HomeMy WebLinkAbout2003-12-03 Council PacketKenai City Council
Meeting
Packet
December 3,
2003
AGENDA
KENAI CITY COUNCIL- REGULAR MEETING
DECEMBER 3, 2003
7:00 P.M.
KENAI CITY COUNCIL CHAMBERS
http: / / ~.~.~vw. ci. kenai, ak. us
6:00 P.M. COUNCIL WORK SESSION WITH ARF.~ LEGISLATORS [
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:
Bill Coghill, Mikunda Cottrell lis Co. -- Audit Report
REPORTS OF KPB ASSEMBLY~ LEGISLATORS AND COUNCILS
ITEM D'
PUBLIC HEARINGS
Ordinance No. 2028-2003 -- Adopting KMC 21.05.045 to Establish an Off-
Airport Gross Income Rental Car Fee for Off-Airport Rental Car Companies
Using the Kenai Municipal Airport for Their Businesses.
.
Ordinance No. 2030-2003 Amending KMC 1.90.010 to Allow the Kenai
City Council to Establish Task Forces Regarding Millennium Square and/or
Economic Development with a Membership of Greater Than Seven (7) and
Sunsetting the Ordinance in Three (3) Years.
a. Motion to remove from table.
b. Consideration of ordinance.
o
Resolution No. 2003-5.0 -- Transferring $55,500 in the General Fund for a
Library Computer System.
a. Motion to remove from table.
b. Consideration of resolution.
o
*2003 Liquor License Continuance -- American Legion Post #20
o
*2003 Liquor License Continuance-- Uptown Motel/Louie's and Uptown
Motel/Back Door Lounge
-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
b. Kenai Convention & Visitors Bureau Board
c. Alaska Municipal League Report
d. Kenai Chamber of Commerce
e. Arctic Winter Games
ITEM F:
MINUTES
o
*Notes of November 13, 2003 Airport Commission/Council Work Session.
*Regular Meeting of November 19, 2003.
ITEM G:
CORRESPONDENCE
ITEM H:
OLD BUSINESS
ITEM I:
NEW BUSINESS
1. Bills to be Paid, Bills to be Ratified
,
Purchase Orders Exceeding $2,500
o
ITEM J:
Approval -- Design/Build Project -- Airport-Security Camera System
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
-2-
MAYOR'S REPORT
DECEMBER 3, 2003
REGULAR COUNCIL MEETING
ADDING:
Info. #5.
CHANGES TO THE AGENDA
12/1/03 News Release from USDA/Rural Development
regarding application deadline for technical assistance
and training grants and solid waste management grants.
REQUESTED
BY:
CLERK
Info. #6. 11 / 24 / 03 letter from SAFE KIDS Coalition CLERK
Info. #7. 12 / 1 / 03 Building the Future, Frank Murkowski CLERK
Info. #8. 11 / 25 / 03 PSA from Soldotna Chamber of Commerce CLERK
Info. #9. 11 / 26 / 03 Notice of Work Session KPBA 12 / 9 / 03 CLERK
CONSENT AGENDA
MAYOR'S REPORT
o
,
,
Members of the Kenai City Council will attend a public informational meeting offered by
the Alaska Housing Finance Corporation on December 4, 2003 from 6:00 p.m. to 9:00
p.m. in the Kenai Peninsula Borough Assembly Chambers. The topic to be discussed is
financing programs affecting the public and municipalities.
Home Depot "Board Cutting" ceremony 12/17/03 at 6:00 p.m.
EDD has appointed John Williams and Casey Reynolds to the Board of Directors of the
Kenai Peninsula Borough Economic Development District.
Z
0
-o~og
MIKUNDA, COTTRELL & Co. -
CITY OF KENAI, ALASKA
Federal Single Audit Reports
June 30, 2003
CITY OF KENAI, ALASKA
Federal Single Audit Reports
June 30, 2003
Page
Independent Auditor's Report on Compliance and on Internal Control
over Financial Reporting Based on an Audit of Financial Statements
Performed in Accordance with Government Auditing Standards
3-4
Independent Auditor's Report on Compliance with Requirements
Applicable to each Major Program and Internal Control over
Compliance in Accordance with OMB Circular A-133
5-6
Schedule of Expenditures of Federal Awards
Schedule of Findings and Questioned Costs
Corrective Action Plan
Summary Schedule of Prior Year Findings
10
1V[IKUNDA, ( OTTRELL & CO.
A Professional Corporation
CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS
215 Fidalgo, Suite 206 · Kenai, Alaska 99611
(907) 283-3484, Fax (907) 283-5842
Independent Auditor's Report on Compliance and on Internal Control over Financial Reporting
Based on an Audit of Financial Statements Performed in Accordance with Government Auditing
Standards
Honorable Mayor and City Council
City of Kenai
Kenai, Alaska
Ladies and Gentlemen:
We have audited the basic financial statements of City of Kenai, Alaska as of and for the year
ended June 30, 2003, and have issued our report thereon dated July 31, 2003. We conducted our
audit in accordance with auditing standards generally accepted inthe United States of America
and the standards applicable to financial audits contained in the Government Auditing Standards,
issued by the Comptroller General of the United States.
COmpliance
As part of obtaining reasonable assurance about whether City of Kenai, Alaska's basic financial
statements are free of material misstatement, we performed tests of its compliance with certain
provisions of laws, regulations, contracts and grants, noncompliance with which could have a
direct and material effect on the determination of financial statement amounts. However,
providing an opinion on compliance with those provisions was not an objective of our audit and,
accordingly, we do not express such an opinion. The results of our tests disclosed no instances of
noncompliance that are required to be reported under Government Auditing Standards.
Internal Control Over Financial Reporting
In planning and performing our audit, we considered City of Kenai, Alaska's internal control
over financial reporting in order to determine our auditing procedures for the purpose of
expressing our opinion on the basic financial statements and not to provide assurance on the
internal control over financial reporting. Our consideration of the internal control over financial
reporting would not necessarily disclose all matters in the internal control over financial
reporting that might be material weaknesses. A material weakness is a condition in which the
design or operation of one or more of the internal control components does not reduce to a
relatively low level the risk that misstatements in amounts that would be material in relation to
the financial statements being audited may occur and not be detected within a timely period by
employees in the normal course of performing their assigned functions. We noted no matters
involving the internal control over financial reporting and its operation that we consider to be
material weaknesses.
MCGLADREY NETWORK
An Independently Owned Member
® Worldwide Services Through RSM International
Offices: Anchorage, Bethel Kenai & Seward
Honorable Mayor and City Council
City of Kenai
Kenai, Alaska
This report is intended solely for the information and use of the City Council, City's
management, federal awarding agencies, and pass-through entities and is not intended to be and
should not be used by anyone other than those specified parties.
July 31, 2003
MIKUNDA, COTTRELL & CO.
A Professional Corporation
CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS
215 Fidalgo, Suite 206 · Kenai, Alaska 99611
(907) 283-3484, Fax (907) 283-5842
Independent Auditor's .Report on Compliance with Requirements Applicable to each Major
Progam and Internal Control over Compliance in Accordance with OMB Circular A-133
Honorable Mayor and City Council
City o f Kenai
Kenai, Alaska
Ladies and Gentlemen:
Compliance
We have audited the compliance of the City of Kenai, Alaska with the types of compliance
requirements described in the U.S. Office Management and Budget (OMB) Circular A-133
Compliance Supplement that are applicable to each of its major federal programs for the year
ended June 30, 2003. The City of Kenai, Alaska's major federal programs are identified in the
summary of auditor's results section of the accompanying schedule of findings and questioned
costs. Compliance with the requirements of laws, regulations, contracts and grants applicable to
each of its major federal programs is the responsibility of the City of Kenai, Alaska's
management. Our responsibility is to express an opinion on the City of Kenai, Alaska's
compliance based on our audit.
We conducted our audit of compliance in accordance with auditing standards generally accepted
in the United States of America; the standards applicable to financial audits contained in
Government Auditing Standards, issued by the Comptroller General of the United States; and
OMB Circular A-133, Audits of States, Local Governments, and Non-Profit Organizations.
Those standards and OMB Circular A-133 require that we plan and perform the audit to obtain
reasonable assurance about whether noncompliance with the types of compliance requirements
referred to above that could have a direct and material effect on a major federal program
occurred. An audit includes examining, on a test basis, evidence about City of Kenai, Alaska's
compliance with those requirements and performing such other procedures as we considered
necessary in the circumstances. We believe that our audit provides a reasonable basis for our
opinion. Our audit does not provide a legal determination on the City of Kenai, Alaska's
compliance with those requirements.
In our opinion, the City of Kenai complied, in all material respects, with the requirements
referred to above that are applicable to each of its major federal pro.ams for the year ended June
30, 2003.
MCGLADREY NETWORK
~o~
® Worldwide Services Through RSM International
Offices: Anchorage, Bethel Kenai & Seward
Honorable Mayor and City Council
City of Kenai
Kenai, Alaska
Internal Control Over Compliance
The management of City of Kenai, Alaska is responsible for establishing and maintaining
effective internal control over compliance with requirements of laws, regulations, contracts and
grants applicable to federal programs. In planning and performing our audit, we considered the
City of Kenai, Alaska's internal control over complim~ce with requirements that could have a
direct and material effect on a major federal program in order to determine' our auditing
procedures for the purpose of expressing our opinion on compliance and to test and report on the
internal control over compliance in accordance with OMB Circular A-133.
Our consideration of the internal control over compliance would not necessarily disclose all
matters in the internal control that might be material weaknesses. A material weakness is a
condition in which the design or operation of one or more of the' internal control components
does not reduce to a relatively low level the risk that noncompliance with applicable
requirements of laws, regulations, contracts and grants that would be material in relation to a
major Federal program being audited may occur and not be detected within a timely period by
employees in the normal course of performing their assigned functions. We noted no matters
involving the internal control over compliance and its operation that we consider to be material
weaknesses.
Schedule of Expenditures of Federal Awards
We have audited the basic financial statements of the City of Kenai, Alaska as of and for the year
ended June 30, 2003, and have issued our report thereon dated July 31, 2003. Our audit was
performed for the purpose of forming an opinion on the basic financial statements taken as a
whole. The accompanying schedule of expenditures of federal awards is presented for purposes
of additional analYsis as required by OMB Circular A-133 and is not a required part of the basic
financial statements of the City of Kenai, Alaska. Such information has been subjected to the
auditing procedures applied in the audit of the basic financial statements and, in our opinion, is
fairly stated, in all material respects, in relation to the basic financial statements taken as a whole.
This report is intended solely for the information and use of the City Council, City's
management, and federal and State awarding agencies, and pass-through entities and is not
intended to be and shOuld not be used by anyone other than those specified parties.
July 31, 2003
6
CITY OF KENAI, ALASKA
Schedule of Expenditures of Federal Awards
For the Year Ended June 30, 2003
Federal Grantor
U.S. Department of Transportation
Federal Aviation Administration: ARFF/SRE Facility*
Airport Security Improvements*
Airport Environmental Assessment*
Airport 2002 SRE*
Passed through State of Alaska Department of
Transportation and Public Facilities:
AHSO-Record Every Drunk Driver
Tracs Conference Mini Grant
2003 Seatbelt Enforcement Blitz
Total US. Department of Transportation
U.S. Department of Aqriculture
Rural Business Opportunity
Passed through State of Alaska Department of
Administration:
Kenai Senior Services
Passed through State of Alaska Department of
Natural Resources:
Volunteer Fire Assistance
Total U.S. Department of Agriculture
U.S. Department of Health and Human Services
Passed through State of Alaska Department of
Administration:
Kenai Senior Services*
Vehicle Mini Grant*
Commission on Aging-Computer*
ACoA Title Ill/IV Training Conference*
Total U.S. Department of Health and Human Services
U.S. Department of Commerce and Economic Development
Economic Development Administration:
Bridge Access Road Water and Sewer Study
Total U.S. Department of Commerce and Economic Development
U.S. Department of Labor
Passed through State of Alaska Department of
Administration:
Senior Community Service Employment
Total U.S. Department of Labor
Federal Emergency Management Agency
Assistance to Firefighters
Total Federal Emergency Management Agency
Total Federal Financial Assistance
Grant
Number
3-02-0142-2701
3-02-0142-2902
3-02-0142-3002
3-02-0142-2802
030210AL154
030603TR
O3O3O90P
600030926001599
USDA 10.570
39717
0233147
0223147A
0233147A
07 79 04943
O235147
EMW-2001-FG-02620
CFDA
Number
20.106
20.106
2O. 106
20.106
20.600
20.600
20.600
10.769
10.570
10.664
93.044/93.045
93.044
93.044
93.044
11.307
17.235
83.554
Expenditures
June 30, 2003
433,698
5,624
12,823
131,120
24,607
1,249
3,823
612,944
6,866
14,711
1,650
23,227
106,354
1,890
133
432
108,809
8,108
8,108
22,O44
22,044
19,531
19,531
$. 794,663
Major Federal Program
CITY OF KENAI, ALASKA
Schedule of Findings and Questioned Costs
For the Year Ended June 30, 2003
Federal:
Summary of audit results:
Type of report issued on financial statements
Reportable conditions in internal controls
Material noncompliance
Reportable conditions in internal control over major programs
Type of report issued on major program compliance
'Audit findings as required to be reported by OMB Circular A-133
Major programs:
CFDA # Program
20.106 Airport Improvement Program
93.044 Special Programs for the Aging, Title llI, Part B
93.045 Special Programs for the Aging, Title III, Part C
Dollar threshold used to distinguish between Type A and
Type B programs
Low-risk auditee
II. Findings. relating to the financial statements which are required
to be reported in accordance with Generally Accepted Auditing
Standards
III. Federal awards findings and questioned costs
Unqualified
None noted
None noted
None noted
Unqualified
None noted
$300,000
Yes
None noted
None noted
CITY OF KENAI, ALASKA
Corrective Action Plan
For the Year Ended June 30, 2003
There are no current year audit findings and no corrective action plan.
CITY OF KENAI, ALASKA
Summary Schedule of Prior Audit Findings
For the Year Ended June 30, 2003
There were no prior year audit findings.
lO
COMPREHENSIVE ANNUAL
FINANCIAL REPORT
OF THE
CITY OF KENAI, ALASKA
Year Ended June 30, 2003
John
J. Williams
Mayor
Linda L. Snow
City Manager
Prepared by
Finance Department
Lawrence A. Semmens, CPA
Finance Director
CITY OF KENAI, ALASKA
COMPREHENSIVE ANNUAL FINANCIAL REPORT
YEAR ENDED JUNE 30, 2003
INTRODUCTION SECTION
Table of Contents
Letter of Transmittal
GFOA Certificate of Achievement
Organizational Chad
List of Principal Officials
FINANCIAL SECTION
Auditor Report
Report of Independent Accountants
Management's Discussion and Analysis
11
Basic Financial Statements
Government-wide Financial Statements
Statement of Net Assets
19
Statement of Activities
20
Fund Financial Statements
Balance Sheet, Governmental Funds
21
Statement of Revenues, Expenditures, and Changes in Fund Balance, Governmental Funds
22
Reconciliation of the Statement of Revenues, Expenditures, and Changes in Fund Balances
of Governmental Funds to the Statement of Activities
23
General Fund - Statement of Revenues, Expenditures, and Changes in Fund Balance
Budget and Actual
24
Water and Sewer Special Revenue Fund - Statement of Revenues, Expenditures, and
Changes in Fund Balance - Budget and Actual
31
Airport Land System Special Revenue Fund - Statement of Revenues, Expenditures, and
Changes in Fund Balance - Budget and Actual
33
Airport Land Sales - Statement of Revenues, Expenditures, and Changes in Fund Balance
Budget and Actual
35
Statement of Net Assets - Proprietary Funds
36
Statement of Revenues, Expenses, and Changes in Fund Net Assets- Proprietary Funds
37
Proprietary Funds- Statement of Cash Flows
38
Footnotes 39
Non-Major Governmental Funds
Combining Balance Sheet- Nonmajor Governmental Funds
Combining Statement of Revenues, Expenditures, and Changes in Fund Balance-
Nonmajor Governmental Funds
Dock Facility- Statement of Revenues, Expenditures, and Changes in Fund Balance- Budget
and Actual
Kenai Borough Senior Citizens - Statement of Revenues, Expenditures, and Changes in Fund
Balance- Budget and Actual
Senior Employment Program - Statement of Revenues, Expenditures, and Changes in Fund
Balance - Budget and Actual
Council on Aging - Statement of Revenues, Expenditures, and Changes in Fund Balance-
Budget and Actual
1984/1986/1993 Special Assessment Debt Service Fund - Statement of Revenues,
Expenditures, and Changes in Fund Balance- Budget and Actual
General Government Land sales - Statement of Revenues, Expenditures, and Changes in
Fund Balance- Budget and Actual
Statistical Section
Table No.
General Government Expenditures by Function
General Revenues by Source
Tax Revenues by Source
Property Tax Levies and Collections
IV
Property Tax Rates and Tax Levies - All Direct and Overlapping Governments
V
Computation of Direct and Overlapping General Obligation Debt
Vi
Computation of Legal Debt Margin
VII
Ratio of Net General Bonded Debt to Assessed Value and Net Bonded Debt Per
Capita
VIII
Ratio of Annual Debt Service Expenditures for General Bonded Debt to Total General
Expenditures
IX
Debt Service Requirements to Maturity- General Obligation Bonds
Schedule of Ten Largest Taxpayers
XI
Schedule of Assessed Value and Construction Activity
XII
Miscellaneous Statistical Data
XIII
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August 7, 2003
CiTY OF KENAI
"oa ol
210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794
TELEPHONE 907-283-7535
FAX 907-283-3014 ~
1992
Honorable Mayor John J. Williams,
City Council Members and Citizens of
the City of Kenai, Alaska
In accordance with Section 29.35.120 of Alaska Statutes and the City Charter, we are pleased to submit the
Comprehensive Annual Financial Report for the year ended June 30, 2003. The financial statements were
prepared in conformance with generally accepted accounting principles (GAAP) and audited in accordance
with generally accepted auditing standards by a firm of licensed certified public accountants.
This report consists of management's representations concerning the finances of the City of Kenai.
Consequently, management assumes full responsibility for the completeness and reliability of the information
presented in this report. To provide a reasonable basis for making these representations, management of
the City has established a comprehensive internal control framework that is designed both to protect the
government's assets from loss, theft, or misuse and to compile sufficient reliable information for the
preparation of the City's financial statements in conformity, with GAAP. Because the cost of internal controls
should not outweigh their benefits, the City's comprehensive framework of internal controls has been
designed to provide reasonable rather than absolute assurance that the financial statements will be free from
material misstatements. As management, we assert that, to the best of our knowledge and belief, this
financial report is complete and reliable in all material respects.
The City's financial statements have been audited by Mikunda, Cottrell & Company, a firm of independent
certified public accountants. The goal of the independent audit was to provide reasonable assurance that the
financial statements of the City for the fiscal year ended June 30, 2003, are free of material misstatement.
The independent audit involved examining, on a test basis, evidence supporting the amounts and disclosures
in the financial statement; assessing the accounting principles used and significant estimates made by
management; and evaluating the overall financial statement presentation. The independent auditor
concluded, based upon the audit, that there was a reasonable basis for rendering an unqualified opinion that
the City's financial statements for the fiscal year ended June 30, 2003, are fairly presented in conformity with
GAAP. The. independent auditor's report is presented as the first component of the financial section of this
report.
The independent audit of the financial statements of the City was part of a broader, federally mandated
"Single Audit" designed to meet the special needs of federal grantor agencies. The standards governing
Single Audit engagements require the independent auditor to report not only on the fair presentation of the
financial statements, but also on the audited government's internal controls and compliance with certain legal
requirements, with special emphasis on internal controls and legal requirements involving the administration
of federal awards. These reports are available in the City's separately issued Single Audit Report.
GAAP requires that management provide a narrative introduction, overview, and analysis to accompanying
the basic financial statements in the form of Management's Discussion and Analysis (MD&A). This letter of
transmittal is designed to complement the MD&A and should be read in conjunction with it. The City's MD&A
can be found immediately following the report of the independent auditors.
Profile of the City of Kenai
The City was incorporated in 1960 as a home' rule city and its charter was adopted May 20, 1963. The City
occupies a geographic area of approximately 45 square miles located in the south central part of the state of
Alaska. Major city services include police, fire, ambulance, airport, street maintenance, recreation, parks,
building inspection, water and sewer, dock, cemetery and library. Funding for the City General Fund, by order
of financial significance, is provided from sales tax, property tax, state revenue, interest earnings, federal
revenue, and other sources. Other funds rely on service charges, interest, grants and other sources.
The City operates under a council - manager form of government. Policy-making and legislative authority are
vested in a governing council consisting of six members and the mayor. The city manager, attorney and clerk
are appointed by the council. The council and mayor are elected on a non-partisan basis. Council members
serve three-year staggered terms, with 2 members elected each year and are elected at large. The mayor is
elected at large and serves a three-year term. The city manager is the City's chief executive officer and is
responsible for carrying out the policies and ordinances of the City, for overseeing the day-to-day operations
o'f the government and for hiring the heads of the various departments.
Budgetary Control
The annual budget serves as the foundation for the City's financial planning and control. All departments
submit budgets to the city manager on or about February 24th. The city manager uses these requests for
developing a proposed budget. The city manager submits her proposed budget to the council at the first
regular council meeting in April. The council is required to hold public hearings on the proposed budget and
generally adopts the budget by ordinance at the first meeting in June. The city manager is authorized to make
budget transfers within a fund for amounts less than $2,500. Council action is required for transfers between
funds, for transfers exceeding $2,500 and for new appropriations. Budget-to-actual comparisons are
provided in this report for each individual governmental fund for which an annual budget has been adopted.
Factors Affecting Financial Condition
Economy
In the last five years the City's experienced growth in taxable sales that averaged 2.44% with a range of
2.8% to 6.6%. Taxable sales are perhaps the best indicator of the economy. The year ended at June 30,
2003 saw a decline of 2.8% from the prior year due to the closure of a large retail store in April 2003. This
store represented 25% of taxable sales in Kenai. Fortunately, a new large retailer has purchased the
property and intends to open in December 2003.
The primary private sector portions of Kenai's economy are oil and gas, commercial fishing, tourism and retail
sales. The future holds challenges for oil and gas and commercial fishing in the Cook Inlet region. 'Gas
supplies, critical to liquefied natural gas (LNG) and fertilizer production, are projected to run out in this decade
if new supplies are not made available through discovery or pipelines from other production areas.
Commercial fishing has been in decline for several years due primarily to market forces which have driven
prices down to historic lows. Tourism faltered following the terrorist attacks in 2001, but this industry
continues to expand in Alaska and has a positive outlook. Overall the projection for the economy of Kenai is
cautiously optimistic. It is a beautiful area with abundant land and natural resources, an accommodative
business climate and a stable population base.
Long term financial p~anning
The City financial situation has been severely impacted by the State of Alaska's financial problems. Effective
in FY 2004 the State eliminated the revenue sharing, municipal assistance and municipal matching grant
programs. Combined, these programs represented nearly $450,000 or the equivalent of 1.1,5 mills of
property tax. The closure of the largest retail store in Kenai caused ~ reduction in sales tax projected to be
about $1,000,000. Fortunately a new retailer is locating in the City and other retail stores are expanding, so
the loss in sales tax is expected to be much less than projected in FY 2004. These new developments have
produced optimism that we will see sales tax revenues return to previous levels or higher. The property tax
rate was increaSed for FY 2004 by 1.5 mills to 5. This was the first increase since 1993. Predictably, costS
are increasing. Property and liability insurance rates have shot up along with workers compensation
insurance. While the rate of increase has moderated, the expectation is for continued 'hard market'
conditions. Our health insurance rate actually declined for FY 2004, but will very likely return to double digit
increases in the future. The City's contribution 'to the Public Employees Retirement System, PERS, is
expected to increase at 5% per year or over $200,000 annually for the next several years. The City is actively
pursuing economic development opportunities and is preparing an economic development strategic plan.
Cash management policies and practices
The City utilizes a central treasury to aggregate cash from all funds for cash management and investment
purposes. Interest income on investments is allocated to participating funds based on average equity
balances.
The City Code of Ordinances authorizes investment in obligations of the U. S. Treasury, its agencies and
instrumentalities, repurchase agreements, fully collateralized certificates of deposit, money market mutual
funds and the Alaska Municipal League Investment Pool, Inc. The City Code of Ordinances also places
limitations on maturity of investments.
Risk Management
The City's risk management program is designed to protect against accidental losses that would significantly
affect personnel, property, or City finances. The City purchases commercial general liability and property
insurance through the Alaska Public Entities Insurance Pool. The City risk management plan includes
employee training to reduce employee injuries and claims.
pension and Other Postemployment Benefits
The City provides pension benefits for all. eligible employees through the State of Alaska Public Employees
Retirement System (PERS). The City has no obligations in connection with employee benefits offered though
this plan beyond its annual required payment to the pension plan.
Award
The Government Finance Officers Association of the United States and Canada (GFOA) awarded a
Certificate of Achievement for Excellence in Financial Reporting to the City of Kenai for its comprehensive
annual financial report for the fiscal year ended June 30, 2002. In order to be awarded a Certificate of
Achievement, a government must publish an easily readable and efficiently organized comprehensive annual
financial report. This report must satisfy both generally accepted accounting principles and applicable legal
requirements. A Certificate of Achievement is valid for a period of one year only.
Acknowledgment
·
The preparation of this Comprehensive Annual Financial Report in a timely manner was accomplished with
the efficient and dedicated service of the entire staff of the Finance Department. We would like to especially
thank Robin Feltman, Accountant, for her contribution. This report was especially challenging to prepare due
to the implementation of GASB Statement 34, which required extensive new information to be included as
well as significant reformatting of the statements. Due credit should also be given to the City Council for their
efforts in planning and conducting the financial operations of the City in a responsible manner.
Respectfully submitted,
~C~y M~n~g~r
Lawrence A. Semmens, CPA
Finance Director
Certificate of
Achievement
for Excellence
in Financial
Rep'orting
Presented to
City of Kenai,
Alaska
For its Comprehensive Annual
Financial Report
for the Fiscal Year Ended
June 30, 2002
A Certificate of Achievement for Excellence in Financial
Reporting is presented by the Government Finance Officers
Association of the United States and Canada to
government units and public employee retirement
systems whose comprehensive annual financial.
reports (CAFRs) achieve the highest
standards in government accounting
and financial reporting.
President
Executive Director
City of Kenai
Organization Chad
CITIZENS
COMMISSIONS
Airport
Harbor
Parks and Rec.
Library
Planning and Zoning
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I
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-1
POLICE
SENIOR CENTER
PUBLIC WORKS
AIRPORT
CITY OF KENAI, ALASKA
ORGANIZATION AND PRINCIPAL CITY OFFICIALS
The City of Kenai was founded in 1791. It is located south of Anchorage on
Cook Inlet in the Central Kenai Peninsula. The City is 161 highway miles from
Anchorage. By air, Kenai is three hours from Seattle and thirty minutes from
Anchorage.
Kenai was the site of the first major oil strike in 1957 and has served as a center
for exploration and production since that time. Commercial fishing and
processing contribute to the economy.
Kenai adopted the Council Manager form of government in 1963 and has been
operating under this form since that time.
The City Council, together with appointed City officials, meets the first and third
Wednesday of each month in the City Administration Building for regular Council
sessions. In addition, numerous special meetings and work sessions are
scheduled throughout the year. The Council,. which consists of the Mayor and
six council members, is selected at large and on a non-partisan basis. Annual
elections are held in October. The terms of office are three years but are
overlapping so that the City' is provided with a continuity of knowledge in City
business and legislative matters.
City, Council Term Ends
, , ,
Mayor John J. Williams 2004
Council Members
Linda Swarner 2005
Joe Moore 2004
James C. Bookey III 2004
Amy E. Jackman 2003
Pat Porter 2003
John "Ozzie" Osborne 2003
,City Admi,nistration
City Manager
Finance Director
City Clerk
City Attorney
Police Chief
Fire Chief
Public Works Manager
Public Works Manager
Librarian
Parks & Recreation Director
Airport Manager
Senior Center Project Director
Linda L. Snow
Lawrence A. Semmens
Carol L. Freas
Cary R. Graves
Charles Kopp
Scott Walden
Keith Kornelis
Jack La Shot
Ewa Jankowska
Robert Frates
Rebecca Cronkhite
Rachael Craig
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AUDITOR REPORT
M IKUNDA, COTTRELL CO.
