HomeMy WebLinkAbout2003-07-02 Council PacketKenai City
Council
Meeting Packet
July 2, 2003
AGENDA
KENAI CITY COUNCIL- REGULAR MEETING
JULY 2, 2003
7:00 P.M.
KENAI CITY COUNCIL cHAMBERS
htt~. / / www. ci.kenai.ak.us
_
ITEM A:
CALL TO ORDER
1. Pledge of Allegiance
2. Roll Call
3. Agenda Approval
4. Consent Agenda
*All items listed with an asterisk (*) are considered to be routine and non-
controversial by the council and will be approved by one motion. There will be no
separate discussion of these items unless a council member so requests, in which case
the item will be removed from the consent agenda and considered in its normal
sequence on the agenda as part of the General Orders.
ITEM B:
SCHEDULED PUBLIC COMMENTS (10 minutes)
,
Ann Evans, Central Peninsula Health Centers, Inc. -- Update on
Aspen Dental Center.
ITEM C:
REPORTS OF KPB ASSEMBLY~ LEGISLATORS AND COUNCILS
ITEM D:
PUBLIC HEARINGS
o
Ordinance No. 2008-2003 -- Amending KMC 1.80.010 to Adjust the
Salaries of the Mayor and Council Members.
a. Motion for Introduction
b. Motion for Second Reading (Requires a Unanimous Vote)
c. Motion for Adoption
.
Resolution No. 2003-37 -- Awarding the Bid to Alaska Roadbuilders,
Inc. for Kenai Skateboard Park Paving - 2003 for the Total Amount of
$23,220 Which Includes the Basic Bid and Additive Alternate No. 1.
ITEM E:
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
bo
Kenai Convention & Visitors Bureau Board
Alaska Municipal League Report
Kenai Chamber of Commerce
ITEM F:
MINUTES
o
*Regular Meeting of jUne 18', 2003.
ITEM G:
CORRESPONDENCE
ITEM H:
OLD BUSINESS
ITEM I:
NEW BUSINESS
,,
o
Bills to be Paid, Bills to be Ratified
.
Purchase Orders Exceeding $2,500
,
*Ordinance No. 2007-2003 -- Amending KMC 14.20.280(c) to Allow
Notification of Public Hearings to be Sent by Regular Mail.
,
Approval-- Consent to Sublease -- Pingo Properties, Inc. and Geoffrey M.
Graves, Individually, to Ashley Bulot, Lot 6A, BlOck 1, Gusty Subdivision
No. 4.
ITEM J:
REPORT OF THE MAYOR
ITEM K:
ADMINISTRATION REPORTS
1. City Manager
2. Attorney
3. City Clerk
ITEM L:
DISCUSSION
1. Citizens (five minutes)
2. Council
EXECUTIVE SESSION- None Scheduled
ITEM M: ADJOURNMENT
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Suggested by:
Council
CITY OF KENAI
ORDINANCE NO. 2008-2003
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING
KMC 1.80.010 TO ADJUST THE SALARIES OF THE MAYOR AND COUNCIL
MEMBERS.
WHEREAS, salaries for the Mayor and Council Members are set by KMC 1.80.010;
and,
WHEREAS, due to budget constraints, the Kenai City Council, at the budget work
session of April 14, 2003, discussed and reached a consensus their salaries should be
decreased by $100 per month due to budget constraints; and,
WHEREAS, the decrease in these salaries is effective July 1, 2003.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, that KMC 1.80.010 be amended as follows:
1.80.010 Setting.
The Mayor shall receive a salary of [$1,000] $900 per month. The
other members of the Council shall receive salaries of [$500] $400 per
month. These salaries shall be in addition to the reimbursement for
expenses as provided for by Charter.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this second day of
July, 2003.
ATTEST:
John J. Williams, Mayor
Carol L. Freas, City Clerk
Approved by Finance' ~
Introduced: July 2, 2003
Adopted: July 2, 2003
Effective: August 2, 2003
Suggested by: Administr
CITY OF KENAI
RESOLUTION NO. 2003-37
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AWARDING
THE BID TO ALASKA ROADBUILDERS, INC. FOR KENAI SKATEBOARD PARK
PAVING - 2003 FOR THE TOTAL AMOUNT OF $23,220 WHICH INCLUDES THE
BASIC BID AND ADDITIVE ALTERNATE NO. 1.
WHEREAS, the following bid was received on June 25, 2003:
BIDDER
Alaska Roadbuilders, Inc.
Basic Bid Add. Altern. No. 1
(59'X 120') (31'x 120')
$15,222 $7,998
WHEREAS, Alaska Roadbuflders, Inc.'s bid meets the bid specifications; and,
WHEREAS, the recommendation from the City Administration is to award the bid to
Alaska Roadbuilders, Inc.; and,
WHEREAS, the Council of the City of Kenai has determined that Alaska Roadbuilders,
Inc.'s bid is a responsible bid and award to this bidder would be in the best interest of
the City; and,
WHEREAS, sufficient monies are appropriated.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, that the bid for Kenai Skateboard Park Paving - 2003 be awarded to Alaska
Roadbuilders, Inc. for the total amount of $23,220.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this second day of July
2003.
JOHN J. WILLIAMS, MAYOR
ATTEST:
Carol L. Freas, City Clerk
Approved by Finance:
KENAI AIRPORT COMMISSION
JUNE 12, 2003
KENAI CITY COUNCIL CHAMBERS
7:00 P.M.
AGENDA
ITEM 1: CALL TO ORDER AND ROLL CALL
ITEM 2: AGENDA APPROVAL
ITEM 3:
APPROVAL OF MINUTES -- May 8, 2003
ITEM 4: PERSONS SCHEDULED TO BE HEARD
ITEM 5: OLD BUSINESS
Discussion-- Future Meeting Schedule
Discussion -- Airport Noise
Discussion-- Air Fair Wrap-Up
ITEM 6: NEW BUSINESS
ITEM 7: REPORT
Commission Chair
Airport Manager
City Council Liaison
ITEM 8:
COMMISSIONER COMMENTS AND QUESTIONS
ITEM 9:
PERSONS NOT SCHEDULED TO BE HEARD
ITEM 10: INFORMATION ITEMS
de
Kenai City Council Meeting Action Agendas for May 21 and June 4, 2003.
Updated Membership List
May, 2003 Kenai Municipal Airport Enplanement Report and Float Plane
Basin Activity
6/2003 Alaska Business Monthly advertisement for Kenai Municipal
Airport.
ITEM 11: ADJOURNMENT
KENAI AIRPORT COMMISSION
JUNE 12, 2003
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.
Commissioners Present:
Commissioners Absent:
Others Present:
Bielefeld, Knackstedt, Versaw, Watkins, Haralson
Councilwoman Jackman, Holloway, Van Zee
Airport Manager Cronkhite, Department Assistant
Harris
ITEM 2' AGENDA APPROVAL
Airport Manager Cronkhite requested the addition of the following items:
* 6-a. Discussion' Proposed additional Commission meetings
* 11-a. Information item: Comprehensive Plan
The amended agenda was approved without objection.
ITEM 3:
APPROVAL OF MINUTES -- May 8, 2003
MOTION:
Commissioner Ha_raison MOVED to approve the minutes and Commissioner Watkins
SECONDED the motion. There were no objections. SO ORDERED.
ITEM 4: PERSONS SCHEDULED TO BE HEARD -- None
ITEM 5: OLD BUSINESS
Discussion -- Future Meeting Schedule
The Commission discussed the upcoming meeting schedule which allows the Airport
Commission to meet every other month. Cronkhite explained additional meetings
could be requested to be approved by Council. The Commission, in general, expressed
displeasure with the new schedule, but stated trying this for several months would give
a better idea of its feasibility.
Christine Schmidt (Kenai)' Schmidt addressed the Commission and stated she is very
opposed to cutting the meetings as it results in a significant loss of public access.
Schmidt also stated that since a commission secretary is no longer employed and
minutes are to be done by Airport staff, funds can't be the issue. Schmidt stated she is
strongly in favor of maintaining monthly meetings.
Bob Molloy: Molloy echoed Schmidt's sentiments and stated he is strongly in favor of
maintaining monthly meetings.
Cronkhite explained, because the Clerk's Office department assistant was laid-off, the
paperwork would be completed solely by the City Clerk, With the position being cut,
the workload had to be cut.
Haralson inquired if the airport could pay the wages for keeping a minutes secretary to
attend the meetings. Haralson stated the Kenai Airport is a business and, as such,
requires continuous attention to meetings including public discussions. Cronkhite
answered, the airport is also facing economic problems.
a-bo
Discussion -- Airport Noise
The Commission reviewed the memo from City Attorney Graves regarding noise
abatement and regulations requiring a noise survey prior to noise control. Cronkhite
stated '150 studies' are normally conducted in areas with heavier traffic and the
Comprehensive Plan does have updated noise contours as well as an overlay zone.
Since Kenai doesn't qualify for a 150 study, the cost would be approximately $250,000.
Cronkhite also stated many noise complaints are actually low-flying aircraft
complaints, which the FAA looks into.
Versaw suggested providing signage in the Float Plane take-off area suggesting pilots
mind the airspace over neighborhoods so as not to create excessive noise.
Christine Schmidt (Kenai)' Schmidt requested the Airport Commission and City staff
continue to pursue this issue and obtain information from other airports and areas
with similar noise problems. Schmidt stated her home in Woodland has very loud
aircraft passing overhead, and at times at very low altitudes. Schmidt stated she has
been very proactive in trying to identify noise violators and has continuously tried to
make complaints to the FAA and airport, but little to nothing has been done. $chmidt
reiterated her desire for the city to obtain more information.
Knackstedt stated aircraft are required by the tower to follow a prescribed flight pattern
as they are in a controlled airspace. Often times, a pilot has no choice but to fly over
neighborhoods.
Bob Molloy (Kenai)' Molloy stated he thought the idea of providing signage requesting
pilots to be mindful of the noise their aircraft produces is a good one. Additionally, he
would simply like to request more information on noise abatements be obtained.
AIRPORT COMMISSION MEETING
JUNE 12, 2003
PAGE 2
The Commission concluded this issue will be dealt with by educating and reminding
pilots to try to keep aircraft noise to a minimum.
S-c. DiscUssion -- Air Fair Wrap-Up
Cronkhite reported the Air Fair was a great success with 48 participants and 25-30
aircraft. As advertising funds were focused on the aviator community, the event is
gaining recognition. The Commission and Cronkhite stated Mary Bondurant did an
great job on organizing the event.
The follow-up meeting is scheduled for July 17, 2003; Commissioners will be kept
informed of any new developments and information.
Discussion -- Request for Additional Meetings
Cronkhite presented the Commission with information on a public hearing regarding
the environmental assessment on July 8 at 6 p.m.
MOTION:
Commissioner Watkins MOVED to request Council approve the addition of the July 8
meeting and Commissioner Haralson SECONDED the motion. There were no
objections. SO ORDERED.
ITEM 6: NEW BUSINESS-- None
ITEM 7: REPORT
7-a. Commission Chair-- No report
7-b. Airport Manager -- Cronkhite reported the following:
· A new espresso bar has opened in the terminal. The espresso bar opens
at 4:30 a.m.
The ADA compliant handicap lift has been installed and is working well.
City Council Liaison -- No report.
ITEM 8:
COMMISSIONER COMMENTS AND QUESTIONS
Bielefeld: Bielefeld questioned the status of the runway pavement project and was
informed the repairs have been made. Some additional assessments are being done for
any other recommended repairs.
Haralson: Haralson inquired about follow-up regarding aircraft vandalism. Cronkhite
informed the Commission of grant-funded security cameras which will be installed in
the near future.
AIRPORT COMMISSION MEETING
JUNE 12, 2003
PAGE 3
ITEM 9:
PERSONS NOT SCHEDULED TO BE HEARD -- None
ITEM 10'
INFORMATION ITEMS
10-a.
10-b.
10-c.
10-d.
Kenai City Council MeetinE Action AEendas for May 21 and June 4, 2003.
Updated Membership List
May, 2003 Kenai Municipal Airport Enplanement Report and Float Plane
Basin Activity _.
6/2003 Alaska Business Monthly advertisement for Kenai Municipal
Airport.
ITEM 11'
ADJOURNMENT
The meeting adjourned at 8'55 p.m.
Minutes prepared and transcribed by:
Sharon M. Harris, Department Assistant
AIRPORT COMMISSION MEETING
JUNE 12, 2003
PAGE 4
PROPOSED Clt~N'GES TO SECURITY GATES AND PARIO~G LOTS
TUESDAY JULY 8, 2003
KENAI CITY COUNCIl, CHAMBERS
210 FIDALGO STREET
The City of Kenai, and the Kenai Airport Commission are holding an Environmental
Assessment Public Infomation meeting on Tuesday July 8, 2003 at 6:00 P.M. Items
proposed to be included in the Environmental ~ssessment document include portions of
Phase I, II, and III of the current Airport Master Plan on file at Kenai City Hall.
Introduction of Team Members
Presentation on Proposed Projects and Environmental Assessment
Public Comments
Following the Public Information Meeting, the Airport Commission will hold a special
meeting to discuss proposed modifications to gates, fencing, property lines, and public
parking in the General Aviation area at Kenai Municipal Airport. This meeting will begin at
7:00 P.M. in Council Chambers, Tuesday July 8, 2003. Public input is respectfully
requested fi'om concession interests, lessees, users, and the general public.
If you have questions please contact'
Jack LaShot, Project Manager
City of Kenai, Alaska
210 Fidalgo Street
Kenai, Alaska 99611
Phone: (907) 283-7535 ext. 236
Email' jlashot~ci, kenai.ak, us
This location is accessible to persons having disabilities.
Any persons having special needs, or requiring special aid are
requested to contact the Project Manager.
I~NAI MUNICIPAL AIRPORT PROPOSED PROJECTS
1. Acquisition of 40 to 80 acres of land for runway extension and protection to the north.
(S1/2 of S1/2 of SW1/4 of Section 21, Township 6 North, Range 11 West, Seward
Meridian, Alaska). If the full 80 acres is not acquired, then acquire at least an
avigation easement.
2. Extension of Runway 1-19 and parallel Taxiway P by at least 600 feet to the north of
runway (may need slightly more for localizer to be outside runway safety area at
south end). Also extend parallel Taxiway P to south end of Runway 1-19.
3. Extension of Runway 1-19 drainage system to north.
4. Relocation and stabilization of new runway safety area to north of runway extension.
5. Construction of maintenance and emergency access road around north end of Airport
property (about 9,000 linear feet). Road may be either along, or inside, property line
to avoid high-value wetlands.
6. Extension and widening of water runway by 500 feet north.
7. Disposal of frost susceptible soils resulting from grade preparation of runway
extension, runway safety area and water runway.
8. Construction of about 14,100 linear feet of fencing in Section 21 (3,500 linear feet),
Section 28 (1,500 linear feet) and Section 29 (9,100 linear feet), all in Township 6
North, Range 11 West. Fencing to be either along or inside property line to avoid
high-value wetlands.
