrition, Transportation and Support) and the Title VI Grant (National Family Caregiver Support); and, WHEREAS, the Senior Center Director was a participant of the conference. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that estimated revenues and appropriations be increased as follows: Senior Citizens Title III Fund Increase Estimated Revenues' State Grant $431.76 Increase Appropriations: Access: Transportation $431.76 PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 20th day of November, 2002. ATTEST: JOHN J. WILLIAMS, MAYOR Carol L. Freas, City Clerk Approved by Finance' (10/23/2002) jl Introduced: Adopted: Effective: November 6, 2002 November 20, 2002 November 20, 2002 CITY OF KENAI 210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794 TELEPHONE 907-283-7535 FAX 907-283-3014 ~ 1992 Memorandum Date: To: From: October 29, 2002 Linda L. Snow, City Manager Kim Howard, Assistant to City Manager Restaurant at Kenai Golf Course In 1991, the golf course was leased to Richard Morgan, Individually, and Council approved an agreement between Morgan and Kenai Golf Course Caf6, Inc. to operate the restaurant. Morgan is also the president of Kenai Golf Course Caf6, Inc. At the April 17, 2002 meeting Council consented to a cancellation of the agreement for the restaurant with Kenai Golf Course Caf6, Inc. and enter into a new agreement with Gary E. and Susan L. Schnelting. The Morgan Family Limited Partnership is now requesting approval to cancel the agreement with the Schneltings. . Consent to Termination of Lease from Morgan Family Limited Partnership and Gary E. Schnelting and Susan L. Schnelting. . Consent to Sublease between The Morgan Family Limited Partnership and Kenai Golf Course Caf6, Inc. The leases between the City and Morgan state the leases shall not be assigned in whole or in part without the City's written consent, which shall not be unreasonably denied. The leases also state the assignee shall assume the duties and obligations of the lessee and will not discharge the lessee from its duties and obligations. All parties concerned are current in payments to the City and taxes to the Borough. The City Attorney has reviewed the documents and has no objections. Cc' Hilda Spires, Baldwin & Butler, LLC Attachments /kh C. 1L Baldwin James N. Butler, III Sheryl L. Musgrove Kim Howard City of Kenai 210 Fidalgo Avenue Kenai, AK 99611 Baldwin & B ufler, ATTORNEYS AT LAW 125 N. Willow Street, Suite 100, Kenai, Alaska 99611 October 17, 2002 (907) 283-7167 (907) 283-8435 (Fax) CI~Y OF KENAI ADMINISTRATION Re: Termination of Lease and Sublease Dear Kim: We are transferring the liquor license at the Golf Course Caf~ from the Schneltings back to Dick Morgan's corporation. Enclosed is the Consent to Termination of the Schnelting sublease and a copy of the recorded Termination, the Consent to Sublease to Morgan's corporation and a copy of the recorded Sublease from the Morgan Family Limited Partnership to Kenai Golf Course Caffi, Inc. Please review these documents and have them signed by the City Manager. Please contact me if you have any questions. Very truly yours, Eric. BALDWIN & BUTLER, LLC Hilda L. Spires Paralegal CITY OF KdS;NAI CONSENT TO TERMINATION OF LEASE The Termination Agreement from MORGAN FAMILY LIMITED PARTNERSHIP and GARY E. SCHNELTING and SUSAN L. SCHNELTING, dated the 16th day of September, 2002, of that certain Sublease dated November 29, 2002, as amended, and recorded February 15, 2002 in Book 635 at Page 971 Kenai Recording District, covering a portion of the premises of the Kenai Golf Course Clubhouse, located on the following-described real property: The unsubdivided remainder of Government Lots 1 and 2 located within the N1/2 N1/2 Section 3, TSN, R11W SM. City of Kenai, Kenai Recording District, Kenai Peninsula Borough, Alaska containing 71.919 acres, according to Plat No. 97-105; and more specifically identified as the "Kitchen," "Dining," and "Deck" areas located in the Kenai Golf Course Clubhouse and the "Pavilion" area as outlined on the attached Exhibit A, is hereby ACKNOWLEDGED. Dated this ~ day of ,2002. LINDA L. SNOW CITY MANAGER ~) Consent to Termination of Lease Page 1 of 2 STATE OF ALASI4~, ) ) SS. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this day of , 2002, before me personally appeared Linda L. Snow the Manager of the City of Kenai, known to me or having produced satisfactory evidence of identification, appeared before me and acknowledged the voluntary and authorized execution of the foregoing instnn~ent on behalf of said City. Kenai Recording District Remm to: NOTARY PUBLIC FOR ALASIGa~ My Commission Expires: Consent to Termination of Lease Page 1 of 2 CITY OF KENAI CONSENT TO SUBLEASE The Sublease, dated ~"/'7 ,2002, between The Morgan Family Limited Parmership, Lessor, and Kenai Golf Course Card, Inc., Sublessee, of a portion of that certain lease dated May 28, 1987, as amended, and recorded at Book 311, Page 134, from the City of Kenai, 210 Fidalgo Avenue, Kenai, Alaska 99611, to Richard I. Morgan, and subsequently assigned to The Morgan Family Limited Parmership, P.O. Box 1101, Kenai, Alaska 99611, coveting the following-described property: The unsubdivided remainder of Government Lots 1 and 2 located within the N1/2 N1/2 Section 3, TSN, R11W SM. City of Kenai, Kenai Recording District, Kenai Peninsula Borough, Alaska containing 71.9i9 acres, according to Plat No. 97-105; and more specifically identified as the "Kitchen,'~ "Dining," and "Deck" areas located in the Kenai Golf Course Clubhouse and the "Pavilion" area as outlined on the attached Exhibit A, is hereby ACKNOWLEDGED AND APPROVED, subject to the same terms and conditions as contained in the original lease above-described. This Consent is given by the City of Kenai without waiving any fight or action, or releasing the Sublessor from any liability or responsibility under the aforementioned Lease, and does not relieve the Sublessee from the condition requiring the City's approval for any subsequent sublease or assignment. CITY OF KENAI CONSENT TO SUBLEASE Page 1 of 2 Linda L. Snow, City Manager for the City of Kenai STATE OF ALASIG-~\ ) SS. THIRD JUDICIAL DISTRICT ) THIS IS TO CERTIFY that on this day of , 2002, before me personally appeared Linda L. Snow the Manager of the City of Kenai, 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 Ci~. Notary Public For Alaska My Commission Expires' ,, Kenai Recording District Remm to: CITY OF KENAI CONSENT TO SUBLEASE Page 2 of 2 RCAC "The mission of the Council is to represent the citizens of Cook Inlet in promoting environmental, marine transportation and oil facility operations in Cook Inlet." · Alaska Stye C~and,~ o! Commerce Alml~ Native En,~onme~ Recremional Atl~~e Aa~a~iom ci~ of ren~ ci~ K~li~k IMand Boroilgk Kena~ Pe~nstd~ Boro~gk of Ancltorage October 21, 2002 Mayor John Williams City of Kenai 210 Fidalgo Avenue, Suite 200 Kenai, AK 99611 Dear Mayor Williams: I llj i i I II j~ R cEI ED - ' I Ill IllI i KENAI CITY CLERK The Cook Inlet Regional Citizens Advisory Council (RCAC) is a citizen's oversight council for oil operations in the Cook Inlet area organized under provisionS in the Oil Pollution Act of 1990, Section 5002. The Council's mission is to represent the citizens of Cook Inlet in promoting environmentally safe marine transportation and oil facility operations in Cook Inlet. The Council, formed in late 1990, as a not for profit corporation, consists of special interest groups, municipal and borough seats, which includes the City of Kenai. Board of Directors are elected on a 3 year rotating basis. The three-year. for the City of Kenai seat expires in February of 2003. The seat is .~ ntly held by Mr. John Douglas. ' Your participation in the election process is important to us! Please submit to our office by December 20, 2002, written notification of your continued appointment of Mr. Douglas or the name of his replacement. If you have any questions about Cook Inlet RCAC or the selection process, please feel free to contact me or Karen Williams, Asst. Executive Director at 2~3-7222. I look forward to boating from you in the very near future. Sincerely yours, F,..,'~"- 7. .-' _' ..