A Professional Corporation
CERTIFIED PUBLIC ACCOUNTANTS & CONSULTANTS
215 Fidalgo, Suite 206 · Kenai, Alaska 99611
(907) 283-3484, Fax (907) 283-5842
Independent Auditor's Report
Honorable Mayor and
Members of the City Council
City of Kenai, Alaska
We have audited the accompanying financial statements of the governmental activities, the business-type
activities, each major fund, and the aggregate remaining fund information of the City of Kenai, Alaska,
as of and for the year ended June 30, 2003, which collectively comprise the City's basic financial
statements as listed in the table of contents. These financial statements are the responsibility of the City
of Kenai's management. Our responsibility is to express opinions on these financial statements based on
our audit.
We conducted our audit in accordance with auditing standards generally accepted in the United States of
America and the standards applicable to financial audits contained in Government Auditing Standards,
issued by the Comptroller General of the United States. Those standards require that we plan and
perform the audit to obtain reasonable assurance about whether the financial statements are free of
material misstatement. An audit includes examining, on a test basis, evidence supporting the amounts
and disclosures in the financial statements. An audit also includes assessing the accounting principles
used and significant estimates made by management, as well as evaluating the overall financial
statement presentation. We believe that our audit provides a reasonable basis for our opinion.
As described in notes to the financial statements, the City has implemented a new financial reporting
model, as. required by the provisions of GASB Statement No. 34, Basic Financial Statements - and
Management's Discussion and Analysis- for State and Local Governments, as of June 30, 2003.
Certain other GASB Statements were also implemented in conjunction with GASB Statement No. 34
and are described in the accounting changes section of the notes to the financial statements.
In our opinion, the financial statements referred to abOve present fairly, in all material respects, the
respective financial position of the governmental activities, the business-type activities, each major fund,
and the aggregate remaining fund information of the City of Kenai, Alaska, as of June 30, 2003, and the
respective changes in financial position and cash flows, where applicable, thereof and the respective
budgetary comparison for the General Fund, Water and Sewer Special Revenue Fund, Airport Land
System Special Revenue Fund, and Airport Land Sales Permanent Fund for the year then ended in
conformity with accounting principles generally accepted in the United States of America.
i~~ MCGLADREY NETwoRK
~®Worldwide Services Through RSM International
Offices: Anchorage, Bethel Kenai & Seward
Honorable Mayor and
Members of the City Council
City of Kenai, Alaska
In accordance with Government Auditing Standards, we have also issued our report dated July 31, 2003
on our consideration of the City's internal control over financial reporting and our tests of its compliance
with certain provisions of laws, regulations, contracts and grants. That report is an integral part of an
audit performed in accordance with Government Auditing Standards and should be read in conjunction
with this report in considering the results of our attdit.
The management's discussion and analysis, as identified in the table of contents, is not a required part of
the basic financial statements but is supplementary information required by accounting principles
generally accepted in the United States of America. We have applied certain limited procedures, which
consisted principally of inquiries of management regarding the methods of measurement and
presentation of the required supplementary information. However, we did not audit the information and
express no opinion on it.
Our audit was conducted for the purpose of forming opinions on the financial statements that
collectively comprise the City of Kenai's basic financial statements. The introductory section,
combining and individual nonmajor fund statements and statistical section as listed in the table of
contents, are presented for purposes of additional analysis and are not a required part of the basic
financial statements. The combining and individual nonmajor fund statements have been subjected to
the auditing procedures applied in the audit of the basic financial statements and, in our opinion, are
fairly stated in all material respects in relation to the basic financial statements taken as a whole. The
introductory section and the statistical section, as identified in the table of contents, have not been
subjected to the auditing procedures applied in the audit of the basic, financial statements and,
accordingly, we express no opinion on them.
July 31, 2003
10
MANAGEMENT'S DISCU, SSlON AND ANALYSIS
Management's Discussion and Analysis
As management of the City of Kenai, we offer readers of our financial statements this narrative
overview and analysis of the financial activities of the City of Kenai for the fiscal year ended
June 30, 2003. Due to the fact that this is the first year of providing this analysis, comparative
data from the prior year are not presented. We encourage readers to consider the information
presented here in conjunction with additional information that we have furnished in our letter of
transmittal.
Financial Highlights
The assets of the City of Kenai exceeded its liabilities at June 30, 2003 by $141,349,809.
Of this amount, unrestricted net assets of $19,502,509 may be used to meet the
government's on going obligations to citizens and creditors. A significant portion of this
legally unrestricted amount has been designated for specific purposes.
The City's total net assets decreased by $1,698,378. Governmental Funds decreased by
$1,438,091 and business type activities decreased by $260,287.
As of the close of the current fiscal year, the City's governmental funds reported
combined ending fund balances of $30,339,474, an increase of $762,070 from the prior
year. This increase was comprised of $280,278 from revenues exceeding expenditures
and $481,792 from the cumulative effect of a change in accounting principle related to
compensated absences.
At the end of the current fiscal year, unreserved fund balance for the General Fund was
$7,088,834. Of this amount $5,550,750 was unreserved, undesignated and available for
spending.
The City's total outstanding debt decreased $160,000 to a year-end balance of $300,000.
The City also has a long-term liability for contaminated soils remediation of $1.4 million.
Overview of the Financial Statements
This discussion and analysis is intended to serve as an introduction to the City of Kenai's basic
financial statements. The City of Kenai's basic financial statements are comprised of three
components' 1) government-wide financial statements, 2) fund financial statements, and 3) notes
to the financial statements. This report also contains other supplementary information in addition
to the basic financial statements themselves. The basic financial statements include two kinds of
statements that present different views of the City's activities'
Government-widefinancial statements provide both short-term and long-term
information about the City's overall financial condition in a summary format.
Fund financial statements focus on individual parts of the City, reporting the
City's operations in more detail than the government-wide statements. The form
of fund financial statements presented herein is only slightly changed from the
reporting model that we have used for many years.
Government-wide financial statements.
The government-wide financial statements are designed to provide readers with a broad
overview of the City of Kenai's finances in a manner similar to a business enterprise. The
statement of net assets presents information on all of the City's assets and liabilities. Net assets -
the difference between assets and liabilities - is one way to measure the City's financial position.
Over time, increases or decreases in net assets may serve as a useful indicator of whether the
financial position of' the City is improving or deteriorating. There are other non-financial factors,
such as the condition of facilities, roads and other infrastructure that should be considered in
evaluation of overall financial condition.
The statement of activities presents information showing how government's net assets changed
during the most recent fiscal year. All changes in net assets are reported as soon as the
underlying event giving rise to the change occurs, regardless of the timing of related cash flows.
Thus, revenues and expenses are reported in this statement for some items that will only result in
cash flows in furore fiscal periods.
Both of the government-wide financial statements distinguish functions of the City that are
principally supported by taxes and intergovernmental revenues (governmental activities) from
other functions that are intended to recover all or a significant portion of their costs through user
fees and charges (businesstype activities). The governmental activities of the City of Kenai
include general government, public safety, public works, parks and recreation and culture, dock,
airport, water and sewer and social services. The business-type activities of the City include the
airport terminal and the congregate housing facility.
Fund financial statements.
.A fund is a grouping of related accounts that is used to maintain control over resources that have
been segregated for specific activities or objectives. The city, like other state and local
governments, uses fund accounting to ensure and demonstrate compliance with finance-related
legal requirements. All of the funds of the City of Kenai can be divided into two categories:
governmental funds and proprietary funds.
Governmental funds. Governmental funds are used to account for essentially the same
functions reported as governmental activities in the government-wide financial statements.
However, unlike the government-wide financial statements, governmental fund financial
statements focus on near term inflows and outflows of spendable resources, as well as on
balances of spendable resources available at the end of the fiscal year. Such information may be
useful in evaluating a government's near term financing requirements. Because the focus of
governmental funds is narrower than that of the government-wide financial statements, it is
useful to compare the information presented for governmental funds with similar information
presented for governmental activities in the government-wide financial statements. By doing so,
readers may better understand the long-term impact of the government's near-term financing
decisions. Both the governmental fund balance sheet and the governmental fund statement of
12
revenues, expenditures, and changes in fund balances provide a reconciliation to facilitate this
comparison between the two. The City maintains sixteen individual governmental funds, four of
which are considered major funds. Information is presented separately in the governmental fund
balance sheet and in the governmental fund statement of revenues, expenditures, and changes in
fund balances for the major funds including: the General Fund; two special revenue funds' the
Water and Sewer Fund and the Airport Land System Fund; and the Airport Land Trust Fund,
which is a permanent fund. Individual fund data for each of the non-major governmental funds
is provided in the form of combining statements elsewhere in this report.
A budgetary comparison statement has been provided for the general fund to demonstrate
compliance with the FisCal Year (FY) 2003 budget.
Proprietary funds.
The City of Kenai maintains two different types of proprietary funds: enterprise and internal
service. Enterprise funds are used to report the same functions presented as business-type
activities in the government-wide financial statements. The City uses enterprise funds to account
for the Airport Terminal and the Congregate Housing Facility. Information for these two funds
is presented in the propriefary statement of net assets and the proprietary statement of revenues,
expense and changes in fund net assets. Intemal service funds are used to accumulate and
..~
,
allocate costs internally among the City's various functions. The City of Kenai used an internal
service fund to account for the purchase of heavy equipment that is primarily used by the
General Fund. Because these services predominantly benefit governmental rather than business
type functions, they have been included within governmental activities in the government-wide
financial statements but are presented separately in the proprietary fund financial statements.
Notes to the financial statements.
The notes provide additional information that is essential to a full understanding of the data
provided in the government-wide and fund financial statements.
Other information.
In addition to the basic financial statements and accompanying notes, this report also presents
certain other supplementary information. The combining statements referred to earlier in
connection with non-major funds are presented immediately after the basic financial statements.
Also included are budget comparisons for governmental funds other than the General Fund.
Government-wide Financial Analysis.
As noted earlier, net assets'may serve over time as a useful indicator of a government's financial
position. At June 30, 2003, the City's assets exceeded liabilities by $141,349,809. By far the
largest portion of the City's net assets reflects its investment in capital assets, less any related
debt used to acquire those assets that is still outstanding. Capital assets are used to provide
services to citizens and they are not available for furore spending. Although the investment in
capital assets is reported net of related debt, it should be noted that the resources needed to repay
this debt must be provided from other sources, since the capital assets themselves cannot be used
to liquidate these liabilities.
..
The following table provides a summary of the City's net assets'
Net Assets
June 30, 2003
Current and other assets
Captial assets
Total assets
Long-term liabilities outstanding
Other liabilities
Total liabilities
Net assets
Invested in capital assets
net of related debt
Restricted
Unrestricted
Total net assets
Governmental Business-Type
Activities Activitites Total
$ 32,894,981 $ 2,718,154$ 35,613,135
102,748,136 5,587,009 108,335,145
135,643,117 8,305,163 143,948,280
1,700,000 - 1,700,000
825,822 72,649 898,471
2,525,822 72,649 2,598,471
102,448,136 5,587,009 108,035,145
13,812,155 - 13,812,155
16,857,004 2,645,505 19,502,509
$ 133,117,295 $ 8,232,514 $
141',349,809
Changes in Net Assets.
The City's total revenues and expenses for governmental and business-type activities are
reflected in the following chart:
Changes in Net Assets
For Year Ended June 30, 2003
Revenues:
Program revenues:
Charges for services
Operating grants'and
contributions
-Capital grants and
contributions
General revenues:
Property taxes
Sales taxes
Other
Total revenues
Expenses:
General government
Public safety
Public works
Parks, recreation, and
cultural
Water and Sewer
Airport
Dock
Social welfare
Airport terminal
Senior housing
Governmental Business-Type
Activities Activities Total
$ 3,073,307 $ 525,988 $ 3,599,295
792,646 - 792,646
794,157 - 794,157
1,424,644 - 1,424,644
3,953,561 - 3,953,561
1,058,377 14,820 1,073,197
11,096,692 540,808 11,637,500
1,113,592 - 1,113,592
3,192,795 - 3,192,795
2,108,212 - 2,108,212
.,
1,447,484 - 1,447,484
1,945,498 - 1,945,498
2,084,722 - 2,084,722
189,702 - 189,702
452,778 - 452,778
- 503,431 503,431
- 297,664 297,664
Total expenses
12,534,783 801,095 13,335,878
Decrease in Net Assets
Net Assets July 1, 2002
Net Assets June 30, 2003
(1,438,091 ) (260,287) (1,698,378)
134,555,386 8,492,801 143,048,187
$133,117,295 $ 8,232,514 $141,349,809
3..5
Governmental activities.
Governmental activities decreased the City's net assets by $1,438,091. Key elements of this
decrease are:
Revenues decreased from the prior year due to the closure of a large retail store, which
affected sales tax revenue.
The City does not budget to cover all expenses including depreciation. In order to
replace capital assets in the future the City will rely on external financing sources, such as
debt or grants.
Business-type activities.
Business-type activities reduced the net assets of the City by $260,287. Key elements of this
decrease are'
Both of the enterprise funds had negative net income again this year. The Congregate
Housing Facility rates are not set high enough to cover the cost of depreciation on the
facility which was built primarily with grant funds. Rates were increased about 12%
during the year so the loss next year is expected to be less than the current year. The
Airport Terminal dbpends on lease revenue and parking receipts, both of which are up
slightly from last year. Expenses are also up due primarily to allocation of personnel
from other funds to the Terminal this year.
Financial Analysis of the City's Funds
The City of Kenai uses fund accounting to ensure and demonstrate compliance with finance-
related legal requirements.
Governmental Funds.
The purpose of the City's"gPvemmental funds is to provide information on near-term inflows,
outflows, and balances of spendable resources. Such information is useful in assessing the city's
financing requirements. In particular, unreserved fund balance may serve as a useful measure of
a government's net resources available for spending at the end of the fiscal year. The primary
sources of revenue for the governmental funds are'
Property tax $1,410,203
Sales tax $3,953,561
Water/Sewer charges $1,281,138
Interest $ 951,307
Tax revenues support general fund operations exclusively and represent 43% of governmental
funds revenue. Other funds rely heavily on charges for services and interest revenue. Interest
revenue in the governmental funds is down significantly from the prior year due mostly to the
decline in interest rates. Capital projects funds and the senior services related funds are largely
financed by grants from the federal, state and borough governments.
Proprietary funds.
The City of Kenai maintains two different types of proprietary funds. Enterprise funds are used
to report the same functions presented as business-type activities in the government-wide
financial statements. The Airport Terminal and Congregate Housing funds are enterprise funds
which are combined in a single aggregated presentation in the proprietary fund financial
statements. Internal service funds are used to accumulate and allocate costs among the City's
various functions. The City of Kenai has one internal service fund the purpose of which is to
account for the purchase of equipment costing more that $50,000. The Equipment Replacement
Fund charges the primary user department in the General Fund such that the General Fund
reimburses the Equipment Replacement Fund over the useful life of the asset. Because these
services predominantly benefit governmental rather than business type functions, they have been
included within governmental activities in the government-wide financial statements but are
presented in a single column in the proprietary fund financial statements.
General Fund Budgetary Highlights
The General Fund appropriations budget was amended by the City Council during the year by
$706,668. The primary budget increases were to provide sufficient assets in the debt service
funds to pay all furore debt service as well as to eliminate deficit fund balances that occurred due
to defaults on special assessments. The amount of the budget increase was $511,128. The
budget for transfers to capital projects funds was increased $47,000 and various departmental
budgets were increased, primarily for grants received during the year. The revenues budget was
increased $372,088. Most of the budget increase was associated with a $354,000 payment
received for settlement of litigation on Inlet Woods. As mentioned above, the funds were used to
provide for furore debt service. The remaining revenue budget increase was for grants including
the library, fire and police departments.
Actual revenues were $280,882 higher than the final budget. Tax revenue was about $200,000
short compared to budget due to sales tax declines as a result of the closure of the City's largest
retail store. Land sale revenues were up over $300,000 compared to budget. The balance of the
revenue increase compared to budget was spread out in small amounts across all categories of
revenue.
The actual expenditures were $966,104 less than budgeted. The City made a concerted effort to
manage expenditures during the year at the request of the council. It should be noted that about
half of the above amount was obligated by purchase orders at year-end and will be spent in the
following year.
3_7
Capital Assets and Debt Administration
Capital assets.
At June 30, 2003 the City's capital assets had a total net book value of $108,335,145.
Governmental activities totaled $102,748,136 and business-type activities totaled $5,587,009.
Additional information on the City's capital assets can be found in the notes to the financial
statements.
Debt administration.
The City had outstanding debt of $300,000 at year-end, there are sufficient funds accumulated in
the debt service fund to pay off this debt. Additionally there is a long-term liability for
contaminated soils remediation of $1,400,000.
Requests for information.
This financial report is designed to provide a general overview of the City of Kenai's finances
for all those with an interest in the government's finances. Questions concerning any of the
information provided in this report or requests for additional information should be addressed to
the Finance Director, City of Kenai, 210 Fidalgo Avenue, Kenai, Alaska 99611.
3_8
BASIC FINANCIAL STATEMENTS
CITY OF KENAI, ALASKA
STATEMENT OF NET ASSETS
AS OF 6/30/2003
Governmental
Activities
,
Business-type
Activities
Total
ASSETS
Equity in central treasury (cash and cash equivalents)
Receivables (net of allowances for
uncollectibles)
Other assets
Property and equipment in service
Accumulated depreciation
Construction in progress
Total assets
LIABILITIES
Accounts payable
Compensated absences
Deferred revenue
Other liabilities
Long-term liabilities:
Due within one year
Due in more than one year
Total liabilities
NET ASSETS
Invested in capital assets, net of related debt
Restricted for:
Airport Land Sale Permanent Fund
General Government Land Sale Permanent Fund
Unrestricted
Total net assets ":'
30,554,924
2,323,611
16,446
130,287,271
(36,974,442)
9,435,307
$ 135,643,117 $
....
$ 147,826 $
545,365
55,641
76,990
150,000
1,55O,OOO
2,525,822
1 O2,448,136
11,558,922
2,253,233
16,857,004
$ 133,117,295
2,689,889
28,265
,,.
9,483,386
(3,896,377)
.
8,305,163
4O,684
27,58O
4,385
72,649
5,587,009
2,645,5O5
$ 8,232,514
33,244,813
2,351,876
16,446
139,770,657
(40,870,819)
9,435,307
143,948,280
188,510
572,945
60,026
76,99O
150,000
1,55O,OO0
2,598,471
108,035,145
11,558,922
2,253,233
19,502,509
$ 141,349,8O9
, ,,
See Accompanying Notes to Financial Statements
~vv v
C
o ~ z z
E
2O
ASSETS AND OTHER DEBITS
Equity in central treasury (cash and cash equivalents)
Receivables (net of allowances for
uncollectibles)
Due from other funds
Other assets
Total assets
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable
Due to other funds
Deferred revenue
Other liabilities
Total liabilities
Fund balances:
Reserved for:
Encumbrances
Capital improvements
General government land sale permanent fund
Airport land sales permanent fund
Unreserved:
Designated:
General fund
Special revenue funds
Debt service fund
Capital projects funds
Undesignated:
General fund
Special revenue funds
Total fund balances
Total liabilities and fund balances
CITY OF KENAI, ALASKA
BALANCE SHEET
GOVERNMENTAL FUNDS
June 30, 2003
Total
Water and Airport Land Airport Other Governmental
General Sewer System Land Sales Governmental Funds
$ 7,282,655 $ 297,332 $ 6,436,018 $ 11,167,282
1,367,217 210,202 39,168 391,640
15,989 - - -
$ 8,665,861 $ 507.,534 $ 6,475,186 $ 11,558,922
$ 44,029 $ 22,579 $ 13,730 $ -
396,974 107,747 37,959 391,080
22,224 47,327 686 -
4,214,810
315,384
.
16,446
$ 4,546,640
67,488
15,989
240,104
6,753
29,398,097
2,323,611
15,989
16,446
.$ 31,754,143
147,826
15,989
1,173,864
76,990
463,227 177,653 52,375 391,080 330,334 1,414,669
163,054 18,514 30,616 -
950,746 - - -
- - - 11,167,842
1,538,084 - - -
- 43,608 730,384 -
5,550,750 -
- 267,759 5,661,811 -
8,202,634 329,881 6,422,811 11,167,842
$ 8,665,861 $ 507,534 $ 6,475,186 $ 11,558,922
42,319
.
2,116,085
.
.
20,206
317,488
1,619,817
.
100,391
4,216,306
$ 4,546,640
254,503
950,746
2,116,085
11,167,842
1,538,084
794,198
317,488
1,619,817
5,550,750
6,029,961
30,339,474
Amounts reported for governmental activities in the statement
of net assets are different because:
Capital assets used in governmental activities are not
financial resources and are not reported in the funds.
Other long-term assets are not available to pay for current
period expenditures and, therefore, are deferred in the funds.
Some liabilities, including bonds payable and compensated
absences are not payable in the current period so they are not
reported in the funds.
Internal service funds are used by management to charge
the cost of certain .activities to individual funds. The assets
and liabilities of the internal service fund are included in
governmental activities in the statement of net assets
Net assets of governmental activities
102,748,136
1,118,223
(2,245,365)
1,156,827
$ 133,117,295
See Accompanying Notes to Financial Statements
CITY OF KENAI, ALASKA
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
GOVERNMENTAL FUNDS
YEAR ENDED JUNE 30, 2003
Revenues:
Taxes
Intergovernmental revenues
Charges for services
Interest revenue
Miscellaneous revenues
General
5,363,764
527,083
1,4O7,458
315,869
923,343
Total
Water and Airport Land Airport Other Governmental
Sewer , System Land Sales Governmental Funds
$ - $
1,281,138
41,907
38,766
- $ - $
9,006 -
91,011 -
547,661 27,152
340,148 71,306
- $ 5,363,764
1,050,714 1,586,803
104,870 2,884,477
18,718 951,307
248,189 1,621,752
Total revenues
Expenditures:
Current:
General government
Public. safety
Public works
Parks, recreation, and cultural
Water and sewer services
Airport
Dock
Social welfare services
Capital Outlay
Debt service
8,537,517 1,361,811 987,826 98,458 1,422,491 12,408,103
1,330,143 -
3,437,169 -
1,595,904 -
1,363,247 -
- 1,291,503
. .
.
.
.
.
1,358,227
- 1,330,143
- 3,437,169
- 1,595,904
- 1,363,247
- 1,291,503
- 1,358,227
127,725 127,725
451,317 451,317
1,062,516 1,062,516
180,020 180,020
Total expenditures
7,726,463 1,291,503 1,358,227
1,821,578 12,197,771
Excess (Deficiency) of Revenues
Over Expenditures
811,054 70,308 (370,401) 98,458 (399,087) 210,332
Other financing sources and (uses):
Transfers in
Transfers out
95,876 - 27,559 -
(835,001) (955,000) (29,844) , (26,592)
1,818,878 1,942,313
(25,930) (1,872,367)
Total other financing sources and (uses)
,, (739,125) , (955,000) (2,285)
(26,592) 1,792,948 69,946
Net changes in fund balance
71,929 (884,692) (372,686) 71,866 1,393,861 280,278
Fund balances-July 1
Cumulative effectofa changein Accounting
Principle on beginning fund balance
Fund balances -June 30
7,717,207 1,176,949 6,784,055 11,095,976 2,803,217 29,577,404
413,498 37,624 11,442
8,202,634 $ 329,881 $ 6,422,811
19,228
$ 11,167,842 $ 4,216,306 $
,,
481,792
30,339,474
See Accompanying Notes to Financial Statements
22
CITY OF KENAI, ALASKA
Reconciliation of the Statement of Revenues,
Expenditures and Changes in Fund Balance of Governmental Funds
To the Statement of Activities
For the Year Ended June 30, 2003
Amounts reported for governmental activities in the statement of activities are different
because:
Net changes in fund balances - total governmental funds
$ 280,278
Governmental funds report capital outlays as expenditures. However,
in the statement of activities the cost of those assets is allocated over
their estimated lives and reported as depreciation expenses. This is the
amount by which depreciation expense exceeded capital outlays in the
current period.
Repayment of bond principal is an expenditure in the governmental
funds, but the repayment reduces long-term liabilities in the statement
of net assets
Some revenues reported in the statement of activities do not produce
current financial resources and, therefore, are not reported in
governmental funds
The net effect of various miscellaneous transactions involving capital
assets' is to decrease net assets.
Some expenses reported in the statement of activities do not require
the use of current financial resources and, therefore, are not reported
as expenditures in governmental funds
Internal service funds are used by management to charge the cost of
certain activities to individual funds. The net revenue of certain
activities of the internal service fund is reported with governmental
activities
(1,183,094)
160,000
2,322
(671,148)
(63,573)
37,124
Change in net assets of governmental activities
See Accompanying Notes to Financial Statements
$ II (~ '4.38'091)
23
CITY OF KENAI, ALASKA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Revenues:
Taxes:
General property
General sales
Penalty and interest on taxes
Total taxes
Licenses and permits: Building permits
Animal control licenses and fees
Other
Total licenses and permits
Intergovernmental revenues:
Federal Grants
Kenai Peninsula Borough
State of Alaska shared revenues:
General revenue sharing
Electric utility tax
Fish tax
Liquor licenses
Municipal assistance
State of Alaska grants:
Library grants
Other
Total intergovernmental revenues
Charges for services:
Ambulance fees
Recreation center charges
Multipurpose facility charges
Administrative and service fees
Other
Total charges for services
Fines and forfeits:
Court fines
Library fines
Other forfeitures
Total fines and forfeits
Original Final
Bud¢let Bud_clet
$ 1,352,300 $ 1,352,300 $
4,200,000 4,200,000
20,000 20,000
Actual
1,383,565
3,953,561
26,638
Variance-
Favorable
~Unfavorable)
31,265
(246,439)
6,638
5,572,300 5,572,300 5,363,764 (208,536)
35,000 35,000 59,754 24,754
4,800 4,800 6,444 1,644
3,100 3,100 3,855 755
42,900 42,900 70,053 27,153
-
48,000 48,000
5,073
48,OOO
5,073
.
97,000 97,000 98,264 1,264
26,000 26,000 29,322 3,322
50,000 50,000 90,117 40,117
23,000 23,000 17,300 (5, 700)
205,000 205,000 204,718 (282)
- 8,O32 8,O32
- 24,877 26,257
481,909
95,000
68,000
50,000
933,8OO
4,900
449,000
95,000
68,000
50,000
933,800
4,9OO
1,151,700
527,083
166,465
83,679
88,549
933,800
8,422
1,280,915
38,252
17,771
467
56,490
18,000
15,000
1,000
34,OOO
1,151,700
18,000
15,000
1,000
34,000
1,380
45,174
71,465
15,679
38,549
.,
3,522
129,215
2O,252
2,771
(533)
22,490
See Accompanying Notes to Financial Statements
24
CITY OF KENAI, ALASKA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Miscellaneous revenues:
Interest revenue
Rents and leases
Library donations
Oil and gas royalties
Special assessments
Other
Total miscellaneous revenues
Total revenues
Other financing sources -
Transfers from:
Enterprise fund
Trust fund
Total other financing sources
Total revenues and other sources
Expenditures:
General government:
Legislative:
Personal services
Supplies
Other services and charges
Total legislative
City clerk:
Personal services
Supplies
Other services and charges
Total city clerk
City attorney:
Personal services
Supplies
Other services and charges
Total city attorney
Original Final
Bud_clet Budget
$ 400,000 $ 400,000 $
46,800 46,800
1,500 1,500
40,000 40,000
4,000 4,000
170,700 509,879
Actual
....