9. Modifications/extension to MALSR system and access road to north.
10. Upgrade and/or extension of runway and taxiway lighting systems to north.
11. Relocation of Runway 1 approach threshold by at least 200 feet to north (may need
slightly more for localizer to be outside runway safety area at south end). Runway
restriping and modification of airfield signs as appropriate.
12. Construction of widened, paved blast protection shoulder areas outside of runway
lighting along both sides of the runway.
13. Development of lease lot area alongside gravel runway.
14. Extension of Willow Street north to Marathon Road.
15. Expansion of apron north of Taxiway J.
16. Relocation of ILS glide slope facility, VASI-4s and REILs.
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KENAI BEAUTIFICATION COMMITTEE
JUNE 10, 2003
7:00 P.M.
KENAI COUNCIL CHAMBERS
AGENDA
ITEM 1:
CALL TO ORDER/h ROLL CALL
ITEM 2: · AGENDA APPROVAL
ITEM 3:
APPROVAL OF MINUTES -- May 13, 2003
ITEM 4:
PERSONS SCHEDULED TO BE HEARD
ITEM 5: OLD BUSINESS
ITEM 6: NEW BUSINESS
Discussion -- Flowerbed Assessment/Updates
Discussion -- Cemetery Regulations
ITEM 7: REPORTS
a.
ITEM 8:
Committee Chair
Parks & Recreation Director
Kenai City Council Liaison
OUESTIONS AND COMMENTS
ITEM 9: INFORMATION
Parks & Recreation Commission Meeting Minutes of May 1 and 15, 2003.
City Council Action Agenda of May 7 and 21, 2003.
Updated Membership List
Approved Kenai City Council Policy for Commission, Committee, Board and
Council on Aging Meetings and Work Sessions.
ITEM 10: ADJOURNMENT
KENAI BEAUTIFICATION COMMITTEE
JUNE 10~ 2003
7:00 P.M.
KENAI COUNCIL CHAMBERS
CHAIRPERSON MARILYN DIMMICK~ PRESIDING
MINUTES
ITEM 1: CALL TO ORDER/h ROLL CALL
Chairperson Dimmick called the meeting to order at 7'03 p.m. and the roll was
confirmed as follows:
Members Present:
Members Absent:
Others Present:
Rogers, Brown, Seymour, Dimmick
Nelson
Director Frates, Department Assistant Harris
ITEM 2: AGENDA APPROVAL
Member Brown requested the addition of 6-c as Old Banners. The revised agenda was
approved without objection.
ITEM 3:
APPROVAL OF MINUTES -- May 13, 2003
The following corrections were requested:
* 5-a: "hamburgers and beverages provided by the Kenai Firefighters
Association".
· 7-a: "Susan Hatch attended the meeting..."
ITEM 4:
PERSONS SCHEDULED TO BE HEARD-- None
ITEM 5: OLD BUSINESS
Dimmick requested the Commission discuss the Planting Day activities and changes in
the eating schedule for next year. Dimmick stated she felt the lunchtime 'shifts' began
too early, thus taking away planting time.
MOTION:
Member Brown MOVED to request a change in the lunchtime schedule during the
planting days in upcoming years to be anytime after 1 p.m. Additionally, Beautification
planting days should be a two-day event. Member Rogers SECONDED the motion.
There were no objections. SO ORDERED.
ITEM 6: NEW BUSINESS
Discussion -- Flowerbed Assessment/Updates
The Committee commented on the following:
· Additional flowers are needed in approximately eight circle planters as the
vegetation appears too sparse.
· Friday (June 13, 2003) several members of the Committee will be weeding
and planting at Leif Hansen Memorial.
· The summer weeding schedule is Tuesdays at 4'00 p.m. and Thursdays
at 6:00 p.m.
Discussion -- Cemetery Regulations
Frates informed the Committee that due to recent vandalism of the cemetery, the Kenai
Police Department would be patrolling the area on a more frequent basis. The KPD
might also take responsibility of opening and closing the vehicular traffic gates each
day. Additionally, signage stating the cemetery is under electronic surveillance would
be posted in the near future. Frates stated extra pruning and tree removal would
improve overall visibility and could reduce the likelihood of vandalism.
Regarding Appendix 2-c of the KMC, Frates stated he thinks an official 'cemetery clean-
up day' should be added to ensure plot maintenance and the timely removal of old
trinkets and other items.
6-c. Discussion -- Old Banners
Member Brown reminded Frates and the Commission of a prior arrangement
regarding banners which stated, when out of use, the banners were to be given back to
the Art Council to be auctioned off for fundraising. Brown was informed the old
banners would not be used any longer and are being stored at the Kenai Recreation
Center. Brown stated she would make arrangements to pick up the banners at her
earliest convenience.
ITEM 7: REPORTS
7-a. Committee Chair -- Dimmick reported the following:
· She would like to see the Beautification Committee have a regularly
scheduled meeting in the month of September.
MOTION:
Member Seymour MOVED to request to Council a regularly scheduled meeting for the
Beautification Committee be added to for the month of September. Member Rogers
SECONDED the motion. There were no objections. $O ORDERED.
Frates stated he would make this request to Council.
· Dimmick suggested having a "dandelion party" to pick and remove the
unsightly and prolific dandelions which are blooming around the area. She stated, at
BEAUTIFICATION COMMITTEE MEETING
JUNE 10, 2003
PAGE 2
the minimum, to provide more public education on how to rid the area of dandelions
and other noxious weeds.
7-b. Parks/k Recreation Director-- No report.
7-c. Kenai City Council Liaison -- No report.
ITEM 8:
OUESTIONS AND COMMENTS -- None
ITEM 9' INFORMATION
Parks/k Recreation Commission MeetinE Minutes of May I and 15, 2003.
City Council Action AEenda of May 7 and 21, 2003.
Updated Membership List
Approved Kenai City Council Policy for Commission, Committee, Board
and Council on Aging Meetings and Work Sessions.
ITEM 10: ADJOURNMENT
The meeting adjourned at 8:05 p.m.
Minutes prepared and transcribed by:
Sharon M. Harris, Department Assistant
BEAUTIFICATION COMMITTEE MEETING
JUNE 10, 2003
PAGE 3
AGENDA
KENAI CITY COUNCIL- REGULAR MEETING
JUNE 18, 2003
7:00 P.M.
KENAI CITY COUNCIL CHAMBERS
http://www, ci.kenai, ak.u s
5:00 p.m. WORK SESSION:
Kenai City Council.
Kenai Convention & Visitor's
Bureau Board and
ITEM A:
CALL TO ORDER
1. Pledge of Allegiance
2. Roll Call
3. Agenda Approval
4. Consent Agenda
*All items listed with an asterisk (*) are considered to be routine and non-
controversial by the council and will be approved by one motion. There will be no
separate discussion of these items unless a council member so requests, in which case
the item will be removed from the consent agenda and considered in its normal
sequence on the agenda as part of the General Orders.
ITEM B:
SCHEDULED PUBLIC COMMENTS (10 minutes)
ITEM C:
REPORTS OF KPB ASSEMBLY~ LEGISLATORS AND COUNCIL~_
ITEM D:
PUBLIC HEARINGS
.
Resolution No. 2003-34 -- Awarding Janitorial Contracts for the City
Administration Building and the Kenai Visitors and Cultural Center to
Commercial Janitorial Services for the Period July 1, 2003 Through June
30, 2004.
,
Resolution No. 2003-35 -- A Resolution of the Council of the City of
Kenai, Alaska Relating to the USA Patriot Act, the Bill of Rights, the
Constitution of the State of Alaska, and the Civil Liberties, Peace, and
Security of the Citizens of Our Count~.
.
Resolution No. 2003-36 -- Awarding a Janitorial Contract for the Kenai
Municipal Airport to Parnell Operation & Maintenance for the Period of
July 1, 2003 to June 30, 2004.
ITEM E:
COMMISSION/COMMITTEE REPORTS
,
Council on Aging
Airport Commission
Harbor Commission
.
5.
6.
7.
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 F:
MINUT~
.
*Regular Meeting of June 4, 2003.
ITEM G:
CORRESPONDENCE
ITEM H:
OLD BUSINESS
,
Discussion-- Dust Control Comparison
ITEM I:
NEW BUSINESS
.
Bills to be Paid, Bills to be Ratified
e
Purchase Orders Exceeding $2,500
.
Discussion -- Schedule City Clerk, Attorney and Manager Evaluations
ITEM J:
REPORT OF THE MAYOR
.
.
.
Memo from AML regarding Revenue Sharing and Safe Communities
programs and FY04 Mumcipal Capital Matching Grants program.
Memo from Govemor Murkowski regarding FY04 Operating and Capital
budgets.
Memo from Dena'ina Health Clinic regarding their support of Ordinance
No. 1998-2003 regulating smoking in eating establishments.
ITEM K:
ADMINISTRATION REPORTS
1. City Manager
2. Attorney
3. City Clerk
ITEM L:
DISCUSSION
1. Citizens (five minutes)
2. Council
EXECUTIVE SESSION-- None Scheduled
ITEM M: ADJOURNMENT
KENAI CITY COUNCIL- REGULAR MEETING
JUNE 18, 2003
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 John Williams called the meeting to order at 7:45 p.m.
A-1. Pledge of Allegiance- Mayor Williams led the Pledge of Allegiance.
A-2. Roll Call
Members Present: Bookey, Swarner, Moore, Porter, Jackman, Williams, Osborne
A-3. Agenda Approval
MOTION:
Councilman Bookey MOVED to approve the agenda and Councilwoman Swarner
SECONDED the motion. There were no objections. SO ORDERED.
A-4. Consent Agenda
MOTION:
Councilman Bookey MOVED to approve the consent agenda and Councilman Moore
SECONDED the motion. There were no objections. SO ORDERED.
ITEM B:
SCHEDULED PUBLIC COMMENTS (10 minutes)
Mayor Williams invited anyone from the audience who had something to talk about
that was not on the agenda to speak.
B-I.
Gary Cadd, P. O. Box 1995, Kenai
Cadd told Council that Kenai had a "gold mine" in the Kenai Spur Highway through
town. He was fired, he said, of the speeders and the City should crack down on them.
Mayor Williams stated the City recently doubled the cost of speeding tickets per mile.
ITEM C:
REPORTS OF KPB ASSEMBLY~ LEGISLATORS AND COUNCIL_~
Mayor Williams reported Betty Glick was in another meeting and would be arriving
late so her report would be given at the end of the meeting.
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 2
ITEM D'
PUBLIC HEARINGS
D-1. Resolution No. 2003-34 -- Awarding Janitorial Contracts for the City
Administration Building and the Kenai Visitors and Cultural Center to Commercial
Janitorial Services for the Period July 1, 2003 Through June 30, 2004.
MOTION:
Councilwoman Porter MOVED to adopt Resolution 2003-34 and Councilman Moore
SECONDED the motion.
There were no public comments. Moore asked the City Manager to comment on her
memorandum (It-1) regarding janitorial services. City Manager Linda Snow explained
administration had been looking into the cost benefits of hiring janitorial employees
versus contracting for services. The research was not complete, but she would report
to council with the results.
VOTE:
There were no objections to UNANIMOUS CONSENT. SO ORDERED.
D-2. Resolution No. 2003-35 -- A Resolution of the Council of the City of Kenai,
Alaska Relating to the USA Patriot Act, the Bill of Rights, the Constitution of the State
of Alaska, and the Civil Liberties, Peace, and Security of the Citizens of Our Country.
MOTION:
Councilman Bookey MOVED to adopt Resolution 2003-35 and Councilwoman Porter
SECONDED the motion.
Gary Cadd, P. O. Box 1995, Kenai, spoke from the audience. He stated he would like
to see the resolution "tightened up" and to have the Chief of Police and the Mayor be
the "final authority" if questions came up about what was legal under the Patriot Act..
Williams explained those kind of questions fall to the City Attorney.
VOTE:
Jackman
Swarner
Yes
Williams
Yes
Booke¥
Porter
Yes
Yes Moore Yes Yes
Osborne Yes
MOTION PASSED UNANIMOUSLY.
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 3
D-3. Resolution No. 2003-36 -- Awarding a Janitorial Contract for the Kenai
Municipal Airport to Parnell Operation & Maintenance for the Period of July 1, 2003 to
June 30, 2004.
MOTION:
Councilwoman Porter MOVED for approval of Resolution 2003-36 and Councilman
Bookey SECONDED the motion.
There were no public comments. Porter asked why so few bids have been received
lately. Four prospective bidders attended the pre-bid conference at the Airport,
Cronkhite replied; however, two of them dropped out. She also reported snow removal
was taken off this bid because many current contractors have'said that was why the
bids were doubling every year on the janitorial contract. Snow removal would be a
separate bid later, she said.
Council asked Fred Parnell to speak. Parnell introduced himself. Porter asked him
why he bid on the airport building and not others. Parnell told Council he was
familiar with the building and, some years ago, had the contract for a while. He said
he was more interested in the airport building than the others.
No further discussion.
VOTE:
There were no objections to UNANIMOUS CONSENT. SO ORDERED.
ITEM E:
COMMISSION/COMMITTEE REPORTS
Council on Aging-- Councilwoman Swamer reported the following:
Minutes of last meeting were in the packet.
There would be a pie booth at the 4th of duly celebration.
E-2. Airport Commission -- Councilwoman Jackman reported the following:
· The Commission requested two special meetings to be held on Tuesday,
July 8' one at 6:00 and the other at 7'00 p.m. One would be for discussion of the
environmental assessment of Phase I, II and III of the current Master Plan. The
second meeting would be about security at the airport: fencing, gates, public parking.
Cronkhite explained the two meetings had been set up by the consultant.
Bookey asked why there were two separate meetings, instead of one meeting covering
two topics. Attorney Graves answered it probably had to do with the public process
required for the environmental assessment and the consultant's desire to separate the
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 4
two topics to meet those requirements.
that way.
Graves stated it didn't hurt anything to do it
Cronkhite reported a large aerial photo valued at about $600 had been stolen from the
wall of the terminal. She said she was working with the police department and Crime
Stoppers to recover it.
E-3. Harbor Commission -- Councilwoman Porter reported there was no
quorum for the June 9 meeting.
E-4. Librar~ Commission-- Councilman Moore reported the following:
· Minutes from the last meeting were included in the packet. Goals and
objectives were revised.
· No meeting will be held in July and the next meeting was scheduled
meeting would be held the first Tuesday in August.
The book sale went well.
E-5.
following:
Parks/h Recreation Commission -- Councilwoman Porter reported the
Minutes from the June 5 meeting were included in the packet.
The Commission requested a change in hours at the cemetery.
The Commission discussed increasing cost of plots.
Williams explained Administration is looking at the cemetery now in terms of land
boundaries, ownerships, fencing and security issues. He said he believed the issue of
pricing the plots should be decided after the other issues have been resolved.
· Commission was interested in setting up a separate "cemetery fund" so
donations could be made and used for the cemetery. The Commission was quite
interested in the idea of a cemetery fund, Porter said, so the public could donate
directly to that fund. The money would be used for maintenance and improvement of
the cemetery. Graves responded the City has authority to dedicate funds. Council
directed Administration to look into setting up the fund.