-'"' '~-xecmive Director ~aachment: Oil Poll.ution Act of 1990 cc: Mr. John Douglas Cook Inlet Regional CiffzmsAdvisoey C~ * 910 l]~lk~Avmle. Phone: (907) 283.7222 * Fax ~ SEC. 5002. TERMINAL AND TANKER OVERSIGHT AND MONITORING. (a) SHORT TITLE AND FINDINGS- (1) SHORT TITLE- This section may be cited as the 'Oil Terminal and Oil Tanker Environmental Oversight and Monitoring Act of 1990'. (2) FINDINGS- The Congress finds that- (A) the March 24, 1989, grounding and rupture of the fully loaded oil tanker, the EXXON VALDEZ, spilled 11 million gallon~ of crude oil in Prince William Sound, an environmentally sensitive area; (B) many people believe that complacency on the part of the industry and government personnel responsible for monitoring the operation of the Valdez terminal and vessel traffic in Prince William Sound was one of the contributing factors to the EXXON VALDEZ oil spill; (C) one way to combat this complacency is to involve local citizens in the process of preparing adopting, and revising oil spill contingency plans; (D) a mechanism should be established which fosters the long-term partnership of industry, government, and local communities in overseeing compliance with environmental concerns in the operation of crude oil terminals; (E) such a mechanism presently exists at the Sullom Voe terminal in the Shetland Islands and this terminal should serve as a model for others; (F) because of the effective parmership that has developed at Sullom Voe, Sullom Voe is considered the safest terminal in Europe; (G) the present system of regulation and oversight of crude oil terminals in the United States has degenerated into a process of continual mistrust and confrontation; (H) only when local citizens are involved in the process will the trust develop that is necessary to change the present system from confi'ontation to consensus; (1) a pilot program patterned after Sullom Voe should be established in Alaska to further refine the concepts and relationships involved; and (J) similar programs should eventually be established in other major crude oil terminals in the United States because the recent oil spills in Texas, Delaware, and Rhode Island indicate that the safe transportation of crude oil is a national problem. (b)~ DEMONSTRATION PROGRAMS- (1) ESTABLISHMENT- There are established 2 Oil Terminal and Oil Tanker Environmental Oversight and Monitoring Demonstration Programs (he~~~ referred to as 'Programs') to be carried out in the State of Alaska. (2) ADVISORY FUNCTION-The function of these Programs shall be advisory only. (3) PURPOSE- The Prince William Sotmd Program shall be responsible for environmental monitoring of the terminal facilities in Prince William Sound and the crude off tankers operating in Prince William $otmd. The Cook Inlet Program shall be responsible for ellvironmelltal monitoring of the tenninal facilities and crude oil tankers operating in Cook Inlet located South of the latitude at Point Possession and North of the latitude at Amatuli Island, including offshore facilities in Cook Inlet. (4) SUITS BARRED- No program, association, council, committee or other organization created by this section may sue any person or entity, public or private, concerning any matter arising under this section except for the performance of contracts. (C) OIZ I-P-,~AL FACILITIES AND OIL OPERATIONS ASSOCIATION- TANKER (1) ESTABLISHMENT- There is established an Oil Terminal Facilities and Oil Tanker Operations Association (hereinafter in this section referred to as the'Association') for each of the Programs established under subsection (b). (2) MEMBERSHIP- Each Association shall be comprised of 4 individuals as follows: (A) One individual shall be designated by the owners and operators of the terminal facilities and shall represent those owners and operators. 03) One individual shall be designated by the owners and operators of the crude oil tankers calling at the terminal facilities and shall represent those owners and operators. (C) One individual shall be an employee of the State of Alaska, shall be designated by the Governor of the State of Alaska, and shall represent the State government. (D) One individual shall be an employee of the Federal Government, shall be designated by the President, and shall represent the Federal Government. (3) RESPONSIBILITIES- Each Association shall be responsible for reviewing policies relating to the operation and maintenance of the off terminal facilities and crude oil tar&ers which affect or may affect the environment in the vicinity of their respective terminals. Each Association shall provide a forum among the owners and operators oft he terminal facilities, the owners and operators of crude oil tankers calling: at those facilities, the United States, and the State of Alaska to discuss and to make recommendations concerning all permits, plans, and site-specific regulations governing the activities and actiom of the terminal facilities which affect or may affect the environment in the vicinity of the terminal facilities and of crude oil tankers calling at those facilities. (4) DESIGNATION OF EX/STI~G ORGANIZATION- The Secretary may designate an existing nonprofit organization as an A.ssoc~on under this subsection if the Organization is organized to meet the purposes of this section and consists of at least the individuals listed in paragraph (2). (d) REGIONAL CITIZENS' ADVISORY COUNCILS- (1) ME. ERSt- There is established a Regional Citizens' Advisory Council (hereinafter in this section referred to as the 'Council') for each of the programs established by subsection (b). (2) MEMBERSHIP- Each Council shall be composed of voting members and nonvoting members, as follows' (A) VOTING MEMBERS- Voting members shall be Alaska residents and, except as provided in clause (vii) of this paragraph, shah be appointed by the Governor of the State of Alaska from a list of nominees provided by each of the following interests, with one representative appointed to represent each of the following interests, taking into consideration the need for regional balance on the Council: .. (i) Local commercial fishing industry or~ni~ations, the members of which depend on the fisheries resources of the waters in the vicinity of the terminal facilities. (ii) Aquaculture associations in the vicinity of the terminal facilities. (iii) Alaska Native Corporations and other Alaska Native organizations the members of which reside in the vicinity of the terminal facilities. (iv) Environmental organizations the members of which reside in the vicinity of the terminal facilities. (v) Recreational organizations the members of which reside in or use the vicinity of the terminal facilities. (vi) The Alaska State Chamber of Commerce, to represent the locally based tourist industry. (vii)G) For the Prince William Sound Teminal Facilities Council, one representative selected by each of the following municipalities' Cordova, Whittier, Seward, Valdez, Kodiak, the Kodiak Island Borough, and the Kenai Peninsula Borough. (II) For the Cook Inlet Terminal Facilities Council, one representative selected by each of the following municipalities' Homer, Seldovia, Anchorage, Kenai, Kodiak, the Kodiak Island Borough, and the Kenai Peninsula Borough. 03) NONVOTING MEMBERS- One ex-officio, nonvoting representative shall be designated by, and represent, each oft he following: (i) The Environmental Protection Agency. (ii) The Coast Guard. (iii) The National Oceanic and Atmospheric Administration. (iv) The United States Forest Service. (v) The Bureau of Land Management. (vi) The Alaska Depam~ent of Environmental Conservation. (vii) The Alaska Department offish and Game. (viii) The Alaska Department of Natural Resources. (ix) The Division of Emergency Services, Alaska Department of Military and Veterans Affairs. (3) (A) DURATION OF COUNCILS- The term of the Councils shall continue throughout the life of the operation of the Tram-Alaska Pipeline System and so long as off is Wansported to or from Cook Inlet. 03) THREE YEARS- The voting members of each Council shall be appointed for a term of 3 years except as provided for in subparagraph (C). (C) INrrlAL APPOINTMENTS- The terms of the first appo~~~m shall be as follows' (i) For the appointments by the Governor of the State of Alaska, one-third shall serve for 3 years, one-third shall serve for 2 years, and one-th/rd shall serve for one year. (ii) For the representatives of municipalities required by subsection (d)(2)(A)(vii), a drawing of lots among the appointees shah determine that one-third of that group serves for 3 years, one-third serves for 2 years, and the remainder serves for I year. (4) SELF-GOVE~~G- Each Council shall elect its own chairperson, select its own staff, and make policies with regard to its internal operating procedures. After the initial orga~_i~.ational meeting called by the Secretary under subsection (i), each Council shall be self-governing. (5) DUAL MEMBERSHIP AND CONFLICTS OF INTEREST PROHIBITED- (A) No individual selected as a member of the Council shall serve on the Association. 