315,869
36,287
1,603
10,197
1,558
873,698
Variance-
Favorable
(Unfavorable)
(84,131)
(10,513)
103
(29,803)
(2,442)
363,819
663,000 1,002,179 1,239,212 237,033
7,912,900 8,284,988 8,537,517 252,529
49,523 49,523 69,946 20,423
18,000 18,000 25,930 7,930
67,523 67,523 95,876 28,353
7,980,423 8,352,511 8,633,393 280,882
50,567 50,617 49,992 625
3,082 4,182 2,813 1,369
85,395 84,295 72,224 12,071
139,044 139,094 125,029 14,065
89,435 89,519 78,571 10,948
6,404 7,654 4,566 3,088
24,996 23,746 16,606 7,140
120,835 120,919 99,743 21,176
165,731 168,339 161,957 6,382
2,050 2,015 1,378 637
32,070 29,606 15,728 13,878
199,851 199,960 179,063 20,897
See Accompanying Notes to Financial Statements
25
City manager:
Personal services
Supplies
Other services and charges
Total city manager
Finance:
Personal services
Supplies
Other services and charges
Capital outlays
Total finance
Non-departmental:
Supplies
Other services and charges
Capital outlays
Pass-through grants
Total non-departmental
Planning and zoning:
Personal services
Supplies
Other services and charges
Total planning and zoning
Safety: Supplies
Other services and charges
Total Safety
Land administration:
Supplies
Other services and charges
Total land administration
Total general government
CITY OF KENAI, ALASKA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Original Final
Budqet Budget
Actual
$ 143,640 $ 143,748 $
1,000 1,000
10,095 11,095
136,828
469
10,088
Variance-
Favorable
{Unfavorable)
6,920
531
1,007
154,735 155,843 147,385 8,458
329,894 330,120 321,746 8,374
18,144 18,115 13,702 4,413
28,916 28,946 21,585 7,361
- 55,000 1,000 54,000
376,954 432,181 358,033 74,148
6,614 11,560 11,071 489
306,442 304,636 254,047 50,589
9,000 14,201 9,691 4,510
24,000 24,000 23,451 549
346,056 354,397 298,260 '56,137
94,516 94,561 90,184 4,377
6,207 8,007 7,255 752
17,012 15,212 9,316 5,896
117,735 117,780 106,755 11,025
2,000 2,200 1,508 692
25,735 25,535 11,455 14,080
27,735 27,735 12,963 14,772
100 100 96 4
5,178 5,178 2,816 2,362
5,278 5,278 2,912 2,366
1,488,223 1,553,187 1,330,143 223,044
See Accompanying Notes to Financial Statements
CITY OF KENAI, ALASKA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Public safety:
Police:
Personal services
Supplies
Other services and charges
Capital outlays
Total police
Fire:
Personal services
Supplies
Other services and charges
Total fire
Communications:
Personal services
Supplies
Other services and charges
Capital outlays
Total communications
Animal control:
Personal services
Supplies
Other services and charges
Total animal control
Total public safety
Original Final
Budqet Budget
$ 1,304,879 $ 1,310,941 $
53,516 85,674
113,633 110,291
53,106 53,106
Actual
, ,
1,243,250
77,382
98,379
52,536
1,525,134 1,560,012 1,471,547
Variance-
Favorable
(Unfavorable)
67,691
8,292
11,912
570
88,465
1,218,001 1,228,429 1,178,109 50,320
56,421 57,205 52,959 4,246
108,163 104,880 98,700 6,180
1,382,585 1,390,514 1,329,768 60,746
440,977 443,747 412,788 30,959
7,506 14,206 3,967 10,239
38,1'97 28,997 24,627 4,370
4,539 4,539 4,539 -
491,219 491,489 445,921 45,568
128,491 128,800 118,740 10,060
11,242 11,242 9,631 1,611
69,197 69,197 61,562 7,635
208,930 209,239 189,933 19,306
3,607,868 3,651,254 3,437,169 214,085
See Accompanying Notes to Financial Statements
2'7
CITY OF KENAI, ALASKA
GENERAL FUND
STATEMENT OF.REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE'
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Public works:
Public works administration:
Personal services
Supplies
Other services and charges
Capital outlays
Total public works administration
Shop:
Personal services
Supplies
Other services and charges
Total shop
Streets:
Personal services
Supplies
Other services and charges
Capital outlays
Total streets
Buildings:
Personal services
Supplies
Other services and charges
Capital outlays
Total buildings
Street lighting:
Supplies
Other services and charges
Capital outlays
Total street lighting
Total public works
Original Final
Budqet Budqet
$ 246,871 $ 247,045 $
7,185 8,615
17,609 17,209
6,000 4,97O
Actual
235,993
6,005
6,980
4,970
Variance-
Favorable
(Unfavorable)
11,052
2,610
10,229
.
277,665 277,839 253,948 23,891
205,329 206,380 194,307 12,073
239,252 241,052 211,903 29,149
95,150 93,350 75,361 17,989
539,731 540,782 481,571 59,211
370,104 374,290 345,171 29,119
163,309 153,608 40,514 113,094
124,666 124,666 55,009 69,657
36,050 33,750 27,693 6,057
694,129 686,314 468,387 217,927
136,082 137,516 129,895 7,621
37,331 40,006 34,769 5,237
162,471 165,621 116,749 48,872
26,852 24,677 22,047 2,630
362,736 367,820 303,460 64,360
15,990 15,990 12,172 3,818
74,011 86,011 76,341 9,670
25 25 25 -
90,026 102,026 88,538 13,488
1,964,287 1,974,781 1,595,904 378,877
See Accompanying Notes to Financial Statements
28
CITY OF KENAI, ALASKA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Parks, recreation, and cultural:
Library:
Personal services
Supplies
Other services and charges
Total library
Visitors center: Supplies
Other services and charges
Total visitors center
Recreation:
Personal services
Supplies
Other services and charges
Capital outlays
Total recreation
ParkS:
Personal services
Supplies
Other services and charges
Total parks
Beautification:
Personal services
Supplies
Other services and charges
Capital outlays
Total beautification
Total parks, recreation, and cultural
Total expenditures
Original Final
Bud_qet Budget
$ 304,591 $ 304,810
28,276 47,091
138,614 147,096
Actual
305,177
44,045
133,648
Variance-
Favorable
(Unfavorable)
(367)
3,046
13,448
471,481 498,997 482,870 16,127
2,000 2,000 1,200 800
115,792 115,792 108,645 7,147
117,792 117,792 109,845 7,947
310,382 311,172 273,412 37,760
30,319 31,249 28,386 2,863
210,670 206,740 195,191 11,549
6,800 6,800 5,799 1,001
558,171 555,961 502,788 53,173
136,035 137,101 110,397 26,704
25,758 27,758 27,085 673
53,410 54,410 42,363 12,047
215,203 219,269 179,845 39,424
33,467 33,791 34,594 (803)
25,000 30,500 22,761 7,739
20,724 15,224 5,150 10,074
25,397 25,397 25,394 3
104,588 104,912 87,899 17,013
1,467,235 1,496,931 1,363,247 133,684
8,527,613 8,676,153 7,726,463 949,690
See Accompanying Notes to Financial Statements
29
CITY OF KENAI, ALASKA
GENERAL FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Other financing uses -
Transfers to:
Special revenue fund
Debt service funds
Capital projects funds
Total other financing uses
Total expenditures and other uses
Excess of revenues and other sources
over (under) expenditures and
other uses
Original Final
Budget Budget
$ 41,000 $ 41,000 $
191,187 702,315
61,100 108,100
Actual
24,584
702,315
108,102
Variance.
Favorable
jUnfavorable)
16,416
(2)
293,287 851,415 835,001 16,414
8,820,900 9,527,568 8,561,464 966,104
$ (840,477) ,,$, (1,175,057)
71,929
$ 1,246,986
Fund balance- July 1
7,717,207
Cumulative effect of a change in Accounting
Principle on beginning fund balance
Fund balance- June 30
413,498
$ 8,202,634
See Accompanying Notes to Financial Statements
3O
CITY OF KENAI, ALASKA
WATER AND SEWER SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Reven ues:
Charges. for services:
Residential water
Commercial water
Residential sewer
Commercial sewer
Hook-up fees
Other
Total charges for services
Miscellaneous revenues:
Interest
Special assessments
Other
Total miscellaneous revenues
Total revenues
Expenditures - water and sewer services:
Water:
Personal services
Supplies
Other services and charges
Capital outlays
Original Final
Budget Budget
$ 233,000 $ 233,000 $
115,000 115,000
640,000 640,000
280,000 2801000
5,000 5,000
18,000 18,000
Actual
234,301
106,611
644,723
273,975
3,300
18,228
Variance-
Favorable
,(Unfavorable)
1,301
(8,389)
4,723
(6,025)
(1,700)
228
1,291,000 1,291,000 1,281,138 (9,862)
58,000 58,000 41,907 (16,093)
40,000 40,000 34,782 (5,218)
2,500 2,500 3,984 1,484
100,500 100,500 80,673 (19,827)
1,391,500 1,391,500 1,361,811 (29,689)
112,147 112,655 109,510 3,145
61,964 61,964 46,124 15,840
203,412 205,912 162,388 43,524
40,000 40,000 - 40,000
417,523 420,531 318,022 102,509
Expenditures chargeable from
other funds 73,800 73,800 73,800 -
Total water 491,323 494,331 391,822 102,509
Sewer:
Personal services 112,146 112,654 108,385 4,269
Supplies 24,264 24,264 16,307 7,957
Other services and charges 93,006 94,506 42,210 52,296
Capital outlays ....
229,416 231,424 166,902 64,522
Expenditures chargeable from
other funds 73,500 73,500
Total sewer 302,916 304,924
73,500
240,402
64,522
See Accompanying Notes to Financial Statements
31
WATER AND SEWER SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Original Final
Budget Budqet
Sewer treatment plant:
Personal services
Supplies
Other services and charges
Expenditures charageable from
other funds
Total sewer treatment plant
$ 211,016 $ 211,576 $
83,445 83,445
322,701 326,601
Actual
205,212
70,082
280,085
Variance-
Favorable
{Unfavorable)
Total expenditures
6,364
13,363
46,516
Other financing uses:
Transfers to Captial Projects
Total expenditures and other uses
617,162 621,622 555,379 66,243
Excess of revenues over (under)
expenditures and other uses
103,900 103,900 103,900
Fund balance, July 1
Cumulative effect of a change in Accounting
Principle on beginning fund balance
Fund balance, June 30
721,062 725,522 659,279 66,24 3
1,515,301 1,524,777 1,291,503 233,274
955,000
955,0OO
1,51 5,301 2,479,777 2,246,503 233,274
(884,692)
1,176,949
37,624
$ (123,801} $ f1.088.277)
$ 329,881.
$ 203,585
See Accompanying Notes to Financial Statements
32
CITY OF KENAI, ALASKA
AIRPORT LAND SYSTEM SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Revenues:
Intergovernmental revenue-
State grant
Miscellaneous revenues:
Rents and leases, including
penalty and interest
Landing fees
Fish hauling rents
Interest revenue
Other
Total miscellaneous revenues
Total revenues
Other financing sources -
Transfers from:
General fund
Trust fund
Total other financing sources
Total revenues and other sources
Expenditures - airport:
Maintenance and Operation:
Personal services
Supplies
Other services and charges
Capital outlays
Expenditures chargeable from
other funds
Total maintenance and operation
Original Final
Budget .Budqet
5,0o0 $ 5,ooo
Actual
9,006
388,000 388,000 312,171
86,000 86,000 91,011
- - 1,200
720,000 720,000 547,661
21,500 21,500 26,777
1,21 5,500 1,21 5,500 978,820
1,220,500 1,220,500 987,826
967 967 967
25,000 25,000 26,592
Variance-
Favorable
(Unfavorable)
$ 4,006
(75,829)
5,011
1,200
(172,339)
5,277
,,, (236,680)
(232,674)
1,592
25,967 25,967 27,559 1,592
1,246,467 1,246,467 1,01 5,385 (231,082)
168,902 171,525 142,810 28,715
114,358 114,458 101,017 13,441
345,999 345,899 243,976 101,923
629,259 631,882 487,803 144,079
561,600 561,600 561,600
1,190,859 1,193,482 1,049,403
144,079
See Accompanying Notes to Financial Statements
33
CITY OF KENAI, ALASKA
AIRPORT LAND SYSTEM SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Administration:
Personal services
Supplies
Other services and charges
Original Final
Budget Budget
$ 116,872 $ 116,953 $
6,131 6,131
42,319 45,319
Actual
_
115,557
3,893
28,696
Variance-
Favorable
(Unfavorable)
1,396
2,238
16,623
165,322 168,403 148,146 20,257
Expenditures chargeable from
other funds 52,700 52,700 52,700 -
Total land administration 218,022 221,103 200,846 20,257
Land:
Personal services 32,370 32,392 30,329 2,063
Supplies 7,100 7,100 3,799 3,301
Other services and charges 130,333 130,333 73,850 56,483
Capital outlays ....
Total expenditures
Other financing uses:
Transfers to
Capital projects funds
Total expenditures and other uses
169,803 169,825 107,978 61,847
1,578,684 1,584,410 1,358,227 226,183
29,844
29,844
1,578,684 1,614,254 1,388,071 226,183
~ ..... (367, ' .'.787)
Excess of revenues and other sources
over (under) expenditures and
other uses $
Fund balance- July 1
· (332,217)
(372,686)
6,784,O55
11,442
$ 6,422,811
Cumulative effect of a change in Accounting
Principle on beginning fund balance
Fund balance- June 30
(4,899)
See Accompanying Notes to Financial Statements
34
CITY OF KENAI, ALASKA
AIRPORT LAND SALES
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Revenues:
Interest revenue
Land sales
Total Revenues
-Original Final
Bud_qet Budget Actual
25,000
.
25,000
25,000
.
25,000
27,152
71,306
98,458
Variance-
Favorable
(Unfavorable)
$ 2,152
71,3O6
73,458
Excess of revenues
over expenditures
25,0O0
25,000
98,458
73,458
Other Financing Uses:
Operating tranfers to
Airport Land System Fund
Net change in fund balance $
Fund balances, July 1
Fund balances, June 30
25,000
25,000
26,592
71,866
11,095,976
$ 11,167,842
(1,592)
$ 71,866
See Accompanying Notes to Financial Statements
35
ASSETS
Current assets:
Equity in central treasury
Accounts receivable
Total current assets
Property and equipment in service, at cost:
Land
Buildings
Equipment
Improvements other than buildings
Total property and equipment in service
Less accumulated depreciation
Net property and equipment in service
Total assets
LIABILITIES
Current liabilities:
Accounts payable
Other liabilities
Deferred revenues
Total current liabilities
NET ASSETS
Invested in capital assets
Unrestricted
Total Net Assets
CITY OF KENAI, ALASKA
STATEMENT OF NET ASSETS
PROPRIETARY FUNDS
JUNE 3O, 2OO3
Business-type activities - Enterprise Funds
Airport
Terminal
Congregate
Housina
Total
2,157,077
28,265
2,185,342
6,043
3,394,157
215,504
677,376
4,293,080
(2,544,769)
1,748,311
3,933,653
532,812
.
532,812
274,500
4,915,806
5,19O,3O6
(1,351,608)
3,838,698
4,371,510
2,689,889
28,265
2,718,154
28O,543
8,309,963
215,504
677,376
9,483,386
(3,896,377)
5,587,009
$ 8,305,163
29,449
6,003
4,385
39,837
11,235
21,577
.
32,812
40,684
27,580
4,385
72,649
1,748,311
2,145,505
$ 3,893,816
3,838,698
500,000
$ 4,338,698
5,587,OO9
2,645,505
$ 8,232,514
Governmental
Activities -
Internal Service
Fund
Equipment
Rel31acement
1,156,827
.
1,156,827
877,941
.
877,941
(117,834)
760,107
1,916,934
760,107
1,156,827
$ 1,916,934
See Accompanying Notes to Financial Statements
36
CITY OF KENAI, ALASKA
STATEMENT OF REVENUES, EXPENSES
AND CHANGES IN FUND NET ASSETS
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2003
Operating revenues:
Rents and leases
Commissions
Vehicle parking fees
Other revenue
Total operating revenues
Operating expenses:
Personal services
Supplies
Utilities
Repair and maintenance
Insurance
Depreciation
Manager's fee
Miscellaneous
Expenses chargeable from other funds
Total operating expenses
Operating income (loss)
Nonoperating Revenues
Interest revenue
Net income (loss) before transfer
Transfer from (to) General Fund
Change in Net Assets
Net Assets, beginning
Net Assets, ending
Business-type activities- Enterprise Funds
Airport Congregate
Terminal Housincl Total
75,308 $ 240,633 $ 315,941
140,345 - 140,345
67,814 - 67,814
1,551 337 1,888
Governmental
Activities -
Internal Service
Fund
Equipment
Rel~lacement
40,104
285,018 240,970 525,988 40,104
52,710 16,753 69,463
11,795 4,816 16,611
63,235 47,532 110,767
187,667 58,712 246,379
8,300 9,900 18,200
100,498 125,299 225,797
- 18,000 18,000
38,026 1,652 39,678
41,200 15,000 56,200
503,431 297,664 801,095
(218,413) (56,694) (275,107)
40,104
.
.
,..
40,104
66,602 18,164 84'766 37,124
(151,811) (38,530) (190,341) 37,124
(69,946~ (69,946)
(151,811) (108,476) (260,287) 37,124
4,045,627 4,447,174 8,492,801 1,879,810
$ 3,893,816 $ 4,338,698 $ 8,232,514
....
$ 1,916,934
See Accompanying Notes to Financial Statements
3'7
Cash flows from operating activities:
Receipts from Customers
Payments to Suppliers
Payments to Employees
Payments for Interfund Services
Net cash provided (used) by operating activities
Cash flows from investing activities:
Interest on Investments
Cash flows from noncapital financing
activities:
Transfers to General Fund
Cash flows from capital and related
financing activities:
Acquisition of capital assets
Net increase (decrease)in cash and cash
equivalents
Cash and cash equivalents, beginning
Cash and cash equivalents, ending
Reconciliation of operating income to net
cash provided (used) by operating activities:
Operating income
Adjustments To Reconcile Operating Income
(Loss) To Net Cash Provide by (used in)
Operating Activities:
Depreciation
Accounts receivable
Accounts payable
Other liabilities and deferred revenues
Net Cash Provided by (used in)
Operating Activities:
Noncash capital activities:
Purchase of equipment on account
CITY OF KENAI, ALASKA
STATEMENT OF CASH FLOWS
PROPRIETARY FUNDS
YEAR ENDED JUNE 30, 2003
Business-type activities - Enterprise Funds
Airport Congregate
Terminal Housing Total
270,659 $ 239,502
(307,122) (134,937)
(49,252) (16,371)
(41,200) (15,000)
510,161
(442,059)
(65,623)
(56,200)
Governmental
Activities -Internal
Service Fund
Equipment
Replacement
40,104
(126,915) 73,194 (53,721) 40,104
66,602 18,164 84,766 37,124
(69,946)
(69,946)
(276,326)
(60,313) 21,412 (38,901) (199,098)
2,217,390 51 t ,400 2,728,790 1,355,925
2,689,889
2,157,077 $ 532,812
(275,107)
(218,413) $ (56,694)
100,498 125,299 225,797
(12,680) - (12,680)
2,000 5,630 7,630
1,680 (1,041) 639
- $
(53,721)
(126,915) $ 73,194
26,768
26,768 $
1,156,827
40,104
-
.
.
40,104
See Accompanying Notes to Financial Statements
38
FOOTNOTES TO FINANCIAL STATEMENT
CITY OF KENAI
NOTES TO FINANCIAL STATEMENTS
JUNE 30, 2003
SUMMARY OF SIGNIFICANT ACCOUNTING POLICIES
A. Reporting Entity
The City of Kenai (City) was formed by a Home Rule Charter on May 20, 1963 under the provisions of
Alaska Statute, Title 29, as amended. The City operates under a council-manager form of government and
provides the following services: public safety (police and fire), public improvements, airport, dock facility,
water and sewer, library, senior citizen, recreation, parks, planning and general administrative services.
The financial statements of the City have been prepared in conformity with accounting principles generally
accepted in the United States of America (GAAP) as applied to government units' The Governmental
Accounting Standards Board (GASB) is the accepted standard-setting body for establishing governmental
accounting and financial reporting principles. The more significant accounting principles of the
government are described below.
B. City-Wide and Fund Financial Statements
The City-wide financial statements (i.e., the statement of net assets and the statement of activities) report
information on all activities of the City. Governmental activities, which normally are supported by taxes
and intergovernmental revenues along with user fees, are reported separately from the business-type
activities, which rely to a significant extent on fees and charges for support. The effect of any interfund
activity, for the most part, has been removed from these statements. The statement of activities
demonstrates the degree to which the direct expenses of a given function or segment are offset by program
revenues. Direct expenses are those that are clearly identifiable with a specific function or segment.
Program revenues include charges to customers or applicants who use, purchase, or directly benefit from
the goods, services or privileges provided by a given segment or function and includes restricted grants and
contributions that are restricted to meeting the operations or capital requirements of a particular function or
segment. Taxes and other items not properly included in program revenues are reported as general
revenues. Major individual governmental and proprietary funds are reported as separate columns in the
fund financial statements.
C. Measurement focus and basis of accounting and financial statement presentation
The City-wide financial statements are reported using the economic resources measurement focus and the
accrual basis of accounting as are the proprietary fund statements. Revenues are recorded when earned
and expenses are recorded when a liability is incurred, regardless of the timing of cash flows. Grants and
similar programs are recognized as revenue as soon as all eligibility requirements imposed by the provider
have been met. Net assets are reported as restricted when constraints placed on the net asset use are either
externally imposed by creditors, grantors, contributors, or laws or regulations of other governments are
imposed by law through constitutional provisions or enabling legislations.
Governmental fund type financial statements are reported using the current financial resources
measurements focus and the modified accrual basis of accounting. Revenues are recognized as soon as
they are both measurable and available. Revenues are consi~dered to be available when they are collectible
in the current period or soon enough thereafter to pay liabilities of the current period. For this purpose, the
City considers revenues to be available if they are collected within 60 days of the end of the current fiscal
period. Expenditures are generally recorded when a liability is incurred, as under accrual accounting.
However, debt service expenditures, as well as expenditures related to claims and judgments, are recorded
only when payment is due.
39
Franchise taxes, licenses, and interest associated with the current fiscal period are all considered to be
susceptible to accrual and so have been recognized as revenues of the current fiscal period. Only the
portion of special assessment receivables due within the current fiscal period is considered to be susceptible
to accrual as revenue of the current period. All other revenue items are considered to be measured and
available only when cash is received by the government.
The City reports the following major governmental funds:
The General Fund is the Borough's primary operating fund. It accounts for all financial resources
of the general government, except those required to be accounted for in another fund.
The Water and Sewer Special Revenue Fund accounts for the activities of providing water and
sewer to city residents. It relies on user fees to finance its operations.
The Airport Land System Special Revenue Fund accounts for activities of the airport except for
terminal activities and land sales. It relies on user fees and investment interest to finance
operations.
The Airport Land Sales Permanent Fund accounts for sales of airport land. All principal proceeds
of any land sold are held in this fund and may not be spent. Interest earned on land sale contracts
is transferred to the Airport Land System Special Revenue Fund. Investment interest generated by
the cash balance of this fund is recorded in the Airport Land System Special Revenue Fund.
Additionally the City reports the following fund types'
Proprietary Funds - the City uses two enterprise funds to account for activities that are intended to be
supported by user fees. The Terminal Enterprise Fund accounts for' the activities of the airport terminal.
The Congregate Housing Enterprise Fund accounts for the activities of the senior housing project.
Internal Service Fund- the Equipment Replacement Fund is an internal service fund. It accounts for the
purchase of equipment costing more than $50,000 that will be used by General Fund departments on a cost-
reimbursement basis.
Private-sector standards of accounting and financial reporting issued prior to December 1, 1989, generally
are followed in both the City-wide and proprietary fund financial statements to the extent that those
standards do not conflict with or contradict guidance of the Governmental Accounting standards Board.
The City has the option of following subsequent private-sector guidance for their business-type activities
and enterprise funds, subject to this same limitation. The city has elected not to follow subsequent private-
sector guidance.
As a general rule the effect of interfund activity has been eliminated from the City-wide financial
statements. Exceptions to this general rule are charges between the City's enterprise functions and various
other functions of the City. Elimination of these charges would distort the direct costs and Program
revenues reported for the various functions concerned.
Amounts reported as program revenues include 1) charges to customers or applicants for goods, services,
or privileges provided, 2) operating grants and contributions, and 3) capital grants and contributions,
including special assessments. Internally dedicated resources are reported as general revenues rather than
as program revenues. Likewise, general revenues include all taxes.
Proprietary funds distinguish operating revenues and expenses from nonoperating items. Operating
revenues and expenses generally result from providing services and producing and delivering goods in
connection with a proprietary fund's principal ongoing operations. The principal operating revenues of the
enterprise fund and of the City's internal service fund are charges to customers for sales and services.
Operating expenses for enterprise funds and internal service fund include the cost of sales and services,
40
administrative expenses, and depreciation on capital assets. All revenues and expenses not meeting this
definition are reported as nonoperating revenues and expenses.
When both restricted and unrestricted resources are available for use, it is the City's policy to use restricted
resources first, then unrestricted resources as they are needed.
Use of accounting estimates' The preparation of financial statements in accordance with accounting
principles generally accepted in the United States of America requires management to make estimates and
assumptions that affect the reported amounts of assets and liabilities and disclosure of contingent assets and
liabilities at the date of the financial statements and the reported revenues and expenses during the
repOrting period. Actual results could differ from those estimates.
D. Assets, liabilities and net assets or equity
1. Cash and cash equivalents
The City maintains a central treasury for most of its cash and cash equivalents, which is utilized by all
funds. For the purposes of these financial statements, the City of Kenai considers highly liquid investments
that are readily convertible to cash, with an original maturity of three months or less, to be cash equivalents.
Investment income is recorded in the general fund, except that interest earned on cash held in the water and
sewer special revenue fund, the airport land system special revenue fund (including cash in the airport land
sales trust fund and airport related capital project funds), the airport terminal and congregate housing
enterprise funds and the internal service fund is recorded in these funds.
2. Inventories
Inventories are valued at cost, which approximates market, using the first-in/first-out method. The costs of
inventories are recorded using the consumption method.
3. Receivables and payables
Activity between funds that are representative of lending/borrowing arrangements outstanding at the end of
the fiscal year are referred to as either "due to other funds" or "due from other funds" (i.e., the current
portion of interfund loans).
4. Restricted assets
Monies or other resources, the use of which is restricted by legal or contractual requirements are recorded
as restricted assets.
5. Capital assets
Capital assets, which include property, plant, equipment, and infrastructure assets (e.g., roads, bridges,
sidewalks, and similar items), are reported in the applicable governmental or business type activities
columns in the City-wide financial statements. Capital assets are defined by the City as assets with an
initial, individual cost of more than $5,000. Such assets are recorded at historical cost or estimated
historical cost if purchased or constructed. Donated capital assets are recorded at estimated fair value at the
date of donation.
The costs of normal maintenance and repairs that do not add to the value of the asset or materially extend
assets lives are not capitalized.
Major outlays for capital assets and improvements are capitalized as projects are constructed.
43.
Property, plant, and equipment of the City, is depreciated using the straight line method over the following
estimated useful lives:
Assets Years
Buildings costing more than $50,000 50
Buildings costing less than $50,000 25
Building improvements 25
Water and sewer infrastructure 50
Street infrastructure 30
Heavy equipment 20
Other equipment 10
Office equipment 5
6. Compensated absences
It is the City's policy to permit employees to accumulate earned but unused vacation benefits. The City
makes annual appropriations for the full amount of leave accrued, which is available to employees at
essentially their discretion. Each employee is allowed to accumulate up to 80 days of annual leave at the
end of a calendar year, with any excess accumulation paid in cash in the following January. All vacation
pay is accrued when incurred in the City-wide and proprietary fund financial statements. A liability for
these amounts is reported in governmental funds only if leave has been used but not yet paid.
7. Long-term obligations
In the City-wide financial statements, and proprietary fund types in the fund financial statements, long-term
debt and other long-term obligations are reported as liabilities in the applicable governmental activities,
business-type activities, or proprietary fund type statement of net assets. In the fund financial statements,
governmental fund types recognize long-term debt obligations only when due. ~
8. Fund equity
In the fund financial statements, governmental fund types report reservations of fund balance for amounts
that are not available for appropriation or are legally restricted by outside parties for use for a specific
purpose. Designations of fund balance represent tentative management plans that are subject to change.
9. Accounting changes
Effective fiscal year 2003, the City has implemented GASB 34, Basic Financial Statements-
Management's Discussion and Analysis- for State and Local Governments; GASB 37, Basic Financial
Statements- Management's Discussion and Analysis- for State and Local Governments' Omnibus and
GASB 38, Certain Financial Statement Note Disclosures. Implementation of these statements required
extensive changes to the City's comprehensive annual financial report as well as revision of beginning fund
balance of all governmental type funds that previously reported a liability for compensated absences. The
new requirements do not allow such liabilities in the fund financial statements. These liabilities are now
reported in the entity wide financial statements. Details of the accounting changes made are reported on
the face of the fund financial statements.
II.
STEWARDSHIP, COMPLIANCE, AND ACCOUNTABILITY
A. Budgetary information
Annual budgets are adopted on a basis consistent with accounting principles generally accepted in the
United States of America for all governmental fund types, except the Capital Project Funds which adopt
project-length budgets. All annual appropriations lapse at a fiscal year end.