Williams presented the idea of asking the citizens to approve a bond for the cemetery,
if a large amount of money was needed to update it. Payment of the bond would come
from sales of plots, he said. With interest rates as low as they are now, the City could
borrow the money almost for flee, Williams said.
Porter pointed out the application of Teresa Wemer-Quade for the Commission in the
packet. Williams recommended her for the position and asked if there were any
objections. There were no objections.
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 5
Next meeting is on July 3, 2003.
E-6. Planning/k Zoning Commission -- Councilman Osborne reported there
was no quorum at the June 1 1 meeting.
E-7.
E-7a.
following:
Miscellaneous Commissions and Committees
Beautification Committee -- Councilwoman Swarner reported the
Minutes of the June 10 meeting were in the packet.
Requested Council to hold off on appointing a new member to the
Committee, as it appeared there might be another opening coming up. After some
discussion, Council accepted the application of Kathy Moore for the current opening
and directed that Susan Hatch be appointed as soon as the next seat was vacated.
There were no objections.
· The Committee requested a special meeting in September as a "wrap-up"
of the activities during the summer. No objection from Council.
Kenai Convention/h Visitors Bureau Board-- No report.
E-7c. Alaska Municipal League Report -- Williams reported there would be a
Mayors' meeting in July to "determine and define the direction" of a platform for the
next legislative session.
Williams said he received a report from one of the representatives that the $350,000
once appropriated for a boat ramp at Cunningham Park had made it through the re-
appropriation and Komelis was prepared to use it in a manner to improve the boat
ramp and the ingress and egress at the park.
Williams asked City Manager Snow if the City could obtain fight-of-way and build a
new exit from the boat yard area. Komelis answered the City was told at one time it
would not be allowed to put an exit across the properties now owned by the Nature
Conservancy. Since then, there has been discussion about possibly going through
Dragnet properties where there is an existing road. Another possibility is to put it on
City property.
Council directed administration to begin investigating as soon as possible the "best
and most opportune" way to acquire/develop a second exit from that area.
Bookey agreed and asked if there was a time flame for spending the money and if the
money was to be spent for a boat ramp only. Williams remembered the request
written for the money outlined both the exit and the boat ramp.
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 6
E-7d. Kenai Chamber of Commerce -- Williams reported the Commissioner of
Social Health Services spoke at the day's Chamber luncheon.
Colleen Canady, Interim Executive Director, Kenai Ch~ber of Commerce reported the
following:
· Two new members joined the Chamber during the week.
· Plans for the 4th of July celebration were going well. After the parade, an
all-day celebration would be held on the Green Strip with bands, games, and vendors;
all activities will be free.
· She volunteered to be on a task force for bringing business into Kenai.
· She also thanked Becky Cronkhite for helping the Chamber move their
kiosk at the Airport.
ITEM F: MINUTES
F-Xo
Agenda.
Minutes from June 4, 2003 Council Meeting -- Approved by Consent
ITEM G:
CORRF_~PONDENCE-- None
ITEM H:
OLD BUSINESS
i-Xo
Discussion- Dust Control Comparison
Porter asked the audience ff anyone had comments on the issue of dust control. There
were no public comments. It was noted, council members had received no comments
from their constituents. Williams pointed out there were gravel roads around the area
that seem to do frae without dust control. The dry season was nearly half over,
Bookey noted. Jackman stated some of the issues brought before Council earlier were
health issues, and she felt some dust control was in order.
No further comments from Council; Administration was directed to do no dust control.
ITEM I:
NEW BUSINESS
I-1o
Bills to be Paid, Bills to be Ratified
MOTION:
Councilwoman Porter MOVED to pay the bills and Councilman Moore SECONDED the
motion.
VOTE:
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 7
There were no objections. SO ORDERED.
I-2o
Purchase Orders Exceeding $2,500
MOTION:
Councilman Bookey MOVED to pay the purchase orders over $2,500 and
Councilwoman Swarner SECONDED the motion.
Porter asked Bob Frates if any consideration was given to Sears or Ron's Rental when
pricing the tiding lawn mower. Frates responded they had always used John Deere,
commercial-grade mowers, and have had good luck with them.
Professional physician consulting fees were discussed. Fire Chief Walden reported two
physicians are needed to cover times when one or the other is not available and the
rate for these physicians was less than the city used to pay for one.
Williams asked when the ambulance fees were last evaluated and Walden answered a
survey was done in the state not long ago and the City of Kenai was on the "high-
medium end." Finance Director Semmens reported, since the Finance Department
had taken over all collection of ambulance bills, collections were up 50% from prior
years.
VOTE:
There were no objections. SO ORDERED.
I-4(sic)
Discussion -- Schedule City Clerk, Attorney and Manager Evaluation
Council decided to start the evaluations with the City Manager at the July 16 meeting
with the others following at the August 6 meeting.
ITEM J-
,.REPORT OF THE MAYOR
Mayor Williams reported the following:
· Revenue sharing was cut by the Governor and the McCollum paving
project would be cancelled because of the cut. Komehs said the information gathered
for the project could still be used in the future. Porter requested letters be sent to the
property owners in the area to let them know the situation. Bookey asked about
bonding for the paving and Graves said he would check with bond counsel and report
at the next meeting.
· Operating and capital budgets were cut by the Governor.
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 8
· Referring to a letter received, the Dena'ina Health Clinic supported
Kenai's smoking ordinance.
ITEM K:
ADMINISTRATION REPORTS
K-Xo
painting.
City Manager-- City Manager Snow reported the following:
The Teen Center would be closed July 1 through July 10 for repairs and
Public Works Administration is now working 4-10's.
A buffed fuel tank was found near the new skateboard park. The
contents were being tested and appropriate steps would be taken.
· She would be attending a Museum Association meeting on June 19
about a facility to be created at Kenai Peninsula College for preservation, research and
storage of cultural and natural history artifacts.
A purchase order for painting a storage building at the wastewater
treatment plant and a pump house has been submitted. Snow said she intended to
approve the purchase order, but she requested some feedback from Council because
of the budget cuts. Council agreed if the painting was for maintenance and not for
beautification, it should be done. Another purchase order was for OSHA .training for
certification and Council agreed the training was necessary.
· The department reports were in the packet.
K-2. City Attorney -- Attorney Graves reported the following:
· A memo would be in the next packet about municipal regulation of
airport noise.
· Thanked Sheryl Padilla for her extra work.
K-3.
City Clerk -- Ho report.
Council requested the revenue and expenditure reports not to be forwarded to them
anymore.
ITEM L:
DISCUSSION
L-Xo
Citizens -- No comments.
L-2. Council
Swarner-- Swarner noted the following:
· She attended Prince William Sound Regional Citizens Advisory Council
reception.
KENAI CITY COUNCIL MEETING
JUNE 18, 2003
PAGE 9
· She was contacted about the wetlands off Cannery Road, near Inlet
Salmon. There were 4-wheeler tracks and signs, were needed to keep vehicles off the
wetlands. Williams said the signs cost too much.' ~--.
· Asked why the draft comprehensive plan was mailed to Council instead
of being handed out at the Council meeting. No one knew.
· Asked Frates if the City was revolved in planning of the softball
tournaments or hockey tournament and Frates answered no. Swarner said someone
had suggested to her the City plan more of those events to help with revenue.
She would be meeting with Senator Stevens or his staff on June 25 in
Washington D.C.
Moore -- Councilman Moore noted the following:
· Encouraged KVCB to talk to their members about retail sales at the
Visitors Center.
· Thanked Sheryl Padilla for filling in for Clerk Freas.
Porter -- Councilwoman Porter thanked Administration for cutting brush at the
multipurpose facility.
Osborne -- Councilman Osborne noted the following:
· When the City stopped allowing tent camping on the green strip, the
softball tournaments decreased.
· Glad to see Home Depot coming to Kenai, but there was still no place to
buy bedding or clothing. Williams reported he wOuld be talking to Wal-Mart again.
· Attended the Economic Development District board meeting in Homer on
May 22 with the Mayor. They took a tour through the Islands and Oceans Visitor
Center which w/Il open in the fall. Osborne encouraged people to visit then.
Jackman -- Councilwoman Jackman noted the following:
· There was a new store in Kenai next to DScor Furniture that sells
women's undergarments.
EXECUTIVE SESSION-- None Scheduled
ITEM M:
ADJOURNMENT
The meeting adjourned at 9:42 p.m.
Minutes prepared and submitted by'
Sheryl A. Padilla, Acting City Clerk
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Suggested by: Administratio.
CITY OF KENAI
ORDINANCE NO. 2007-2003
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING
KMC 14.20.280(c) TO ALLOW NOTIFICATION OF PUBLIC HEARINGS TO BE SENT BY
REGULAR MAIL.
WHEREAS, certified mailings are nOt required by state law; and,
WHEREAS, other cities on the Kenai Peninsula no longer use certified mailings for
public hearing notifications; and,
WHEREAS, certified mailings require extra expense; and,
WHEREAS, planning Department personnel can certify that they mailed the notices as
required; and,,
WHEREAS, recipients of certified mailings are often inconvenienced by having to go to
the post office to pick up the mailings and sign for them; and,
WHEREAS, sending public hearing notices via regular U.S. mail will reduce costs to
the taxpayers and make it easier for affected persons to pick up their notices.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA that KMC 14.20.280(c) if hereby amended to read:
14.20.280 Public hearings and notifications.
(c) Property Owner Notification' Notification shall be mailed [SENT BY
CERTIFIED MAIL] to real property owners on record on the borough
assessor's records within a three hundred-foot {300') periphery of the
parcel affected by the proposed action. This notice shall be mailed not
less than ten (10) days prior to the date of hearing. When a public
hearing is to be held about a proposed zoning ordinance amendment
involving a change in the text or major district boundary changes, no
notification of neighboring property owners shall be required, but notices
shall be displayed in at least three {3) public places.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 16th day of July, 2003.
ATTEST:
JOHN J. WILLIAMS, MAYOR
Carol L. Freas, City Clerk
Introduced:
Adopted:
Effective:
July 2, 2003
July 16, 2003
August 16, 2003
CITY OF KENAI
210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794
TELEPHONE 907-283-7535
FAX 907-283-3014 ~
199-2
Memorandum
Date:
To'
From.'
RE
June 24, 2003
Linda L. Snow, City Manager
Kim Howard, Assistant to the City Manager
Consent to Sublease- Pingo Properties, Inc. and Geoffrey M. Graves,
Individually, to Ashley Bulot- Lot 6A, Block 1, Gusty Sub. No. 4
Pingo Properties, Inc. and Geoffrey M. Graves currently lease the above referenced property.
A request is being made for approval of the attached sublease. The sublease is to Ashley
Bulot who-intends to open a child development center. Buster's Restaurant was formerly
located in the building.
The lease states the lessee may assign the lease, in whole or in part, with the City's written
consent, which will not be unreasonably denied.
The parties are in compliance in payments to the City and taxes to the Borough.
If Council approves the sublease, a Consent to Sublease can be prepared for your signature.
Attachments
Cc'
Geoffrey and Theresa Graves
/kh
PINGO PROPERTIES INC.
P.O. BOX 2538
SOLDOTNA, AK 99669
RECEIVED
JUN
.....
CITY oF KENAI
ADMINISTRATION
6/22/03
To Whom it may concern,
Pingo Properties Inc. request approval of a sublease between Pingo
Properties Inc. and Ashley Bulot for building B (back building) Lot 6A
Block 1 Gusty Subdivision Kenai Alaska. She intends to open a Child
Development Center. Copy of lease enclosed.
Tl~..e~sa Graves
-President Pingo Properties Inc
LEASE AGREEMENT
thc LESSOR, whose name and
bom agree to a LE~E of the ~ more particu~rty clesc~bed as:
Lo'r 6,a Iq Ioc. r.. ' ~'~ ~~'~ ~bc~,~,~;, o .,o too
c~,~ ,~
a~ to ~ follo~g t~ w~ch ~ ~ ~ ~d ~y u~~ ~ foUo~:
1) DURATION. Thc term of this agreement shall last"j-'~c~]:?4 ] __~,~ _
-~-~r' . ,,~ ~------ [ ]momhe, or
_[ ] years, ~ that either party may t'~cnx~mte the agreement upon suhmntial
breach of this a~t and prior written notice to the other at the above addresses. The notice shall contain
a clause granting the other party ten (10) days to cure the defect to avoid the termmaUon.
2)AMOUNT. The monthly lease amount shall be ~ Hc~_d ,,d,,J'; Ik~doUars(S'7~ ~
which must be tendered on the first day of each month, in advance. A late~largc of ~D,
'~ t ~.~,.. dollars ($ ZI_~ ~ _), will be charged if the payment does not arrive by the fifth day
of the mo~th. If the lease payment does not arrive t:~ the tenth day of the monttL a late charge of
~ ~), will be ¢~ and in addition, thc ~£ may give noUce
of breach as above stated and Lessee agrees to vacate.
3) SECURITY DEPOSIT. Thc panics agr~ that a secumy and cl~xing deposit of J~./~
~ _dollars (S_~-~ ) will be given by the Lessee to the Lessor which may be used to
ensure that the promises will be lett in good order, normal wear excepted, which said deposit may not be used
as a portion of the last month*s rem. Thc remaining portion of this deposit will be retume~ to thc Lessee
within_ -~.,/A --[ ]daysalt~rvacalingthcpremises.
4) UTILITIES. The Lessee shall pay the following items that are checked:~v ] water, [~ sewer,~ ] r~-use,
~/ ] electricity, ~] heating fuel,~ ) cable television, and ~/1 telephone. Thc Lcssor shall pay those not
checked.
~) GENERAL CONDITIONS. Iai The total number of occupants shall be ~1 / A [ ] and,
cxcelx for bir~, am/i,,cr~ase slnll be by coment of the Lessor, lb] TI~ premises ma~ not be sublc~ withom
wnuen consent ofthe Lessor, [c] Ail ofthe premises will be kept clean, safe, andin good repair by the Le.ssce,
normal wear and tear exc~ provided that thc Lessee will notify the Lessor m~y of any other type
of repair needed to keep the premises safe and decent; Id] Lcssor is responsible for the maintenance and repair
of any breakage to structure or cclmpment belonging to the prenuscs so long as such breakage was not duc
to negligem or intentional damage to the premises by the Lessee, in which case, the ~ shall bear such
rcspon~bili~; [c] No alterations or remodel may be done without written approval of lhe Lessor, and any such
improvement becomes a part of the prenuscs; [fi All Alaskan law not s~cally Precmpted herein is made
a part of this agreement to the extent that such law would have a reasonable effect upon the agreement.
WI'IER.~ORE, the panics bind themselves hereto by their signatures below and agree to all terms herein
above written.