03) No individual selected as a voting member of the Council shall be engaged in any activity which might conflict with such individual carrying out his functions as a member thereof. (6) DUTIES- Each Council shall- (A) provide advice and recommendations to the Association on policies, perm/ts, and site-specific regulations relating to the operation and maintenance of terminal facilities and crude oil tankers which affect or may affect the environment in the vicinity of the terminal facilities; (B) monitor through the committee established under subsection (e), the environmental impacts of the operation of the terminal facilities and crude oil tankers; (C) monitor those aspects of term/nfl facilities' and etude oil tankers' operations and maintenance which affect or may affect the environment in the vicinity of the terminal facilities; (D) review through the committee established under subsection (f), the adequacy of oil spill prevention and contingency plans for the terminal facilities and the adequacy of oil spill prevention and contingency plans for crude oil tankers, operating in Prince William Sound or in Cook Inlet; Oi) provide advice and recommendations to the Association on port operations, policies and practices; (F) recommend to the Association-- (i) st_n_ndards and stipulations for permits and site- specific regulations intended to minimize the impact of the terminal facilities' and crude oil tankers' operations in the vicinity of ~e terminal facilities; (ii) modifications of terminal facility operations and maintenance intended to minimize the risk and mitigate the impact of termflaal facilities, operations in the vicinity of the terminal facilities and to minimize the risk of' oil spills; (iii) modifications of crude oil tanker operations and maintenance in Prince William Sound and Cook Inlet intended to minimize the risk and mitigate the impact of oil spills; and (iv) modifications to the oil spill prevention and contingency plans for terminal facilities and for crude, off tankers in Prince William Sound and Cook Inlet intended to enhance the ability to prevent and respond to an oil spill; and (G) create additional committees of the Council as necessary to carry out the above functions, including a scientific and technical advisory committee to the Prince William Sound Council. (7) NO ESTOPPEL- No Council shall be held liable under State or Federal law for costs or damages as a result of rendering advice under this section. Nor shall any advice given by a voting member of a Council, or program representative or agent, be grounds ['or estopping the interests represented by the voting Council members from seeking damages or other appropriate relief. (8) SC~NTIFIC WORK- In carrying out its research, development and monitoring functions, each Council is authorized to conduct its own scientific research and shall review the scientific work undertaken by or on behalf of the terminal operators or crude off tanker operators as a result of a legal requirement to undertake that work. Each Council shall als° review the relevant scientific work undertaken by or on behalf of any government entity relating to the terminal facilities or crude oil tnnkers. To the ex-teat possible, to avoid unnecessary duplication, each Council shall coordinate its independent scientific work with the scientific work performed by or on behalf of the terminal operators and with the scientific work performed by or on behalf of the operators of the crude oil tankers. (e) COMMITTEE FOR TERMINAL AND OIL TANKER OPERATIONS AND ENVIRONMENTAL MONITORING- (1) MONITORING COIVlMITtI:E- Each Council shall establish a standing Terminal and Oil Tanker Operations and Environmental Monitoring Committee Ca~ina~er in this section referred to as the 'Monitoring Committee') to devise and manage a comprehensive program of monitoring the environmental impacts of the operations of terminal facilities and of crude off t:~nkers while operating in Prince Will/am Sound and Cook Inlet. The membership of the Mon/tor/ng Committee shall be made up of members of the Council, dtizens, and recogn/zed scientific experts selected by the Council. (2) DUTIES- In fulfilling/ts responsibilities, the Monitoring Committee shall- , (A) advise the Council on a monitoring strategy that will permit early detection of environmental impacts of terminal facility operations and crude off tanker operations while in Prince William Sound and Cook Inlet; .. (B) develop monitoring programs and make recommendations to the Council on the implementation of those programs; (C) at its discretion, select and contract with universities and other scientific institutions to carry out specific monitoring projects authorized by the Council purs~ant to an approved monitoring strategy; (D) complete any other tasks assigned by the Council; and (E) provide written reports to the Council which interpret and assess the results of all monitoring programs. (t) COMMITTEE FOR OIL SPILL PREVENTION, SAFETY, AND EMERGENCY RESPONSE- (1) TECHNICAL OIL SPILL COMMITTEE-Each Council shall establish a stmading technical committee (here~~er referred to as 'Oil Spill Committee') to review and assess measures designed to prevent oil spills and the planning and preparedness for responding to, containing, cleaning up, and mitigating impacts of off spills. The memberskip of the Oil Spill Committee shall be made up of members of the Council, citizens, and recognized technical exp~ selected by the Council. (2) DUTIES- In fiflfilUng its responsibilities, the Oil Spill Committee shall- (A) periodically review the respective oil spill prevention and contingency plans for the terminal facilities and for the crude oil tankers while in Prince William Sound or Cook Inlet, in light of new technological developments and changed circumstances; 10 (B) monitor periodic drills and testing of the oil spill contingency plans for the terminal facilities and for crude oil tankers while in Prince William Sound and Cook Inlet; (C) study wind and water currents and other environmental factors in the vicinity of the terminal facilities which may affect the ability to prevent, respond to, contain, and clean up an off spill; !.D) identify highly sensitive areas which may require specific protective measures in the event of a spill in Prince William Sound or Cook Inlet; (E) monitor developments in oil spill prevention, containment, response, and cleanup technology; (F) periodically review port organization, operations, incidents, and the adequacy and maintenance of vessel traffic service systems designed to assure safe transit of crude oil tankers pertinent to terminal operations; (G) periodically review the standards for tankers bound for, loading at, exiting from, or otherwise using the terminal facilities; (H) complete any other tasks assigned by the Council; and (I) provide written reports to the Council outlining its fin~~ and recommendations. (g) AGENCY COOPERATION- On and aft~ the exp~tion of the 180-day period following the date of the enacunent of this section, each Federal department, agency, or other instnnnentality shall, with respect to all permits, site=specific regulations, and other matters governing the activities and actions of the terminal facilities which affect or may affect the vicinity of th~ terminal facilities, consult with the approlxiat~ Cotm¢il prior to taking ~nb~tiv~ a~on with r¢~pect to th~ permit, site-specific regulafio~ or other matter. This 11 consultation shall be carried out with a view to enabling the appropriate Association and Council to review the permit, site- specific regulation, or other matters and make appropriate recommendations regarding operations, policy or agency actions. Prior consultation shall not be required if an authorized Federal agency representative reasonably believes that an emergency exists requiring action without delay. (h) KECO~ATIONS OF Tile COUNCIL- In the event that the Association does not adopt, or significantly modifies before adoption, any recommendation of the Council made pursuant to the authority granted to the Council in subsection (d), the Aisociation shall provide to the Council, in writing, within 5 days of' its decision, notice of its decision and a written statement of reasons for its rejection or significant modification of the recommendation. (i) ADMINISTRATIVE ACTIONS- Appointments, designations, and selections of individuals to serve as members of the Associations and Councils under this section shall be submitted to the Secretary prior to the expiration of the 120-day period following the date of the enactment of this section. On or before the expiration of the 180-day period following that date of enactment of this section, the Secretary shall call an initial meeting of each Association and Council for organizational purposes. ' 0) LOCATION AND COMPENSATION- (1) LOCATION- Each Associa~on and Council established by this section shall be located in the State of Alaska. (2) COMP~SA~ON- No member of an Association or Council shall be compensated for the member's services as a member of the Association or Council, but shall be allowed travel expenses, including per diem in lieu of subsistence, at a rate established by the Association or Council not to exceed the rates authorized for employees of agencies under sections 5702 and 5703 of title 5, United States Code. However, each Council may enter into contracts to provide compensation and expenses to members of the committees created under subsections (d), (e), and (f). , 12 (1) REQUIREMENT- Approval of the contingency plans required of owners and operators of the Cook Inlet and Prince William Sound terminal facilities and crude oil tankers while operating in Alaskan waters in commerce with those te ~rminal facilities shall be effective only so long as the respective Association and Council for a facility are funded pumuant to paragraph (2). (2) PRINCE WILLIAM