42
Budgets for the general fund, special revenue funds, debt service funds, permanent funds and enterprise
funds are annual budgets. Capital project fund budgets are project-length budgets. All budgets are adopted
on a basis consistent with generally accepted accounting principles. The Equipment Replacement Fund,
which is an internal service fund, is not required to have a budget. The council approves all asset
acquisitions from this fund by resolution. The 1974 Advance Refunding Debt Service Fund did not require
a budget to be adopted.
Annual budgets must be submitted to the City Council by the City Manager during or prior to the sixth
week preceding the first day of each fiscal year. The City Council must adopt an annual budget and set the
tax rates not later than the tenth day of June for the following year.
Budgetary control (the level at which expenditures may not exceed budget) is maintained at the object class
level by the encumbrance of estimated purchase amounts prior to the release of purchase orders to vendors.
Purchase orders which would result in an overrun of object class balances are not released until additional
appropriations are made available.
Amendments to appropriations may be made by the city administration by transfers within a fund in
amounts less than $2,500. Other amendments, including supplemental appropriations, may be made by the
City Council. The City Council authorized supplemental appropriations during the year in capital projects
funds and the general fund. General fund supplemental appropriations were $706,668. The majority
($511,128) of this was to provide adequate funding in the debt service funds to cover prior deficits and
future debt service. The remainder was for transfers to capital projects and for various other expenditures.
Encumbrance accounting is employed in governmental funds. Encumbrances (e.g., purchase orders,
contracts) outstanding at year end are reported as reservations of fund balances and do not constitute
expenditures or liabilities. These commitments will be reappropriated and honored during the subsequent
year.
III. DETAILED NOTES ON ALL FUNDS
A. Deposits and investments
The City maintains a central treasury that is available for use by all funds. Each fund type's portion of the
central treasury is displayed on the combined balance sheet as "Equity in Central Treasury".
At year-end, all of the City's bank deposits were either insured or collateralized with securities held by the
City's agent in the City's name.
The City's investment policy authorizes the City to invest in: (a) obligations of the United States or an
agency or instrumentality of the United States; (b) certificates of deposit with banks and savings and loan
associations; (c) repurchase agreements; (d) money market mutual funds consisting primarily of
obligations of the United States or an agency or instrumentality of the United States, or repurchase
agreements collateralized with such obligations; and (e) the Alaska Municipal League Investment
Pool(AMLIP). Generally, investment maturities cannot exceed five years from the date of purchase.
Repurchase agreements must be collateralized with United States government obligations. Certificates of
deposit must be insured or collateralized with obligations of the United States or its agencies or
instrumentalities. Collateral must be held by a third party trustee. The City complied with its investment
policy throughout the year.
The AMLIP is an external investment pool which is not SEC registered. Alaska Statute 37.23 establishes
regulatory oversight of the pool. The law sets forth numerous requirements regarding authorized
investments and reporting. On a monthly basis the investments in the pool are reviewed for fair value by
43
an independent pricing service. At June 30, 2003 the value of investments in the AML pool are
approximately equal to fair value.
The fair value of the City's investments at year-end are shown below. GASB Statement 3 establishes
categories as an indication of the level of custodial risk involved in the investments. The A.M.L. Pool is
uncategorized. All of the City's_ remaining investments are in the category of least risk and include
investments that are insured or registered in the City's name, or securities that are held by the City or its
agent in the City's name. All of the United States treasury bills, treasury notes, and United States agency
securities are held in a custodial account in the Well's Fargo Trust Department, and are recorded in its
internal records in the City's name in accordance with a safekeeping agreement. Well's Fargo is not a
counter party to security transactions.
Fair Value
U.S. agency securities
A.M.L. investment pool
Total investments
$ 26,458,391
4,106,111
$ 3O,564,5O2
In compliance with current banking contracts, the City maintains a $450,000 compensating balance in the
form of a non-interest bearing certificate of deposit, as well as a $20,000 interest-bearing certificate of
deposit. The City also maintains an interest bearing checking account, which had a bank balance of
$2,375,848 and a carrying value of $2,207,402 at year end. These deposits are insured for the first
$100,000 and the balance is collateralized by securities held by a third party custodian in the City's name.
B. Receivables
Receivables at June 30, 2003, for the City's individual major funds, the nonmajor and other governmental
funds in the aggregate, and the proprietary funds are as follows:
Taxes
Intergovernmental
Customers and other
Special assessments
Land contracts
Accrued interest
Total receivables
Less allowance for uncollectibles
Net receivables
Water & Airport Land
General Sewer System
$ 742,7OO $ - $ _
141,523 - 7,000
235,858 116,555 32,168
197,588 103,647 -
64,853 - _
201,151 - _
1,583,673 220,202 39,168
(216,456) (10,000) -
$1;367,217 $ 210,202 $ 39,168
Intergovernmental
Notes
Customers
Special Assessments
Interest Receivable
Total receivables
Airport Land Nonmajor and
Sales Other Funds Proprietary
$ - $ 69,371 $ -
391,080 137,148 -
- - 28,265
- 102,956 -
560 5,909 -
$ 391,640 $ 315,384 $ 28,265
C. Capital Assets
Capital asset activity for the year ended June 30, 2003 was as follows'
Governmental Activities:
Capital assets, not being depreciated:
Land $
Construction in progress
Total capital assets, not
being deprecreciated
Beginning Ending
Balance Increases Decreases Balance
7,085,481 $ - $ (828,778) $ 6,256,703
8,423,525 1,011,782 - 9,435,307
15,509,006 '1,011,782 . (828,778) 15,692~010
Capital assets, being depreciated:
Buildings,
Improvements other than buildings
Machinery and Equipment
Infrastructure
Total capital assets being
depreciated
34,381,047 8,695 - 34,389,742
22,041,000 25,397 - 22,066,397
12,048,280 132,394 (85,263) 12,095,411
55,479,018 - - 55,479,018
123,949,345 166,486 (85,263) 12,4,030,568
Less accumulated depreciation for:
Buildings
Improvements other than buildings
Machinery and equipment
Infrastructure
Total accumulated depreciation
Total capital assets, being
depreciated, net
(7,198,769) (518,968) - (7,717,737)
(7,805,982) (508,374) - (8,314,356)
(4,349,560) (515,742) 85,263 (4,780,039)
(15.,3.03,928) (858,382) - (16,162,310)
(34,658,239) (2,401,466) 85,263 (36,974,442)
, 89,291,106 (2,234,980) - 87,056,126
Governmental activities, capital
assets, net
1 O4.. 800,112
$ fl,223,198) $ (828,778) .$102,748,136
45
Internal service funds serve the governmental funds; therefore, their capital assets are included as part of
the above totals for governmental activities.
Business-type Activities:
Capital assets, not being
depreciated: Land
Capital assets, being depreciated:
Buildings
Equipment
Improvements other than buildings
Total capital assets being
depreciated
Less accumulated depreciation for:
Buildings
Improvements other than buildings
Machinery and equipment
Total accumulated depreciation
Total capital assets, being
depreciated, net
Business-type activities, capital
assets, net
Beginning Ending
Balance Increases Decreases Balance
$ 280,543 $ - $ - $ 280,543
8,309,963 - - 8,309,963
188,736 .26,768 - 215,504
677,376 - - 677,376
9,176,075 26,768 - . 9,202,843
(2,991,444) (84,501) (3,075,945)
(677,376) - - (677,376)
. (127,059) .. (15,997) - .. (143,056)
(3,795,879) .. (100,498) - (3,896,377)
5,380,196 (73,730) - 5,306,466
,,$ 5,660,739 $ (73,730) ,$ - $ 5,587,009
D. Defined Benefit Pension Plan
Description of Plan
The City participates in the Public Employees' Retirement System (PERS), an agent multiple employer plan
which covers eligible State and local government employees. The plan was established and is administered
by the State of Alaska to provide pension, post employment healthcare, death, and disability benefits.
Benefit and contribution provisions are established by State law and may be amended only by the State
Legislature.
The plan is included in a comprehensive annual financial report that includes financial statements and other
required supplemental information. The report is available at the following address:
Department of Administration
Division of Retirement and Benefits
P.O. Box 110203
Juneau, Alaska 99811-020
Funding Policy
For PERS, employees are required to contribute 6.75% (7.5% for peace officers and firefighters) of their
annual covered salary. Under the plan, the funding policy provides for periodic employer contributions at
actuarially determined rates that, expressed as a percentage of annual covered payroll, are sufficient to
accumulate sufficient assets to pay both pension and post employment healthcare benefits when due. The
City's current contribution rate for PERS follows'
Pension 1.64%
Post Employment Healthcare .99%
Total contribution rate 2.63%
Under the plan, employer contribution rates are level percentages of payroll and are determined using the
projected unit credit actuarial funding method. The plan uses the level dollar method to amortize the
unfunded liability over an open, rolling twenty-five year period. Funding surpluses are amortized over five
years.
Annual Pension Cost
For the year ended June 30, 2003, the City's annual pension cost of $127,805 for PERS was equal to its
required and actual contributions.
The required contribution was determined as part of the June 30, 2001 actuarial valuation. The significant
actuarial assumptions used in the valuation of the plan follow:
o
,
,
o
Investment return of 8.25% per annum, compounded annually, net of expenses;
Projected salary increases of 6'.0% for the first five years of employment for police and
fire and 5.5% for the first 10 years of employment for all others;
Health cost inflation of 12% in 2003 - 05 and decreasing .5% annually until 2017 at
which time it is assumed to be 5%;
Total inflation, as measured by the Consumer Price Index for urban and clerical workers
for Anchorage, is assumed to increase 3.5% annually; and
Asset valuation - assets are valued at fair value; the asset valuation method recognizes
20% of the investment gain or loss in each of the current and preceding four years.
Three-year trend information for PERS follows:
Fiscal Annual Percentage Net
Year Pension of APC Pension
Ending Cost (APC) Contributed · Obligation
June 30, 2001 94,095 100%
June 30, 2002 126,541 100%
June 30, 2003 127,805 100%
47
A schedule of funding progress for PERS for the three most recent actuarial valuations follows (in
thousands)'
Unfunded
Actuarial Actuarial Actuarial (Assets in
Valuation Value of Accrued Excess of) Funded
Date Assets Liability Liability Ratio
June 30, 1999:
Pension
Post Employment
Healthcare
Unfunded
(Assets in Excess of)
Covered Liability as Percentage
~ Of Covered Payroll
$19,354 $17,065 $(2,289) 113% $4,351 (53%)
7,846 6,919 (927) 113% 4,351 (21%)
June 30, 2001
Pension 22,213 20,868 (1,345) 106% 4,392 (31%)
Post Employment
Healthcare 9,405 8,835 (570) 106% 4,392 (13%)
June 30, 2002
Pension 18,255 22,882 4,627 80% 4,926 94%
Post Employment
Healthcare 11,092 13,903 2,811 80% 4,926 57%
E,
Changes in Long-Term Debt
The following is a summary of general long-term obligation transactions of the City for the year ended June
30, 2003
General long-term debt, July 1, 2002
Bonds retired
General long-term debt, June 30, 2003
$ 1,860,000
(160,000)
$ 1,700,000
General obligation bonds payable at June 30, 2003 are comprised of the following individual issue:
$1,430,000 of 1993 advance refunding serial bonds
that will be primarily repaid through special
assessment collections, but have full government
commitment, due in annual installments of $20,000
to $195,000 through October 1, 2004; interest at
2.75% to 5.35%
$ 300~000
Other long-term debt is a loss contingency of $1,400,000 for contaminated soils.
The annual requirements to pay all general obligation bonds outstanding as of June 30, 2003, including
interest payments of $15,975 are as follows:
Fiscal Years Ending
2004
2005
$161,962
154,013
$315,975
Interest expense is included in the functional category of public works on the Statement of Activities.
48
F. Interfund receivables, payables and transfers
The General Fund made short-term loans to the Senior Employment Program fund of $2,066 and the
Council on Aging fund of $13,923 to cover cash needs of these funds while awaiting payments on grants.
Transfers between funds were as follows:
Transfers Out: Tranfers in:
Airport Nonmajor
Land Governmental
General Fund System Funds Total
Major Funds
General Fund $ 835,001 $
Water and Sewer 955,000
Airport Land System 29,844
Airport Land Sales 26,592
Nonmajor Governmental Funds 25,930
Congregate Housing Facility 69,946
Total $ 1,942,313 $
- $ 967 $ 834,034 $ 835,001
- - 955,000 955,000
- - 29,844 29,844
- 26,592 - 26,592
25,930 - - 25,930
69,946 - - 69,946
95,876 $ 27,559 $ 1,818,878 $ 1,942,313
G. Risk management
The City is exposed to various risks of loss related to torts; theft of, damage to, and destruction of assets;
errors and omissions; injuries to employees; environmental contamination; and natural disasters. Risk
financing activities are accounted for in various operating funds, with unallocated or Citywide activities
being accounted for in the general fund. The City purchases commercial insurance to transfer a substantial
portion of the above risks of loss. Property insurance is purchased to provide coverage for buildings and
heavy equipment, generally with deductibles of $25,000. Various liability insurance policies are purchased
to provide protection against torts, injuries, and errors and omissions. Most liability policies are written
with low or zero deductibles. In addition to the deductibles on insurance policies, the City retains risk of
loss related to certain potential liabilities and property damages. These include environmental liabilities,
employment discrimination, and vehicle property losses. Settled claims have not exceeded commercial
coverage in any of the past three fiscal years. The City analyzes potential losses on a case-by-case basis to
determine amounts that should be accrued or disclosed in the financial statements. At June 30, 2003, the
City has recorded a liability in the general long-term debt account group in recognition of certain losses
related to contaminated soil remediation. The City has retained the risk of loss for such exposures. There
has been no change in the balance of claims liabilities during the past year as indicated by the following
table.
Beginning of End of
The Fiscal Year Current Year Claim Fiscal Year
Liability Claims payments Liability
FY2001 $1,400,000 - - $1,400,000
FY2002 $1,400,000 - - $1,400,000
FY2003 $1,400,000 - - $ 1,400,000
H. Contingencies
The City is involved in several lawsuits arising in the ordinary course of operations, including actions
commenced and claims asserted against it. Management of the City does not believe that the ultimate
resolution of these lawsuits and claims will have any material effect upon its financial position or results of
operations, and therefore, no provision has been made in the accompanying financial statements.
This page intentionally left blank
50
NON-MAJOR GOVERNMENTAL FUNDS
_
Nonmajor Government Funds
Special Revenue Funds
Special Revenue funds are used for specific revenues that are legally restricted to expenditures
for a specific purpose.
Dock Facility Fund - This fund consists of a dock, parking area, and other facilities on the Kenai
River primarily of service to the commercial fishing industry. Significant revenue sources include
a transfer from the General Fund, rents, fuel sales, and wharfage fees.
Kenai Borough Senior Citizens Fund - This fund accounts for revenues and expenditures
related to the Senior Citizens Program. The primary source of revenue is a grant from the Kenai
Peninsula Borough.
Senior Employment Program Fund - This fund provides on the job work experience for persons
55 years or older and encourages employment in the private sector. The primary revenue source
is a State of Alaska grant.
Council On Aging Fund - This fund accounts for the activities of the Senior Citizen Program
which is substantially financed by a grant from the State of Alaska (from federally financed
sources). ActivitieS include social services and a nutrition program.
Debt Service Funds
Debt Service Funds are established to account for the accumulation and disbursement of money
needed to comply with the interest and principal redemption requirements for the general
obligation bonds issued. Debt related to the 1974 Advance Refunding Debt Service Fund has
been retired. The 1984/1986/1993 Special Assessment Debt Service Fund is intended to be
financed by special assessments; however, due to delinquencies the General Fund has had to
cover the debt service.
1974 Advance Refunding Debt Service- all debt is paid off on this special assessment issue.
The fund is closed as of June 30, 2003
1984186/93 Special Assessment Debt Service - to accumulate funds for payment of an
advance refunding bond issued in 1993 to defease prior special assessment bonds.
Date of Interest Maturity Annual Outstanding
Issue Issued Rate Dates Installments June 30, 2003
10/1/93 $1,430,000 2.75% to 5.35% 1994-2004 $20,000 to $195,000 $300,000
51
Capital Project Funds
Capital Projects Funds are established to account for the resources expended to acquire assets
of a relatively permanent nature. These funds evolved from the need for special accounting for
bond proceeds, grants and contributions for the acquisition of capital assets.
Capital Projects Funds provide a formal mechanism which enables administrators to ensure that
revenues dedicated to a certain purpose are used only for that purpose and further enables them
to report to creditors and other grantors of capital projects fund revenue, that their requirements
regarding the use of the revenue were fully satisfied.
Parks And Recreation - to account for capital improvements to City parks and recreation
facilities. Financing is primarily from general fund transfers and State grants.
Streets - to account for capital improvements to City streets. Financing is primarily from general
fund transfers, grants from State and Federal sources and bonds.
Airport Improvements - to account for capital improvements to City owned airport facilities.
Financing is primarily from 'transfer from the Airport Land System Special Revenue Fund and
State and Federal grants.
Water And Sewer - to account for capital improvements to City water and sewer infrastructure
and the sewer treatment facilities. Financing is from user fees via transfers from the Water and
Sewer Special Revenue Fund, State and Federal grants and bonds.
Miscellaneous - to account for capital projects which do not fit in one of the foregoing categories.
These projects are generally smaller projects which may be funded through transfers from other
funds or by State or Federal grants.
Permanent Funds
Permanent Funds are used to report resources that are legally restricted to the extent that only
earnings, and not principal, may be used.
General Government Land Sales - to account for the proceeds of general government land
sales, including principal and interest on long-term notes. By City Charter, the principal cannot be
spent. Interest revenue is transferred to the General Fund.
52
City of Kenai, Alaska
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2003
Special Revenue
ASSETS
Dock
Facility
Borough
Senior
Citizens
Senior
Employment
Program
Council
on
Aging
Equity in central treasury
Intergovernmental Receivable
Notes receivable
Special assessments receivable'
Inventory
Other accounts receivable: net
Total assets
$ 30,890
.
.
.
16,446
.
$ 47,336
$ 116,802
.
.
.
-
.
2,066
$ 116,802 $ 2,066
, ,
23,772
23,772
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable
Customer deposits
Due to General Fund
Sales tax
Deferred revenue
Total liabilities
Fund balances:
Reserve for encumbrances
Reserve for inventory
Reserve for investment
Unreserved:
Designated for subsequent
year's expenditures
Designated for compensated
absences
Undesignated
Total fund balances
Total liabilities and fund balances
$ 1,185 $ 3,133
.- 6,335
. .
284 134
. .
1,469
25,023
16,446
.
2,879
1,519
45,867
47,336
9,602
850
-
.
3,404
4,074
98,872
107,200
$ 116,802
2,066
-
2,066
$ 2,066
13,923
.
-
13,923
9,849
9,849
23,772
53'
ASSETS
Equity in central treasury
Intergovernmental Receivable
Notes receivable
Special assessments receivable
Inventory
Other accounts receivable: net
Total assets
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable
Customer deposits
Due to General Fund
Sales tax
Deferred revenue
Total liabilities
Fund balances:
Reserve for encumbrances
Reserve for inventory
Reserve for investment
Unreserved:
Designated for subsequent
year's expenditures
Designated for compensated
absences
Undesignated
Total fund balances
Total liabilities and fund balances
City of Kenai, Alaska
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2003
Capital Proiects
Parks and
Recreation
$ 71,702
.
.
.
.
.
$ 71,702
Airport
,, Streets .... Improvements
$ 222,578 $ 209,898
4,001 18,125
- _
- _
- .
- _
$ 226,579 $ 228,023
175
-
.
.
.
175
$ 5,715
.
.
.
.
5,715
57,280
.
-
.
.
57,280
71,527
71,527
$ 71,702
220,864
220,864
$ 226,579
170,743
170,743
228,023
Water
and
Sewer
.....
$ 1,122,340
21,407
.
.
-
.
$ 1,143,747
Miscellaneous
12,936
-
.
-
.
.
$ 12,936
1,143,747
1,143,747
$ 1,143,747
,,
12,936
12,936
12,936
54
ASSETS
Equity in central treasury
Intergovernmental Receivable
Notes receivable
Special assessments receivable
Inventory
Other accounts receivable: net
Total assets
LIABILITIES AND FUND BALANCES
Liabilities:
Accounts payable
Customer deposits
Due to General Fund
Sales tax
Deferred revenue
Total liabilities
Fund balances:
Reserve for encumbrances
Reserve for inventory
Reserve for investment
Unreserved:
Designated for subsequent
year's expenditures
Designated for compensated
absences
Undesignated
Total fund balances
Total liabilities and fund balances
City of Kenai, Alaska
Combining Balance Sheet
Nonmajor Governmental Funds
June 30, 2003
Debt Service
1974
Advance
Refunding
1984/1986/1993
Special
Assessment
$ - $ 317,488
-
-
- 102,956
. .
-
$ - $ 420,444
102,956
102,956
317,488
317,488
420,444
Permanent
General
Government
Land Sales
2,110,176
.
137,148
-
.
5,909
$ 2,253,233
137,148
137,148
2,116,085
2,116,085
$ 2,253,233
Total
Nonmajor
Governmental
Funds
4,214,810
43,533
137,148
102,956
16,446
31,747
4,546,640
67,488
6,335
15,989
418
240,104
330,334
25,873
16,446
2,116,085
1,940,709
16,802
100,391
4,216,306
$ 4,546,64O
55
City of Kenai, Alaska
Combining Statement of Revenues, Expenditures
And Changes in Fund Balance
Nonmajor Governmental Funds
For the Year Ended June 30, 2003
Special Revenue
Revenues:
Intergovernmental Revenues
Charges for Services
Special Assessments
Interest
Land Sales
Miscellaneous Revenues
Total Revenues
Other Financing Sources:
Transfers in
Total Revenues and Other Sources
Expenditures:
Water and Sewer Services
Airport
Boating Facility
Social Welfare Services
Debt Service
Parks and Recreation
Streets
General Government
Total Expenditures
Other Financing Uses: Transfers Out
Borough Senior
Dock Senior Employment
Facility Citizens Program
.....
- $ 83,4O5
39,191 65,679
-
40,837
22,043
.
Council
on
Aging
144,243
.
126,149
80,028 149,084 22,043 270,392
- 23,617
80,028 172,701
127,725
.
22,043
22,043
.
22,043
Total Expenditures and Other
Financing Uses
127,725
154,261
.
22,043
Excess of Revenues and Other Sources
Over (Under) Expenditures and Other
Uses
127,725
154,261
Fund Balances - July 1
Cumulative effect of a change in
Accounting principle on beginning
fund balance
(47,697)
91,638
154,261
18,440
Fund Balances- June 30
1,926
85,309
3,451
$ 45,867, $ ,!07,,200
27O,392
275,013
.
275,013
275,013
(4,621)
619
13,851
9,849
City of Kenai, Alaska
Combining Statement of Revenues, Expenditures
And Changes in Fund Balance
Nonmajor Governmental Funds
For the Year Ended June 30, 2003
Capital Proiects
Revenues:
Intergovernmental Revenues
Charges for Services
Special Assessments
Interest
Land Sales
Miscellaneous Revenues
:,
Total Revenues
Other Financing Sources:
Transfers in
Total Revenues and Other Sources
Parks and Airport
Recreation Streets Improvements
$ - $ 110,802
. .
.
.
.
.
- 110,802
32,000 61,102
32,000 171,904
Water
and
Sewer
$ 607,782 $ 75,573
. .
Miscellaneous
6,866
.
Expenditures:
Water and Sewer Services
Airport
Boating Facility
Social Welfare Services
Debt Service
Parks and Recreation
Streets
General Government
Total Expenditures
Other Financing Uses:
Transfers Out
33,048 -
- 158 288
.
33,048 158,288
.
607,782 75,573 6,866
49,844 950,000
657,626 1,025,573
Total Expenditures and Other
Financing Uses
- 120,862
715,797 -
.
Excess of Revenues and Other Sources
Over (Under) Expenditures and Other
Uses
6,866
Fund Balances- July 1
34,521
Cumulative effect of a change in
Accounting principle on beginning
fund balance
Fund Balances- June 30
715,797 120,862 34,521
33,048 158,288 715,797 120,862 34,521
(1,048) 13,616 (58,171) 904,711 (27,655)
72,575 207,248 228,914 239,036 40,591
$ 71,527 $ 220,864 $ 170,743 $ 1,143,747
$ 12,936
5?
City of Kenai, Alaska
Combining Statement of Revenues, Expenditures
And Changes in Fund Balance
Nonmajor Governmental Funds
For the Year Ended June 30, 2003
Debt Service
Permanent
Revenues:
Intergovernmental Revenues
Charges for Services
Special Assessments
Interest
Land Sales
Miscellaneous Revenues
Total Revenues
Other Financing Sources:
Transfers in
Total Revenues and Other Sources
Expenditures:
Water and Sewer Services
Airport
Boating Facility
Social Welfare Services
Debt Service
Parks and Recreation
Streets
General Government
Total Expenditures
Other Financing Uses: Transfers Out
1974
Advance
Refunding
1984/198611993
Special
Assessment
- 1,513
-
-
.
- 1,513
11,167 691,148
11,167 692,661
.
.
.
- 180,020
.
.
,. .,.
- 180,020
-
General
Government
Land Sales
....
18,718
79,690
98,408
98,408
25,930
Total Expenditures and Other
Financing Uses
180,020
25,93O
Excess of Revenues and Other Sources
Over (Under) Expenditures and Other
Uses
11,167
512,641
72,478
Fund Balances- July 1
Cumulative effect of a change in
Accounting principle on beginning
fund balance
(11,167)
(195,153)
2,O43,6O7
Fund Balances - June 30
$ 317,488
$ 2,116,085
Total
Nonmajor
Governmental
Funds
$ 1,050,714
104,870
1,513
18,718
79,69O
166,986
1,422,491
1,818,878
3,241,369
120,862
715,797
127,725
451,317
180,020
33,048
158,288
34,521
1,821,578
25,930
1,847,508
1,393,861
2,803,217
19,228
$ 4,216,306
58
CITY OF KENAI, ALASKA
DOCK FACILITY SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES'
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Revenues:
Rents and leases
Petroleum sales
Wharfage
Other revenue
Total revenues
Other financing sources -
Transfers from:
General fund
Total revenues and other sources
Final June 30, 2003
Budget Actual
23,500 $ 19,050
35,000 21,787
3,OOO 2,284
31,500 36,907
Variance-
Favorable
(Unfavorable)
(4,450)
(13,213)
(716)
5,407
93,000 80,028 .... (12,972)
16,000
109,000 80,028
... (16,000)
(28,97.2)
Expenditures - boating facility:
Personal services 57,671 62,215 (4,544)
Supplies 44,340 25,587 18,753
Other services and charges 54,550 27,823 26,727
Expenditures chargeable from
other funds 12,100 12,100 -
Total expenditures
Excess of revenues and other sources
over (under) expenditures and
other uses
168,661 127,725 40,936
$ (59,661.) (47,697) $~ ...... ! !.,.964:
Fund balance, July I
Cumulative effect of a change in Accounting
Principle on beginning fund balance
91,638
1,926
Fund balance, June 30
$ ..45, 8.6.7__
59
CITY OF KENAI, ALASKA
KENAI BOROUGH SENIOR CITIZENS SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Revenues:
Intergovernmental revenue-
Kenai Peninsula Borough grants
Miscellaneous revenues:
United Way grants
Rents and leases
Donations
Other
Total miscellaneous revenues
Total revenues
Other financing sources -
Transfer from General Fund
Total revenues and other sources
Final June 30, 2003
Budget Actual
_ _
$ 83,405 $ 83,405
Variance.