1670
uatc LESSEE c
Carol Freas
From: Office of the Governor [office_of_the_governor@gov.state.ak. us]
Sent: Wednesday, June 11,2003 3:57 PM
To' govsupportersall@gov.state.ak.us
Subject' State Aid to Municipalities must end, Governor tells Mayors
Greetings -
Gov. Frank Murkowski Monday advised community leaders across the state that current
budget constraints make it necessary to end the practice of sharing millions of dollars in state
revenues every year with municipal governments. In its place he said he intended to
distribute to local governments a portion of a federal grant the state is receiving.
In a letter mailed June 9 to the mayors of 82 cities, towns and villages, the Governor
announced that he would veto $37 million from the budget earmarked for municipalities in
the form of revenue sharing and safe cities capital grants, and would not request funds for the
program in next year's budget.
To ease the impact of this loss of revenue and provide a financial bridge so that local
communities can adjust their budgets, the Governor told the mayors he would use the
revenue sharing formula to distribute $15 million in one-time federal funds. While the
smallest communities have received a minimum of $25,000 per year under the formula, this
special distribution will provide $40,000 to these communities.
Under this plan, Alaska's largest communities will also receive funding from the state.
Anchorage will receive $3.9 million, Fairbanks and the Fairbanks North Star Borough will
receive $1.27 million, Kenai and the Kenai Peninsula Borough will receive $730,000, the
Mantanuska-Susitna Borough will receive $640,985, and Juneau will receive $563,163.
The state is continuing to provide other resources to local communities for priority services,
including fully funding the foundation formula that provides state funding for local schools.
On Friday, Gov. Murkowski announced he would provide an additional $32 million for K-12
education, one of the state's most important responsibilities.
The Governor also noted the state has issued $170 million in general obligation bonds to
build new schools, with $155.6 million of that going to rural communities.
"Based on the availability of these funds to communities and the current status of the state's
finances, Revenue Sharing and Municipal Capital Matching Grant programs can no longer be
justified," the Governor wrote.
Local communities seeing to continue services that are a local priority have a variety of tools
to accomplish that, including the local authority to levy taxes, increase millage rates, or raise
revenue caps, said the Governor's chief of staff, Jim Clark, at a press conference in Juneau.
"We feel municipalities are in much the same position as the state and, like we are doing at
the state level, are also going to be needing to tighten their belt," Clark said. "Obviously the
municipalities have taxing power, and can fund their main priorities using that taxing power."
6/25/2003
Page 2 of 2
In making the announcement on behalf of the Governor, Clark said the Governor was
seeking to close out the program in a way that was sensitive to the needs of local
communities.
By prioritizing state resources to meet the need for essential services, the Governor is
fulfilling his commitment to reduce the rate at which state government is depleting the state
savings account, the Constitutional Budget Reserve, to no more than $400 million per year.
The reduction should provide the state up to five years, during which time the Governor's
efforts to encourage resource development are expected to generate new revenue. The
Governor is expected to sign the FY04 budget Thursday.
More information is available on the governor's Office of Management and Budget web
page, at http://w~v~v.gov.state.ak.us/omb/akomb.htm
6/25/2003
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:
June 25, 2003
Linda L. Snow, City Manager /,L/
Kim Howard, Assistant to the City Manager
Borough Tax Foreclosure Sale
Attached is a list and maps of 30 foreclosed parcels that can be included in the Borough Tax
Foreclosure Outcry Auction scheduled for this fall. The Borough needs the list by mid-July in
order for the parcels to be included in the sale. These properties were foreclosed on (either by
tax foreclosure, city special assessment, or both) tbr more than 10 years and have been
declared by ordinance not needed for a public purpose and can be sold. Some of the parcels
have been listed in prior sales.
Regarding the lot in Inlet Woods Subdivision, we were never able to contact the former owner
and can't offer a xvarranty deed like we can for the other lots we have for sale in the
subdivision.
The Public Works Department is in the process of cleaning up debris that is on some of the
parcels.
Attachments
/kh
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POR. TR. 4
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03910112 03910110
0391011 03910109
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35 ~ 2
~_3~ 9-,~_
~OR!bA AVE
,.SPUR DR
RED OU BT AVE
/'
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Mommsen $1D
MAP B- IN'LET WOODS FORECLOSURE LOT'
FUTURE PHASE
BACKWOOD AVE
WINDHAVEN ESTATES
PHASE 1
FUTURE PHASE
04101
WINDHAVEN ESTATES
PHASE 2
REDOUBT AVE
TR. 1
TR. 2
RUTHE-~ORD
NA
TR. 3
PARSON'S HMSTD.
NO. 2
TR. 2
WOO[~$IDE AVE
TR. 16A
KILLENIBS1FATES
ADDITION NO. 1
TR. 18
TR. 31
TR. 32
TR. 33
TR. 34
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MAP C- RUSSEL FORECLOSURE LOTS'
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ARS
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SEAMAN D
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FORECLOSURE ON GOVT, LOT 12,8
T
;E
STAR Of THE
NORTH SUBD.
1
111
72
IKAIKA~SUBD. ~
'1 KN .-7 2
112
FitlY5 T AVE
GOV'T. LOT 162
73
74
92 91
113 114
132 GOV'T. LOT 131
GOV'T. LOT 43
GOVT. LOT 60
gov"r. LOT 66
Gov"r. LOT 83
GOV'T. LOT 90
GOV'T. LOT ~
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CITY OF KENAI
210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794
TELEPHONE 907-283-7535
FAX 907-283-3014 ~
1992
MEMORANDUM
TO'
FROMC~~
DATE:
e
Mayor Williams and the Kenai City Council
Cary R. Graves, City Attorney
June 25, 2003
Cemetery Donations
During the last Council meeting, I was requested to research whether and how the City could
account for/segregate donations to be used for the cemetery. The City could have a dedicated
fund for contributions similar to the Daubenspeck fund. As you know, that is a fund dedicated to
recreation that is funded by a contribution from the Daubenspeck family.
I spoke with Larry Semmens, Finance Director, and he suggested the best way to do it was to
create a revenue account for "cemetery donations" in the general fund. He could set the account
up administratively without an ordinance. He did request that Council authorize him to establish
the account by a motion.
Please let me know if you have any questions.
/sp
CITY OF KENAI
210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794
TELEPHONE 907-283-7535
FAX 907-283-3014 ~
1992
MEMORANDUM
TO'~/ Rebecca Cronkhite, Airport Manager
FROM: C [(d. Cary R. Graves, City Attorney
DATE' June 4, 2003
RE- Municipal Regulation of Airport Noise
You requested an opinion describing the extent, if at all, the City of Kenai could regulate airport noise.
As will be described below, Kenai could enact some noise controls, but only at~er an approved aircraft
noise study and with the concurrence of the Federal Aviation Administration (FAA). The penalty for
not doing it fight includes loss of federal funds for the airport.
Using the Supremacy and Commerce Clauses of the United States Constitution, the federal
government has enacted preemptory regulatory powers over aviation.~ The Federal Aviation Act2
grants the federal government "complete and exclusive" authority over the nation's airspace.
As one treatise on municipal law notes'
The federal govemment has control of the national airspace to a degree sufficient to
prevent local governments and agencies from using their police powers to control
airport noise by regulating the flight of planes. The Federal Aviation Administration, in
conjunction with the Environmental Protection Agency, has control over aircraft noise,
preempting municipal control of aircraft noise by flight prohibition. The Federal
Aviation Act preempts a city from using its police power to regulate the configuration
of runways and taxiways on a private airport. However, a municipality, as proprietor of
an airport, may establish permissible noise levels by regulations, since federal
preemption of state and local regulative powers under the Supremacy Clause applies
only to the exercise of police powers. McQuillen Mun Corp. § 11.03.10 (footnotes '
omitted)
As noted above, the avenue available for the City to consider local noise controls is called the
"proprietor exception." The basis for that doctrine is 49 U.S.C. §41713(b)(3), which states that a
Rebecca Cronkhite
June 4, 2003
Page 2 of 3
political subdivision of a state that owns or operates an airport is not prohibited from exercising its
proprietary fights. Under that doctrine, a municipality that is the owner of an airport may enact some
noise control if it is done in accordance with federal procedure.3' The. courts' rationale is that a
municipality as owner of the airport may act to reduce is liability for inverse condemnation ("takings")
claims as a result of aircraft noise.4
The cornerstone of that procedure is an FAA-approved noise study. The Airport Noise and Capacity
Act of 1990s; the Airport and Airport Improvement Act of 19826; and the Aviation Safety and Noise
Abatement Act of 19797 all require FAA-approved noise studies be done prior to a municipal attempt
to regulate noise. The regulations setting the standards for noise studies are contained in 14-C.F.R.
§ 150 and § 161. The regulations set out a detailed and complex process for such studies.
The rationale for strict FAA control of noise studies is set out in 49 U.S.C. {}472521(2). That states,
"Commumty noise concerns have led to uncoordinated and inconsistent restrictions on aviation that
could impede the national transportation system." This reflects the idea held by the FAA and Congress
that air transportation is a national rather than local issue.
The penalties for non-compliance are severe. Under federal law, the airport could be ineligible for
federal grant money8. As you know the Kenai Municipal Airport relies heavily on federal grant
money. A loss of such funding would be severe. The FAA could also seek judicial action to void
improper, local noise controls.
Some cities have used the "proprietor exception" to partially regulate airport noise. They include New
York9, Santa Monica~°, and Long Beach.~ As you can tell from the court citations, the aviation
industry has a history of fighting these types of noise restrictions. The courts have not been shy about
striking down part or all noise restrictions which go outside the narrow limits allowed.~-
Santa Monica Airport and National Helicopter Corp. illustrate that most courts will look closely at
whether the restrictions are based on noise or type of aircraft. In those cases, while upholding general
noise restrictions, they struck down restrictions on particular types of aircraft. They view prohibitions
on particular types of aircraft, such as jets (Santa Monica AirporO or large helicopters (National
Helicopter Corp.), as unreasonable. Thus, the municipality must focus on the level of noise, not the
particular type of aircraft making the noise, as the issue. Put another way, the courts don't see a
difference between noise coming from a jet and noise coming from a floatplane.
Summary
While it is possible to regulate noise at a municipally owned airport, it's not as simple as just passing
an ordinance. It's a long and complicated process that starts with getting an approved noise study
done. Any noise controls must reflect the findings of the study. The City must work also closely with
the FAA during the entire process. Failure to follow the correct procedure could result in the loss of
federal funding for the airport.
Rebecca Cronkhite
June 4, 2003
Page 3 of 3
Let me know if you or a member of the Airport Commission has any questions.
CRG/sp
CC'
Linda L. Snow, City Manager
~ City of Burbank v. Lockheed Air Terminal Inc., 411 U.S. 624, 627, 93 S. Ct. 1854, 1856, 36 L. Ed 2d. 547
(1973)(Overturning 11 p.m. - 7 a.m. jet aircraft curfew), Allegheny Airlines, Inc. v. Village of Cedarhurst, 238
F.2d 812 (2na Cir. 1956))(Voiding local ordinance prohibiting flights over municipality at less than 1,000 ft.)
2 49 U.S.C. 1508(a)
~ Alaska Airlines, Inc. v. City of Long Beach, 951 F.2d 977 (9~ Cir. 1991)
4 Santa Monica Airport v. City of Santa Monica, 659 F.2d 100 (9th Cir. 1981)
s 49 U.S.C. §47521
6 49 U.S.C. {}47101
7 49 U.S.C. {}47501
8 49 U.S.C. §47526 and 14 CFR § 161.501
~ SeaAir NY, Inc. v. City of New York, 250 F.3~d 183 (2na Cir. 2001)(Restrictions on city-owned seaplane base
upheld under the "proprietor exceptions" as a reasonable attempt to reduce noise impact on the community) &
National Helicopter Corp. of America v. City of New York, 137 F.3d 81 (2aa Cir. 1998)(Upholding most of
regulations reducing noise by limiting traffic at heliport, but overturning ban on a particular type of helicopters
as discriminatory)
~o Santa Monica Airport v. City of Santa Monica, 659 F.2d 100 (9m Cir. 1981)(Evening curfew weekend
limitations upheld but striking down limits on all jet aircraft)
~ Alaska Airlines, Inc. v. City of Long Beach, 951 F2d 977 (9~ Cir. 1991)(Upholding separate noise limits for
daytime and nighttime flight operations)
~ National Helicopter Corp of America v. City of New York, supra; Santa Monica Airport, Inc. v. City of Santa
Monica, supra; and City of Burbank v. Lockheed Air Terminal, Inc., supra.
CITY OF KENAI
210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794
TELEPHONE 907-283-7535
FAX 907-283-3014 ~
1992
MEMORANDUM
TO:'
FROM.C
DATE'
RE-
Mayor Williams and Council Members
Cary R. Graves, City Attorney
June 24, 2003
Bond Issues For Roads
During the last Council meeting the question came up regarding whether a bond proposition for
roads would need to mention the specific road project or whether it could just state that the bonds
would be used for roads. I indicated ! needed to check with bond counsel to get the answer to
that question.
I spoke with Thomas F. Klinkner of Birch, Horton, Bittner and Cherot who has done the City's
bond work in the past. He said that generally the particular road project did not have to be
named on the ballot, although some councils/assemblies opt to do so. He suggested that, if the
City wanted to list a project(s) on the ballot, we include the language of "including but not
limited to XXXXX project".
He also mentioned that in order to be tax-free bonds, tax law requires the money raised be used
within a reasonable period of time (2 to 3 years). He further stated, in order to get a bond issue
on the October ballot, Council needs to approve the idea by mid-August.
Please let me know if you have any other questions.
/sp
May 8, 2003
Mayor John Williams and
Kenai City Council Members
210 Fidalgo, Suite 200
Kenai, Alaska 99611-7794
Dear Mayor Williams and Council Members'
BOYS ~ GIRL~ CLUBS
of the Kenai Peninsula, Kenai Unit
705 Frontage Road, Suite B
Kenai, Alaska 99611
e-mail: info @ positiveplaceforkids.com
Website: positiveplaceforkids.com
(907) 283-2682
(907) 283-8190 fax
We are pleased to inform you that the Boys and Girls Clubs of the Kenai Peninsula has
been awarded a 2003 ALPAR Youth Litter Patrol grant. During a special dinner held in
Anchorage on May 1, 2003, our 2002 ALPAR crew received an award as "The
Outstandin~z ALPAR Youth Litter Patrol for 2002." Several members of last year's crew,
as well as our Operations Director, accepted this award in our honor. Enclosed is a
photograph taken at the event.
The Boys & Girls Club is proud of the youth who have worked on our Litter Patrol crews
every year since 1996. Thanks to these energetic young men and women, thousands of
pounds of trash have been removed from our peninsula roadways and hundreds of cans
have been recycled.
With the generous support of ALPAR, the City of Kenai and the Kenai Peninsula
Borough, these young people have had the opportunity to experience the employment
process from start to finish. Each submitted a resume and letter of interest, participated
in a formal interview, was expected to be at work on time and to work as directed.
Working on the ALPAR crew is hard, dirty work that builds character and teaches youth
the meaning of commitment and responsibility.
We respectfully request that the City of Kenai support our 2003 program with a grant of
$1,000. Your contribution to the program will enable the Boys & Girls Club to operate
the program for a longer period.