SOUND PROGRAM- The owners or operators of terminal facilities or crude oil tankers operating in Prince William Sound shall prov/de, on an annual basis, an aggregate amount of not more than $2,000,000, as determined by the Secretary. Such amount- (A) shall provide for the establishment and operation on the environmental oversight and monitoring program in Prince William Sound; (B) shall be adjusted annually by the Anchorage Consumer Price Index; and (C) may be adjusted periodically upon the mutual consent of the owners or operators of terminal facilities or crude oil tankers operating in Prince William Sound and the Prince William Sound terminal facilities Council. (3) COOK INLET PROGRAM- The owners or operators of tei,-inal facilities, offshore facilities, or crude oil tankers operating in Cook Inlet shall provide, on an annual basis, an aggregate amotmt of not more than $1,000,000, as determined by the Secreum]. Such amount- . (A) shall provide for the establishmem and operation of the enviromental oversight and monitoring program in Cook l'n~et~ 13 (B) shall be adjusted annually by the Anchorage Consumer Price Index; and (C) may be adjusted periodically upon the mutual consent of the owners or operators of terminal facilities, offshore facilities, or crude oil tankers operating in Cook Inlet and the Cook Inlet Council. (0 (l) ASSOCIATIONS AND COUNCILS- Prior to the expiration of the 36-month period following the date of the enactment of this section, each Association and Council established by this section shall report to the President and the Congress concerning its activities under this section, together with its recommendations. (2) GAO= Prior to the expiration of the 36-month period following the date of the enactment of this section, the General Accounting Office shall report to the President and the Congress as to the handling of funds, including donated funds, by the entities carrying out the progams under this section, and the effectiveness of the demonstmtioa prol~am~ carried out under this section, together with its recommendations. (m) DEFINITIONS- As used in this section, the term-= (1) 'terminal facilities' means- (A) in the case of the Prince William Sound Progxam, the entire oil teiminal complex located in Valdez, Alaska, consisting of approximately 1,000 acres including all building, do~k~ (~x¢,pt dock~ owned by th~ City of Valdez if those docks are not used for loading of crude oil), pipes, piping, roads, ponds, tank~, crude off tankem only whil~ at th~ t~minal dock, tank~ escort~ owned or · op~at~ by the op~'ator of th~ tmal, vehicles, and other facilities associated with, and necessary for, assi~ing tanker movement of crude oil into and out of'the oil termimal complex; and 14 ~) 03) in the case of the Cook Inlet Program, the entire oil terminal complex including all buildings, docks, pipes, piping, roads, ponds, tanks, vessels, vehicles, crude oil tankers only while at the terminal dock, tanker escorts owned or operated by the operator of the terminal, emergency spill respome vessels owned or operated by the operator of the terminal, and other facilities associated with, and necessary for, assisting tanker movement of crude oil into and out of the oil temdnal complex; (2) 'crude oil tanker' means a tanker (as that term is defined under section 2101 of title 46, Un/ted States ~ode)- (A) in the case of the Prince William Sound Program, calling at the terminal facilities for the purpose of receiving and transporting oil to refineries, operating north of Middleston Island and bound for or exiting from Prince William Sound; and (B) in the case of the Cook Inlet Program, calling at the teiminal facilities for the purpose of receiving and Uamporting oil to refineries and operating in Cook Inlet and the Gulf of Alaska north of Amatuli Island, including tankers transiting to Cook Inlet fi'om Prince William Sound; (3) 'vicinity of the terminal facilities' means that geographical area surrounding the environment of terminal facilities which is directly affected or may be directly affected by the operation of the terminal facilities; and (4)' Secretary' means the Secretary of Transportation. (n) SAVINGS CLAUSE- (1) REGULATORY AUTHORITY- Nothing in this section shall be construed as modifying, repealing, superseding, or preempting any municipal, State or Federal law or re~lation, or in any way affecting litigation arising from oil spills or the fights and responsibilities of the United States or the State of Alaska, or municipalities thereof, to preserve and protect the environment through regulation of land, air, and water uses, of safety, and of related development. The monitoring provided for by this section shall be designed to help assure compliance with applicable laws and regulations and shall only extend to activities- (A) that would affect or have the potential to affect the vicinity, of the terminal facilities and the area of crude oil tanker operations included in the Programs; and (B) are subject to the United States or State of Alaska, or municipality thereof, law, regulation, or other legal requirement. (2) RECOMMENDATIONS- This subsection is not intended to prevent the Association or Council from recommending to appropriate authodties that existing legal requirements should be modified or that new legal rcquiremenB should be adopted. (O) ALTERNATIVE VOLUNTARY ADVISORY GROUP IN LIEU OF COUNC~- The requirements of subsections (c) through (1), as such subsections apply respectively to the Prince William Sound Program and the Cook Inlet Program, are deemed to have been satisfied so long as the following conditions are met: (1) PRII~CE WILLIAM SOU'ND- With respect to the Prince William Sound Program, the Alyeska Pipeline Service Company or any of its owner companies enters into a contract for the duration of the operation of the Trans-Alaska Pipeline System with the Alyeska Citizens Advisory Committee in existence on the date of enactment of this section, or a sn¢¢~$or or~lization, to fired that Committee or organi~'ation on an annual bas/s in the amomt l~vi&d for by ~bs~ction (kX2×A) and the President annoy certifies that the Commi~ or orate_ ni~on fo~tem th~ general goals and pnrpos~ ofth~ ~,tion and i~ broadly r~r~s~tafive of the 16 communities and interests in the vicinity of the terminal facilities and Prince William Sound. (2) COOK INLET- With respect to the Cook Inlet Program, the terminal facilities, offshore facilities, or crude oil tanker owners and operators enter into a contract with a voluntary advisory ore-y-a_ ni~n_fion to fund that organization on an annual basis and the President annually certifies that the organ/zation fosters the general goals and purposes of this section and is broadly representative of the communities and interests in the vicinity of the te~,ninal facilities and Cook Inlet. 17 . e o INFORMATION ITEMS KENAI CITY COUNC~ MEETING NOVEMBER 6, 2002 10 / 23 / 02 notes of breakfast with KPB Assembly members. 10 / 24 / 02 Kenai River Special Management Area Advisory Board meeting agenda and minutes of the 9 / 19 / 02 meeting. Letters of support for the proposed community dental health office: a. Tom Wagoner b. Central Peninsula Counseling Services 9 / 27 / 02 Coastline Engineering letter of support for the City of Kenai erosion control project. 10/29/02 Public Works Department, Project Status Report. 2003 Gaming Permit Applications a. Women's Resource & Crisis Center b. Our Lady of the Angels Church Council present: City staff present: Assembly present: KENAI CITY COUNCIL BREAKFAST WITH KENAI BOROUGH ASSEMBLY MEMBERS OCTOBER 23~ 2002 NOTES Williams, Porter, Jackman, Bookey, Bannock and Moore Freas, Graves and Snow Sprague, Superman, Glick, Long, Martin, Davis, Fischer Williams explained council's desire to meet with the Assembly is to compare and share information due to the commonality of concerns and hoped to have several more meetings through the year. The following issues and concerns were expressed by council: Lower Peninsula gas line -- the City Attorney is writing a letter of support for the council's signature. Nikiski Port * Economic ventures -- both the council's and assembly's job is to ensure growth to benefit the citizens to help pay for affordable government. Transfer of ten-acre parcel in Lawton Drive vicinity for development of city water well and possible water treatment facility. · Urge Legislature to establish a regulatory administrator; include on a ballot with a broad informational campaign prior to the election. · Borough sales tax amendments -- suggested a more compatible across- the-board effort would be a change in property taxes because changing the sales tax wreaks havoc on different bookkeeping requirements. It was suggested the common denominator in creating breaks in taxes is residency. Cooperative efforts are important in the development of the dental clinic for under and uninsured residents of the Central Peninsula. ASsembly President Sprague and members of the Assembly noted the following items of information and concern: · They