Favorable
('Unfavorable)
20,700 20,700 -
18,000 21,074 3,074
26,000 23,647 (2,353)
- 258 258
64,7OO 65,679
148,105 149,084
979
979
24,000 23,617 __ (383)
172,105 172,701
596
Expenditures. social welfare services:
Personal services 74,005 65,557 8,448
Supplies 20,245 14,291 5,954
Other services and charges 53,323 47,346 5,977
Capital outlays 30,500 27, 067 3,433
Total expenditures
Other financing uses-
Transfers to
Special revenue funds
Total expenditures and other uses
178,073 154,261 23,812
4,751
4,751
182,824 154,261 28,563
..$... (10, ~7.17) 18,440 $ 29,159
85,309
3,451
Excess of revenues and other sources
over (under) expenditures and other uses
Fund balance, July 1
Cumulative effect of a change in Accounting
Principle on beginning fund balance
Fund balance, June 30
$ 107,200
6O
CITY OF KENAI, ALASKA
SENIOR EMPLOYMENT PROGRAM SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Final June 30, 2003
Budget Actual
L,
Variance-
Favorable
(Unfavorable)
Revenues -
Intergovernmental revenue-
State grant
Expenditures - social welfare services'
Personal services
Other services and charges
Total expenditures
Excess of revenues
over (under) expenditures
Fund balance, July 1
Fund balance, June 30
$ 21,010 $ 22,043
$ 1,033
20,760 21,793 (1,033)
250 250 -
21,010 22,043
_ (1,033)
61
CITY OF KENAI, ALASKA
COUNCIL ON AGING SPECIAL REVENUE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Revenues:
Intergovernmental revenues:
State grants
Federal grants
Total intergovernmental revenues
Miscellaneous revenues:
In-kind support
Donations
Total miscellaneous revenues
Total revenues
Other financing sources -
Transfers from:
Special Revenue Fund
Total revenues and other sources
Expenditures - social welfare services:
Social services:
Personal services
Supplies
Other services and charges
Total social services
Congregate meals:
Personal services
Supplies
Other services and charges
Total congregate meals
Home delivered meals:
Personal services
Supplies
Total home delivered meals
Transportation -
Personal services
Supplies
Total Transportation
Total expenditures
Excess of revenues and other sources
over (under) expenditures
Fund balance, July 1
Cumulative effect of a change in Accounting
Principle on beginning fund balance
Fund balance, June 30
Final June 30, 2003
Budget Actual
$ 129,488 $ 129,533
13,700 14,710
Variance-
Favorable
(Unfavorable)
$ 45
1,010
143,188 144,243 1,055
14,084 14,083 (1)
119,000 112,066 (6,934)
133,084 126,149 (6,935)
276,272 270,392 (5,880)
4,751
(4,751)
281,023 270,392 (10,631 )
42,181 40,948 1,233
. _ _
7,746 8,405 (659)
49,927 49,353 574
69,758 71,655 (1,897)
86,959 75,723 11,236
7,042 7,041 1
163,759 154,419 9,340
29,734 33,471 (3,737)
22,024 20,252 1,772
51,758 53,723 (1,965)
9,961 10,578 (617)
6,237 6,940 (703)
16,198 17,518 (1,320)
281,642 275,013 6,629
$ , ,(6!9) (4,621)
619
13,851
$ 9,849
,-,, ,,,, r, ,, ·
$ (4,002)
62
CITY OF KENAI, ALASKA
198411986/1993 SPECIAL ASSESSMENT DEBT SERVICE FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
BUDGET AND ACTUAL
YEAR ENDED JUNE 30, 2003
Revenues -
Miscellaneous'
Special assessments
Total revenues
Other financing sources -
Transfer from
General Fund
Total revenues and other sources
Expenditures - debt service:
Redemption of serial bonds
Interest on bonds
Total expenditures
Excess of revenues and other sources
over (under) expenditures
Fund balance (deficit)- July 1
Fund balance - June 30
Final June 30, 2003
Budget Actual
$ 1,513
1,513
Variance-
Favorable
(Unfavorable),
1,513
1,513
180,020 691,148 511,128
180,020 692,661 512,641
160,000 160,000
20,020 20,020
180,020 180,020
512,641
(195,153)
$ 317.488
512,641
63
Revenues:
Interest revenue
Land sales
Total Revenues
Excess of revenues
over expenditures
Other Financing Uses:
Tranfers to
Airport Land System Fund
Net change in fund balance
Fund balances, July 1
Fund balances, June 30
CITY OF KENAI, ALASKA
GENERAL GOVERNMENT LANDSALE PERMANENT FUND
STATEMENT OF REVENUES, EXPENDITURES,
AND CHANGES IN FUND BALANCE
YEAR ENDED JUNE 30, 2003
Final
Bud.qet Actual
Variance-
Favorable
(Unfavorable)
25,000 $
.
25,000
18,718
79,690
98,4O8
$ (6,282)
79,690
73,408
25,OOO
98,458
73,458
25,000
25,930
72,478
2,O43,607
.... (930)
$ 72,478
$ 2,116,085
,,STATISTICAL SECTION
Table I
Table II
Table III
Table IV
Table V
Table VI
STATISTICAL TABLES
General Government Expenditures by Function
General Revenues by Source
Tax Revenues by Source
Property Tax Levies and Collections
Property Tax Rates and Tax Levies - All Direct and
Overlapping Governments
Computation of Direct and Overlapping General Obligation
Debt
Table VIi
Table Vlll
Table IX
Table X
Table XI
Table XII
Table XIII
Computation of Legal Debt Margin
Ratio of Net General Bonded Debt to Assessed Value and
Net Bonded Debt Per Capita
Ratio of Annual Debt Service ExpenditUres for General
Bonded Debt to Total General Expenditures
Debt Service Requirements to Maturity- General Obligation
Bonds
Schedule of Ten Largest Taxpayers
Schedule of Assessed Value and Construction Activity
Miscellaneous Statistical Data
TABLE I
CITY OF KENAI, ALASKA
General Government Expenditures by Function
Last Ten Fiscal Years
Fiscal Year
Ended
June 30
1994
1995
1996
1997
1998
1999
2000
2001
2002
2OO3
General Public Public Parks and
Government * Safety * Works * Recreation
$ 1,584,860 $ 3,226,186 $ 2,305,320 $
1,246,659 3,099,719 2,258,861
1,342,214 3,099,077 2,776,137
1,223,562 3,260,762 2,558,395
1,184,879 3,130,532 2,707,249
1,410,924 3,084,265 2,711,477
1,412,683 3,187,427 2,648,180
1,201,936 3,240,920 2,776,406
1,986,693 3,377,233 2,897,521
1,330,143 3,437,169 2,887,407
904,261
964,643
1,109,910
1,057,857
1,014,567
1,124,410
1,109,028
1,210,019
1,277,375
1,363,247
Note:
General Government Expenditures and Revenues (Table I & II) are comprised of
General, Special Revenue, and Debt Service Funds
* Years prior to 1999 have been restated to include charges to other funds to be
consistent with 1999 presentation
** The Boating Facility was changed to a special revenue fund FY 2001.
Airport
727,533
574,021
858,131
844,703
1,172,953
1,211,23O
1,180,910
1,260,804
1,303,979
1,358,227
Boating
Facility**
117,296
116,288
127,725
Social
Welfare
321,449
321,923
361,132
346,994
342,623
330,804
372,520
351,939
403,726
451,317
Debt
Service
626,942
384,8O2
377,874
357,542
344,661
238,659
220,294
206,888
193,389
180,020
Total
9,696,551
8,850,628
9,924,475
9,649,815
9,897,464
10,111,769
10,131,042
10,366,208
11,556,204
11,135,255
6?
Fiscal Year
Ended
June 30
1994
1995
1996
1997
1998
1999
2000
2001
2002
2OO3
TABLE II
CITY OF KENAI, ALASKA
General Revenues by Source
Last Ten Fiscal Years
Taxes
Licenses
and
Permits
$4,693,712 $ 49,337
4,541,988 45,054
4,625,398 57,638
4,523,546 38,550
4,644,725 48,872
4,765,818 33,666
4,988,755 43,830
5,128,318 75,633
5,502,232 89,285
5,363,764 70,053
Fines
and
Forfeits
39,884
36,O58
42,895
38,485
48,961
49,575
33,262
42,001
65,053
56,490
Note:
General Government Expenditures and Revenues (Table I & II) are
comprised of General, Special Revenue, and Debt Service Funds
68
Inter-
governmental
Revenues
$ 1,523,706
1,190,466
1,082,564
1,122,516
1,138,614
966,151
776,617
712,829
834,098
785,780
Charges
for
Services
$1,278,467
1,274,734
1,360,116
1,508,517
1,546,456
2,392,373
2,448,015
2,570,026
2,689,582
2,757,934
Miscellaneous
(including
Interest)
1,888,418
2,149,563
2,994,891
2,432,485
2,518,513
2,241,173
2,248,143
3,279,333
2,180,115
2,376,193
Total
$9,473,524
9,237,863
10,163,502
9,664,099
9,946,141
10,448,756
10,538,622
11,808,140
11,360,365
11,410,214
Fiscal Year
Ended
June 30
TABLE Iii
City Of KENal, AlaSka
Tax Revenues by Source
Last Ten Fiscal Years
Total Property Sales Franchise
Tax es Tax es Tax* Tax es
1994 $ 4,693,712
1995 4,541,988
1996 4,625,398
1997 4,523,546
1998 4,644,725
1999 4,765,818
2000 4,988,755
2001 5,128,318
2002 5,502,232
2003 5,363,764
1,045,782 $ 3,589,225
1,119,539 3,389,101
1,141,101 3,458,247
1,142,802 3,360,714
1,163,255 3,459,676
1,212,033 3,533,070
1,263,280 3,700,743
1,288,013 3,809,239
1,302,484 4,180,190
1,383,565 3,953,561
48,163
=,
=,
,.
-
,.
..
,.,
..,
Penalty
and Interest
on Taxes
$ 10,542
33,348
26,050
20,030
21,794
20,715
24,732
31,066
19,558
26,638
* Beginning with 1993, sales tax includes a 5%
hotel/motel room tax. The hotel/motel room
tax was suspended June 15, 1996.
?0
Fiscal Year
Ended
June 30
TABLE IV
CITY OF KENAI, ALASKA
Property Tax Levies and Collections
Last Ten Fiscal Years
Total Current Percent of Total
Tax Tax Levy TaX
fLevv~ Collections Collected Collections
_ .
Percent
of Total
Tax Collections
to Tax Levy
1994
1995
1996
1997
1998
1999
2000
2001
2002
2003
1,021,551
1 ,O82,292
1,087,466
1,113,126
1,143,986
1,194,290
1,219,295
1,227,127
1,247,375
1,326,864
964,661 94.43%
1,039,973 96.09%
1,055,294 97.09%
1,091,810 98.09%
1,108,289 96.88%
1,141,018 95.54%
1,179,162 96.71%
1,197,700 97.60%
1,215,353 97.43%
1,277,940 96.31%
981,184
1 ,O72,485
1 ,O78,706
1,t05,992
1,131,182
1,163,716
1,200,689
1,228,166
1,232,518
1,312,675
96.O5%
99.O9%
99.19%
99.36%
98.88%
97.44%
98.47%
100.08%
98.81%
98.93%
TABLE V
CITY OF KENAI, ALASKA
Property Tax Rates and Tax Levies-All Direct and Overlapping Governments
Last Ten Fiscal Years
Central
Fiscal Year City Kenai Hospital
Ended of Peninsula Service
June 30 Kenai Borough Area
TAX RATE (MILLS)
1994 3.5 8.55 0.56
1995 3.5 8,59 0.70
1996 3.5 8.59 0.50
1997 3.5 8.30 0.50
1998 3.5 8.38 0.40
1999 3.5 8.10 0.40
2000 3.5 8.10 0.40
2001 3.5 7.60 0.40
2002 3.5 7.10 0.40
2003 3.5 6.60 0.40
TAX LEVIES
1994 $ 1,021,551 $ 25,862,268 $ 1,231,910
1995 1,082,292 26,843,835 1,583,190
1996 1,087,466 27,288,423 1,154,012
1997 1,113,126 26,624,250 1,170,090
1998 1,143,986 27,273,096 977,078
1999 1,194,290 26,790,296 944,319
2000 1,219,295 27,183,168 941,278
2001 1,227,127 26,973,912 972,611
2002 1,247,375 26,169,024 1,030,924
2003 1,326,864 26,117,348 1,133,210
The municipal tax rate is limited by statute to three percent of the assessed value of
property assessed excepting that the municipalities may without limitation as to the
rate or amount, levy taxes annually in an amount sufficient to pay the principal and
interest on bonds as they shall become due.
Taxes become due in two installments (September 15 and November 15), or in full
by October 15. A penaly of 10% is due on all delinquent installments. Real property
tax lien foreclosure is initiated in January of the year following the calendar year in
which the tax is levied.
Tax levies of the City of Kenai are collected by the Kenai Peninsula Borough.
Current collections are distributed to the City of Kenai based upon the proportion of
its levy to total City and Borough levies, adjusted by Borough and City exemptions.
'72
TABLE VI
CITY OF KENAI, ALASKA
Computation of Direct and Overlapping General Obligation Debt
June 30, 2003
Name of Governmental Unit
City of Kenai, Alaska
Kenai Peninsula Borough
Central Peninsula Hospital
Total Direct and Overlapping
Net Debt
Outstanding
$ 300,000
17,874,000
Percentage
Applicable
to this
Governmental
Unit
lO0.00%
9.58%
0.00%
City of
Kenai's
Share
of Debt
$ 30O,0O0
1,712,329
$ 2,012,329
TABLE VII
CITY OF KENAI, ALASKA
Computation of Legal Debt Margin
June 30, 2003
Assessed value
Debt limit, 20% of assessed value
Amount of debt applicable to debt limit:
Total bonded debt (principal only)
Total amount of debt applicable to debt limit
Legal debt margin
300,000
$ 379,172,682
75,834,536
300,000
75,534,536
?3
TABLE VIII
CITY.OF KENAI, ALASKA
Ratio of Net General Bonded Debt
To Assessed Value and Net Bonded Debt Per Capita
Last Ten Fiscal Years
Fiscal Year Assessed
Ended June 30 .POpulation* Value
1994 6813 $ 292,927,000
1995 6813 308,891,000
1996 7006 310,704,620
1997 6950 317,636,360
1998 6950 326,853,278
1999 7058 341,225,614
2000 7005 347,342,306
2001 7039 350,584,054
2002 6942 356,392,843
2003 7166 379,172,682
Gross
Bonded
Debt
2,258,000
1,991,000
1,712,000
1,435,000
1,155,000
970,000
795,000
625,000
460,000
300,000
From State of Alaska, Department of Community and Economic Development.
(State Revenue Sharing).
Note: Actual values of taxable property are an approximation of Assessed
Value, as shown above.
Less Debt
Service
Funds
320,000
245,OOO
165,000
85,000
.
.
.
300,000
Net
Bonded
Debt
$1,938,000
1,746,OOO
1,547,000
1,350,000
1,155,000
970,000
'795,000
625,000
460,000
.
Ratio of Net
Bonded Debt to
Assessed Value
O.66%
O.57%
0.50%
O.43%
0.35%
O.28%
0.23%
0.18%
0.13%
0.00%
Net Bonded
Debt per
Capita
284
256
221
194
166
137
113
89
66
-
TABLE IX
CITY OF KENAI, ALASKA
Ratio of Annual Debt Service Expenditures for
General Bonded Debt to Total General Expenditures
Last Ten Fiscal Years
Fiscal Year
Ended
June 30
Principal
1994 $ 499,OOO
1995 267,00O
1996 279,000
1997 277,O00
1998 280,000
1999 185,000
2000 175,000
2001 170,000
2OO2 165,000
2O03 160,000
Total
Interest Total Expenditures-
and Debt Governmental
Agent Fees Service Fund Types*
$127,942 $ 626,942 $ 9,696,551
117,802 384,802 8,850,628
98,874 377,874 9,924,475
80,542 357,542 9,649,815
64,410 344,410 9,062,464
53,659 238,659 10,111,769
45,294 220,294 10,131,042
36,888 206,888 10,366,208
28,389 193,389 11,556,204
20,020 180,020 11,135,255
Ratio of Debt
Service to
General
Expenditures
6.47%
4.35%
3.81%
3.71%
3.80%
2.36%
2.17%
2.00%
1.67%
1.62%
* excludes capital project fund expenditures
?6
TABLE X
CITY OF KENAI, ALASKA
Debt Service Requirements to Maturity
General Obligation Bonds
June 30, 2003
Due FYE
2O04
2005
Total
1993 Refunding
Principal
Oct. 1
Interest
Oct. 1
Apr. 1
150,000
150,000
11,963
4,012
$ 300,000
$ 15,975
Total
161,963
154,012
$ 315,975
?'7
TABLE XI
CITY OF KENAI, ALASKA
Schedule of Ten Largest Taxpayers
June 30, 2003
Taxpayer
Alaska Communications Systems
Kmart
Kenai Plaza/Carr's Safeway L.L.C.
Schiilling, Clare T. and Schilling
Marathon Oil Company
Era Aviation Inc.
Salamatoff Seafoods
Enstar Natural Gas
Kenai Shopping Center
Carr-Gottstein Properties
Total
Type of Assessed
Business Value
Percent
of Total
Assessed
Value
Communications $ 12,373,879 3.3%
Retail Shopping 9,687,412 2.6%
Retail Shopping 8,812,700 2.3%
Motel and Other 5,105,400 1.3%
Oil Properties 4,520,680 1.2%
A viatio n 3,696,648 1.0%
Fish Processor 2,415,157 0.6%
Natural Gas 2,232,690 0.6%
Retail Shopping 2,033,400 0.5%
Real Estate 2,012,746 0.5%
$ 52,890,712 13.9%
Source: Kenai Peninsula Borough assessing records. Note that many of the above assessed values are
aggregations of several tax accounts that may have slight variation in names. The compilation is a 'best
effort' attempt to identify the ten largest taxpayers; however, it is possible that the above have interests in
other accounts that were not identifiable as being owned by the same entity.
78
Calendar
Year
1993
1994
1995
1996
1997
1998
1999
2000
2001
2002
TABLE Xll
CITY OF KENAI, ALASKA
Schedule of Assessed Value and Construction ACtivity
Total Real
Taxable Property
Value Value
_Building Permits Issued
Number Value
$ 275,472,000 $ 237,531,800
292,927,000 255,072,400
308,891,000 263,553,300
310,704,620 267,603,000
317,636,360 277,496,900
341,225,614 283,637,014
347,342,306 293,681,329
350,584,054 298,028,571
356,392,843 301,801,029
379,172,682 329,745,791
86 $ 12,949,525
99 8,085,346
102 7,877,902
78 5,999,5O0
89 14,053,550
97 7,642,2OO
102 9,441,750
9O 9,337,100
95 13,578,900
121 16,699,400
TABLE Xlll
CITY OF KENAI, ALASKA
Miscellaneous Statistical Data
June 30, 2003
Date of Incorporation:
1960
Date Charter Adopted: May 20, 1963
Form of Government:
Home Rule City
Area in Square Miles: 45
Miles of Streets: 62
Miles of Sewer:
Storm: 10
Sanitary: 68
Fire Protection:
Number of Stations:
Number of Employees;
2
16
Police Protection:
Number of Stations:
Number of Employees:
1
17
Recreation:
Number of Facilities:
Parks: 9
Ball Fields: 11
Recreation Center: 1
Fitness Trails: 2
Cross Country Ski Trails: 1
Multi-Purpose Facility I
City employees as of June 30, 2003:
128
Elections:
Number of Registered Voters:
Percentage of Registered Voters Voting
in last General Election:
Population:
7,166
5,097
29%
8O
Suggested by: Airport Commission/
Administration
CITY OF KENAI
ORDINANCE NO. 2028-2003
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, ADOPTING
KMC 21.05.045 TO ESTABLISH AN OFF-AIRPORT GROSS INCOME RENTAL CAR FEE
FOR OFF-AIRPORT RENTAL CAR COMPANIES USING THE KENAI MUNICIPAL
AIRPORT FOR THEIR BUSINESSES.
WHEREAS, the City of Kenai is the owner and operator of the Kenai Municipal Airport;
and,
WHEREAS, the Kenai Municipal Airport is financed and managed under policies and
practices designed to ensure that it is and will always be self-supporting and will not
require expenditure of general fund money to support it; and,
WHEREAS, these policies and practices require that the costs and expenses of the
Kenai Municipal Airport be paid by the users of the facilities who enjoy the commercial
opportunities that such facilities create; and,
WHEREAS, there are presently three (3) on-airport rental vehicle companies operating
under concession agreements at the airport, each of which pays rent plus ten (10%) of
their gross revenue for the privilege of operating on the airport; and,
WHEREAS, off-airport rental car companies are benefiting from the traffic generated
by airport facilities but are not participating in the costs and expenses of operating the
airport; and,
WHEREAS, since off-airport rental car companies do not pay a gross revenue fee for
use of the airport, they have an incentive to remain an off-airport operator rather than
become an on-airport concessionaire and pay a ten (10%) percent gross revenue fee;
and,
WHEREAS, the rental car companies operating in the terminal desire an even playing
field for competitive pricing; and,
WHEREAS, many airports throughout the nation require off-airport vehicle companies
to pay a percentage of gross revenue fees for the right to conduct airport operations;
and,
WHEREAS, it is necessary, reasonable and appropriate to establish an off-airport
vehicle rental fee.
Ordinance No. 2028-2003
Page 2 of 2
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA that KMC 21.05.045 is adopted as set out in Attachment A.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this third day of
December, 2003.
ATTEST:
JOHN J. WILLIAMS, MAYOR
Carol L. Freas, City Clerk
Introduced:
Adopted:
Effective:
November 19, 2003
December 3, 2003
January 3, 2004
(10/29/03 sp)
21.05.045
(b)
(c)
(d)
(e)
(0
(h)
(i)
(J)
(k)
OFF-AIRPORT VEHICLE RENTAL PERMIT
To operate a vehicle rental business on the Kenai Municipal Airport, a
person who does not have a concession to operate a vehicle rental business
in the terminal building must hold a current vehicle rental business permit
issued under this section.
A person must submit an application for a vehicle rental business permit in
wring to the airport manager and include:
1) A list of vehicles that the applicant proposes to operate on the airport
under the vehicle; ~
2) A description of the services that the applicant proposes to offer under
the permit;
3) Any application fee established by the City;
The airport manager shall approve an application for a vehicle rental
business permit unless the manager determines that
1) The applicant is
i. In violation of a material term of a contract with the City;
ii. In arrears to a payment (including City of Borough sales or property
tax) or other financial obligation due to the City; or
iii. In default of a material obligation under any lease, contract, permit
or concession the City has issued to the applicant.
2) The proposed use would interfere with or is otherwise incompatible with
the security, safety, maintenance, or operation of the airport;
3) The proposed use would violate an applicable FAA grant assurance or the
City's obligations under revenue bonds;
4) The proposed use would result in a violation of applicable law; or
5) The proposed use is inconsistent with sound airport planning.
A decision by the airport manager to deny an application for a vehicle rental
business permit must be in writing.
A vehicle rental business permit is not transferable and may not exceed a
term of five years.
An off-airport rental business permittee shall pay ten percent (10%) of gross
revenue derived from rentals originating at or from the Kenai Municipal
Airport.
Upon reasonable notice, the City shall have the right to audit a permittee's
books and records regarding the permit for verifying the gross revenue.
A vehicle rental business permittee shall provide such evidence of insurance
coverage for the permittee's operations on the airport as the airport manager
determines appropriate.
A vehicle rental business permittee operating a vehicle on airport property
shall keep the vehicle in safe operating condition. The airport manager shall
order a permittee to remove from service any permittee vehicle the manager
determines to be unsafe or otherwise in violation of this section.
A vehicle rental business permittee may park, wait, and drop off or pick up a
passenger only at a premises or in an area the airport manager has
designated for that purpose.
A vehicle rental business permittee may cancel a permit and cease
operations at the airport at any time on written notice to the airport
manager.
Attachment A
Ordinance No. 2028-2003
Page 1 of 2
(1)
(m)
(n)
(o)
(P)
(q)
The airport manager shall, after written notice to the permittee, cancel a
vehicle rental business permit and invalidate all vehicle identification issued
to the permittee if the manager determines that the permittee
1) Is not in compliance with the vehicle rental business permit and has not
corrected the noncompliance within 10 days after receipt of the notice; or
2) Has ceased vehicle rental operations on the airport.
Cancellation of a vehicle rental business permit by the airport manager
must be in writing and state the reasons for the cancellation.
An applicant or permittee may protest the airport manager's decision to
deny an application or cancel a vehicle rental business permit in accordance
with KMC 14.20.290.
In this section, "gross revenue" includes, but is not limited to the following:
1) All monies paid or payable to the Permittee from a transaction initiated
under an off-airport vehicle rental business permit, regardless of either
the assigned location of the rental-car or where the customer returns the
rental car.
2) Charges for any service performed in, on or through the business
conducted under this agreement, and includes all other income and
proceeds from or incidental to any business conducted in whole or in
part in, on or in connection with the rights granted under a permit.
3) Goods, work or services furnished by any person in lieu of payment in
exchange for value received.
4) Sales or fees for automobile liability insurance and personal accident
insurance.
No deductions from gross revenue other than those specifically identified
below shall be allowed.
1) The amount of federal, state, borough or municipal sales or other similar
taxes separately stated and collected and/or reimbursed from customers.
2) Any sums received from sales of capital assets.
3) Any sums received from insurance or other settlements from damage to
automobiles or other property of the concessionaire, or for the loss,
conversion or abandonment of such automobiles, or any charges
collected from a customer for damages to the automobile rented.
4) Any sums received for loss damage waiver insurance.
5) Replacement fuel charges.
In this section, "airport" means the area of land or water that is used or
intended to be used for the landing and take-off of aircraft and includes its
buildings and facilities such as the terminal, ramps, taxiways, parking lots
and the float plane basin.
Attachment A
Ordinance No. 2028-2003
Page 2 of 2
AVIS.
hardem
Mr. John Williams, Mayor
City of Kenai
210 Fidalgo Avenue, #200
Kenai, Alaska 99611
January 20, 2003
Alaska Rent A Car, Inc.
Avis System Licensee
RO, Box 1900,/8
Anchorage, Alaska ggs! 9.0028
Tel: (907) 2434300
Fax: (907) 249-8247
E-mail: avia.ak @ alaska,ne!
Reference: Proposed Ordinance Pertaining to Off Airport Car Rental Operations
The Honorable Mayor Williams:
We understand there has been dialogue and contemplation of a proposed ordinance
establishing an off airport vehicle permit system for off ai~ort car rental opemtom
wishing to conduct business on the Kenai Airport. We have reviewed a copy of the
ordinano~ and proposed Municipal Code 21.05.045 and would like to take this
opportunity to address this issue.
We are in favor in concept of this ordinance for the following reasons:
1. This provides an additional source of revenue to the City
2. It levels the playing field among on and off airport operations
3. It increases the real value of the current 4 non-exclusive-on-airport car rental
concessions. By allowing off airport operators to conduct business from, or in
some cases in, the airport without paying fees the City actually minimizes the
worth of the current leases it has with its on airport operators.
From information gleaned from the Dec. 18, 2002, City Council Meeting it is quite
apparent that the Gmat Alaska Car Company regularht conduct~ busine.~ on the ai~ort
terminal. If the City of Kenai is aware of this practice then why do the current on airport
car rental companies pay the "concession fee- for th.p privilege of conductin~ on-
airport autompbile mn~l operations at the_airoort'' (Page 2 of 5,--Original bid
documents for current lease) and off airport operators pay nothing.
Through the competitive bidding process AVIS agreed to operate at the Kenai Airport by
a specific set of rules and requirements set forth by the City of Kenai. These
requirements range from paying 10% of our gross fees, renting counter space, providing
insurance indemnifying the City, and committinQ to a minimum annual guarantee
regardless of gross revenue. If the City is aware that other car rental companies have
free access to enjoy all the benefits derived from business funneled through the airport
without meeting these requirements then we suggest that the City has failed to uphold
tl~e terms of its lease ancl is also placing tl~emselves in jeoparcly with public liability
issues.
-1-
Page 2
The proposed municipal code puts in place a tool to level the playing field. The State's
largest ai~ort already char§es foes to off airport car rental operations for the right to
access customers at the airport. We applaud the City's effort to-follow suit.
The language in Section A and F of KMC 21.05.045 needs to be changed. The Code
as written would allow an off-airport agency to operate on airport by simply leaving the
key and car at the airport for the customer pick up. What distinguishes that from the on-
airport operator?. Off airport operators should be allowed to have access to the airport
infrastructure, pay fees for that dght, but not be allowed to operate their business from
the airport.
The airport has an obligation to its tenants. We feel the proposed ordinance/code with
suggested modifications is a step in the right dire~ion.
Sincerely,
AVIS/ALASKA
er
'cm
cc Rebecca Cmnkhite, Kenai Airport Manager
Budget Rent a Car of Kenat
Box 267
Kenai. AK 99611
907-283~506
Fax# 28~
November 14, 2003
Ms. Rebecca Cronkhite- Airport Manager
Kenai Municipal Airport
305 N. Willow, Suite 200
Kenai, AK 99611
Dear Ms. Cronkhite'
I am writing to show my support of the Ordinance No. 2028-2003 establishing an off-
airport gross income rental car fee for off-airport rental car companies utilizing the Kenai
Airport. I feel this is long over due.