Please contact me if you have anv questions at 283-2682.
Sincerely,
Tina Marie Herford
Executive Director
TMH: kwl
Enclosure
The Positive Place For Kids
MEMORANDUM
TO:
FROM:
DATE:
SUBJECT:
Mayor Williams and Council Members
Linda L. Snow, City Manager
June 27, 2003
Telephone Poll
Administration is requesting Council to approve a purchase order to Grace Painting,
Inc. for the purpose of painting the Kenai Teen Center as per their amended proposal
of dune 27, 2003. The purchase order is in the amount of $8,767.20. (The amount
has changed because the vendor is a new one for the city and was not aware of Davis-
Bacon Wage state requirements which was not factored into their previous proposal.)
Authorized By: ~__~. - _~--_~_
L~nd~ L. Snow, Ci~ Manager
Fin~ce Dep~tment
Attest:
C~ol L. Freas, Ci~ Clerk
Yes
Mayor John Williams ~/
Pat Porter v/
James C. Bookey, III v~
Amy Jackman --~
Linda Swarner
John Osborne ~
Joe Moore
No
Comments
Poll taken by:
INFORMATION ITEMS
KENAI CITY COUNCIL MEETING
JULY 2, 2003
.
6 / 20 / 03 Public Works Department, Project Status Report.
.
6 / 18 / 03 J. Hollier thank-you note regarding city newsletter.
,
6/03 Resource Development Council for Alaska, Inc., Resource Review.
.
7/03 Soldotna Chamber of Commerce, Chamber Connection.
Project status Report
A=Active
NC=Non-Construction
F=Future
STIP=State Trans. Imp
KK - Keith Kornelis
JL- Jack La Shot
RS - Robert Springer
MK - Marilyn Kebschuil
Jet- Jan Taylor
///
A/NC/F/ City Contact Prejeet Name
S~
A JL
Airport Security Fencing
Status
Profess~bnal services contract started. Discussion
at 7/8/03 meeting of Airport Commission.
A KK Basin View LID
Project awarded to North Star Paving.
Construction started. Paving scheduled end of
July. Having some utility problems.
A KK
Bridge Access W & S Feasibility
Study
Wince-CorthelI-Bryson has just about completed
this project. We increased the scope to include
preliminary design work. The project cost
(including the increase)is split DEC/EDA.
A JL/RS City Hall HVAC
A MK Comprehensive Plan
Documents complete.
Public hearing scheduled for June 25.
A JL
Contaminated Soils- Shop
Met with ADEC. Must start project soon. Sent in
loan fund questionnaire for ranking. Work plan to
be submitted.
A JL
Daubenspeck Environmental
Site Assessment
Final report has been received. UST removal
report received and submitted to ADEC.
A JL FAA Site
Site has been determined to be clean. After
environmental is complete, we can begin transfer
process to City.
A JL
Kenai AP ARFF/SRE Facility
Working on project closeout. Warranty inspections
complete.
A KK
Kenai Coastal Trail
Corps has received funding for planning and
answering permitting questions on this project.
ADF&G Working in river.
Friday, June 20, 2003 Page I of 3
A/NC/F/
A JL
City Contact
Project Name
Library Improvements
Status
Schematics complete - awaiting further direction.
A JL
Maintenance Shop
Preliminary plans and specifications complete.
Grant funds to lapse in '04. Will see if grant can
be amended to do environmental.
A KK
McCollum & Aliak LID
This LID project has been approved by Council.
State Muni-Matching Grants Program has been
deleted. Project on hold until changes made or
funding found.
A JL
Multi-Purpose Facility
Refrigeration
Venting estimated at approximately $30,000.
A KK
Pillars LID - Chinook Drive and
Sockeye Circle
Topsoil and seeding is being done.
A JL
Runway Extension
Environmental Assessment
Public meeting scheduled for July 8.
A KK
Schooner Circle LID
Project awarded to Alaska Roadbuilders.
Construction started. Having some utility problems.
A KK
Title 17 Review and W & S
Regulations
Working with Larry...Completed revisions to W & S
regulations. Adding a grease prevention
regulation.
'A KK
Toyon Way LID
Project awarded to Alaska Roadbuiiders.
Construction started.
A JL
Underground Storage Tank-
Airport
Extra soils removed and stockpiled. Report to
ADEC finished and submitted. May spread soils
on airport.
A KK
Wastewater Facility Master Plan Awarded project to CH2M Hill. At about 90%
completion.
A KK
WH4
Looking at new sites for well. Looking west of
Beaver Loop Road at a site near sewer interceptor
line. Wrote to CIRI (Subsurface rights) asking for
a letter of non-objection that is needed for DNR.
Friday, June 20, 2003 Page 2 of 3
A/NC/F/ City CoiltBG't
Sll~
STIP KK
Prejeet Name
DOT- Bridge Access Pathway
Status
Pathway along Bridge Access Road from K-Beach
to Spur 3.3 miles...Design FFY 02 & 03, ROW 04,
Utilities 06, & Construction 06 with total cost $4
million.
STIP KK
DOT- Kenai River Flats
Interpretive Site
This is the rest stop and Birch Island Faciitiy near
the Warren Ames Bridge. Design 04, Utilities 06,
ConstruCtion 06. Total $1.9 million.
STIP KK
DOT- Kenai Spur Unity Trail
Pathway
Pedestrian/bike pathway along Kenai Spur from
MP 2.8 to 8.2. A status report has been requested
from DOT. We have not received a reply back
from DOT.
Friday, June 20, 2003 Page 3 of 3
PERCEPTION IS REALITY:
Alaska's I ma: e is Sl ippin: in
The World Minin Industry
By Curt Freeman
~v daughter's fourth-grade
class at Pearl Creek Elementarv
School in Fairbanks recentlv noticed
that the current edition of Harcourt
Brace Social Studies' Intermediate
Student Atlas was missing the world's
-) largest zinc deposit, the Red Dog
· Mine, from the Alaska land use and
resource map. Her teacher encour-
aged the class to notify the company
about' its error.
This oversight underscores a signifi-
cant fact regarding Alaska in general
and its mineral resources in particular:
perception is reality. To virtuallv
every other primary school student in
the country, the information in the
Intermediate Student Atlas is realitv.
To Alaskans, it is not.
Perception departs from reality not
onlv in the classroom, but also in the
board room where corporate execu-
tives often take a different view of
Alaska and its minerals industrv.
On the plus side of our mineral in-
dustry ledger, Alaska is elephant coun-
try, endowed with some of the most
impressive mineral deposits on earth.
The Red Dog zinc-lead deposit is the
xvorld's largest. Greens Creek is one
of the world's most prolific silver
mines. Fort Knox is Alaska's largest
gold mine. The coal deposits near
Healv and in the Colville and
Matanuska basins are some of the
largest in North America. And the
Donlin Creek gold deposit hosts at
least 27 million ounces of c~old, making
it the 16th largest discoverv in the
world.
The fact that all of these deposits,
except the coal fields, were discovered
in the last 30 years indi-
.
cares the state is highly
underprospected.
Alaska's vastness is well
known, but few outside
the state realize that
lands open to mineral
entrv here exceed what is
available throughout the
rest of the United States
combined. In fact, more
than 190 million acres in
Alaska are open to min-
eral entry, an area as large
as Chile and twice the
size of Nevada, two of
The Fled Do~ Mine, operated by Teck Cominco and owned by NANA
Regqonai Corporation, is the largest zinc producer in the world.
(Continued to pa~e '~)
The Greens Creek Mine in Southeast Alaska near Juneau is
primarily under~round with miles of tunnels extending~
more than 1,000 feet below the surface. It produces silver,
zinc, gold and lead. It is owned by Kennecott Minerals and
is a maior contributor to the Juneau economy.
Minin~ Perception l,
Legislative Review 3
Session Perspectives 6-7
N PRA Amendments a
ANWR Production 9
Wetlands Rulemakin~ 9
Wilderness Studies 10
Po~o Gold Proiect ~1
INDUSTRIAL FLUIDS REPRCli-:.ESSING
ENERGY, ENVIRONMENTAL AND
LOGISTICS S ERVlC:ES
FEDERAL PROOUREMENT OEINSULTING
er, ic s ;or ] Olliniex ' vorid.
KON IAQ
IN C 0 F~ P 0 F~ A t E D
PUBLICATION AND DEIP-UMENTATIEIN
8(A) CONTRACTING, MINORITY-OWNED
TELEOOMMUNIOATIONS CONSULTING
' :,..v w w. ,~L 0 1',,,1 I A ['q. 0 cO N1
Resource Development Council
121 W. Fireweed, Suite 250
Anchora~Je, AK 99503
Phone: (907) 2'76-0700
Fax: (90'/) 2'76-3887
E-mail: resources@akrd¢.or~
Website: www. akrd¢.or~
Material in this publication may be
reprinted without permission provided
appropriate credit is ~.'~ven.
Wriler 8, Editor Carl Portman
Executive Committee Officers
President
Sr. Vice President
Vice President
Secretary
Treasurer
Past President
Charles W. Johnson
Mark Hanley
John Shively
Uwe Gross
Stephanie Madsen
Robert B. Stiles
Staff
Executive Director
Deputy Director
Projects/AMEREF Coordinator
Finance/Membership
Tadd Owens
Carl R. Portman
Jason l]rune
t3illie Rae Gillas
Resource Review is the official ~eriodic publication
of the Resource Development Council (RDC),
Alaska's largest privately funaed nonprofit economic
development organization working to develop
Alaska's natural resources ~n a responsible manner
and to create a broad-based, diversified economy
while protecting and ennanc~n,~ the environment.
Pag~e 2. June 2.003 Resource Review www.akrdc.orS'
HEADWAY MADE IN PERMIT REGIME,
LITTLE PROGRESS ON FISCAL FRONT
The ,good news is
Governor Murkowski and
tine Lc,,islature,~ made a great
deal of headway in restnap-
ing Alaska's permit regime
during the recent legislative
session. Unfortunately,
very little progress xvas
made to balance tlne state's
books over tine long run.
Executive Orders 106
and 107, and Senate Bill 142
completely restructure tlne
State's permitting organiza-
tion. Now both tine
'Division of Governmental
Coordination and tine
Habitat Division reside in
the Department of Natural
RDC's top legislative priorities remained the same tlnis year
-- streamline tiae State's permitting processes and institute a
long-term fiscal plan.
Specifically, RDC advocated for reform of Alaska's permit-
ting processes while maintaining tine state's high environmen-
tal standards, and for a long-term fiscal plan based on budget
discipline, new uses of Permanent [:und earnings and, if
necessarx; tine institution of
a broad-based tax.
differentiates between major and minor source permits and
standardizes the requirements for minor permits: and it
restructures the program's schedule of fees.
Senate Bill 74 makes a simple change to the renewal period
for oil. disc, barge and contingency plans from three to five
>'ears. increasing tine time between renewals makes Alaska's
program consistent with tine federal program and allows the
state to focus its resources
... on site inspections rather
tlnan the office work associ-
ated with plan reviews.
I-louse Bill 145 does away
wittn public interest liti,,'ant
~ '-' status except for claims that
"establish, protect, ,,r
enforce" a right under the
Alaska Constitution or the
U.S. Constitution. The bill
'x also prevents cc)urts from
xvaiving tine bond require-
ments when a group seeks an
injunction to stop a develop-
ment project. This legisla-
tion levels the playing field
~vhen it comes to litigating
over a development project.
Time and time again lead-
ers throughout tine business
community, l~ave warned that Alaska's fiscal imbalance and
rcgulat°ry morass were becoming barriers to private sector
capital investment. \Vhile Alaska businesses face a host of
challen~es and uncertainties in their efforts to remain
competitive, rc,,ulatorv,,, and fiscal poiicv are the two areas
where .government can'make meaningful 'contributions.
The 'Governor and the Legislatur'e demonstrated courage
and leaciersh~p in reorganizing and reforming much of the
State's regulatory system for development projects. They
·
slnould apply tine same qualities next session in solving
Alaska's budget crisis.
A contingent of the RDCBoard of Directors met in Juneau this past
session with legislators and members of Governor Frank Murkowski's
administration on a wide range of issues. The RDCBoard focused on
legislation important to Alaska business and industry, as well as state fiscal
issues. Above, Board members meet with Ernesta Ballard, Commissioner of the
Alaska Department of Environmental Conservation.
Resources. These changes not only allow for a more efficient
allocation of State resources, but also provide tine regulated
community xvith one point of contact wtnen permitting a
development project. Most importantl.xq these changes do not
alter ~t' compromise Alaska's rigorous environmental
standards.
In addition to organizational clnanges, tlne Legislature
passed several bills xvith positive impacts on Alaska's permit-
ting system. House Bill 160 reforms the State's air permit pro-
gram. The bill accomplishes tlnree major goals - it makes
DEC's program consistent with tine federal program: it
100 TEACHERS $'IG'N UP. FO.R AM ER::EF TR~AINING'
Nearly 100 Anchora~'e teachers enrolled in an
AMEREF trainin~ session held this April. Teachers
earned professional education credits, which are
necessary to maintain their certification, while
learnin~ about Alaska's mineral, energy, and for-
est resources. Each participatin~ teacher left with
a resource kit full of Alaskan specific education
modules, books, videos, and the very popular
mineral identification set. Trainin~ sessions are held regularly through-
out Alaska and are free to anyone interested. If you know a teacher that
would like to receive a kit or participate in these trainin~ sessions, please
contact us at (907) 276-0700.
AMFRFF is a partnership between the State of Alaska Department of
£ducation and private industry whose mission is to provide Alaska
students with the required resource back~round necessary to make in-
formect and objective decisions concernin~ the management and
deveiooment of Alaska's natural resources. The curriculum is structured
to assist students in meetin~ current state education standards. RDC
administers the AM£R£F program with the support of private donations.
(907) 276-0700
June 2003 Resource Review
Paffe 3
The Usibeili Coal Mine, a family-owned mine located outside
Healy, ii'the only operating coal mine in Alaska. The mine
produces coal for Interior Alaska communities and has been a
Ion,-time exporter to South Korea.
ALASKA'S MINING INDUSTRY AS
(Continued from Page 1)
the mining industrv's
favorite haunts.
Another plus for Alaska is
its talented and experienced
labor pool. And unlike many
other parts of the world,
Alaska's Native corporations
have been in business for
more than 30 vears and have
a long history of partnering
and working with the mining
industry,. Todav they repre-
sent one of the industry's
strongest business partners.
Alaska's exploration track
record is another plus for the
state. The mining industrv
has been extraordinarily
successful at finding new re-
sources here. For example,
gold resources within the
state's borders have grown
VI EWED FROM OUTSi DE TH E STATE
from just a few million
ounces in 1980 to over 77
million ounces in 2002, an
enviable discovery rate of 5.5
million ounces annually since
1994. Perhaps more impor-
tant is the fact that gold
discovered during that same
period has been found at a
cost of less than $5 per ounce
or about 25% of the world-
wide average discovery cost.
On the minus side of the
ledger are things Alaskans
would rather not discuss.