are in the process of rewriting the sales tax code (mostly administrative) and have scheduled public hearings in November and December, with additional hearings to be held in Seward and Homer. It was also noted, five public hearings had been held on the sales tax exemption passed recently. · They are in the process of compiling its legislative priorities list which includes emphasis on oil and gas concerns. · Because of the concerns about the economy, particularly in regard to oil, gas, tourism and fishing, is really critical to develop clear and well-defined directions for acquisition of pipeline permits. · The topic of banning smoking in restaurants now before the City of Soldotna council will probably come before the Kenai Council in the near future. · Nikiski Industrial'Park Feasibility Plan scope was to identify viable sites for a dock facility. The extreme importance of unanimous support of oil and gas development on the Peninsula was stressed. Discussion should continue on the sales tax issue as other suggestions for relief sales tax exemptions was noted, i.e. increase of the $10,000 exemption on property. · The Borough is in the process of reassessing property and the Assembly is aware the sales tax exemption on senior rents may raise costs for seniors due to raises in property taxes. · Development of a Borough-wide Permanent Fund could be discussed, using the Valdez program as an example. · The Borough's Comprehensive Plan public hearings will begin next month. The importance of communication between the Borough and the Peninsula municipalities was general consensus. Agreement was expressed by the city's Assembly representatives to keep the City of Kenai informed of items important to the city and the City will do the same. The City's agenda will be amended to include an Assembly report near the beginning of the meeting. Notes transcribed and prepared by: Carol L. Fre~s; Ci~'3~ Clerk KENAI RIVER Special Management Area "Working together...for the river" *** Meeting Agenda*** Thursday, October 24, 2002 7:00 p.m. Kenai River Center Ie CALL TO ORDER A. Roll Call B. Approval of 9/19/02 minutes C. Agenda Changes and Approval II. PUBLIC COMMENT III. NEW BUSINESS IV. A. Kenai River Water Quality Report, Robert Ruffner, KWF B. Moratorium on new Kenai River Sportfishing Guide Permits for 2003, Jim Stratton, DPOR Director OLD BUSINESS Ve A. Kenai River 2002 Season - Field Report, Bill Berkhahn B. Kenai River Center Update PUBLIC COMMENT Vie ADJOURNMENT A. Board Comments B. Date/Agenda of Next Meeting Kenai Area Office, Box 1247, Soldotna, AK 99669, Soldotna 262-5581 Kenai Peninsula Borough, Box 850, $oldotna, AK 99669, Soldotna 262-4441 Alaska Division of Parks and Outdoor Recreation, Department of Natural Resources, in cooperation with the Kenai Peninsula Borough. KENAI RIVER SPECIAL MANAGEMENT AREA ADVISORY BOARD Ie II. III. Thursday, September 19, 2002 7:00 p.m. Kenai River Center CALL TO ORDER A. Roll Call Present: Lance Trasky, Jonne Slemons, Rick Wood, Chris Degemes, Charles Quarre, Bill Shuster, Jim Golden, Paul Shadura, Joe Connors, Robin West, Ted Wellman, Linda Snow, Dave Westerman, Brett Huber, Tim Navarre. B. Approval of 5/16/02 minutes Approved as written. C. Agenda Changes and Approval No changes were made to the agenda. PUBLIC COMMENT Sam McDowell voiced his concern about the Cook's Tesoro contamination site in Sterling, stating that there is still significant ground water contamination and the Kenai River is threatened by the contamination. NEW BUSINESS A. Contaminated Sites Strategic Planning Forum Update, Miriam Jones, Kenai Watershed Forum Miriam came to the board with information about upcoming meetings. She also handed out a map of the contaminated sites on the Kenai Peninsula. Miriam said DEC agreed to work on a strategic plan with KWF to address the contaminated sites. There will be a meeting October l0th at 6'30 at the Soldotna Sports Center. Bill Shuster gave a brief update on cleanup activities at the Crown Point and Grant Lake contamination sites, both of which are abandoned mines. Crown Point had sixty 55-gallon drums in the glacier at the top of the mountain. They were all empty but did contain petroleum products. All of the drums were transported from the mine by helicopter today. At the west end of Grant Lake hazardous materials left over from mining activities were also removed by helicopter. Bill said that earlier this summer at Falls Creek, the USFS did a clean up of a mill site from a gold mine. It was an active mine but an avalanche destroyed the mill. During soil sampling, mercury was found in the soil tailings. The tailings were excavated and removed, and that site is now in good shape. B. Kenai River 2002 Season Recap, Suzanne Fisler Suzanne provided the Kenai River Guide stats for the 2002 season. Guide numbers are increased by 7 guides since the 2001 season. Suzanne reviewed some of the complaints she received during the summer, including a DWI complaint about a drift boat guide on the Kasilof. If convicted, he will lose his guide permit. Many of the complaints forwarded to her were from guides complaining about other guides. Suzanne said she and Bill would have a better report for the next board meeting on the season's complaints once she has had a chance to compare notes with Bill. Suzanne said guide orientations were completed for new guides only this season, but would be required for all guides next season. She is working on a different agenda based upon where guides primarily operate, since business is conducted differently in the lower fiver from the upper or middle fiver. She would like to have some of the guides give presentations on the different techniques that go with each portion of the fiver. C. KRCMP Accomplishments to Date/Recommendations for Further Work, Suzanne Fisler Suzanne provided the board with a summary of the accomplishments that have been made in implementing the Kenai River Comprehensive Management Plan since it was adopted in 1997. Please note in the handout all items marked in blue were accomplished since 2000. Suzanne reviewed the handout with the board. D. EstabliShing Board Priorities fOr the 2002/2003 season, Chris Degernes What priorities does the board want to set for this year? Chris said most years the board tends to react to issues that come along and as a result, it is easy to miss the chance to focus on long term priorities. She said last year's goals were not completely successful. They were things like the Kenai River Lands Addition legislation which did not pass and funding for phase 2 of Boat Wake Study was not acquired. She asked if the board wanted to continue on these issues? She then stated the review list Suzanne provided from the KRCMP accomplishments gives many areas to focus on. There was much discuSsion on how to establish the board Kenai River Special Management Area Advisory Board Minutes - September 19, 2002 Page 2 of 6 IV. priorities. At the conclusion of this agenda item it was decided there would be no decisions on board priorities this evening. It was the will of the board to first get the new board members on board. Then new committees can be established. These committees can then each develop a list of priorities to be presented to the full board. E. Board Member Appointments President Ted Wellman stated there are two vacancies created from resignations and three other seats that expire on October 1. Two of the board applicants were present at the meeting: Roland Maw and John Nelson introduced themselves to the board. There were 11 applications received and they have been forwarded to the Governor's office for appointment. A copy of those applications was provided to the board. OLD BUSINESS A. ADEC Update on Contaminated Sites- Jim Frechione, DEC Representative Jim stated he is working with the KWF on the management strategy to address the contaminated sites. He gave updates on the following: River Terrace: The remediated soil piles are still there. For many reasons they.have not been moved, but since the clean up has been completed, the land owner is free to move them or spread the soils on his property. Sediment sampling in the fiver was done in May and the results indicated that levels were within the water quality standards, which is a positive step. PCE levels on site have been reduced. They have introduced a new technology called hydrogen releasing compound injection. A sampling was done in June that revealed certain hot spot areas. They are considering a bio augmentation process where they introduce bacteria to break down the contaminants naturally. Jim then answered questions from the board members. Zip Mart: Jim said the responsible party is unable/unwilling to assist on clean up of this site so the State assurned the lead. They are still trying to assess the size of the plume. It has extended past B&D Auto. Product recovery has started and 11,000 gallons of gasoline have been recovered so far. Monitoring wells are in place to determine the extent of the contamination. Surprisingly, contamination has not