I am a current car rental concessionaire who pays rent plus a 10% concession fee for
operating at the airport. Off-airport rental car companies are not paying any type of user
fees and are profiting from the airport patrons. This will create a level playing field for
pricing.
If you would like to discuss this further, please contact me at anytime.
Bonnie Koerber- President
Garrison Corp. dgo/a Budget Car Rental
Photo taken September 2003 in airport
terminal parking lot
PAYI, ESS®
CAR RENTAL
November 25, 2003
Ms Rebecca Cronkite- Airport Manager
Kenai Municipal Airport
305 N Willow St, Ste 200
Kenai, AK 99611
Dear Ms Cronkite:
The purpose of this letter is to inform you of our support of Ordinance No. 2028-2003 and proposed
Municipal Code 21.05.045.
PAYLESS CAR RENTAL currently maintains an established off-airport rental facility in addition to our
airport concession. We look forward to bidding on upcoming airport concessions. However, if and what
we bid will be impacted by our ability to compete faidy with off-airport rental car operations.
Please feel free to call me if I can be of any assistance.
JERRY VITALE
KENAI STATION MANAGER
ALASKA DIAL-A-CAR, INC. DBA PAYLESS CAR RENTAL
Alaska Dial-A-Car, Inc. d/b/a/Payless Car Rental
· 340 Airport Way, No. 3, Kenai, AK 99611 · Phone (907) 283-6428 · Fax (907) 283-6429 · E-mail: payless@corecom.net
4
Suggested by: Council
CITY OF KI~NAI
ORDINANCE NO. 2030-2003
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, AMENDING
KMC 1.90.010 TO ALLOW THE KENAI CITY COUNCIL TO ESTABLISH TASK FORCES
REGALING MILLENNIUM SQUARE AND/OR ECONOMIC DEVELOPMENT WITH A
MEMBERSHIP OF GREATER THAN SEVEN (7) AND SUNSETTING THE ORDINANCE
IN THREE (3) YEARS.
WHEREAS, KMC 1.90.010 states that all commissions, boards or committees
established by the Council shall consist of seven members; and,
WHEREAS, it is unclear whether a task force created by the City Council would be
covered by the seven-member limitation; and,
WHEREAS, the City would like to create task forces or committees regarding
Millennium Square with a membership of more than seven (7) members; and,
WHEREAS, membership of such commission or committees would consist of at least
75% residents of the City of Kenai; and,
WHEREAS, this ordinance should be sunsetted in three (3) years from the effective
date of this ordinance.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA that KMC 1.90.010 is amended as follows'
(a)
(b)
(c)
1.90.010 Creation
All boards, commissions and committees created by the Council of
the City of Kenai, shall consist of seven (7) members who shall be
nominated by the Mayor and co~firmed by the City Council from
applications submitted to the City Clerk.
A chairman and vice-chairman shall be selected annually and shall
be elected from and by the appointed members. The Mayor and one
Council Member elected by the Council' as ex-officio members and as
consultants of any board, commission or committee, may attend all
meetings, but shall have no voting power on the board, commission
or committee. A member of Council or City adminis~afive staff shall
attend all meetings of boards, commissions and committees and
supply staff support.
The Council may create task force[s) regarding Millennium Square
and/or economic development with a membership greater than
seyen (7) members. Membership of any such committee and/or task
force shall consist of at least 75% CiW of Kenai residents. This
section [c) shall sunset in three [3) years from the effective date of
this ordinance.
'..)rdinance No. 2030-2003
Page '2 of 2
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this third day of
December. 2003.
ATTEST:
.JOHN J. WILLIAMS, MAYOR
_.
Carol L. Freas, City Clerk
Introduced:
First Reading:
Adopted:
Effective:
November 5, 2003
November 19, 2003
December 3, 2003
January 3, 2003
(10/20/03 sp)
KENAI. ALASKA
210 Fidalgo Avenue, Kenai, Alaska 99611-7794
Telephone: 907-283-7535 /FAX: 907-283o3014
MEMORANDUM
TO'
FROM:
DATE:
RE'
Mayor Williams and City Council Members
Linda L. Snow, City Manager
November 26, 2003
Ordinance No. 2030-2003
At the last Council meeting where Ordinance No. 2030-2003 was tabled, Council requested
fiuXher information. First of all, Ordinance No. 2030-2003 is not required for completion of the
VISTA project. The City of Kenai, as the sponsoring grantee agency, received VISTA grant
approval based on a project work plan for the VISTA member which includes drafting and
finalizing a commumty economic development plan (EDP). The Chamber of Commerce
specifically requested and was given special inclusion in City Council Resolution 2003-07
supporting efforts to secure a VISTA to develop the EDP. Completion of the EDP is to be
accomplished through coordination and cooperation with other economic development entities
within the community, the Borough, and the State. If the work plan is changed substantially, as
is the case with most grants, notification to the granting agency must be made, and the grant will
be re-evaluated.
It was originally envisioned that the Kenai Chamber of Commerce would take the lead role in
developing the VISTA EDP project, since the Chamber is primarily comprised of private sector
enterprise and already has an economic development committee that can easily be expanded into
an EDP working group. A very close nexus already exists between the City of Kenai and the
Chamber of Commerce to support this approach, in that the Kenai city manager, at the direction
of City Council, already sits on the Chamber of Commerce Board of Directors as a non-voting
liaison. The VISTA member, although not a city employee, reports to and is directly supervised
by the city manager at every step in the work plan. The VISTA member is currently required by
the city manager to provide written monthly reports for inclusion in Council meeting agenda
packets to keep the Council informed of VISTA project activities and to meet the VISTA
reporting requirements. In addition, as staff support to the Chamber of Commerce for
development of the EDP, and under the auspices of the Chamber, the VISTA member will
present direct reports to the City Council twice each month at regular Council meetings.
In addition to the Chamber of Commerce and the City of Kenai, other Kenai community
agencies and orgamzations with important contributions to economic development, e.g. the
Kenai Convention & Visitor's Bureau, Native organizations, non-profits, etc. will be participants
in the process and will ultimately be requested to review and endorse the EDP. In this way, the
EDP will actually become a community plan, implemented in its various and diverse parts by the
appropriate associative participants. Attached please find a diagram describing the key elements
of the participatory process.
Business Buy-in
~uatudoIa,XaC[
~.run~oo
u!
Supervisio
ECONOMIC STRATEGY COMMITTEE/COMMISSION/TASK FORCE PROCIEDUI~I~_-S:
If the strategy committee ordinance is passed,
A specific meeting day be chosen for the committee and any subcommittees.
2. The meeting days be scheduled after discussion with the Clerk so there are not two
meetings set for the same day.
Following are the my normal procedures for preparation of commission or committee
agendas, packets, and meetings which I will follow for the strategy committee, if the
ordinance passes.
3. A draft agenda and information to be included in the meeting packet due to Clerk one
week prior to the meeting.
4. Clerk prepares the meeting agendas and packets and mails them to the committee
members, liaison(s}, and administrative representatives attending. This is done a week before
the meeting to ensure the packets are received by the membership in good time in order for
their review of the material, etc.
5. Clerk posts the meeting notices as soon as possible after preparation of the agenda and
packets (official bulletin board, webpage, newspaper as needed).
6. Staff member attending receives a notebook for taking notes (and Clerk's subsequent
preparation of meeting summary) and tapes for recording the meeting.
7. Staff member attends the meeting, takes summary notes, tape records the meeting, and
returns the notebook and tapes to Clerk for preparation of summary notes, filing of tapes.
o
review.
Copies of the summary notes are placed in next council meeting packet for council
Original of summary notes are filed in Clerk's office.
NOTE: The above process is based on the council's policy as it is now and the process used by
the Clerk for all the other commissions and committees of the council's. Council has requested
a discussion of changing bi-monthly meetings to monthly, etc. be brought forward in January.
If council changes the process, it would be my understanding contract secretarial support will
be used to take notes and tape record the meetings. There will be cost involved as the current
contract secretary charges $30 / hour.
Please remember, the reason why council's policy states all meetings will be held in the
chambers is because of the available sound system, recording equipment, etc. Having portable
equipment capable of picking up a group of possibly 25 people is not something available in the
Clerk's office at this time.
If the ordinance is not passed, it is my understanding the Clerk's responsibility will be to
post meeting notices as discussed above and city representatives attending the meetings will
take field notes which will be kept with their records, and a member of the committee, who is
proficient in the use of a laptop, will be asked to provide typed notes from the discussions of
the meeting.
SUBSTITUTE
Suggested bY: Administration
City of Kenai
RESOLUTION NO. :2003-50
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA
TRANSFERRING $54,000 IN THE GENERAL FUND FOR A LIBRARY
COMPUTER SYSTEM.
WHEREAS, Dynix has notified the City of Kenai that the operating software on
the computer that runs the library system will not be supported under a
maintenance contract after March 2004; and,
WHEREAS, it is the recommendation of the librarian to continue with Dynix
software and support; and,
WHEREAS, the Dynix quote is $53,770; and,
WHEREAS, $54,000 previously appropriated for transfers to Capital Projects
funds are available in the Non-Departmental Transfers account; and,
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
..
KENAI, ALASKA, that the following budget transfers be made:
Non-Departmental
From: Transfers
$54,000
To: Library - Machinery & Equipment $54,000
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this third day of
December, 2003.
ATTEST:
JOHN J. WILLIAMS, MAYOR
Carol L. Freas, City Clerk
Approved by Finance:
(11/25/2003) hl
Memorandum
To'
From'
Date:
Subject:
Linda Snow, City Manager
Semmens, Finance Director ~.~.~
La~y
November 24, 2003
Library Computer
I have done extensive research on the stares of the library RS6000 computer. The City
purchased the system in FY 1996 and 1997 from Dynix (previously Ameritech)
Corporation. Dynix has provided hardware and software maintenance on the system at a
cost of approximately $16,000 annually. The library received an 'end of life' notice
earlier this year indicating that a portion of the operating system software would not be
supported after March 31, 2003. Consequently, Dynix will not renew the operating
system software support agreement. Instead they offer to provide software support on a
'best efforts basis' for $200/hour plus materials cost. Therefore it is difficult to estimate
the cost of the operating system support; however, we must assume that it would be more
expensive than the maintenance contract.
We could also purchase hardware and software support directly from IBM. This would
require upgrade to a supported operating system, namely AIX 5.1. Dynix does not
recommend running their product on AIX 5.1 because it is unstable on that operating
system. If we take this option, against their recommendation, we would need to pay
Dynix approximately $3,500 for conversion. Unfortunately we are not able to purchase
software support for AIX 4.3 from IBM. If we choose to do nothing at this time, Dynix
recommends staying on the unsupported version, AIX 4.3, that we are currently on and
taking our chances with their 'best efforts' software support.
There is no doubt that the library will be forced to purchase a new software system in the
near furore, most likely within two years. It is possible to continue on the existing system
until an irresolvable situation arises due to the out of date operating system. If the system
fails, the library could be without a computer system for up to six months waiting for
delivery of a new system. There could be difficulties converting the data if the existing
system fails prior to purchasing a replacement system.
There are several options for replacing the system. The best option is to purchase the
new Horizon package that Dynix has developed to replace the current version we are on.
The attached schedule shows costs for two options. The first is purchasing the new
Horizon system now. The second is staying on the current system for two years. The
analysis shows that over a 5 year period the City would save over $13,000 by upgrading
now.
I am of the opinion that it is best to upgrade the system now. To continue with the
existing system exposes the library to risks that could be difficult and expensive to
remedy.
..... .,
. ..
.........
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:::;:::::::
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............. ~ ~
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.:.:.:-:.:.
......
:.:.:.:.:.:
.....
.....
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......
~0
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::::~:: ~ ~
......
......
m~x:
Linda Snow
From' Ew~ Jankowsk~
Sent: tV{onday, November 24, 2003 ~2:06 PM
To: Linda Snow; Larry Semmens
Subject: dynix memo.doc
KENAI COMMUNITY LIBRARY
DATE:
TO:
TO:
FROM:
RE:
11/20/2003
LINDA L. SNOW
LARRY SEMMENS
EWA JANKOWSKA
DYNIX SERVER
Attached you will f'md several quotes that I was abl~" t° receive i~r°m Dynix. We have several options,
but going all the way to Horizon, a new system seems to be most prudent and cost effective in the long run.
I was able to get a really large discount on the first 4 years of maintenance that is much lower than what we
pay right now anyway. We can get the first year totally free and 10% off for the year 2, 3 and 4 if we sign
the HORIZON contract before December 20, 2003.
Option 1' Do nothing- it's very risky; Dynix offers $200/hour support and Larry also talked to IBM about
yearly support. It would be very difficult, however, to coordinate hardware support with the software
vendor by ourselves. Also it may be very, very expensive - the restoration of the database may cost up to
$2500 plus parts and hourly service. This is what I heard from Dynix:
"In the event that you continue to use the existing IBM server once it's "out of manufacture support date"
or EOL date hits (March 31, 2004), it could cost between $1000- $2500 for labor to restore the server and
possibly that same amount in addition if a disk drive fails or other hardware fails. The library may risk being
down until a refurbished part is located".
This is also just delaying the inevitable and we may be losing money in the long mn. Dynix will not develop
DYNIX CLASSIC anymore and instead will devote their efforts to develop HORIZON, their newer
graphic database. They are offering incentives to libraries to switch to the new system as soon as possible.
In our case it also coincides with the need for new hardware.
Option 2' Replace the old server with a new one that runs on UNIX (AIX). It is a very expensive option.
We could probably keep it and switch to Horizon eventually. It might not be economically viable though,
because when we are forced to go with Horizon it might be much more expensive and we would not get the
discounts we are getting now. We will also pay much more annually for licensing and maintenance.
Option 3' Replace old server with a much cheaper Dell, but then we would have to transfer the Dynix
system to Windows 2000- again expensive and also temporary.
11/24/2003
[qenm Commumty Library
Page 2 or'2
Option 4: Get a new server, go with the new system and take advantage of all the discounts that are offered
to us if we do it this year!
Cost comparison:
Option
HORIZON -New
Server, new system
ck ss c
to HORIZON) with
large discounts if we
sign contract before
December 20, 2003
NEW SERVER
Stay with the same
software and buy a
new server that can
mn on AIX (UNIX)
Operating System
(HP Enterprise
rp2470 server)
NEW SERVER and
WINDOWS 2000
Operating System
(Dell PowerEdge
2600)
Stay with DYNIX
CLASSIC
Cost
$53,770
cost without
discounts $64,345
$48,320
$33,530
Annual maintenance
None the first year
10% discount for
year 2,3,4
9,751 /year after
that
$18,221 ($10,7i4 for
software licenses
and 7,507 for OS
and hardware
maintenance o f a
new server)
$17,077 ($10,714 for
Dynix system
software licenses
and $6,363 for OS
and server hardware
maintenance)
4 years of
maintenance
$26,328
$72,884
$68,308
4 years cost saving if
we go with
HORIZON
+$46,556
+$41,980
11/24/2003
NOV-25-2003 TUE 09:06 ~H KEN~I PEN BOR OLERK
NO, 9072828815
PENINSULA BOROUGH
144 N. 6INKLEY - ~OLDOTNJ~ AI.~SKA . gg88g-7Sg9
BUSINESS (907) 262-8§08 FAX ($07) 2e12-Se15
EMAIL: assembly=lerk~ bomugh,kenai.ak.u~
November 25, 2003
LINDA MURPHY, MMO
BOROUGH CLERK
Ms. Dawn Holland-Williams
Recorcl~ & Li~.nsinff !;upervisor
Alcoholic Beverage Control Board
550 W. 7th Avenuu
Anchorage. AK 9950 !-6698
Re: Application 1'hr Renewal of Liquor License
Dear Ms. Holland-Williams:
Please be advised that the K. enai Peninsuls Borough has no obJ~Kion m [h~ approval of' the application(s)
for renewal of th~ liquor ligonse(s) for the fbi]owing eatablishment(s), loostod in the City o£ ~ai,
AmeHoan Legion Post ~20 - # 13110
The Kenai Peninsula Borough Finanou Department has reviewed its files and has rai~ no objection based
on unpaid or delinquent taxes.
Sincerely,
Llnda S. Murphy, MMC
Borough Clerk
a_l?plioant
City of Kenai
KPB Finnnoe Department
File
Carol Freas
From:
Sent:
To:
Cc: Sue Ellen Essert
Reeda Jaramillo [reeda_jaramillo@dps.state.ak.us]
Wednesday, November 19, 2003 10:46 AM
Carol Freas
Subject: Renewal Notification - Kenai
Dear Local Governing Body:
KENAI CITY CLERK
We have received the following application(s) for renewal of liquor license(s)
within your
jurisdiction. You are being notified as required by AS 04.11.520. Additional
information
concerning filing a "protest" by a local governing body under AS 04.11.480 is
included below.
2004-2005
Type:
License:
Location:
Owner:
Agent'.
Phone:
Mailing Address:
Club
American Legion Post #20 - License #1380
902 Cook Street
American Legion Post #20
Ashley Falgout
907-283-5340
P O Box 1044 Kenai AK 99611
We have received application (see attached notice) for a liquor license(s) within
your jurisdiction.
This is the notice as required under AS 04. ! 1.520. Additional information
concerning filing a
"protest" by a local governing body under AS 04.11.480 is included in this
letter.
A local governing body as defined under AS 04.21.080(11) may protest the
approval of an
application(s) pursuant to AS 04.11.480 by furnishing the board and the
applicant with a clear and
concise written statement of reasons in support of a protest within 60 days of
receipt of this notice.
If a protest is filed, the board will not approve the application unless it finds that
the protest is
"arbitrary, capricious and unreasonable". Instead, in accordance with AS
04.11.510(b), the board
will notify the applicant that the application is denied for reasons stated in the
11/19/2003
NOV-28-2003 i~ED 08:40 ~M KEN~I PEN BOR CLERK
FAX. NO. 9072828815
ENAI PENIN IUI.,A BOROUGH
144 N. BINKLEY · SOLDOTNA, ALASKA * 99669-7599
BUSINESS (907)262-8608 FAX (907) 262-8615
EMAIL: a$~emblyclerkl~ borough.kenai.ak,us
LINDA MURPHY, MMC
BOROUGH. CLERK
November 26, 2003
Ms. Dawn Holland-Williams
Records & Licensing Supervisor
Alooholic Beverage Control Board
550 W. 7th Avenue
Anchorage, AK 99501-6698
Application for Renewal of Liquor License
Dear Ms. Holland-Williams:
Please be advised that the Kenai Peninsula Borough has no objeotion to the approval orr the application(s)
for renewal of' the liquor license(s) for the tbliowing establishment(s), located in the City of Ken,i,
Alas~:
~evera_ee _11'_s_s_eensarv Tollrism
Uptown Motel / Louies - #1859
B.-Tera__ee ~ji_~_oeesary_ Toerism Duplicate
Uptown Motel / Baok Doo.r Lounge - #2237
Tho Kenai Peninsula Borough Finance Departmcnt has reviewed its files and has raised no objection based
on unpaid or delinquent taxes.
Sinoerely,
Linda S. Murphy, MMC
Borough Clerk
plicant
ty of Kenai
KPB Financc Department
File
I:~WPWIN~&TA 41aNlm~d i~
Page 1 of 3
Carol Freas
:~: .......... .,~,,,,. ~ ...~.,. ~.~., ............................. ~ ................................... ~ .................... ~ ..... ~ ........... , .............. , ......... , ......... ., ....................... ., ...................................
From: Reeda Jaramillo [reedajaramillo@dps.state.ak.us]
Sent: Monday, November 24, 2003 4:51 PM
To: Carol Freas
Cc: Sue Ellen Essert
Subject: Renewal Notification - Kenai
Dear Local Governing Body:
We have received the following application(s) for renewal of liquor license(s)
within your
jurisdiction. You are being notified as required by AS 04.11.520. Additional
information
concerning filing a "protest" by a local governing body under AS 04.11.480 is
included below.
2004-2005
Type'.
License'
·
Location:
Owner:
Agent:
Phone:
Mailing Address:
Beverage Dispensary Tourism
Uptown Motel/Louies #1859
47 Spur View Drive
Schilling Alaska Inc.
David Schilling
907-283-3660
47 Spur View Drive Kenai AK 99611
Type'.
.License:
Location:
Owner:
Agent:
Phone:
Mailing Address:
Beverage Dispensary Tourism .Duplicate
Uptown Motel/Back Door Lounge #2237
47 Spur View Drive
Schilling Alaska Inc.
David Schilling
907-283-3660
47 Spur View Drive Kenai AK 99611
We have received application (see attached notice) for a liquor license(s) within
your jurisdiction.
This is the notice as required under AS 04.11.520. Additional information
concerning filing a
"protest" by a local governing body under AS 04.11.480 is included in this
letter.
A local governing body as defined under AS 04.21.080(11) may protest the
approval of an
application(s) pursuant to AS 04.11.480 by furnishing the board and the
11/24/2 003
Kenai Peninsula Arctic Winter Games 2006 Host Society
Agenda
November 13, 2003 - 5:30 p.m.
Arctic Winter Games Office, Kenai, Alaska
Ae
CALL TO ORDER
B. ROLL CALL
Ce
APPROVAL OF AGENDA
De
APPROVAL OF MINUTES
Board of Directors - October 9, 2003
Regular Meeting
Ee
GENERAL MANAGER REPORT
Executive Committee Report- Three reports - handouts
F~
PUBLIC COMMENTS/PRESENTATIONS
Ge
He
TREASURER'S REPORT
Balance Sheet- Handout
Profit & Loss- Handout
COMMITTEE REPORTS
1. Administration-501 (C) 3 Status
2. Care & Comfort
3. Ceremonies & Culture
4. Information Technology
5. Marketing
6. Revenue Development
7. Sports
8. Sports Facilities
9. Volunteer Protocol
OLD BUSINESS
1. Executive meeting- Fourth Thursday of each month
2. Logo update
3. Lease Agreement for Arctic Winter Games office space
4. Agenda Proposal- Mark Gregory
Jo
NEW BUSINESS
1. Hiring committee report
a. Hiring committee meeting Saturday, November 15th at 12:30
1st interview 1'00 P.M., 2'30 P.M., 4:00 P.M.
b. Motion for special meeting on November 20th
c. Hiring committee to stay to after meeting to approve interview
questions.
2. Review revised 2003 budget
3. Review 2004 draft budget
4. Approve the process for hiring Sports Director- handouts
5. Approve Wood Buffalo Travel Recommendation - handout
6. Arctic Winter Games office copier
7. Amendment to purchasing code (email or phone)
8. Employee holiday schedule
re
PENDING BUSINESS (Informational only)
Ce
BOARD MEMBERS COMMENTS
M. PUBLIC COMMENTS
No
NOTICE OF NEXT MEETING and ADJOURNMENT
Special meeting November 20th, 5:30 p.m.
Kenai Peninsula Arctic Winter Games 2006 Host Society
Minutes
October 9, 2003 - 5:00 p.m.
Soldotna, Alaska
Regular Meeting
me,
CALL TO ORDER
President Bagley called the meeting to order at 5'06 p.m.
B. ROLL CALL
The following directors were present'
Dale Bagley
Donna Peterson
Bill Popp
Jennifer Beckman
*Betty Glick
Jack Brown
Colette Thompson
Bob Jones
Joe Moore
* Alternate for Pete Sprague
Becky Foster
Pam Howard
Mark Gregory
Ricky Gease
CARTS Office
Gary Hale
Kathy Gensel
Tim Navarre
David Carey
The following directors were absent:
Jack Cushing Rosalie Tepp
Dena Cunningham Andrew Carmichael Pete Sprague
* Allan Miller
* Excused absence due to NASA Payload Specialist Training
Ce
APPROVAL OF AGENDA
Mr. Carey moved to approve the agenda. Mr. Popp seconded it. Passed
unanimously.
De
me
APPROVAL OF MINUTES
Mr. Popp moved to accept minutes of the September 11, 2003 meeting. Mr.
Brown seconded it. Mr. Brown informed the board that Mr. Thick's name is
spelled incorrectly in the draft copy of the minutes it should be spelled without an
"e". Minutes approved and passed unanimously.
PUBLIC COMMENTS/PRESENTATIONS
No Public comments / Presentations
7. Revenue Development- Mr. Popp discussed the federal appropriations and
discouraged board members from discussing this matter with others. We need
to wait for Senator Stevens to make the announcement before we start talking
about it in the community. He also wanted committee chairs that were going
to be pursuing business donations to please run them by him and the revenue
committee.
8. Sports -President Baglcy looked into finding a place for a biathlon range, he
reported that there are some good prospects.
9. Volunteer Protocol- Mr. Brown discussed his committee meeting and feels
very positive about his sub-committee chairs. They will begin working on the
volunteer application and a volunteer handbook.
OLD BUSINESS
1. Hiring Process for General Manager- There are currently 22 applicants to
date and they range from Kenai to Virginia. Mr. Popp made the motion for
the hiring committee to include the executive committee, Ms.Holle, Ms.
Thompson, Mr. Popp, Mr. Miller, and Mr. Carmichael. Ms. Thompson
seconded the motion. Mr. Carey asked that Mr. Cushing be added to the
committee. Mr. Popp seconded the motion and it was passed unanimously.
2. Alternates - Mr. Hale requested that Jeff tUcker be his alternate. Mr. Brown
made the motion to approve Jeff Tucker as Mr. Hale's alternate. Ms.
Thompson seconded it and it passed unanimously.
ge
Agreement between Arctic Winter Games 2006 Host Society and Kenai
Peninsula Borough.
,
Embroidered Logo - Mr. Thick informed Mr. Brown that the International
Committee is in the process of redesigning their logo so he cannot authorize
the 2006 Host Society to use the logo at this time.
Je
NEW BUSINESS
1. Travel Arrangements for Arctic Winter Games in February- Mr. Navarre
made the motion that the executive committee put together a list of thirty
people and ten alternates to travel to Wood Buffalo in 2004 and to present that
list to the board at the November 13th meeting. Mr. Moore seconded the
motion and it was passed unanimously.
7. Mr. Gregory made a presentation to the board of possibly changing the format
for the board meetings. He suggested looking at some of the Folker group
information to help make the board meetings more time efficient. He will be
bringing more information to the board concerning this at the next board
meeting.
Ko
PENDING BUSINESS (Informational only)
Lo
BOARD MEMBERS COMMENTS
Mayor Carey felt this was a good meeting. Ms. Howard wanted to know how we
could get information on participation for the upcoming 2004 games. Mr. Brown
suggested contacting John Estle for that information. Mr. Brown and Mr. Popp
thanked Mr. Navarre for the great job he did in Washington lobbying with Senator
Stevens.
Me
PUBLIC COMMENTS
Ne
NOTICE OF NEXT MEETING and ADJOURNMENT
President Bagley stated that the next meeting of the Host Society would be on
November 13, 2003 at 5 p.m. at the new Arctic Winter Games office located in
the PRISM building. Meeting adjourned at 7'15 p.m.
AIRPORT COMMISSION/KENAI CITY COUNCIL
JOINT WORK SESSION
NOVEMBER 13, 2003
KENAI CITY COUNCIL CHAMBERS
7:00 P.M.
INTRODUCTION
Henry Knackstedt, Airport Commission Chair
John J. Williams, Mayor
BRAINSTO~ING
Casey Reynolds, Facilitator
COMMISSION/COUNCIL FINAL COMMENTS
ADJOURNMENT
AIRPORT COMMISSION/KENAI CITY COUNCIL
JOINT WORK SESSION
NOVEMBER 13, 2003
KENAI CITY COUNCIL CHAMBERS
7:00 P.M.
CHAIR HENRY KNACKSTEDT, PRESIDING
NOTES
Commission members present: Knackstedt, Zirul, Bielefeld, and Versaw
Council members present: Williams, Bookey, Moore and Swarner
Staff present: Freas, Graves, Snow, La Shot, Kebschull, Cronckite, and Reynolds
Knackstedt opened the work session and gave an overview of the purpose of
developing a business plan for the airport. Williams made some opening remarks as
well. Cronkhite gave an update relating to the extension of the mnway/taxiway,
noting FAA review of the project for relocation was not justified. Reviewing her
memorandum included in the packet, Cronkhite noted the FAA requested a
Supplemental Planning Analysis (SPA) to justify the need for a runway extension, float
plane waterway expansion and other facilities projects. The SPA will be eligible for
FAA AIP grant funding, contingent on FAA approval of the scope of work. After the
evening's brainstorming, she and City Planner Kebschull and will meet with the FAA
Planning Department to negotiate which products are grant fundable. Ineligible items
could be pursued as additive alternates or additional phases in an RFP.