For example, over the last ten
years, about 75% of the
annual exploration dollars
spent in Alaska come from
the corporate coffers of
Canadian companies. For
these companies, putting
money in Alaska is a hard
sell, given the significant tax
incentives available to
Canadian companies that in-
vest in Canada and the US-
Canadian dollar exchange
rate.
Alaska's "elephant coun-
trv" status belies the fact that
there are virtuallv no mid-
tier mines and, with the
exception of a small and
dwindling number of placer
gold operations, there are no
small mines in the state. It
has been pointed out by
detractors of Alaska that ele-
phants are extremelv difficult
to find. Since no other size
deposits appear to be eco-
nomic, there is little reason to
explore in Alaska. The fa.'
that Alaska is und,
prospected can be attributeu
in large part to its lack of
roads and power facilities. If
you can't get there, you can't
find it!
Another negative is that
Alaska's land status is viewed
bv many as being of
Bvzantine complexitv and
many remember the devas-
tating and lasting effect that
the Alaska National Interest
ow-~}a'~l-lnvestmeni-AttraCtiveness Index'
Chile
Quebec
Australia
Nevada
Peru
Ontario
Brazil
Mexico
NW Ter.
Bolivia
Nunavut
S. Africa
China
Russia
Alaska (12th)
Yukon (15th)
B. C. (17th)
20
40 60 80
Percent Score
lOO
Nevada
Alberta
Chile
Manitoba
New Brunswick
Australia
Quebec
Ontario
New Mexico
Saskatchewan
Arizona
Mexico
Alaska (21st)
Yukon (23rd)
B. C. (37th)
0 20 40 60 80 1 oo
~.~ercent Sco~®
Page ,t June 2003 Resource Review www. akrdc.org
Located 25 miles north of Fairbanks, Kinross Gold Corporation's Fort Knox Mine has been the larg'est ~old producer in
Alaska since its inception in 1997. The company also operates the True North ~old prospect nearby. Both mines are
important components of the Interior Alaska economy.
Lands Conservation Act
(ANILCA) land withdrawals
had on the mineral industry.
In short, Alaska lands are
thought by some to be com-
Plicated and subject to gov-
ernment confiscation. As if
all that is not enough, many
view Alaska's labor pool as
expensive and of limited
value to the mining industry.
The fact that only one in
seven employed in Alaska
works in the private sector
does not help the cause (the
national average is one in
three).
Since most industry inter-
est in Alaska comes from
firms domiciled outside the
state, it is critical that we un-
derstand what those firms
think about the Alaska
mineral industry. The most
useful tool for addressing this
subject is a yearly summary
by Canada's Fraser Institute.
Each vear the Fraser
Institute publishes the results
of its annual survey of
mineral investment attrac-
tiveness for various political
jurisdictions around the
globe. The survey scores
come directly from mining
companies and their execu-
Chile
Quebec
Australia
Brazil
Peru
Russia
Ontario
Nevada
Nunavut
NW Ter.
China
Mexico
B. C. (10th)
South Africa
Alaska(11th)
Yukon (13th)
0 20 40 60 80 100
Percent Scum
(907) 276-0700
tives. This year's survey was
filled out by 27 major and
131 junior mining companies
with combined exploration
expenditures of about $480
million.
They were asked to rate 47
political jurisdictions that in-
cluded Alaska, several west-
ern U.S. states, the Canadian
provinces and a number of
mineral-rich foreign coun-
tries. The questionnaire is
lengthy and results in three
rankings' mineral potential,
policy potential and an aver-
age of these two which forms
an overall mineral investment
attractiveness index. Alaska
has faired reasonably well in
past surveys - until this
year.
In last year's survey, AlaSka
ranked seventh worldwide in
overall mineral investment
attractiveness. This year it
ranked twelfth. The
conclusion that must be
drawn is that Alaska's
mineral investment climate
has degraded significantly in
the last year.
Alaska's ranking in the
policy potential index was
likewise gloomy. The sur-
June 2003 Resource Review
vcv's policy potentiai index
ranks whether infrastructure.
labor, land use. environmen-
tal and regulatory issues are-
significant deterrents or in-
ducements to mineral invest-
ment. In this year's survey,
Alaska would have ranked an
impressive third out of 47
jurisdictions if these issues
were ignored. Unfortunately,
Alaska ranked 2!st when
they were included in the
survev.
Again, the conclusion is
inescapable, infrastructure
and land use concerns, as well
as regulatory policies are a
significant deterrent to min-
eral investment in Alaska.
With txvo strikes against
Alaska, surelv mineral poten-
tial will save the day, won't
it? The answer is a surprising
and emphatic "no." Last year
Alaska ranked fourth for
mineral potential, but this
year the state suffered a
dramatic fall to 11 th place.
The perception that
Alaska's mineral potential has
somehow fallen in the space
of a single year should send
red flags flying and alarm
bells ringing for anyone
familiar with the state's
impressive mineral endow-
ment. The survev results sent
·
me back to the data to find
out whv Alaska's mineral
potentiai changed so drasti-
cally and suddenly. Keep in
mind this drop came during
the same time frame in which
Alaska's first 20-plus million
ounce gold deposit was
announced at Donlin Creek.
Obviouslv Alaska's mineral
potential did not in fact
degrade, but what did take a
big hit was the "perception"
of that mineral potential.
If perception has dealt
Alaska's mineral potential an
unwarranted blow, how did
perception affect Alaska's
ranking in the policy poten-
tial portion of the Fraser
Survey? The same negative
(Continued to pa~e 10)
Pa~e 5
LEGISLATIVE SESSION
S
A "FISCAL F ASCO"
By Representative Ethan Berkowitz, Minority Leaaer
The story ,,f this legislative session is more t'emarkable for
v,'hat did n~)t i~appen, then for wt~at did.
G~vernor :xlurkowski and the Republican ~aiorities rode
to victory on the twin platforms of resource development and
no new taxes - and the assurance that with ti~e stars aligned,
the fiscal zap would be solved. Major resource development
remains elusive, the fiscal gap yaws, ready to send the
economy into a tailspin, and efforts to close out the budget
without I)emocratic participation led to a series of
contortions and gamesmanships that put v:~rtisan politics
before Alaskan needs. That's why political astronomers admit
tl~at they may need new telescopes. Certainly. the myth that a
,~ne-part)' state is good for Alaska has now been dispelled.
I)emocrats i~ave said repeatedly that we would entertain a
fiscal plan that was fain that added up, and tt~at protected the
Alaskan economy. XX% began this session respect-
lng the mandate of the last election and allowed
. ~
that we w{~uld g~ve the Governor every chance to '
succeed.
We watched and waited for Governor
Murkowski to propose a comprehensive fiscal
plan, but he never did. As far as the fiscal gap goes,
Governor Murkowski never really engaged the
legislature, never demonstrated commitment to his
ideas for the fiscal gap, and never provided the
leadership needed to solve the problem. His ideas
lacked coherence, being a grab bag of random taxes
and user fees and budget cuts targeted more at the
bottom line in the budget than in delivering rite level and qual-
itv of service necessary for government to best serve the state's
needs. The Administration's style further complicated the
issue- alternating between complete lack of involvement,
threats to recalcitrant legislators, and untimely intervention
that upset precarious legislative balance.
A desperate last minute bid to impose a sales tax foundered
because the Senate never embraced the idea, the Governor
remained lukewarm until the waning moments of sessiom and
most crucially, because the plan itself was flawed, both
politically and economically.
The primary political faiiure came because the plan largely
neglected to take into account the revenue needs of the 97
Alaskan communities that alreadv have a sales tax and because
legislative leaders rejected discussion of any other proposals.
Economicall>; the sales tax offered had not been subjected to
rigorous analysis as to its impact on the economy. In addition,
the tax should have been the product of expert consultation
and advice- and was not. The trajectory of this failure was
obvious since its launch, which is whv Democrats have
insisted that we need "a plan for a plan", leading to a compre-
hensive fiscal plan for the state, one that integrates state and
local revenue raising measures.
Rather titan put in the i~ard work needed to arrive at a tis,
plan, the Administration i~as ci~osen to inflict deep cuts on ti~
state budget. Legislative acquiescence to cuts or' this scale
amounts to an abdication of responsibility and docs iniurv
the notion of checks and balances central to our system
,governance.
Importantly, the economic consequences of with , '
drawln,,
several hundred million dollars from the state's economy are
dire- and the costs to maintaining critical services an~[ the
quality of life are irresponsible.
For example, in a state severely lacking in venture capital, it
is folly to eliminate ti~e Alaska Science and Technolo,,v
· ~...~.
Foundation. Breaking ti~e t~romise of the Longevity Bonus
·
raises questions of the state's credibility that will take a gener-
ation to repair- as does incomplete funding of ti~e state's
ligation regarding bond debt reimbursement. It constitutes a
~noral and ethical failure to sacrifice credibility f,,r bud.<et'~,','
expedience.
Democrats offered approximately S700 million of revenue
raising measures. Unfortunately, these proposals have largely
been ignored. Carbon ~cquestration, an emerging global
market that xvould alloxv Alaska to sell pollution credits while
simultaneously encouraging forestry a~d heavv oil recovery,
could raise upwards of 5400 million. Sale of state assets,
amounting to a consolidation of the state's bonding entities,
also could assist to the tune of $150-200 million. Better use of
the railroad's bonding auti~oritv could ease pressure on the
capital budget. Efforts to reduce pipeline tariff costs similarly
could decrease state costs winile stimulating oil production.
We are only marginally closer today to resolving the fiscal
gap than we were at the beginning of session. This is an
Alaskan problem that defies partisan solution. I look forward
to the time when Republican leaders offer all Alaskans a
meaningful place at the table and show an open mind to inno-
vative approaches and solutions to the fiscal gap.
Until then, the instability, of government budgeting ripples
into the resource development communitv, addin,- risk and
, ,~
uncertainty to businesses ti~at already operate on thin margins
Already, xve skate too close to a dangerous tipping point.
Pa~e 6 June 2003 Resource Review www.akrdc.or~
GOVERNOR, LEGISLATURE WORK TOWARD
BETTER BUSINESS CLIMATE IN ALASKA
By Senate President Gene Therriault
The challenges facing Alaska in the 21st Century
are not new. It is no longer enougi~ to hold our-
selves out as 'open and ready for business'- it's
time we change the way we do business in our state.
The elections of 2002 put into place a new governor,
state senate, and state house that can work
cooperatively and constructively toward addressing
the obstacles blocking our way.
Alaska's permitting system has needed a complete
review and overhaul for some time. Developed
piecemeal over the 43 years since statehood, our
state's process for approving development projects
became an increasingly lengthy and disiointed one
that confused the public~ agencies~ and applicants
alike. Industries from across the state stepped forward and
asked for clarity, consistencx~ and timeliness. Action was
taken in four specific pieces of legislation:
· House Bill 191 reforms the Alaska Coastal Management
Program. Local coastal plans will now have to be clear, con-
else, and contain objective, measurable standards.
· Senate Bill 142 designates the Department of Natural
Resources as the lead state agency in permitting projects.
· Senate Bill 74 extends the period of time between renewals
for oil discharge and contingency plans (C-plans). This will
allow agencies more time to enforce the terms of such plans.
· House Bill 160 implements the findings of the Air Permits
Work Group and a benchmark study that will bring Alaska up
to date with the national permit regime.
It is important to note that for far too many projects, permit
approval has not been the signal to proceed, but the opening
gun in lengthy, costly litigation. The threat of litigation has
had a chilling effect on investment in Alaska. For these
reasons, the Legislature passed two pieces of legislation that
will make it more difficult for sound projects to be held up'
· House Bill 145 abrogates the judicially-created public
interest litigant doctrine that shields those who wish to stop
projects through litigation. The bill shifts that legal protection
to claims that preserve, enforce, or establish a right under the
United States Constitution or the Alaska Constitution. Only
that portion of a claim devoted to such rights will be afforded
the protections given under the former doctrine.
· House Bill 86, introduced by Representative Fate, creates
a civil liability for malicious claims against state permitted
projects. It also limits standing to bring claims under the
Alaska Coastal Management Program to applicants, affected
coastal resource districts, and those who bring constitutional
claims.
While many steps were taken to improve the regulatory
climate in Alaska, it is also important to recognize the need for
capital investment in resource-based industries. If we want
industry to invest scarce capital, we must be willing to reward
such actions so long as they present a reasonable chance of in-
creasing the value or production of our resources. This past
session, two measures passed the Legislature that will advance
this goal'
· House Bill 92~ introduced by Senator Gary Stevens,
provides a salmon product development tax credit for the
purpose of developing value-added salmon products.
· Senate Bill 155, introduced by Senator Waggoner~ offers
an oil and gas production tax credit to companies that per-
form exploration work from July 1, 2003 through July 1,
2007. The credit will bring the cost of exploration in Alaska in
line with other piaces around the world.
With all of these changes to the way we do business in
Alaska, there remains one more impediment to investment in
Alaska-fiscal ~ncertainty within the State's budget.
Industries are wary of investing additional capital in projects
that might be macac uneconomic i~ taxes have to be raised to
make up our shortfall.
The Alaskan ~ublic has demanded that we
· ,~ ,. government
costs and growth under control before they will be ~villing to
accept broad-based taxes. The Legislature passed numerous
pieces of legislation to do just that, thereby reducing the pres-
sure for additional state revenue. In addition, the Trustees of
the Alaska Permanent Fund have again brought forward a
percent of market value (POMV) proposal for consideration
on the 2004 election ballot. The Senate Judiciary Committee
xvill continue discussion of that concept throughout the state
during the interim.
Much was accomplished this legislative session. Alaska's
governor and Legislature truly are changing the way we do
business in Alaska. Removing obstacles to the development
of our natural resources is a high priority for all of us.
Reflecting on the conclusion of the first session of the 23rd
Alaska State Legislature, I am proud of the work that was
done this year and look forward to renewing our efforts next
January.
(907) 276-0700 June 2003 Resource Review Pa~e 7
~ NORTHWTST ~-' PLAllllme
¢ o l vill,
~r NATIONAL
PETROLEUM
',RESERVE
Map courtesy of the Alaska Oil and Gas Reporler
The BLM is revisiting development restrictions imposed by the Clinton administration on the Teshekpuk Lake area of
NPRA. Geologists believe as much as 2. billion barrels of economically-recoverable oil might be in the area.
BLM REV-IS. .ITS DRILLING
The Bureau of Land
Management (BLM) is mov-
ing forward with plans to
amend its 1998 land use plan
for 4.6 million acres in the
northeast corner of the
National Petroleum Reserve-
Alaska (NPRA). The agency
is considering leasing
previously closed areas as
geologists believe as much as
2 billion barrels of oil might
exist in areas currently off-
limits to development.
"We've learned a lot during
the past four years," said
B LM Alaska State Director
Henri Bisson. "We know that
we can safely explore this
area without significant
impact to sensitive wildlife
and subsistence resources.
We also believe that we can
develop critical hydrocarbon
resources in a manner that
protects these same values."