shown up in the well for the Sterling Elementary. The plume appears to be flowing generally southeast. Cook's Tesoro: Jim said there is no active remediation going on at Cook's Tesoro. He said DEC is into a long-term monitoring phase. There are still elevated levels of contamination both on and off site, but DEC feels that the levels are being reduced naturally and that no further clean 'K;nai River Special Management Area Advisory Board Minutes - September 19, 2002 Page 3 of 6 up is warranted. Jim said they do not feel them are any drinking water wells at risk fight now. It has not migrated towards the fiver. Jim said they have asked EPA to evaluate what's been done but they have not yet done so. Joe Connors asked Jim to check on the existence of the monitoring well that is near Sam McDowell's property. They were told it sits 1000 feet from the fiver, but Joe said it is actually 400 feet. Jim said he would check that and get back to the board. Old DOT Shop: The problems that remain are related to the former sand and salt storage area, where elevated levels of chloride remain. What to do about it? Jim said the Department's position is that it is not posing a risk to the fiver. Long term monitoring will continue. Dave Westerman asked about Hamilton's in Cooper Landing. Jim said he would be addressing many of these other contaminated sites at the October l0th Kenai River Watershed Forum meeting. B. Update on Fuel Truck Spill Cleanup near Gwin's Lodge Jim Frechione informed the board this site is close to being cleaned up, although he is not familiar with many of the details regarding this spill. Further information would be provided at later meetings. C. Kenai River Center Update- Suzanne Fisler Jamie Damon, a consultant for the Juneau Falls bypass, will be here next week to have an agency coordination meeting. Suzanne hopes to have an update for the next board meeting. Suzanne said last month she went on a field trip looking at the realignment of the Seward Highway MP 18-25 (from Snow River to Crown Point). The area that is of greatest concern is the crossing of the Snow River flats and DOT's need for an area for mass wasting. Suzanne will be bringing additional information to the board as this project is further planned. Western Geophysical Company will be doing more seismic testing in the Sterling area in the Izaak Walton, Scout Lake and Nilnunqa park areas as well as across wide band of the Kenai River. Suzanne introduced Janet Yeager who is the new Education Coordinator hired for the Kenai River Center. V® PUBLIC COMMENT David Nyman: He stated he is on a team selected to evaluate some of the storm water discharges from DOT highways to the Kenai River. They are working to characterize influent and effluent storm waters to determine how effective the Kenai River Special Management Area Advisory Board Minutes - September 19, 2002 Page 4 of 6 constructed wetland areas at Big Eddy and Marydale are functioning. They are looking for expected contaminants from the runoff including dissolved metals, suspended solids, fecal coliform, and chlorides, and then analyzing for these compounds in the effluent that is discharged into the Kenai River. David said he has 7 or 8 more storm water events to cover. He said the City of Soldotna does the best job of maintaining their storm water drains. He then commented about the Cook's Tesoro contamination site. David said he is the one who asked EPA to come take a comprehensive look at how to diagnose the contaminated area of the site. He is very concerned about the 15-20 private drinking water wells that could be affected. He questions where the plan is to protect these people. Sam McDowell added that DEC has not done a full clean up. Tanks were pulled out at night and the contamination has been left with no remediation. Sam said this site is not clean. VI. ADJOURNMENT A. Board Comments Tim: expressed his appreciation for the work of this board. Joe' Tonight we had some interesting revelations concerning the Sterling Tesoro and believe we have a serious problem there. We need to be the watchdog to insure something is done on that site, as it is a very close site to the Kenai River. Lance' Received good reports tonight; thanks to Suzanne Fisler, Jim Frechione from DEC and Mr. Nyman. Rick: Thanked staff responsible for getting out the board minutes well in advance of the meeting giving ample time to review the minutes. Linda: Asked if with the composition of the board changing, could the 2nti or 4th Thursday of the month for meetings be considered. Chris: Reminded the board that Denise is behind the scenes again taking minutes. She thanked both Denise and Suzanne for their hard work for the board. She also announced that Cyndy Gagnon is off work a few more months enjoying her new daughter bom in July! Jonne' Glad to be here as new representative for DEC. Looking forward to working with all the board members. Kenai River Special Management Area Advisory Board Minutes - September 19, 2002 Page 5 of 6 Paul' Asked for an update later on the Cooper Lake Hydroelectric Project. B. Date/Agenda of Next Meeting Members discussed changing the date from the normal meeting date of Oct. 17, and it was decided to meet October 24t~. Meeting adjourned at 9'25 pm. Kenai River Special Management Area Advisory Board Minutes - September 19, 2002 Page 6 of 6 To: Mayor John Williams i :' ~'~ d:'~r"r ,~ 5 , ?,~ - Kenai City Council Members -7~ Borough Assembly Ry~presen~tives a~'!~ ~ i..~h ~.. From: Tom Wagoner Subject: Central Peninsula Health Centers, Inc proposed community de Health office. Date: October 25,2002 I would like to endorse the efforts of Central Peninsula Health Centers, Inc. proposal to establish and operate a community dental health office in the City of Kenai. This project will help solve the current problem of limited access for dental care some citizens face in the Kenai vicinity. Currently many residents of this area have a difficult time obtaining proper dental care for their children. I believe we should extend whatever assistance we can to make sure no child goes without dental care just because Medicaid is such a flawed system. Please support Central Peninsula Health Centers efforts on behalf of those Medicaid patients who cannot currently receive services in our community. CENTRAL PENINSULA COUNSELING SERVICES 506 LAKE STREET- KENAI, ALASKA 99611 - (907) 283-7501 - FAX (907) 283-9006 October 22, 2002 John Williams Mayor City of Kenai 210 Fidalgo Ave Suite 200 Kenai, AK 99611 Dear Mayor Williams, I wanted to write this letter in support of a community dental health office. CPCS now serves approximately 750 clients. Most of our clients fall into two categories. 1. Low income: This particular group needs access to dental services through the Medicaid program, which is not available on the Kenai Peninsula 2. Low to Moderate Income: Many in this grOup make to much to qualify for Medicaid, but either they are self-employed (sport fisherman, commercial fisherman, contractors, etc.) or their employers do not provide health insurance. A Community Dental Health Office will provide much needed health services to many adults and children of the Kenai Peninsula. Please join with me in supporting the project. Sincerely, James W. Shill Executive Director PROVIDING COMPREHENSIVE MENTAL HEALTH SERVICES TO THE CENTRAL KENAI PENINSULA. 5900 Lynkerry Circle · Anchorage Alaska 99504 · (907) 338-6626 John Williams, Mayor City of Kenai 210 Fidalgo, Suite 200 Kenai, AK 99611 Dear Mayor Williams' Se' FtECEiVL2 .- I CITY Below- is a lettcr tb, at I '~wote a~er reading about your erosion control project in the Anchorage Daily News. I had heard rumblings of it before the article appeared. I intended to write something for ADN's "letters to the editor." When I finished, I had far exceeded their maximum word count. Instead of throwing it away as I do with most of the things that I write after I get riled up, I decided to send you a copy. It is amazing the power the agencies have. I wait in hope that the pendulum will swing back toward the direction of common sense. A recent article in the ADN ( 9/16/02 "Kenai's plans are on hold for protecting city bluff') described the efforts the City of Kenai is making to halt erosion on its bluff on the Kenai River and to preserve what remains of"Old Town." This represents not only a property loss but also a danger, especially to children, who venture too near the edge of the bluff. I was raised in Kenai and left in 1961. For the last 25 years, I have observed the loss of property to the river and on a couple of occasions have even documented it from aerial photos. My specialty is coastal erosion, but it shares several similarities to river erosion. I was shocked that environmental agencies have stopped the city's ongoing erosion mitigation project. It seems that this is another example of poor environmental policy and that this project could really be a "win-win situation" for both the agencies and the citizens of Kenai. By observing the Kenai River near its mouth, you