Referring to the information and forms included in their packets, council offered the
following information'
·
hangars, etc.
Mission Statement'
Real estate development/infrastructure, i.e. aviation related buildings,
Support aviation real estate development
Develop commerce
Gateway to the west Inlet
Develop cargo hub
Develop Forecasts of Aviation and business Growth' * Business jet facilities
* Regularly scheduled regional jet airlines
Servicing of new jet types
SWOT Analysis'
High speed ferry system
· Competition from other airfields, i.e. Nikiski, Salamatof Lake Float Plane
Access, lake operators, Sterling strips
· Land availability
24-hour fuel water and land
Tower
AIRPORT COMMISSION/CITY COUNCIL JOINT WORK SESSION
NOVEMBER 13, 2003
PAGE 2
·
·
aircraft)
Emergency facilities.
We are the 800 lb. Gorilla (can adapt to accommodate float and wheeled
All-weather airport (instrument approaches)
Back-up transportation supports for the city.
Terminal building
Well-maintained runways
PRISM Facility/EOC opportunity in relation to location of airport
Environmental pressures
Highway system redevelopment (Cooper Landing)
Baggage checking security/federalization of baggage screening system
Airport noise (significant problem) in relation to airport growth
Don't have a code share
Business Plan:
· Financial planning
· Marketing plan
· What non-aviation commerce can be integrated into airport
Marketing Plan:
Local and long-distance (out of state, out of city) marketing of airport
(signage in other airports/external)
· Kiosk in Anchorage by car rental agencies
· Survey-- where do people come from, other carriers,
Kenai/ Kodiak/ Seattle run, etc. · What is the Kenai market?
Get transportation demographics
· Population growth/passenger traffic to Seattle
Airport Land Use Plan:
· Ask for evaluation of all airport lands; what direction marking should
take; what potential are there? What business should the property be marketed to
{incorporate Millennium Square, Dust Bowl, etc.); what airport property should be
retailed and what property should be held for future use?
Should airport land adjacent to the runways ever be sold/land location
Is it cheaper to buy land or lease and should lowering the lease rate be
·
·
discussed?
Does it meet the Master Plan and zoning requirements?
Lease rate viability
Designation changes
Re-evaluation of wetlands
AIRPORT COMMISSION/CITY COUNCIL JOINT WORK SESSION
NOVEMBER 13, 2003
PAGE 3
Rates and Charges Analysis:
Land lease rates and charges by re-evaluating or other options for
supporting the six percent lease rate. ~
· How much profit a business could generate from a piece of property.
· Variable use value '
· Other airport fee study
· Taxes
Air Service Development Plan:
· Competition need
· federalization
· Growth = Cost involvement for airport maintenance, secur/ty, etc.
· smaller lake air services
· Taxes
· Air service to the west side of the Inlet-- are we providing the amenities
to become the gateway?
· Maintenance facilities
· FBO's
U~)date Minimum Standards and Rules and Regulations-
Include it
Other:
Extend landing channel, widen and dredge
Return lane at Float Plane basin
Direct service to Seattle
Ferry service
Update noise contours based on forecast data
Cronkhite noted her intentions were to set up a meeting with FAA as soon as possible
and forward the information received. She requested the Commissioners and Council
Members to call with any additional ideas they may have.
The work session ended at approximately 8'40 p.m.
Notes prepared by:
Carol L. Freas
AGENDA
KENAI CITY COUNCIL- REGULAR MEETING
NOVEMBER 19, 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)
,
Kay Shearer -- Request and Sign Naming Softball Complex in Honor of
Steve Shearer.
ITEM C-
REPORTS OF KPB ASSEMBLY~ LEGISLATORS AND COUNCILS
ITEM D:
PUBLIC HEARINGS
o
Ordinance No. 2024-2003 -- Increasing Estimated Revenues and
Appropriations by $2,500 in the General Fund Visitors Center
Department for Advertising.
.
Ordinance No. 2025-2003 -- Increasing Estimated Revenues and
Appropriations by $205,027 in the General Fund for an Alaska State
Homeland Security Grant to Purchase a Digital Wireless Statewide
Shared Public Safety Communications System.
o
Ordinance No. 2026-2003 -- Increasing Estimated Revenues and
Appropriations by $350,000 in the Boat Launch Capital Project Fund for
a State Grant.
,
Ordinance No. 2027-2003 -- Increasing Estimated Revenues and
Appropriations by $40,000 for a State Grant for Maintenance and Facility
Improvement at the Senior Center.
Se
Ordinance No. 2029-2003 -- Amending the Fine Schedule at KMC
13.10.015.
.
,
,
,
ITEM E:
,
2.
3.
4.
5.
6.
7.
ITEM F:
o
ITEM G:
ITEM H:
ITEM I:
,
.
e
Ordinance No. 2030-2003 -- Amendin§ KMC 1.90.010 to Allow the
Kenai City Council to Establish Task Forces Re§ardin§ Millennium
Square and/or Economic Development with a Membership of Greater
Than Seven (7) and Sunsettin§ the Ordinance in Three (3) Years.
Ordinance No. 2031-2003 -- Increasing Estimated Revenues and
Appropriations by $7,000 in the General Fund for a Grant From the
Rasmuson Foundation Art Acquisition Initiative.
Resolution No. 2003-54-- Awarding a Sole Source Contract to Motorola
in the Amount Not to Exceed $205,027 to Equip the Kenai Emergency
Operations Center {KEOC} w/th an 80' Radio Tower, Antennas,
Connectors and Grounding, and the Kenai Police and Fire Departments
with Radios Supporting Both Conventional and 800MHZ Alaska Land
Mobile Radio {ALMR) Digitally Trunked Operations.
*Liquor License Renewal -- Kenai Country Liquor/Packa§e Store.
COMMISSION/COMMITTEE REPORTS
Council on Aging
Airport Commission
Harbor Commission
Library Commission
Parks & Recreation Commission
Planning & Zoning Commission
Miscellaneous Commissions and Committees
a. Beautification Committee
b. Kenai Convention & Visitors Bureau Board
c. Alaska Municipal League Report
d. Kenai Chamber of Commerce
e. Arctic Winter Games
MINUTES
*Regular Meeting of November 5, 2003.
CORRESPONDENCE
OLD BUSINESS
NEW BUSINESS
Bills to be Paid, Bills to be Ratified
Purchase Orders Exceeding $2,500
*Ordinance No. 2028-2003 -- Adopting KMC 21.05.045 to Establish an
Off-Airport Gross Income Rental Car Fee for Off-Airport Rental Car
Companies Using the Kenai Municipal Airport for their Businesses.
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
KENAI CITY COUNCIL- REGULAR MEETING
NOVEMBER 19, 2003
7:00 P.M.
KENAI CITY COUNCIL CHAMBERS
http://www, ci.kenai, ak.u s
JOHN J. WILLIAMS~ PRESIDING
MINUTES
ITEM A:
CALL TO ORDER
Mayor Williams called the meeting to order at approximately 7:03 p.m. in the Council
Chambers in the Kenai City Hall Building.
A-lo
PLEDGE OF ALLEGIANCE
Mayor Williams led those assembled in the Pledge of Allegiance.
A-2. ROLL CALL
Roll was taken by the City Clerk. Present were'
Linda Swarner
Rick Ross
Joe Moore
John J. Williams, Mayor
Blaine Gilman
Jim Bookey, Vice mayor
Absent was' Pat Porter
A-3o
AGENDA APPROVAL
Mayor Williams requested the following changes to the agenda:
SUBSTITUTE:
Item D-8, Resolution No. 2003-54 -- Awarding a Sole Source
Contract to Motorola in the Amount Not to Exceed $205,027 to
Equip the Kenai Emergency Operations Center (KEOC) with an 80'
Radio Tower, Antennas, Connectors and Grounding, and the
Kenai Police and Fire Departments with Radios Supporting Both
Conventional and 150MHZ VHF Alaska Land Mobile Radio (ALMR)
Digitally Trunked Operations. (Change in frequency in the
heading and "now, therefore...")
MOTION:
Council Member Bookey MOVED for approval of the agenda as amended and Council
Member Swarner SECONDED the motion. There were no objections. SO ORDERED.
CONSENT AGENDA
MOTION:
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 2
Council Member Bookey MOVED for approval of the consent agenda as presented and
Council Member Swarner SECONDED the motion. There were no objections. SO
OI~DERED.
ITEM B:
SCHEDULED PUBLIC COMMENTS
Kay Shearer -- Request and Sign Naming Softball Complex in Honor of
Steve Shearer.
Shearer referred to information included in the packet indicating a design for a sign
and flower garden to be placed at the softball fields in memory of her husband, Steve
Shearer. She noted, her husband had played an important part of bringing men's
softball to the city and the beginning of league play in the late 70's. Shearer added, he
worked with city administration in fulfilling the requirements to allow the city league
to play in state tournaments. Revenues received from visiting teams helped in funding
the development of the fields and the league built dugouts, etc. from volunteer labor.
Shearer also reported she presented the idea to the Parks & Recreation Commission
and they recommended approval.
Discussion followed in which Council Member Swarner asked if guidelines had been
set for naming parks, etc. in memory of someone. City Manager Snow stated she was
not aware of any guidelines. Council Member Bookey stated he would support the
placement of the sign, etc. as he felt Shearer should be recognized for his contribution
to the community. Council Member Moore suggested a decision on the sign etc. be
held to allow time for the council and community to give further consideration of the
request. Swarner requested an explanation of the request be placed on the city
webpage and the matter be returned to council at the December 17 meeting. Swarner
stated she was concerned there may be people in the community who would oppose
the issue and she wanted to give them time to comment.
MOTION:
Council Member Swarner MOVED to place the issue on the December 17 meeting
agenda and Council Member Moore SECONDED the motion.
Swarner requested information of the issue be placed on the website and suggested
the newspaper do an article about the request.
VOTE:
There were no objections. SO ORDERED.
ITEM C:
REPORTS OF KPB ASSEMBLY~ LEGISLATORS AND COUNCILS
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 3
Mayor Williams reported he attended the Kenai Peninsula Borough Transportation
meeting. Information from that plan will be included in the Borough's Comprehensive
Plan. He noted several errors/omissions in the Plan and the Borough w/Il make the
necessary corrections (reference to a four-lane highway from Soldotna "Y" to Big Eddy
by 2013, include the City's Float Plane BaSis on the map, etc.) Williams also noted he
discussed the high-speed ferry system with them and his suggestion the road from
Gray Cliffs to Pt. Possession be built in this regard. He added, he discussed this with
Mayor Bagley and he will ask the EIS report include the road be built to Pt.
Possession.
Williams reported Matanuska-Susitna Borough Manager John Duffy will speak at the
December 17 Kenai Chamber of Commerce luncheon about the proposed ferry system
Also, Williams suggested someone from the Borough be appointed to a group of
municipalities and other entities formed by the Department of Transportation to
formulate a master plan.
Williams requested council to continue discussion with regard to the proposed ferry
system and encourage the building of the road to Pt. Possession.
ITEM D:
PUBLIC HEARINGS
D-Xo
Ordinance No. 2024-2003 -- Increasing Estimated Revenues and
Appropriations by $2,500 in the General Fund Visitors Center
Department for Advertising.
MOTION:
Council Member Bookey MOVED for adoption of Ordinance No. 2024-2003 and
Council Member Moore SECONDED the motion.
There were no public comments. Council Member Gilman stated he would not
support the ordinance due to concerns of budget constraints and Council Member
Ross stated he would not support the ordinance because the funds were being taken
from the fund balance. He added, he would support it if the funds were being taken
from Legislative or contingency.
Council Member Moore stated he would support the ordinance as he believed the city
needs to be proactive in advertising the community and because he felt the revenues
from the dip net fishery, though actually mixed into the fund balance, were paying for
the advertising. Ross stated he did not see any connection between revenues received
through an in-state fishery and an advertisement for out-of-state tourists.
VOTE:
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 4
Swarner Yes Moore
No Ross
Yes
Gilman
Bookey
Yes
Porter Absent
No Williams Yes
MOTION PASSED.
D-2o
Ordinance No. 2025-2003 -- Increasing Estimated Revenues and
Appropriations by $205,027 in the General Fund for an Alaska State
Homeland Security Grant to Purchase a Digital Wireless Statewide
Shared Public Safety Communications System.
MOTION-
Council Member Bookey MOVED for adoption of Ordinance No. 2025-2003 and
Council Member Moore SECONDED the motion.
There were no public comments. Police Chief Kopp reported the purchase of the
system would allow the City of Kenai dispatch point-to-point communication with
Anchorage and Ft. Richardson's emergency operations centers, as well as tying other
Peninsula municipalities together through the Borough communication system. The
funds awarded in this grant will purchase the tower and wire the antennas, etc. He
expected additional funds to be awarded in the future to complete the system. Kopp
also explained, the city's emergency operations center would be on standby mode
unless it is needed for training or actual disaster and there would be no maintenance
contract expense until the network is in place.
VOTE:
Swarner Yes Moore Yes Porter Absent
Gilman Yes Ross Yes Williams Yes
Booker Yes
MOTION PASSED UNANIMOUSLY.
D-3o
Ordinance No. 2025-2003 -- Increasing Estimated Revenues and
Appropriations by $350,000 in the Boat Launch Capital Project Fund for
a State Grant.
MOTION:
Council Member Bookey MOVED for adoption of Ordinance No. 2026-2003 and
Council Member Moore SECONDED the motion.
There were no public or council comments.
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 5
VOTE:
Swarner Yes Moore Yes Porter Absent
Gilman Yes Ross Yes Williams Yes
Bookey Yes
MOTION PASSED UNANIMOUSLY.
D.4.
Ordinance No. 2027-2003 -- Increasing Estimated Revenues and
Appropriations by $40,000 for a State Grant for Maintenance and Facility
Improvement at the Senior Center.
MOTION:
Council Member Swarner MOVED for adoption of Ordinance No. 2027-2003 and
Council Member Bookey SECONDED the motion.
There were no public or council comments.
VOTE:
Swarner Yes Moore Yes Porter Absent
Gilman Yes Ross Yes Williams Yes
Yes
Bookey
MOTION PASSED UNANIMOUSLY.
Ordinance No. 2029-2003 -- Amending the Fine Schedule at KMC
13.10.015.
MOTION:
Council Member Swarner MOVED for adoption of Ordinance No. 2029-2003 and
Council Member Ross SECONDED the motion.
There were no public comments. Attorney Graves reviewed the information and frees
being amended. When asked how the amounts of fine were decided, he reported they
were formulated through discussions with Animal Control Officer Godek and Planning
& Zoning personnel. Many of the fines match with the Municipality of Anchorage's
fine schedule which are lower than the state fines. Graves added, uncontested fines
are being collected at city hall.
VOTE:
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 6
Swarner
Gilman
Bookey
Yes Moore Yes Porter Absent
Yes Ross Yes Williams Yes
Yes
MOTION PASSED UNANIMOUSLY.
D-6o
Ordinance No. 2030-2003 -- Amending KMC 1.90.010 to Allow the
Kenai City Council to Establish Task Forces Regarding Millennium
Square and/or Economic Development w/th a Membership of Greater
Than Seven {7) and Sunsetting the Ordinance in Three {3) Years.
MOTION:
Council Member Moore MOVED for adoption of Ordinance No. 2030-2003 and Council
Member Swarner SECONDED the motion.
Williams opened the floor for public hearing.
Tim Navarre -- Navarre reported he is the president elect of the Kenai Chamber of
Commerce and noted the following:
Requested in making appointments to the task force/commission, all
aspects of the community be represented and it be weighted correctly.
· Felt it would be difficult to begin meetings by December.
Was concerned group members will be required to file a financial report
with the Alaska Public Offices Commission.
Suggested that after a strategy plan is developed (in an approximate six-
month period), the group be cut down to seven to make recommendations to council.
. Excited the Chamber will be working with the city in developing the
strategy.
Williams explained when he envisioned the strategy group, he wanted it to be up and
running quickly and efficiently with a cross section of the community involved.
Additionally, he thought there would be one large working group coming together
maybe on a monthly schedule but with subcommittees meeting between the main
group meeting and reporting at the main group's monthly meetings. Because of code
requirements for city commissions/committees, etc., discussions had been held as to
how the process could be streamlined. From those discussions, it had been suggested
a partnership between the city and Chamber be formed and allow the formation of the
group be chosen by representatives from both groups, develop the plan and report
back to council. With it being an administrative task force working with the Chamber,
reporting requirements could be simplified, etc., however the dates and times of the
meetings would be posted as the meetings would be public. He added, if the group is
one of the city's, the meeting process, etc. would be more cumbersome.
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 7
Gilman stated his preference would be for the Chamber to take the lead and perhaps
table the ordinance. Williams stated the Chamber would not be taking the lead
because Casey Reynolds, the VISTA Volunteer/Economic Project Director, would be
staffing the group and facilitating. It would be an equal partnership between the city
a.nd Chamber.
Bookey stated he understood the task force would be a city function and was hesitant
to proceed as a partnership and not have the direction of council. He added, he
believed if city employees were going to be active in the process, they should have the
council's direction. Bookey added, he thought it would be good to have the Chamber
take over the process.
City Manager Snow explained, when she wrote the application to acquire a VISTA
Volunteer, she envisioned an economic steering committee, with the Chamber's
involvement, and the steering committee would develop a strategic plan and the plan
would require the council's adoption. A monthly report would be included in council
packets, notes would be taken at each meeting by one of the participants and those
notes would be available to council at any time. Additionally, town hall meetings
would be held for brainstorming and gathering of information and suggestions which
would be added to the strategy plan.
General information noted included:
· As an administrative steering committee, appointments would be made
by a panel of representatives from city administration and Chamber, but could include
member(s) of council..
· The Chamber would like to work in a partnership on the project and
would be willing to do what is needed.
Williams noted before the meeting started, Reynolds had provided him with a draft
work plan for an administrative group. Williams suggested a break be taken in order
for copies to be provided to council and he and council would have a few minutes to
review the information.
BREAK TAKEN: 7:58 P.M.
BACK TO ORDER: 8:14 P.M.
Upon review of the draft strategy committee information, comments included:
· A panel of two city representatives and two Chamber representatives
would make appointments to the committee. City representatives would be Snow and
Reynolds, however that could be changed.
· If the ordinance is passed, appointments would be made by the mayor
with concurrence of council as defined in the code.
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 8
It will be important to not make political appointments and keep the
committee well balanced from representatives of the community.
· Swarner stated she felt appointments should be made by an elected
official because in the end, the council will be the ones bearing the comments from the
pubhc.
If the ordinance passes, there would be a thirty day period before the
ordinance becomes effective which would slow the process to start holding meetings, ,
etc.
City Attorney Graves stated the main issue is applying the requirements
of the Open Meetings Act to city commissions/committees; appointments to
commissions/committees usually become effective immediately; and the process of
soliciting nominations could be done within the 30 days prior to the ordinance
becoming effective. Additionally, the applications could then be presented to council
as one group in 30 days for consideration.
· Snow reported the draft strategy distributed was more like what she had
envisioned when she applied for the grant. She noted, that concept would be more
efficient.
Reynolds stated he believed administration's recommendation was to
form the group without the ordinance and partnering with the Chamber. He felt the
reporting concerns, etc. would be met. He added, he believed the committee will need
to see the effort is a public/private partnership.
· Reynolds stated council could be included in the process; he expects
progress reports would be provided to council and council would have input prior to
the plan receiving council's ratification; and, the meetings will be open to the public
and council will be able to attend as any other member of the public.
· Ross stated he shared some of Bookey's concerns in that this project
would be highly visible by the community and unless council is kept fully apprised of
every step and not just when the product is complete, the end result could be
something different than what the council wanted.
Snow reported, though the scope of the committee had expanded from
her initial conception, administration was ready to proceed with the ordinance in
place. She added, whether council makes the appointments or not, there would still
be a risk the group would go in another direction than what the council perceived.
She suggested a council liaison be assigned to the group as would happen if the
ordinance is passed.
· Swarner asked what would be expected of administrative employees for
attending meetings, etc. with or without the ordinance. Snow explained, if it is a
formal commission, minutes, agenda/packet preparation, filing of minutes, etc. would
be done by the clerk. If the ordinance is not passed, the agenda would be prepared by
Reynolds; agenda would be posted by the Clerk; notes, etc. would be prepared by
someone from the committee.
Clerk Freas noted council's policy of all commission/committee meetings (except
Council on Aging) be held in the council chambers; posting of agendas; packet
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 9
preparation for the meetings, etc. She noted, one of the issues discussed by
administration was that meeting somewhere less formal may be more conducive for
brainstorming which could be done if the ordinance was not passed. She added, she
would expect the meetings be scheduled for the same day(s) each month for proper
posting and preparation.
Reynolds stated he would like to hold two meetings prior to the December holidays
and once or twice a month for the formal meetings thereafter. Keeping good records of
the meetings will be necessary as that information will be from what the plan is
developed.
· Williams suggested the meetings, even with the ordinance passing, could
be held somewhere other than the council chambers.~
It was suggested the names and applications of those interested in
participating on the committee could be forwarded to the clerk for inclusion in the
December 3 meeting packet. Appointments could be made at the December 1
meeting.
Gilman stated he would not support the ordinance as larger government is not always
the best. He believed there would be a lot of council intervention; passing the
ordinance will be more expensive; concepts and ideas need to come more from the
Chamber and committee; the emphasis should be the city asking the Chamber to give
the work product; and those participating on the committee should be doing the work
on the project. Gilman added, he didn't think council needed to be overseeing
Reynolds as that is administration's job; he is concerned the ordinance would end in a
loss of concept of substance and he wants something that works; reporting
requirements to council can be set; and, council will still have feedback.
Bookey stated he did not want administration put in the position of going to the public
without the direction of the council as it is council's job; the information could be
skewed; and, he believed without the ordinance, the city could be left vulnerable.
Bookey stated he would vote against the ordinance without a better plan from
administration. He suggested tabling the ordinance until the December 3 meeting and
allow administration time to prepare parameters and forward them to council prior to
the meeting for their review.
Williams stated he saw no danger in delaying council's decision until December 3 and
in the meantime, applications could be reviewed. The ordinance could be brought
back for council consideration at the December 3 meeting.
MOTION TO TABLE:
Council Member Gilman MOVED to table the ordinance until the December 3 meeting
and Council Member Ross SECONDED the motion. There were no objections. SO
ORDERED.
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 10
9-7.
Ordinance No. 2031-2003 -- Increasing Estimated Revenues and
Appropriations by $7,000 in the General Fund for a Grant From the
Rasmuson Foundation Art Acquisition Initiative.
MOTION:
Council Member Bookey MOVED for adoption of Ordinance No. 2031-2003 and
Council Member Moore SECONDED the motion.
There were no public or council comments.
VOTE:
Swarner Yes Moore Yes Porter Absent
Gilman Yes Ross Yes Williams Yes
Bookey Yes
MOTION PASSED UNANIMOUSLY.
9-8.
Resolution No. 2003-54 -- Awarding a Sole Source Contract to Motorola
in the Amount Not to Exceed $205,027 to Equip the Kenai Emergency
Operations Center (KEOC) with an 80' Radio Tower, Antennas,
Connectors and Grounding, and the Kenai Police and Fire Departments
with Radios Supporting Both Conventional and 800MHZ Alaska Land
Mobile Radio (ALMR) Digitally Trunked Operations.
MOTION:
Council Member Bookey MOVED for approval of Resolution No. 2003-54, the
substitute, and Council Member Moore SECONDED the motion.
There were no public comments. Kopp explained the reason for sole-sourcing the
purchase was due to Motorola being the only company with the ALMR and it is under
the sole source approval of the State and the city is receiving the best price through
the state. Additionally, Motorola is the only authorized dealer for the equipment.
VOTE:
There were no objections. SO ORDERED.
9-9,
Liquor License Renewal -- Kenai Country Liquor/Package Store.
Approved by consent agenda.
BREAK TAKEN: 9:01 P.M.
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 11
BACK TO ORDER: 9:10 P.M.
ITEM E:
COMMISSION/COMMITTEE REPORTS
E-1. Council on Aging -- Swarner reported the summary notes were included
in the packet and that the dinner/mystery presentation was very successful last
weekend at the Senior Center.
E-2. Airport Commission -- Moore reported a work session with the
Commission and Council was held last week and he felt it was successful. He added,
the next step will be the compilation of information gathered at the work session and
moving forward with the business plan.
E-3. Harbor Commission -- Bookey reported on the meeting held November
10. He noted the summary notes were included in the packet along with a packet of
information provided relating to the proposed bird watching development plan.
Bookey gave a brief overview of the intent and stated his concern the information
referred to "wetland conservation." He added, though he and the Commission thought
the idea very appealing, if grant funding, etc. requires restricting the area to
conservation, he nor the Commission would be interested in moving forward.
Williams referred to other instances when the city needed support of entities like Fish
& Game and stated he felt council and administration needed a clear understanding of
the project. He added, he questioned the motives and intent and there should be
cooperation between entities with the city and visa versa. Williams stated, he believed
the project would be very good and felt there was an opportunity to tie in this project,
as well as the Birch Island development and bike trail, etc. to the project.
Bookey also reported the Commission was requested to review administration's dip net
fishery report and come to the next meeting with any additional suggestions,
concerns, etc. they may have.
E-4. Library Commission -- Gilman reported the next meeting would be held
December 2, 2003.
Parks/h Recreation Commission -- No report.
E-6. Planning/l~ Zoning Commission -- Ross referred to the minutes of the
November 12 meeting which were included in the packet and reviewed actions taken
by the Commission.
E-7o
E-7a.
Miscellaneous Commissions and Committees
Beautification Committee -- No report.
Kenai Convention/l~ Visitors Bureau Board-- No report.
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 12
E-7c. Alaska Municipal League Report -- Williams gave a brief overview of
information he received about the conference held in Nome. He noted, there were
lengthy discussions regarding school funding and PILT payments.
It was noted the "If I Were Mayor" program would be held again and he intended to
visit the Kenai Middle School relating to the contest. Williams noted he would attend
the January Alaska Conference of Mayors meeting which would be held in Juneau.
E-7d. Kenai Chamber of Commerce -- Ex. Director Canady reported on the
plans for the upcoming "Christmas Comes to Kenai" festivities; noted December 17
presentation of Matanuska-Susitna Borough Manager Duffy; and, the "board cutting"
celebration at Home Depot on December 18 at 4:00 p.m.
D-7e. Arctic Winter Games -- Moore reported a meeting was held on
Thursday, November 13 at which time reports were heard regarding visits to Wood
Buffalo and the progress of the Borough's plan; electronic connections; $100,000 in
funding donation received from Aspen Hotels; the signing of the lease agreement
between the City and the Games; and a special meeting would be held on November
20 relating to the hire of a general manager.
ITEM F: MINUTES
F-lo
Regular Meeting of November 5, 2003 -- Approved by consent agenda.
ITEM G:
CORRESPONDENCE-- None
ITEM H:
OLD BUSINESS-- None
ITEM I:
NEW BUSINESS
I-lo
Bills to be Paid, Bills to be Ratified
MOTION:
Council Member Bookey MOVED to pay the bills and Council Member Swarner
SECONDED the motion. There were no objections. SO ORDERED.
I-2o
Purchase Orders Exceeding/12,500
MOTION:
Council Member Bookey MOVED to approve the purchase orders exceeding $2,500
and Council Member Swarner SECONDED the motion and requested UNANIMOUS
CONSENT. There were no objections. SO ORDERED.
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 13
I-3o
Ordinance No. 2028-2003 -- Adopting KMC 21.05.045 to Establish an
Off-Airport Gross Income Rental Car Fee for Off-Airport Rental Car
Companies Using the Kenai Municipal Airport for their Businesses.
Introduced by consent agenda.
ITEM J:
following:
Thursday.
REPORT OF THE MAYOR -- Mayor Williams reported the
He would be attending the Mid-Winter State Elks Conference on
The Economic Development District was proceeding with the hire of a
new executive director.
· Reminded council of an appointment set up to speak to Dan Fauske of
AHFC relating to Kenai-specific concerns. A brief discussion followed relating to the
city's involvement with the development of an assisted living facility. City Manager
Snow noted, it had been her understanding council did not want administration to be
involved in funding a facility. She added, she would want further direction from
council if they wanted the funding to run through the city, etc. as it had been her
impression council did not want to build or participate in running a facility. Swarner
stated she did not have a problem with the city owning a facility, but there were
concerns about managing it. Senior Center Director Craig reported the Senior
Connection had received a pre-development grant and now were proceeding with
acquiring a project coordinator, development an update to the feasibility study, and
acquiring insurance.