Bisson believes this is the
ideal time to re-evaluate the
current plan for the northeast
corner of NPRA. The fresh
evaluation would study new
exploration and development
opportunities that could
provide access to significant
new oil discoveries and to
consider changing the current
prescriptive stipulations into
a mixture of prescriptive and
performance-based stipula-
tions similar to those being
developed for the northwest
portion of NPRA.
of the lake.
Geologists believe the
Northeast portion of the
reserve may contain 3.2
billion barreis of oil, with 2
billion barrels in the lake
area.
Bisson said prescriptive
ConocoPhillips' Puviaq prospect in NPRA is west of Teshekpuk Lake.
The 1998 plan drafted
under the Clinton adminis-
tration prohibited leasing on
about 600,000 acres in and
around Teshekpuk Lake, an
area considered to have high
prospects for a major discov-
ery of oil and gas. The plan
also barred any surface
drilling activity on another
240,000 acres south and west
stipulations are very specific
and in some cases inappropri-
ate or needlessly restrictive.
He said performance-based
stipulations often can accom-
plish the same goal, but are
more flexible.
"For example, if oil and gas
exploration is planned in the
same area that has sensitive
wildlife habitat, it is possible
Pa~e 8
June 2003 Resource Review
to allow exploration in the
winter when animals are not
present," Bisson said.
Geologists believe billions
of barrels of oil can be ex-
tracted safely from the north-
east portion of the reserve as
advances in technology have
greatly reduced indust'
footprint. After three dec~
of oil and gas development in
the Arctic, industry has
demonstrated it is capable of
producing oil while main-
taining the highest regard for
safety and environmental
sensitivity.
B LM is now preparing a
suppiemental environmental
impact statement and expects
the entire process to be com-
pleted by the end of 2004.
Since the original plan was
completed in 1998, the
agency has awarded leases on
about 1.4 million acres in the
northeast corner of the
reserve and industry has
drilled 14 exploratory wells.
Two other environmental
impact statements for NPRA
are underway. One covers a
land use plan for 8.8 million
acres in the Northwest
portion and a second
evaluating a proposal frt.__.
ConocoPhillips for expand-
~ng production from Alpine.
www.akrdc.org
1,400,000
1,200,000
1,000,000
800,000
600,000
40O,0O0
200,000
Average Daily Oil Production (bpd)
ANWR TX AK" CA LA NM OK WY CO AR WV PA MA
* Office of OII lnd Gu, Energy Inform~ion Admlnlsaltlon. U.S. Deplrtme~ of Energy, "Potirti~J OII
Production from the Coast~J Plain of the Arctic Natlomd Wildlife Refuge: Upd~tecl Assessment" p. 6 (M~y
2000).
The Coastal Plain of the Arctic
National Wildlife Refuge (ANWR) is
this nation's single greatest onshore
prospect for future oil discovery. It
contains an estimated 5.7 billion to !6
billion barrels of recoverable oil, with
a mean estimate of 10.4 billion
barrels. The estimated daily produc-
tion from ANWR would exceed what
is now being produced in any
individual state.
Energy conservation measures -
including improvements in fuel
standards for vehicles - combined
with ANWR production, could off-
set what this nation currently imports
£rom the Persian Gulf region, sharply
cutting dependence on foreign oil.
The 19 million acre ANWR is
roughly the' size of South Carolina.
The Coastal Plain is 1.5 million acres.
Development would directly impact
less than 1/100 of one percent of the
refuge.
RDC Supports Rulemakin; On Wetlands
RDC is supporting a pro-
posed rulemaking by the
Corps of Engineers and the
Environmental Protection
Agency to clarify what types
of wetlands fall under the
jurisdiction of Clean Water
Act regulation.
Earlier this year, the Corps
and EPA issued an Advanced
Notice of Proposed
Rulemaking to obtain public
comment on wetlands eligi-
ble for federal protection
after a U.S. Supreme Court
decision in 2001 left federal
regulatory jurisdiction over
some wetlands in question.
The goal of regulators is to
develop proposed regulations
that will clarify which
wetlands and waters are
subject to Clean Water Act
jurisdiction. The proposed
rulemaking is a direct result
of the Court's decision elimi-
nating the act's oversight over
isolated wetlands that are
intrastate and non-navigable.
The impact of the decision
and subsequent regulatory
revisions resulting from it
could be far-reaching in
Alaska, given the 49th state
has more acreage in wetlands
subject to Corps jurisdiction
than the entire Lower 48
states combined.
"It is imperative that clear
regulations consistent with
the intent and spirit of the
Court's ruling be developed
and implemented," RDC said
in comments flied with the
federal agencies this spring.
"The Rulemaking is neces-
Some 60 percent of Alaska is considered "jurisdictional" wetlands under an
overly broad definition of "Waters of the United Slates." Most Alaska
communities are built in and around wellands.
sary to restore regulatory
certainty, especially in Alaska
where nearly 60 percent of
the state is considered 'juris-
dictional' wetlands under an
overly broad definition of
Waters~of the United States,"
RDC added. "Lack of a clear
definition for jurisdictional
wetlands and Waters of the
United States has resulted in
(Continued to pa~e 11)
(907) 276-0700 June 2003 Resource Review Parle 9
NORTO"N MAKES RIG'HT:'CALL
Secretary ~f the i
Interior Gale Norton l~as i
exempted Bureau of Land '
X Ianagement lands in Alaska from further Wilderness studies.
in her ruling, Secretary Norton recognized that Alaska al-
readv accounts for 56 percent of the nation's designated
Wilc~erness and has tens of millions ~)f additional acreage in
land management prescriptions that preclude or restrict
development.
The Secretarv's action is consistent with the Alaska National
Interest Lands Conservation Act (ANILCA) which estab-
lished a balance between preserving Alaska's special places and
the need for economic development and multiple use oppor-
tunities on other lands. New Wilderness reviews and designa-
tions would violate the spirit of ANILCA, destrov the balance
it established and further restrict access and economic
~pportunities.
The prohibition on \Vilderness reviews is a welcome recog-
~ition that Alaska already has preserved vast areas for future
generations and that new Wilderness designations are not
necessary.
Beginning in 1971, Alaska's federal lands were studied for
their Wilderness values under Wilderness Act criteria. In 1980,
ANILCA preserved approximately 150 million acres in
specially protected conservation units. This acreage represents
more than 40 percent of Alaska and 60 percent of the federal
land in the state. The act preserved 58 million acres as
designated Wilderness.
In recognition of the sensitive and protracted negotiations
0 N W I L D E.R N ESS S T U D I ES ultimately led to the
passage of ANILCA, Cong
precluded further .~tudv
_
B LM lands in the State of Alaska for the establishme'nt of
single purpose "conservation system units, national recreation
,\teas, national conservation areas or for related or similar
purposes.." This "~o more" Wilderness clause compelled the
Secretary of the Interior, shortly after the passage of
ANILCA, to adopt a policy ~ot to conduct further
Wilderness studies as part of tlT~e B LM planning process in
Alaska. This policy was in effect for 20 years until Secretary
.
Bruce Babbitt rescinded it in 2001 - two days before leavin~
,~fficc. ~-
Secretary Norton's reinstatement of the longstanding policy
.
has been welcomed by Alaskans who believe the original
compromises and balance struck in ANILCA should be hon-
,~red.
,'\ Wilderness designation is not the only option for identi-
· .
fy'lng and protecting environmental values. The land use plan-
~ing process provides manv opportunities ~utside
Wilderness alternative to recognize a broad ran,,e of interests
and to restrict land use activities.
The new policy accommodates the need for Alaskans
access B LM lands for multiple use activities and new eco-
nomic opportunities in a responsible manner that protects the
environment. In an effort to balance preservation and multiple
use, ANILCA left Alaska with more land in protected sta'
than any other state. The Secretarv's action xvill preserve t
balance.
Mining: Perception is Reality (Continued from pag~e S)
perception pushed Alaska down the list
compared to previous vears. In fact, the
survev indicated Alaska's mineral-
related policies are perceived to be
worse than places like Peru, Argentina,
Bolivia and Mexico.
Forty percent of those surveyed said
Alaska's environmental policies are a
strong deterrent to mineral investment.
Nearly 40 percent indicated that uncer-
tainties surrounding protected areas are
a strong deterrent. Over 35 percent
noted Alaska's lack of infrastructure as a
big concern.
Perhaps even more telling is where
Alaska ranked in the overall investment
attractiveness index. The Fraser
Institute Survey suggested Alaska is per-
ceived to be a worse place to invest in
~nineral exploration and development
than Russia, China, South Africa,
Bolivia, Peru and Brazil. Most Alaskans
Page 10
do .~ot believe this is true.
Unfortunately, the perception of the
mining industry at large is that its in-
vestment is less at risk abroad than in
Alaska.
If that perception is in fact reality,
Alaska's mining industry has a big prob-
lem to solve. If that perception is in
error, which I believe it is, Alaska's min-
eral industry faces the equally daunting
challenge of changing worldwide per-
ception.
So how can Alaska change this per-
ception? There are a number of wavs to
approach the problem and a multitude
of things that need fixing.
Alaska can start by streamlining its
permitting process to make it more
timely and cost effective. The state can
eliminate "zero-liability" legal
challenges that have plagued permitted
projects in the past. It can design and
June 2003 Resource Review
build regional infrastructure hubs for
roads and power lines. Alaska can con-
tinue to invest in state-of-the-art air-
borne geophysical survevs. \'(/e can
continue to require science-based air
and water quality regulations. The state
can regain control of its rivers and coast-
lines. And perhaps most important of
all, Alaska can aggressively market its
mineral potential across the' globe.
Easy.to sa?; not so easy to accomplish,
but we can chan,~e tl'~e future. Bob
Keller, \/ice-President and Editor-in-
Chief for Social Studies at Harcourt
School Publishers, wrote back to my
daughter's 4th grade class and admitte~l
that they had indeed left Red Dog off
the map. He thanked the class for point-
lng it out and promised to rectifv the
error in future editions. Think of: it as
one small step in a long journey that has
to start somewhere.
Curt Freeman is geologist and Presid
of Avalon Development, a mineral consult-
lng firm based in Fairbanks. He can be
reached at avalon~t2alaska.net.
www.akrdc.org
PoGo GOLD MINING PROJECT GETS
OVERWHELMING PUBLIC SUPPORT
Surveyors work at the
portal site of the Pogo
Gold prospect near
jobs," testified Bill Brophy at the Alternative Management Option,
Fairbanks hearing. Brophy, speaking would not open the first half of the
on behalf of RDC, noted that Teck- road until Teck-Pogo is finished rain-
Della. A final decision on
whether to move for-
ward with the project is
expected this fall.
Construction could
begin as early as
December once final
permits are obtained.
The proposed Pogo Gold Mine
project in Interior Alaska received
overwhelming support in public
hearings held in Fairbanks and Delta
last month.
RDC joined other business and
trade associations, corporations and
dozens of local residents in urging the
Environmental Protection Agency
and the State of Alaska to permit the
project.
"The Pogo project is good for
Alaska, especially for the Interior
where it will boost economic activity
and generate hundreds of new con-
struction and permanent year-round
Pogo - pending receipt of necessary.
permits - is prepared to invest a
quarter billion dollars to construct.
the underground mine' and. ils related
infrastructure. He said. the project
will bring new opportunities for
Alaska businesses and residents and
will help sustain a healthy and grow-
ing mining industry in the state.
The Teck-Pogo operation has been
designed in such a way as to minimize
operational impacts on the environ-
ment. The project is designed to meet
Alaska water quality standards and it
will not degrade the water quality of
the Goodpaster River.
One issue vet to be resolved is a
long-term management plan for a 50-
mile access road to the mine. The
Department of Natural Resources is
considering two options for allowing
public use of the road. One is opening
the first half of the road to the public
after construction is completed. The
second option, the so-called
ing.:the prospect. RDC, as well as
most testifying at the hearings,
supported the latter option.
RDC believes it would be better to
keep the road classified for industrial
use only while mining is occurring.
RDC cited safety issues and reduced
short-term impacts to subsistence and
trapping, as well as wetlands from
ORV use.
If final permits are obtained, con-
struction could begin in December on
the $250 million mine. The boards of
Teck Cominco and Sumitomo Metal
Mining Company, which own Pogo,
are expected to make a final decision
on whether to go ahead with the proj-
ect in September.
If' it proceeds, Pogo will employ up
to 500 workers during a two-year
construction period and about 300
during production. Pogo has a gold
resource of about 5.5 million ounces.
it could produce about 400,000
ounces of gold per year by late 2005.
WETLANDS
R'ULEMAKING
AIMS FOR
CLARITY IN
CLEAN WATER
ACT
JURISDICTION
(Continued from pa~e 9)
) a continual process of
"~e~7,~ulatorv. creep,' allowing
the Corps to extend its reach
and control over vast areas of
the state and neartv all of the
North Slope."
Alaskans expected the
Court's decision to bring
more clarity to the CWA
definition of Waters of the
United States and jurisdic-
tional wetlands. Instead, local
communities, industry and
residents are faced with
having to comply with a pro-
gram that is in a greater state
of flux and uncertaintv. Since
·
the Supreme Court ruling,
various courts have applied
the original decision in
different ways, resulting in
conflicting judicial interpre-
tations that have added to the
uncertaintv and confusion.
And although the higher
Court's ruling calls into ques-
tion more than two decades
of water and wetlands regula-
tion, the agencies have done
little to revise existing regula-
tions, guidance documents
,'~nd policy statements.
Despite clear direction in
.
_~01 trom the Supreme
Court, little has changed with
respect to how jurisdictional
determinations are made due
to continued reliance bv the
.
Corps and EPA staff on old
policy statements and guid-
ance documents.
Given the high level of reg-
ulatorv uncertainty, RDC
stron,,lv urged the EPA and
the Corps to develop clear
and concise regulations to
help fill the void.
"We believe it can no
longer be argued that the
CWA confers jurisdiction
over any xvater, swamp,
muskeg, tundra, or wet piece
of land on the basis that it has
~x mere hydrological connec-
tion with navigable ~vaters,"
RDC said.
RDC requested that tl~e
definition of Waters of the
United States be revised to be
consistent with the Supreme
Court's findings that the
Clean \Vater Act grants juris-
diction only over traditional
"navigable waters" and re-
jects jurisdiction over anv
waters on the basis of having
a "substantial effect" on com-
lllercc.
RDC also argued that the
Corps should bring its
policies and guidance docu-
ments in line with the new
jurisdictional boundaries
drawn by the Supreme
Court's decision. It said the
current regulations are unfair
to the regulated public, ineffi-
cient for the regulatorv agen-
cies ,'~nd provide little
environmental benefit.
(907) 276-0700 June 2003 Resource Review Page
We put you
face to face
with global opportunity
Since 1987, World Trade Center Alaska has
helped Alaskans compete successfully for
trade and investment in the global market
place. Become a member and put these
valuable resources to work for your company.
Trade Capacity. Become export ready
through information, seminars, conferences
and other technical assistance.
Trade Development. Receive market
research that helps identify new trade
opportunities.