will instantly notice the extensive flood plain which is much wider than the river. The flood plain is very broad and much of it is inundated during spring tides. The river's course describes a circuitous pattern as it winds its way to Kenai. What do we know about river patterns in general? The article printed in the paper cited a comment from a former ADF&G employee (Ken Tarbox) to the effect that we don't know what the river will do if we start fooling around with it. I'm well aware that Mr. Tarbox has spent a lot of time on the river, but his comment is not exactly accurate; we know a lot from other river systems that give us a reasonable idea of what we can expect here. The study of river patterns tell us that rivers generally act like a wave increasing in amplitude in the downstream direction. This is an oversimplification as rivers are modified by natural and manmade structures along their course. Rivers tend to erode on the outside of a bend and deposit on the inside of a bend. This causes the bend to lengthen and as it lengthens the flow friction increases. The river must carry a certain volume dictated by the watershed so if friction becomes too large in one direction it will cut a new shorter course somewhere else. These "breakthroughs" generally occur during floods although severe flooding is not essential to cause them. A state of equilibrium between the energy (volume and bed slope) and the resistance of the bank material is established. A direction change at one location is then propagated up and down the river but most notably downstream. A view of the Kenai River flood plain near its mouth would suggest that the river has flowed over a wide zone during its development. It has probably moved laterally between the boundaries of its flood plain many times. The river at present is at the northern extreme of the flood plain and is continuing to move further north. Unfortunately, Kenai is in its path. Eventually this present migration direction will reverse and the river will start to migrate toward the south or, alternately, it will abruptly cut a new, more direct path further to the south. Neither of these is likely to occur before there is a substantial loss of property, structures, and utilities. If these losses don't effect you, then maybe that's ok. But in the meantime, the river will continue to erode and I suggest that stopping the erosion could be a "win-win situation" for all. First it would stop the current property losses; however, there is another issue potentially in play here. The erosion is now encroaching onto portions of Kenai where "who knows what" is buried; it is probably safe to say that a lot of things that will be eroded probably shouldn't be dumped in the river. Stopping the erosion now will keep potential pollutants in the ground away from the river and inlet. That alone might merit this project if it could be afforded. Any changes made to the river bluffs will undoubtedly, over time, change the river's flow pattern especially near its mouth. But what Mr. Tarbox fails to point out is that changes will occur even if we do nothing. The changes created by either scenario are probably similar and will likely operate on roughly the same time scale. In neither case can we predict when the changes will occur~that is dictated by climate and geology. Trying to frighten people with forecasts of unknown but dire consequences may be effective, but it is not very useful. River erosion, like coastal erosion, is not completely beyond our comprehension, but it is often beyond our control. When we allow unknown and unspecified impacts to trump quantifiable and important benefits, we may be doing a disservice to everyone. The river is going to change regardless of man's intervention. Are we certain that the natural changes will create any less impact than the present project? Hope you found this interesting. Too bad it's probably useless. Maybe someone needs to challenge these guys. When you cannot even protect your own property, the situation is getting way out of hand. It might be possible to apply pressure using the seniors from the Senior Center. They have the time and the motivation to mount a campaign to get this back on track. After all, their living facility is in the direct path of the erosion. Also schools kids have proved to be useful in changing hearts and minds. Good luck. ~oug Jones Project status Report A/NC/F/ City Contact Project Name A KK Basin View LID A=Active NC=Non-Construction F=Future STIP=State Trans. Imp Status KK- Keith Kornelis JL- Jack La Shot RS - Robert Springer MK- Marilyn Kebschuil Jet- Jan Taylor Public Hearing was held on July 17, 2002. Wm. J. Nelson & Associates is working on design. A KK Bridge Access W & S Feasibility Study Wince-Corthell-Bryson is working on this project. A JL/RS City Hall HVAC Documents complete. A MK Comprehensive Plan Presentation of complete plan scheduled for 11/19/02 at 7 p.m. A JL A MK Contaminated Soils- Shop Daubenspeck Economic Development Study Report submitted to DEC. $20,000 grant received. Study being conducted by Kevin W aring Associates in conjunction with the Comprehensive Plan. Quarterly report and bill due 1/15/03. A JL Daubenspeck Environmental Site Assessment Final report has been received. UST removal report received and submitted to ADEC. A JL FAA Site FAA is working with ADEC to use 10 times rule. A JL Kenai AP ARFF/SRE Facility Finishing items. Change order coming .... Communications equipment being delivered...phones ordered. A KK Kenai Coastal Trail Corps has received funding for planning and answering permitting questions on this project...Corps is trying to keep PND involved with this project. Corps is working on scope of work. Meeting scheduled for 10/29/02 was postponed because agencies working on flood problems. Tuesday, October 29, 2002 Page 1 of 3 A/NC/F/ ~T~ A JL City Contact Project Name Library Improvements Status Schematics complete - awaiting further direction. A JL Maintenance Shop Preliminary plans and specifications complete. A KK McCollum & Aliak LID Received property owners' petition. A JL Multi-Purpose Facility Refrigeration Investigating venting. A KK Pillars LID - Chinook Drive and Sockeye Circle Paved road 9/21/02. Topsoil and seeding to be done next year. A KK Schooner Circle LID Public hearing on 10/16/02. Resolution passed to continue with this project. A KK Title 17 Review and W & S Regulations Working with Larry...Completed revisions to W & S regulations. Adding a grease prevention regulation. Rate study is part of W astewater Facilities Plan which CH2M Hill is working on. a KK Toyon Way LID Public hearing on 10/16/02. Resolution passed to continue with this project. A JL Underground Storage Tank- Airport Extra soils removed and stockpiled. Report to ADEC finished and submitted. A KK W astewater Facility Master Plan Awarded project to CH2M Hill. At about 70% completion. They are working on a W&S rate study. A KK WH4 VanAntwerp site did not work out. Quality problem with lower aquifer and Iow flow with middle aquifer. Looking at treatment at Lawton/Swires site. Tuesday, October 29, 2002 Page 2 of 3 A/NC/F/ ST~ STIP KK City Contact Project Name DOT- Bridge Access Pathway Status Pathway along Bridge Access Road from K-Beach to Spur 3.3 miles...Design FFY 02, ROW 02, Utilities 03, & Construction 03 & 04 with total cost $4 million. Controversy over possible no build where trail is on shoulder of existing road. DOT sent letter thanking City for latest resolution of support. STIP KK DOT- Kenai Spur Unity Trail Pathway Pedestrian/bike pathway along Kenai Spur from MP 2.8 to 8.2. Alaska Roadbuiders completed the steel casing across Beaver Creek near ROW for future water main. City gave DOT temporary and permanent easements for Beaver Creek Crossing. Alaska Roadbuilders was Iow bidder at $2,138,117. If they can get the ROW near Eagle Rock, they would like to pave the entire path at the same time. STIP KK DOT- Spur 10.6- 22.0 Alaska Roadbuilders has completed this project. They are working with DOT to finalize the project. There are no funds left in this project. Tuesday, October 29, 2002 Page 3 of 3 Department of Revenue Tax Division PO Box 110420 Juneau. AK 99811-0420 Telephone 907.465.2320 State of Alaska 2003 Gaming Permit Applicatio~ AS 05.15,020 R This form is also available on the :[nternet at www.tax.state. ORGANIZATION INFORMATION Federal EIN 92-0069306 Organization Name Women's Resource & Crisis Center 'Mailing Address 325 $.. S ruce Street Qty K ' Permit Number 5O9 · ~Telephorte Number (907) 283-9479 Fax Number (907) 283-5844 E-mail Address TYPE OF ORGANIZATION (check one box. For definition see AS 05.15.690) Association [~ Religious ~ _Civic_or Service ' [~] Fraternal r'l Outboard Motor Association r"} Veterans ~ Dog Mushers Association r"! Labor r-! Police or Fire Department [~ iF~l-~-ve Village PERSONS IN CHARGE OF GAMES. Persons must be active members of the organization, or an employee of the municipality, and designated by the organization. Members may not be licensed as an