Trade Service. Develop valuable
connections with overseas buyers.
Trade Facility. Have local office and
conference room settings available to
facilitate business meetings and events.
Trade Network, Gain access to
facilities and support in more than
300 cities around the world.
Where in the world do you want to go?
Call Greg Wolf, Executive Director, at 278-7233.
WORLD TRADE
CENTER
ALASKA
1007 VV. 3rd Ave.
Anchorage, AK 9950 I
www. wtcal~org
ADDRESS SERVICE REQUESTED
Growing Alaska Through Responsible Resource Development
121 W. Fireweed, Suite 250, Anchorage, AK 99503
***************************** 99611
MAYOR JOHN WILLIAMS
Q C QFTHE
ujF~ ~ KF_NA, MAYOR
PRSRT STD
U.S. Postage
PAID
lAnchorage, AK
Permit No. 377
,Tuly 200
Vo lum¢ ;.6 ............. Issue 7
Visit us at: www.5oldotnaChamb¢~.com
Email us at: info~5oldotnaChambe~.com
MARKYOUR,
CALENDAR
Ker~i River Clo~sic ..... JIIll~ 3~-Jll~ 2
4th of ,]'uly C~lebmtion
in i~nai ....................................... JIIl~ II
bog Show .............................. lely 11-13.:
5oidotna Progress
~s ¢¢iebr=tion .......... JBIII 2~-JBIII 2~
7th Annual 5oldotm
Creek Celebration ..................... JBIll ~
Alaska Sportfishing
Adventures
Beautify Soldotna Contest
Prime Kenai Riverfront Lots
Progress Days Parade Form
The Clean Monkey
The Milepost
Soldotna Inn and Mykel's
oidotna Senior Center ~]
Justine Poizin working for 29 Board
Members and 650 members that I accepted the
position of Executive Director for the Soidotna
Chamber of Commerce. Through this, I've really
come to appreciate the effort that goes into run-
ning a Chamber and Visitor Information Center
and how very fortunate I've been to be able to
work with an amazing office team and a sup-
portive, active board of directors.
It has been through the Chamber that I've met
,.,~t's been just seven so many fantastic people and have experienced
Pie Auctions, Award some pretty incredible activities. Saying an ad-
Banquets, Progress equate goodbye after so many wonderful years
Days and St. Patrick's is difficult, i've had the opportunity to work with
Days, editing, proofing some of the most committed, dedicated and
and printing of seven selfless people, and I'm taking away with me
Recreation Guides and incredible memories., .exP..erience~s.,.....st?ri.e.s.a..n...d
'84 newsletters, attendL insights.
ing 18 trade shows, 144 My husband and I wiii be moving to Arizona
Board-Meetings, 345 for a few years, as he needs to retrain after hav-
Chamber lunches and ing back surgery. Although we look forward to
our new experience, we know that we'll greatly
miss this area...the place that we've come to
call home. i look forward to eventually returning
to Soldotna.
I wish every one of you a safe and successful
future and to all of you...THANK YOU...for the
many great memories!
~'day, J~me 2~ 2003 at t~e
S~ior C~tt~ jkom 6:00-8:0~m
llelp IlS say g~i bye to Jusfinc Po~in,
the SoidomaCh~~r'sou~~ '
Look inside for
your guide to
Progress Days!
Board of Directors
President
~ari~ara -ison
.'.,'ells Fargo
~.32-4a35
President Elect
Tim Pope
,Natron Air
262-8440
Vice President
Dena Cunningham
McDonaids
262-2221
Secretary/Treasurer
Mike Frost
1st National Bank Alaska
260-6023
Dan Mortenson
Four D Carpet One
262-9181
Paul Gray
Exploring Alaska w/Paul Gray
262-9008
Norm Blakeley
Alaska Trading and Loan
262-6100
Sammie Cole
Southcentral Title Agency
262-4494
Theresa Colton
ACS Wireless
260-8657
,Jim Golden
Alaska Sports Den
262-7491
Kurt Olson
Individual
2604822
Jim Stogsdiil
City Council Seat
262-5622
Ken Lancaster
Lancaster Enterprises
262-4591
Executive Director
Justine Polzin
Visitor Center Coordinator
Shanon Hamrick
Member Service Manager
Erica Williamson
Bookkeeper
Nita Fend
Soldotna Chamber of Commerce
Phone 262-9814
Fax 262-3566
River City Pull Tabs
260-6100
~Alaska's~
SOLDoTNA
a r ver cjiv
$OLDOTNA PRO611ES8 DAY
PROGRESS DAYS PARADE:
FAMILY FUN RODEO:
Chief Shirley Warner-Grand Marshal
Ed and Lila Krohn-King & Queen
Saturday, July 26 at 11:00 A.M. Line-up for
the parade will start at 9:00 a.m. on Aspen Street.
Parade applications are available at the
Chamber office or on the web site at
The Soidotna Equestrian Association will hold
their Annual Fun Days on Saturday July 26 from
1-6p.m. and on Sunday, July 27 from 1-4p.m. at
the Soldotna Rodeo Ground. Come kick up your
heels! For more information, call Rhonda, Eques-
trian Association at 262-7006 or Vicki at 260-6982.
YeeHaw!
wvvw.soldotnachamber.com. The paradewill start WE ~AVE FUN!
on Marydale and head down the full length of
Binkley Street. There will be fire engines, horses,.
and even music, so come and join in our celebra-
tion by participating or spectating...if you would
like more information on how to join in the fun,
please call the Chamber office at 262-9814.
AFTER THE PARADE:
We're having a party! Hot dogs, cotton candy,
Kettle Corn, a car show, children's games, enter-
tainment and a whole lot more on West Park Av-
enue (by the Soidotna Senior Center).
ENTERTAINMENT:
"Top Cover" from Elmendorf Air Force Base
CHILDREN'S ACTIVITIES:
Lots of gmat stuff forthe kids! Bring the whole
family to enjoy a wide range of activities for the
young and the young at heart. All on West Park
Ave. after the parade!
And you can too... See Soldotna from the air
- NATRON AIR! On Friday, July 25 and Sunday,
July 27 only - Go on a 15 minute flightseeing trip
over beautiful Soldotna for just $50. Call Tim at
Natron Air for trip information 262-8440.
oua an, svo so.s:/!
U_N 0 /I
Federal Credit Union*
HE'RE ARE"':. O:'U'R NEW' ME:MBERS FOR JUNE
New
Bear Den, The,.,
Cindy Houser,
52573 Sec'om Ave,. KaSiiOf:
(907) 262-79371:'
Accommodations- Cabins
Kenai. Kings inn:, Hotel.
· 'i.: -'. GlendaDuniphin
10352Spur Hwy.., Kenai
(907) 283~060.~.
Accommodations'- Hotels/Motels
Cottonwood Country ClUb,
Tom Hall, Rachel:Cox/
PO Box 7097, Nikiski.
(907) T76-7653: .:~:..
Golf. COurses & Driving:Ranges:
..
DG: smith Builders~.,. LLc'i
Susan Seville:;:'
PO Box 4529, Palmer:;:.:'.'
(907) 746-1493:i?i:
Contractors - General:
Kasilof Riverview. Hideaway
Daniel & Monica Brown...
PO Box 65, Kasiiof!:i
(907) 398-7400:::: ..
Accommodations - Bed. & Breakfasts
Kenai. River Salmon Taxi
Eric Loomis
397 W. Corral Ave~, Soldotna
(907)260,7595:.
:' :.Fishing.i. Charters:
:
.
· Klondike.-l~abins:
Andy Lovett'
PO Box:.1929;. Soldotna
..... .(907) 262~6035:
ACcommodaU°ns- Cabins
.:
:. .
: Lancaster. Enterprises
Ken .. Lancaster
. POBox 104, Soldotna ' (907)1260.6727
Real~ Estate' Agencies'
650
Peninsula Small BuSiness
Development Center..
Mark Gregory ....
43335 K Beach. Rd:. Ste. 16, Soldotna
(907)262-7497
Non-Profit
Organizations:
Justine Polzin
Individual
PROCLEAN
DiXieSUmmedin & Lind;rSUllivan
POi Box 1684, Soldotna.
(907) 262.4236 ....
Janitorial'.: Services::'
Term. vista .
--Klm Hamilton
PO. Box..907,~ Soldotna
(907): 260,3723.
Accommodations-
Condos/Homes
-2'
16th Annual Kenai Peninsula
i Run 'for Women
The 16th Annual Kenai Pen-
Laurie Dewhurst, two year em- assistant and all around great girl,
ployee of River City Puli-Tabs, will will be leaving near the end of July
be leaving us and flying south, and reiocating to Minnesota to con-
Laurie is trading long summer tinue her college education.
days and snowy Alaskan winters We would like to thank them for
for the bdght lights and sunshine their dedicated service and wish
of LasVegas. them the best of luck in all their
Nichole Polzin, Visitor Center future endeavors!
Yearlg Membership Dues go out soon...
WHY liON,W?
Place your business in the Chamber Exclusive Visitor Guide-
50,000 printed, distributed and mailed all over the World.
) lign your company with Soldotna's most involved and success-
ful business people-Chamber Members.
[~ eceive the Chamber Connection monthly newsletter, full of great
news and information.
Tackle the problems businesses face using the Chamber as your
business advocate.
nvolve yourself with chamber activities-creates oppommities for
you to market your company to other members.
g ommumcate with other members at the many Chamber functions
held throughout the year.
n form yourself and others about the Soldotna area through our
publications and reference materials.
Place your business cards or rack cards in the 2nd largest visitor
center, (based on membership) in the State of Alaska.
Acknowledge your participation in the business community by
displaying your Chamber membership plaque.
ake part in building a stronger Chamber, which in mm makes a
stronger commumty.
g ducate your employees on the purpose of the Soldotna Chamber
of Commerce and the ways it serves the area and its businesses.
f '"
*3*
Annual Bills and Update forrns will be mailed out on Jul~v 1. Membership
~,y must be current in order for your business to receive Chamber ben-
~. Please remit yourpayment with a completed update form. Even da, v
the Chamber staff answers numerous calls regarding contacting busi-
nesses in our area. We need to make sure that we have received the most
current contact information for your business. This information will also
be placed in the Directo~ of our 2004 Recreation Guide.
insula Run for Women will be
held August 9, 2003 be~nning
at 10 a.m. The run is spon-
sored by the Women's Re-
source & Crisis Center as a
means of informing the
community, about WRCC's
services and to promote
awareness of the issues sur-
rounding domestic violence
and sexual assault.
Participants may run,
walk, participate in a wheel-
chair, or push a stroller in-
WRCC's 5K or 10K certified
race course. Rezistration
forms will be available at the
Women's Resource & Cri-
sis Center, and various lo-
cations in the community.
Volunteers are needed to
help set up, keep time, staff
the water tables and assist in
other areas. If you would like
to help out on race day or prior
to the race day, contact 283-
9479.
Look for the flyer in this newsletter on our
eauti ication onteat/
WE NEED YOUR INPUT.
DAVID DOUTHIT/Vi:: ! ERANS
MEMORIAL BRIDGE 2004
During the Presidency of
Dwight Eisenhower, the U.S.
Congress passed the Interstate
Highway System act. The law
provided for taxation to build
north/south, east/west inter-
state highways, which could be
used to move large numbers of
troops and equipment during
times of national emergency.
Alaska assigned the Sterling
Highway for use of the interstate
Highways funds and accord-
ingly, the new Soldotna Bridge
will be built with federal funds
and federal guidelines for a five-
lane highway.
The new bridge will be a rib--
bon of traffic lanes with ten-foot
pedestrian waikways on each
side. Because of the concrete
barrier between the road and the
waikways, the actual walkways
will be approximately 8.5 feet
wide.
By July 9th, the City of
Soldotna must submit commu-
nity input regarding appearance
aspects of the design of the new
Douthit/Veterans Bridge so that
construction can begin in 2004
with completion in 2005. We
have been asked to comment
on 5 aspects of the bridge; 1/)
South-side entrance to
Soldotna, 2.) North-side exit
from Soldotna, 3.) Pocket parks
in the middle-sides of the
bridge, 4.) Protective side ma-
terial (mesh) of the bridge, and
5.) Aesthetics (banners, light-
ing, monuments) on the bridge.
The goal is to make the appear-
ance fit with community desires
to the extent possible given the
location and engineering re-
quirements for a sound bridge.
Three sample drawings have
been prepared by the State as
a basis for discussion, each
with a different theme. Copies
are available at City Hall and the
Soldotna Chamber of Com-
merce, and should be avail-
able on the City web site,
www.ci.soldotna.ak.us/bridge/
by June 20, 2003.
The City of Soldotna needs
public input to be provided to
the bridge designers. There will
be a chamber presentation at
Noon on July 1st. Please pro-
vide input by attending the lun-
cheon, by writing on a survey
or by responding on the City's
website. Thanks!
$oldotna Chamber of Commerce
44790 Sterling Hwy.
$oldotna, Al( 99669
City of Kenai
Mayor John Williams
210 Fidalgo Ave.
Kenai, AK 99611
AS
"To provide enhanced success of our membership and serve
as a driver in developing $oldotna's future."
The 5oidotna Chamber Connection is a
monthly publication of the Soldotna Cham--
bet of Commerce. This publication is sent
to members and associated organizations.
Call Us!
Mail Us!
Fax Us(
Email Us(
There are many ways to submff story ideas
(or stories themselves):
262-9814
44790 Sterling Hwy.
Soldotna, AK 99669
262-3566
info@soldotnachamber, com
REACH AN AUDIENCE.'. RI6HT
ZN YOUR OWN BACKYARD
BATES'
Business Card Size. ....................................... ......... $ 20'
Full Page Insert-One a year is FREE ..................
All rates are.. for one~ camera-ready advertisement for one:. issue of the Cha,,,
Connection. All ads must be recieved no later than the 15th of the month, preced-
ing publication~ Send your artwork' to the Chamber office or' call us at 262-9814 tbr
more information!
·
·
·
-.
<
?
MAKE 2:4 PACKETS
COUNCIL PACKET DISTRIBUTJ:ON
I¢OUN¢]:L MEE~NG DATE:
Mayor/Council Attorney ~/ ~Tc~¥1or/Sprin~er/Kebschull
Clerk ~ City M~na~er / Public Works
Police Deportment ~ Finance ~ Engineer
Senior Center ~ ~irport ~ Kim
Library ~ Porks & Recreation ~ Clarion
Fire DeCartment t Blaine Gilmen ~ ~ellish
AGENDA DISTRTBUT~ON
Sewer Treatment Plant Streets
Shop Dock
Building/Maintenance Animal Control
Water/Sewer Counter
bELtVER
Council Packets to Police Department Dispatch desk.
The Clarion & Gilman's Office will pick their packet up at City Hall. The portion of the
agenda published by the Clarion should be emailed as soon as possible after Noon on
packet day. The camera-ready agenda (c:/myfiles/documents/minutes/agende form
for paper) is emailed to the Pen/nsu/a ~/a~/on (at email Contacts). 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 as soon as possible before leaving the office for the
weekend.