operator, vendor, or employee of a vendor. Primary Member Name ~ rAm tt __ So~_,a, .Sec_u r_ity N_u_rn_be_r ~ Daytime Telephone Numbe---~~ - - 07 283-9479 Mailing Address 268 Riverwatch Drive · City, State and Zip Code Soldotna, AK- 99669 Has the pdmary member taken and passed the test? [~~ Permit number under which the test was taken. THESE QUESTIONS MUST BE ANSWERED. (see instructions) r"! Yes [~ No r-! Yes [~ No __,' S°_ci.al_Se_cTtY_Nurn_ber JD~ 542-58-3967 (907) 283-9479 !Mailing Address PO Box 698 City, State and Zip Code Kenai, AK 99611 Permit number under which the test was taken. Has any member of· management or any person who is responsible for gaming activities ever been convicted of a felony, extortion, or a violation of a law or ordinance of this state or another jurisdiction that is a cdme involving theft or dishonesty or a violation of gambling laws? Does any member of management or any person who is responsible for gaming activities have a prohibited financial interest as defined by 15 AAC 160.954 - 959. · We dec/am under penalty of unswom falsification, that we have examined this application, including any attachments, and that to the best of our knowledge and belief, it is true and complete. We understand that any false statement made on this application or any attachments is punishable by law.' Primary Member Signature Vice President Si, instructions) Mailing Address of President or Vice President Printed Name Heather Arnett Printed Name June Harris Date Date Daytime Telephone ,.~ Make checks payable to'the State of Ala$-k~ ................. ~ ......... ~"°' J r"! $0 - $20,000 or new permi Form 04-826 (Rev 08/02) Front See instructions for mandatory attachments. A copy of this application must be sent to all applicable municipalities and boroughs. ....... "' 2003 Gaming Permit Application ~.lOrganization Name ' . ..... ll~ederal EIN ! Women's Resource & Crisis Cent, er I, 92-0069306 Game Type (use for completing information below.) Bingo ' ' Deep Freeze classics" Raffles Dog Musher's Contest Puli-Tabs Dog Mushing Sweepstakes Contests of Skill Fish Derbies Canned Salmon Classics Goose Classics Ice Classics King Salmon Classics Memury Classics IPermit Number 509 ' 'Race ClassiCs ' Rain Classics Salmon Classics Snow Machine Classics ACTIVITES CONDUCTED BY ORGANIZATION ,,, , Facility Name Physical Address Game Type(s) The Getaway 35553 Kenai Spur Highway, Soldotna, AK 99669 / Pulltabs The Gameroom 610 Attla Way, Kenai, AK 99611 / Pulltabs Is Facility , , i-'1 Owned [~ Leased r"! Donated r"] Owned [~ Leased r"] Donated r"! Owned r"! Leased r"l Donated 'r"! Owned r"i Leased r-'! Donated r"l Owned !'"1 Leased r"! Donated , r~ Owned I-'1 Leased !'"i Donated ACTIVITIES CONDUCTED BY VENDOR (pull-tabs are the only games a vendor can conduct) Vendor registration and fee must be attached. Name of Ven'dor Physical Address Vend'or Number , , , , , , ACTIVITIES CONDUCTED BY OPERATOR IName of Operator Physical Address _ .... ' ' Game Type(s) Operator's License Number ...... ACTIVITIES CONDUCTED BY MULTIPLE-BENEFICIARY PERMIT'rEE IName of MBP Physical Address Game Type(s) ' ' MBP Number ' , , DEDICATION oF i~IE~- PROcE~-DS. The organization must plan to use the net proceeds from gaming activities for political, educational, civic, public, charitable, patriotic or religious uses in Alaska. (See statutes and regulations for specific rules.) in the space provided, tell how your organization intends to use the net proceeds from gaming activities. (Be specifi.c) ......... Form 04-826 (Rev 08/02) Back Department of Revenue Tax Division · PO Box 110420 Juneau, AK 99811-0420 Telephone 907.465.2320 State of Alaska 2003 Gaming Permit Application · AS 05.15,020 This form is also available on the ]:ntemet at www.tax.state.ak, us/forms/ ORGANIZATION INFORMATION IFederal EIN Organization Name ' . Mailing,~dd~,~RA .,,~..LADY OF THE N G[LS CHURCH City : 225 S0U'H SPRUC~ ~'[, IState" ! TYPE O :ORGANIZATION (check one box. For definition see AS 05. i5.690f, {. II C~?dtable II Fishing Derby Association r"! civic .or Service r'] Fraternal : - r"! Dog Mushers Associ;ti0n r"! Labor r"l Educational r'-i Municipality IZip Code I--I Nonprofit Trade Association r"l Outboard Motor Association r'"! Police or Fire Department r'] Political ITelephone Number IFax Number IE-mail Address ~Religious ~ Veterans ~ i~Naave Village Primary Member Name Social Security Number Mailing Address City, State and Zip Code Has the pdmary member taken and passed the test?' Permit number under which the test was taken. ORGAI~IIZED AS l ~' Corporation !1 Partnership F-1 Association PERSONS IN CHARGE OF GAMES. Persons must be active .members of the organization, or an employee of the municipality, and designated by the organization· Members may not be licensed as an operator, vendor, or employee of a vendor. Alternate Member Name I Daytime Telephone Number Social Security Number Mailing Address ~0,5,../,¢ ..._~'/-/.,,u~. ,'""'T', · City, state and Zip C~de I k. L..~Yes !! No IHas the alternate member taken and passed the test? [~es -. ?~,,~ 7_~/ IPerrnit number under which the test was taken. ?'~; ~'_~ / , THESE QUES~,~S MUST BE ANSWERED. (see instructions) r"l Yes i_vI No Has any member of management or any person who is responsible for gaming activities ever been convicted of a felony, extortion, or a violation of a law or ordinance of this state or another jurisdiction that is a cdme involving theft or dishonesty or a violation of gambling laws ? I-! Yes [~No Does any member of management or any person who is responsible for gaming activities have a prohibited financial interest as defined by 15 AAC 160.954 - 959· IDaytime Telephone Number l-! No We declare under penalty of unswom falsification, that we have examined this application, including any attachments, and that to the best of our knowledge and belief, it is true and complete. We understand that any false statement made on this application or any attachments is punishable by law. · Presiden Vice'"P~ ' , nature'(see' in~r~ction ' X ~ ~~: ~see' in'~ctio~ Pdhted~~~hame Mailin~dr~ of President or Vice President ' Da~ime~elephone , -.) For Department Use Only. '----' . IAl~l Permittees N_.ew Permittees I~[~]'Membership List [~ Documentation for 3 years r"] IRS Certificate or tax exempt I [~! PMIC & AMIC Test r-] Articles of inco~oration or bylaws r-! Separate bank account See instructions for mandatory attachments. Form 04-826 (Rev 08/02) Front A copy of this application must be sent to all applicable municipalities and boroughs. 2003 Gaming Permit Application l'Organization Name I Federal EIN Game Type (use for completing information below.) ,,  Deep Freeze Classics Goose Classics Dog Musher's Contest Ice Classics Dog Mushing Sweepstakes King Salmon Classics Contests of Skill Fish Derbies Mercury Classics Canned Salmon Classics ACTIVITES CONDUCTED BY ORGANIZATION Facility Name Physical Address JPermit Number Race Classics Rain Classics Salmon Classics Snow Machine Classics i Game Type(s) · ils Facility '" ' ' t)c~::':. · , " .... : ~ ~ .. ned !-I Leased r-I Donated !--i Owned r"i Leased !-! Donated r'-! Owned r"'i Leased r"l Donated I-! Owned r"i Leased r"l Donated r"! Owned r"! Leased r"l Donated ACTIVITIES CONDUCTED BY VENDOR (pull-tabs are the only games a vendor can conduct) Vendor registration and fee must be attached. I~'ame of Vendor Physical Address Vendor Numl~r ,,, ACTIVITIES CONDUCTED BY OPERATOR IName of Operator Physical Address ACTIVITIES CONDUCTED BY MULTIPLE-BENEFICIARY PERMITrEE IN'me of MBP Physical Address · Game Type(s) Operator's License Number Game Type(s) MBP Number DEDICATION OF NET PROCEEDS. The organization must plan to use the net proceeds from gaming activities for political, educational, civic, public, charitable, patriotic or religious uses in Alaska. (See statutes and regulations for specific rules.) In the space provided, tell how your organization intends to use the net proceeds from _qaminq activities. (Be specific) . Form 04-826 (Rev 08~02) Back MAKE 23 PACKETS COUNCIL PACKET DISTRIBU~-ION COUNCZL MEE~NG bATE: Mayor/Council- Attorney 1~ Ta¥1or/$prin~er/Kebschull. Clerk ' City Manager Public Works Police Deportment · Finance · Engineer Senior Center · Airport - Kim o Library . Parks & Recreation Fire Department · Blaine Gilman AGENDA DISTRIBUTION Sewer Treatment Plant Streets Shop Dock Buildin~ Maintenance Animal Control Water/Sewer ~ Counte~ DELIVER ' Council Packets to Police Department Dispatch desk. The Clarion & Gilman's Office will pick their pocket up at City Hall. The portion of the agenda published by the Clarion should be foxed as soon os possible after Noon on packet day. The camera-ready agenda (c:/myfiles/documents/minutes/ogendo form for paper) is emoiled to the Peninsula ~larion (at emoil Contacts) and o copy is foxed to Denise at the ~larion also. Home Page documents (agenda, resolutions and ordinances for public hearing) are placed in the Clerk's HTML file or emailed to the Clerk. Place them onto the city's website with Front Page from there os soon os possible.