It was decided it was not necessary for the appointment at this time, however the city
would be represented at the December 4 evening discussion at the Borough building
to which Fauske had invited area council members, assembly members, real estate
agents, etc.
· Reminded council of the Ways & Means Committee's visit to City Hall
from 3-4'30 on November 20. In addition, the Committee would meet with people
around the Peninsula at the Borough building. Their purpose in visiting the area is to
discuss ideas relating to the Permanent Fund/POMV and the fiscal gap.
· Requested he be authorized to have a generic letter of support for a
children's long-term care center be written for inclusion in a grant application.
Council had no objections.
Requested he be authorized to write a letter of support for the Central
Peninsula General Hospital expansion project as requested in information included in
the packet. Council had no objections.
ITEM K: ADMINISTRATION REPORTS
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 14
K-1. City Manager -- City Manager Snow noted the department head repo. rts
were included in the packet.
Swarner asked about the change over from ACS to GCI Cable for intemet service.
Finance Director Semmens reported he had been in the process of doing it for the last
six months after discussions with both technical support companies the uses because
the cost would be lower and the service speedier and more reliable. He added, he
believed the change to be an operation decision. Semmens also noted he was working
w/th GCI regarding the website capacity. Swarner explained she was surprised to see
the cost for making the change in the last packet because she had reported at the
October 19 meeting she and Council Member Moore had discussed the city's service
with an ACS representative. They had requested the representative to prepare
information and make a presentation to council during the next budget cycle.
Swarner added, nothing had been mentioned to council when she reported the
conversation with ACS.
Semmens reported he was absent from the October 19 meeting and explained cable for
the change was already in the building though it was extended to the wiring room
upstairs. He added, he did not discuss the change with the city manager and was not
aware of Swarner's comments. Semmens stated, the city has many other ACS
accounts.
Moore stated he would like council to hear the ACS presentation during budget time to
learn more of what they have to offer and if it may be more advantageous for the city
to use an outside company to manage the city's website, intemet, etc. Semmens
stated he believed the conversation should be with him and Snow added, if council
wants the services offered, etc. investigated, both service companies should be
contacted. That information could then be provided to council for review. Semmens
also noted, if council wants to pursue choosing one provider, an RFP process would be
in order.
K-2. Attorney-- City Attorney Graves indicated when the formal installation
of Judge Huguelet would take place at the Kenai Court House.
K-3. City Clerk -- Clerk Freas noted she was asked to supply the names of all
commissioners, etc. whose terms would end in January and that information was
included in the packet, along with up-to-date commission and committee membership
lists and liaison assignments.
ITEM L:
DISCUSSION
L-Xo
Citizens-- None
L,2. Council --
KENAI CITY COUNCIL MEETING
NOVEMBER 19, 2003
PAGE 15
Bookey -- Noted the very poor condition of the intersections of the Spur
Highway through Kenai during the last snowstorm. He stated the city street crews did
a very good job in sanding and plowing. However, the State was only sanding and
plowing the highway on their way through town to the North Road area. He
emphasized the importance to contact the State DOT and request them to sand more
often or discuss an arrangement where the city would sand the State intersections as
a trade off for another service the State would do for the city.
Swarner -- * Reported she received a complaint from a constituent whose
driveway was blocked from street plowing during the last snowstorm.
Requested a report on the progress of placing some security measures in
the Clerk's office. Freas reported she had briefly discussed options with a
representative from Guardian Security in October. The information will be forwarded
to administration for their review.
Moore -- No comments.
Gilman -- Noted the U.S. House of Representatives passed an energy bill which
included in it a natural gas pipeline. He urged the city work with the Borough
Assembly to work toward the placement of a spur line to Nikiski if the pipeline is built
as the project would be huge for the state and it is important for the Borough to
access that gas supply.
Ross -- Reported he would be unable to attend the discussion with AHFC
representative Fauske on December 4.
Williams -- Reported he too would not be able to attend December 4 meeting.
EXECUTIVE SESSION- None Scheduled
ITEM M:
ADJOURNMENT
The meeting adjourned at approximately 10' 16 p.m.
Minutes transcribed and prepared by:
Carol L. Freas, City Clerk
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Municipal Airport
Memo
To:
Linda L. Snow, City Manager
From:
Rebecca Cmnkhite, Airport Manager
Thru'
Jack La Shot, Public Works Manager
Date:
November 25, 2003
Subject:
Request to Council for Approval of Design Build
This memo is a request for Council approval to utilize design build competitive sealed
proposals as allowed by Ordinance 2022-2003 for FAA grant project number 3-02-0142-
02902 to acquire a security camera system. As we reported earlier, the FAA has given
conceptual approval for use of design build for this project. In addition, Wince-Corthell-
Bryson, our consulting firm for the project, and their electrical sub-consultant both agree
that this is the most cost-effective way of approaching this project.
The Airport Security Camera Project offers a good trial use of this ordinance because of
rapidly moving technology and changing costs associated with security equipment. The
best expertise for assembling the design build package actually lies with the equipment
supplier-installers. The City should get the latest technology available at the time for the
least cost. Our team has put together detailed parameters for project requirements and
quality expected. The selected bidder will configure the actual system, provide, and
install the equipment after approval. Our team will monitor system installation and
wimess final testing. The contractor will also be required to provide system training.
We are optimistic that the design build competitive proposal concept will prove cost-
effective due to less total people involved in the project. Costs normally expended in a
detailed design process are shifted to the contractor to use for equipment and installation.
Council approval will allow us to proceed with development of the final RFP documents.
www.ci.kenai.ak.us.
CEPOA-EN-CW-PF
20 November 20C
MEMORANDUM FOR RECORD
SUBJECT' Kenai River Bluff Erosion Study- Project Status
Invertebrate study - Study was conducted in April 2003 and found little in the way of
invertebrates in the riverbank area.
Limnoloty Study- Seasonal limnology studies continue to be conducted. The next limnology
study is scheduled for January 2004.
Bird Survey - Monthly bird surveys continue to be conducted.
Fish Study- Spring fish studies have been completed. The next fish study is scheduled for
December 2003.
Topogral~hical/hvdrographical surveys- Survey cross-sections have been completed. This data
was used in the development of the hydraulic model of the lower Kenai River.
Hydraulic Study- Modeling of fiver conditions with and without-bank stabilization has been
completed.
Riverbed sediment samples- Sediment samples were collected in May 2003 along the main fiver
channel and bank areas. Results of the hydraulic model study will be used in conjunction with
the riverbed samples to determine what, if any, changes to the fiver channel would occur under a
stabilized bank condition.
Sedimentation Study- The sedimentation study by the Waterways Experiment Station (Corps'
research laboratory) is ongoing. This work is scheduled to be completed in January. 2004.
Geotechnical Study- Geotechnical fieldwork to determine groundwater flow rates has been
completed. The piping of groundwater out of the face of the bluff is considered to be a major
factor in bluff erosion process. Slope stability analysis of the bluff has been completed. Lab
testing and geotechnical report has been completed.
Stud,,, Schedule- Tl~e stu:Jv schedule is attac, hed. Environmental baseii,.2e studies will continue
:hrougi~ the winter and will be completed in March 2004. Engineering studies, which include
i-~ydraullc modeling of t2e river I'compieted) and sedimentation analysis of the bluff,,,,,ill be
completed January 2004. A main report, which will include these studies as appendices, will be
prepared in A~ni 2004. The report will under an agency and city review and is scheduled for
completion July 2004.
For additional information please contact the.project formulator, .Mr. Patrick Fitzgerald at 907-
753-5638 or the project manager. Mr. Ken Turner at 907-753-5790.
CF'
Snow/City o f Kenai
Komelis,/Citv of Kenai
Tumer/POA-PM-C
Patrick S. Fitzgerald, P.E.
Project Fon'nulation Section
MEMORANDUM
To~
From:
Date'
Subject'
Linda Snow, City Manager
Larry Semmens, Finance Director~'
November 24, 2003
ACS
I met with Stephanie Carrol from ACS today to discuss services that ACS could provide
to the City.
The current support is provided quite inexpensively by Computer Doctor's, Northern
Technology Group and Computer Consulting Services Alaska. We discussed in detail
the services provided by each of these businesses and determined that ACS could provide
some of these services, but that there is no compelling reason to change vendors.
We also discussed managed services in broad terms that included hosting all of our data
and programs on ACS computer hardware located in their facilities. We determined that
the library and police departments are not likely candidates for this service. The
computer that runs the accounting system was recently purchased, so finance also is not a
candidate for offsite hosting. The bottom line is that currently there is not a need for
offsite hosting (managed services) of City computer systems.
The one area that seems to be somewhat of a problem is email. (Ms. Carrol did make the
comment that email is a problem everywhere). When the City Hall was networked the
cost for ACS to host email was $5 per account per month. The City has about 100 email
accounts so it was most cost effective for us to host our email on our own server using
Microsoft Exchange Server. This is complicated software that requires specialized
knowledge, so we may be able to save some consulting time if we outsource email
hosting. Stephanie Carrol agreed to get a price for ACS to host our email accounts and to
provide information on anti-spam software. I will need to research the implications of
outsourcing email if the price quoted competes favorably with hosting email on our
server.
One very good outcome of this meeting is that ACS is going to credit the City for excess
charges levied since June 2002 for DSL intemet services. Apparently ACS reduced
prices at that time and somehow the City accounts were not updated to the new pricing.
This will result in several thousand dollars saving to the City. We also determined that
ACS prices are competitive for similar intemet speeds. We reviewed other telephone
services being provided and determined that there may be minor savings available by
making a few changes.
The conclusion of the meeting is that the City is not in need of managed services from
ACS; however, we should consider outsourcing email hosting depending on the cost
quote.
INFORMATION ITEMS
KENAI CITY COUNCIL MEETING
DECEMBER 3, 2003
.
,
o
o
2004 Gaming Permit Applications: · Women's Resource & Crisis Center
· Oilers Baseball Booster Club, Inc.
· Peninsula Oilers Baseball Club, Inc.
· Old Town Bingo
· Nenana Ice Classic
'11/24/03 Greater Soldotna Chamber of Commerce PSA-- December luncheon
meetings and topics.
11/24/03 Public Works Project Status Report
11 / 18 / 03 Letter from Sears Elementary
Department of Revenue State of Alaska I t~C,'--;
TaXpo Division110420 . 2004 Gaming Permit Application
Box, . AS 05.15.020 ,';,.;~I
Juneau AK 99811 0420 '
Telephone 907.466.2320
This form is also available on the [nternet at www.tmx.state, ak. us/prc[lCams~/~C/-------
ORGANIZATION INFORMATION [~'- ' '
Federal EIN 9 2 - 0 0 6 ~ 3 0 6 Permit Number
Organization Name
Women's Resource & Crisis Center
!Mailing Aclclress
325 S. Spruce Street
r(elephone Number 7
907)283-94 9
Fax Number
(907)283-5844
E-mail Address
ORGANIZED AS
TYPE OF ORGANIZATION (check one box. For definition see AS 05.15.690)
~ Association
PERSONS IN CHARGE OF GAMES. Persons must be active members of the organization, or an employee of the municipality, and designated by
the organization. Members may not be licensed as an operator, vendor, or employee of a vendor.
Primary Member First Name jPrirnary Me~nber Lasi'Name Alternate Member First Name jAltemate Member Last Name
Cheri ! Smith Kathryn ~! Tomrdle
Social Number Telephone Number ·
SOcial security Number IDay~me Telephone Numb~, ' Security IDaytime
574-58-0078 '! (907)283-9479 542-58-3967 i! (907)283-9479
Mailing Address Mailing Address '
325 S. Spruce Street 'PO Box 698
Kenai AK I 99611 Kenai ~ AK. 199611
Has the primary member taken and passed Ihe test? ~gYes a No Has the alternate meml0er taken and pass. the ,~s~ ~ Yea I~ No
Permit number under which the test was taken. 5___ Permit number under which the test was taken.--' ,-, 9
MANAGER OF GAMES-As defined in 15 AAC 160.995 and 15 AAC 160.365
l Mana0er Name isoc , s.u,,y .sm.,
Cheri
Smith
! 574-58-0078 ! (907)283-9479
Mailing Address ICity' IState JZip Code
325 S. Spruce Street Kenai AK ! 99611
THESE QUESTIONS MUST BE ANSWERED. (see instructions) '
yes
[~1 Yes
~ No Has any member of management or any person who is responsible for gaming activities ever been convicted of a felony, emerlbn, er
a violation of a law or ordinance of this state or another jurisdiction that is a crime involving theft or dishonesty or a violation of
gambling laws?
~1 No Does any member of management or any person who is responsible for gaming activities have a prohibited financial interest. as defined by 15 AAC 160.9,54 - 959.
We declare under penalty of unswom falsification, that we have examined this application, including any attachments, and that to the best of our kno~~ at3d
belief, it is t/ue and &'omplete. We understand that any false statement made on this application or any attachments is punishable by law.
~Hmmy Me~u-~r Signature _
i~esident ~-Vice ~r~ident Signature {.~e ins~'uctions)
I~rmted Name '
Cheri Smith
Printed Name
June Harris
520 Pine Avenue, Kenai AK 99611
i Date
Date / /
Daytime Telep~; J.
(907)283-2.94
' -" · ! ' t ~ · , . . ,
Form 04 826 (Rev 09/03) Page 1 See instruc~'s'~'r
A copy of this application must be sent to all applicable municipalitle~ and bereugl~
2004 Gaming Permit Application
iOrganization Name
Women's Resource & Crisis
Game Type: chec~ each game type, (use for completing information below.)
~ Bingo [~ Deep Freeze Olassio
~ Raffles L~ Dog Mushers Contest
L~ Puli-Tabs L.-J Dog Mushers Sweepstakes
~Contest. of Skill L~ F'~h Derbies
~Canned Salmon Cl~io
ACTIVITES CONDUCTED BY ORGANIZATION
Facility Name Physical Address
The Getaway
35553 Kenai Spur Hwy, Soldotna, AK
_
IFederal EIN
C~nter 92~0069306
[~G~ Classics
L.-.J Ice Classics
L.-.J King Salmon Classics
U Mercury Classics
The Gameroom
610 Attla Way, Kenai~ AK.
99611/Pulltabs
ACTIvITIEs CONDUCTED BY VENDOR (pUl-labs are the only games a vendor can conduct) VenclorregistratJon and fee
Name of Vendor Physical Addres~
IPermit Number
509
, , ,
E]Race Classics
L.~ Rain Classics
L..j Salrnon Classics
L=Jsnow Machine Classics
! ISpeda, Draw Raffle
Game Type(s) Is Facility
Q Owned
99669/Pu 11 tabX~ ~as~
Donated
~ Donated
i
0 own~
I~1 Leased
Q Donmed
iii
I;;]1 Owned
I~ Leased
I~1 Donated
I~1 Leased
~ Donated
O owne~
{~1 Leased
[~1 Donated
must be attachecf.
Venclor Number
ACTIVITIES CONDUCTED BY OPERATOR
rName of Oper=or Physical Ad=-- Game Type(a) Ope=t~, Ucsnee I
·
,
ACTIVITIES CONDUCTED BY MULTIPLE-BENEFICIARY PERMFFTEE
·
DEDICATION .OF NET PROCEEDS; The' organization must plartto use the net proceeds from g__an3ing a~t. ivitiee, for~olitical, educational, civic,, publi~,-
_ ...chadtabie,.l~trietioor-religious usee.~n Alaska.- (Se6statutee an'd'reg'uia'ii~)ns ~°r'specifio rules.) In the space provided, tell how your organization Inten~
to use the net proceeds lmm ,cjamin,q activities. (Be specific) ,
Ail proceeds from pulltab sales are used for client services.
, ,
Form 04-826 (Rev 09/03) Page 2
DeDartment of Revenue
Tax Division
PO Box 110420
Juneau, AK 99811-0420
Telepl~one 907.465.2320
State of Alaska
2004 Gaming Permit Application
AS 05.15.020
This form is also available on the Internet at www.tax.state.ak, us/programs/gaming/
ORGANIZATION INFORMATION
Federal EIN
92-0046531
OrganizaUon Name
Oilers Baseball Booster Club, Inc.
Mailing Address
601 S. Main
City IState
Kenai
TYPE OF ORGANIZATION (check one box. For definition see AS 05.15.690)
IZip Code
99611
Permit Number
1402
Telepl~one Number
907-283-7133
Fa'x Number
907-283-3390
E-mail Address
Charitable Fishing Derby
Civic or Service Fraternal
Dog Mushers Labor
Educational ~ Municioality
ORGANIZED AS
X ,Corporation [~1 Partnership
Non Profit Trade Assocmatmon
Outboard Motor Assocmtion
Police or Fire Department
Political
Religious
Veterans
IRA/Native
~ Association
PERSONS IN CHARGE OF GAMES. Persons must be active members of the organization, or an employee of the municipality, and des;gnated by
Pnman/Member First Name
Karen
Social Secunty Number
516-62-0619
!Mailing Ao~lress
~PO Box 3422
the organization. Members may not be licensed as an oberator, vendor, or employee
Primary Member Last Name
Kester
Daytime Telephone Number
907-776-8472
Kenai IAK , 199611
Has the primary member taken and passed the test? X Yes I~ No
Permit number under which the test was taken. 1402
MANAGER OF GAMES - As deflnecl in 15 AAC 160.995' and 15 AAC 160.365
Manager Name ' '
Faith IRedden
Mailing Address
1104 Leeward Dr.
THESE QUESTIONS MUST BE ANSWERED. (see instructions)
of a vendor.
Alternate Member First Name
Sharon
Social Security Number
522-74-0732
Mailing Address
140 Hendch
City IState
Soldotna ,
Has the alternate member taken and passed the test?
Permit number under whicl~ the test was taken.
ISo~aal St~unty Number
518-96-5583
Jcity Istate
Kenai
Village
Alternate Member Last Name
Hale
IDaytime Telephone Number
907-262-1507
IZip Code
99669,
X Yes [~ No
1402
Daytime Telepl~one Number
907-260-7110
Izipcode
199611
[~1 Yes X No Has any member of management or any person who ms responsible for gaming activities ever been convmctecl of a felony, extortion, or
a violation of a law or ordinance of this state or another jurisdiction that is a crime involving theft or clishonesty or a violation of
gambling laws?
[~1 Yes X No Does any member of management or any person who is responsible for gaming activities have a prohibited financial interest as defined by 15 AAC 160.954 - 959.
We declare under Denalty of unsworn falsification, that we have examined this application, including any attachments, and that to the best of our knowledge anti be#ef.
it is true anct coml31ete. We understand that any ,false statement made on this applicat/on or any attachments is punishable by law.
Date
Date '
Daytime Telel~one
907-260-7110
I'1 $100,001 or More $100.00
state office use only
President ?r)Vl~a~l President Signatul'e (~e in,rd :t((~ns)
Mailing Address of' President or Vice President
1104 Leeward Dr., AK 99611
IPdnted Name
Karen Kester
Printed Name
Faith Redden
Permit Fee: Check the approl~nate box and enclose the correct amount.
The Detroit fee is based on 2003 estimated gross receiots. Make Checks Payable to the State of Alaska:
E~ $0 - $20.000 = $20.00 ' E~ $20,001 - $100,000 = $50.00
Form 04-826 (Rev 09/03)
Page 1
I
m
m
i m m m m m m m m m mmm.m m mmm m m!
See instructions for manclatory attacttments
A copy of this applmcation must be sent to all applicable municipalities ami boroughs
2004 Gaming Permit Application
IOrgantzatlon Name "
Oilers Baseball Booster Club. Inc.
Federal EIN
92-0,O46531
Game Type: check each game Woe, (use for completing information below.)
~Bingo ~DeeD Freeze Classic
Raffles Dog Musher's Contest
Puli-Tabs Dog Mushers Sweepstakes
Contest of Skill Fish Derbies
Canned Salmon ClassIc
ACTIVlTES CONDUCTED BY ORGANIZATION
Physical Address
Corner of Cook & Main Kenai
Facility Name
"Oilers Building
Goose Classics
Ice Classics
K~ng Salmon Classics
Mercuq/Classics
Game Type(s)
Pulltabs/Raffles
]Permtt Number
1402
Race Classics
Rain Classics
Salmon Classics
Snow Macl~ine Classics
Special Draw Raffle
Is Facility
Leased
Owned
Leased
Donated
Leased
Donated
Owned
Leased
Donated
Owned
Leased
Donated
Owned
Leased
Donated
ACTIVITIES CONDUCTED BY VENDOR (pull-tabs are the only games a vendor can conduct) Vendor regtstrat~on and fee must be attache(l.
Name of Vendor Physical Address Vendor Number
ACTIVITIES CONDUCTED BY OPERATOR
IN'me of Operator
Physical Address " Game Type(s) Operator's L~cense
ACTIVITIES CONDUCTED BY MULTIPLE-BENEFICIARY PERMITTEE
INane of MBP ' Physical Address Game Type(s) MBP Number '
,
DEDICATION OF NET PROCEEDS. The organization must plan to use tt~e net proceeds from gaming act~vities for political, educational, c~vic, public,
charitable, patriotic or religIous uses in Alaska. (See statutes and regulations for specific rules.) In the space provided, tell how your orgamzat~on intends to
use the net proceeds from ~am~n,o activities. (Be specificI)
IPromote athletics, particually baseball, on the Kenai Peninsula & within Alaska. Support summer league f°r
college baseball players, high school scholarships and others.
, ~
Form 04-826 fRev 09/03~ Page 2
Department of Revenue
Tax Division
PO Box 110420
Juneau, AK 99811-0420
Telephone 907.465.2320
State of Alaska
2004 Gaming Permit Application
AS 05.15.020
This form is also available on the [ntemet at www.tax.state.ak.us/programs/gaming/
ORGANIZATION INFORMATION
Federal EIN
92-0136498
Organization Name '
Peninsula Oilers Baseball Club, Inc.
Mailing Address
PO Box 318
city state
Kenai AK
TYPE OF ORGANIZATION (check one box. For definition see AS 05.15.690)
E~Charitable [~ Fishing Demy
~Civic or Service L.--.! Fratemal
~Dog Mushers g..-.J Labor
i ! Educational I i Municipality
OR~3ANIZED AS '
X Corporation ' [:] Partnership
JZip Code
99611
i Permit Number
0251
TelephonY'Number
907-283-7133
Fax Number
907-283-3390
E-mail Address
admin@oilersbaseball.com
Non Profit Trade Association
Outlxmn:l Motor Association
Police or Fire Department
Political
--[Religious
--iVeterans
--'IRA/Native Village
Association
PERSONS IN CHARGE OF GAMES. Persons must be actWe members of the organization, or an employee of the municipality, and designated by
the organization. Members may not be licensed as an operator, vendor, or employee of a vendor.
Primary Member First Name
Scott
Social Secunty Number
545-90-1025
Mailing Address
PO Box 566
c.y Istate
iK,~nai I^~
iHas th® primary member taken and passed the test?
Permit number under which the test was taken.
IPrimary Member Last Name
Cunningham
IDaytime Telephone Number
907-262-2221
IZip Code
99611
X Yes i~ No
0251
Alternate Member First Name
Sharon
, ,
Social Secunty Number
522-74-0732
Mailing Address
140 Henrich
IAItemate Member Last Name
Hale
IDaytime Telephone Number
907-262-1507
IZip Code
90{169
X Yes I~lNo
0251
c~y sate
Soldotna AK
Hu the aitemate meml~' taker} and ~~1 the test?
Permit number under which the test was taken.
MANAGER OF GAMES. As de~ned in 15 AAC 160.995 and 15 AAC 160.365 '
Marmger Name ISocia, Secunty Number ' ! Daytime Telephone Number
M;~iling Address , ICity rs=te, , JZip Code
THESE QUESTIONS MUST BE ANSWERED. (see instructions)
I~1 Yes X No Has any member of management or any person who is responsible for gaming activities ever been convicted of a felony, extortion, or
a violation of a law or ordinance of this state or another jurisdiction that is a crime involving theft or dishonesty or a violation of
gambling laws?
[~ Yes X No Does any member of management or any person who is responsible for gaming activities have a prohibited financial interest as defined by 15 AAC 160.954 - 959.
Wa declare under penalty of unsworn falsification, that we have examined this application, including any attachments, and that to*the best of our knowledge and belief.
it is true and complete. We understand any false statement made on this al~otication or any attachments is punishabie by law.
Sigr Printed Name Date
Scott Cunningham
instructions) Printed Name
Dennis Smith
of President or Vice President
PO Box 474 Sterling, AK 99672
907-283-7133
Permit Fee: Check the appropriate box and enclose the correct amount.
The permit fee is based on 2003 estimated gross receipts. Make Checks Payable to the State of Alaska: state off,ce use only.
L_i $0 - $20,000 = $20.00 I--'1 $20,001 - $100,000 = $50.00 ~ $100,001 or More
$100.00
m mmmmmmmmmmmmmmmmmm
Form 04-826 (Rev 09103) Page I See msmJCtiOnS for mandat(xy attachments
A cow of this application must be sent to all applicable municipalities and boroughs
2004 Gaming Permit Application
i
IOrganization Name IFederal E IN
Peninsula Oil,ers Baseball Club, Inc. 192-0136498
Game Type: check each game type, (use for comDletlncj information below.)
Bingo E~ Deep Freeze Classic
Raffles L._.~Dog Mushers Contest
Puli-Tabs L.~ Dog Mushers Sweepstakes
Contest of Skill LJ Fish Derbies
Canned Salmon Classic
ACTIVlTES CONDUCTED BY ORGANIZATION
Facility Name Ph~rsical Address
Coral Seymour Memorial Park Raffles -
Corner of Tinker& Lawton Kenai
EGoose Classics
L.._j Ice Classics
King Salmon Classics
L..j Memury Classics
Game Type(s)
IPetmit Number
0251
Race Classics
Rain Classics
Salmon Classics
Snow Machine Classics
Special Draw Raffle
Is Facility
Leased
~1 Owned
I:~ Leased
~ Donated
I:~ Owned
'~1 Leased
~ Donated
[~ Leased
~ Donated
i i
~ Leased
~1 Donat~
iii
~ Lea~
~ Donat~
ACk. ES CONDUCED BY ~N~R (pul~bs are the only games a vendor ~n ~~) Ve~ mg/s~t/on and ~e must be a~a~.
Name of Vendor P~I~I A~SS
Vendor Number
ACTIVITIES CONDUCTED BY OPERATOR
IName Of Ooerator
Physical Address Game Type(s) Operator's License
ACTIVITIES CONDUCTED BY MULTIPLE-BENEFICIARY PERMITTEE
IName of MBP ' Physical Address Game Type(s) , MBP Number ,
Old Town Bingo ' Oilers Building Bingo 1819
Comer of Cook & Main Kenai Pulltabs
DEDICATION OF NET PROCEEDS. The organization must Dian to use the net proceeds from gaming activities for 0olitic, al, educational, civic, i~ublic.
chaffisble, patriotic or religious uses in Alaska. (S~ statutes and r~gulafions for s~ rules.) In the s~aca provided, tell how your o~anization inter,Is to
use the net proce~,s from ~amJn~l activities. IBc specific1
Promote athletics, I~articually baseball, on the Kenai Peninsula & within Alaska, support summer league'fOr
college baseball players, donations both montary & in-kind to Little League, American Legion, high school
scholarships, Love Inc. and others.
ii
Form 04-826 (Rev 09/03) Page 2
Department of Revenue
Tax Divisior
PO Box 110420
Juneau, Alaska 99811-0420
Telephone 907.465.2320
ORGANIZATION INFORMATION
Federal EIN
MBP Name
Mailing Address
State of Alaska
2004 Multiple-Beneficiary Permit Application
AS 05.15.145
This form is also available on the intemet at www.tax.state.ak, us/programs/gaming
7 ]~-09,17986
01d Town Bingo
PO Box 318
Il III , , Il I J
, Kenai K 99611
Permit Number
1819
Telep. hone Number'
907-283-7133
Fax Number
907-283-3390
E-mail Address
Check one:
[~1 New
X~ R~.ow~
PERSONS IN CHARGE OF GAMES. Persons must be members of one of the qualified organizations or the board of directors of one of the qualified
organizations or employees of one of the municipalilies. Members may not be licensed as an operator, vendor, or employee of a vendor.
Primary Member's First Name IPriman/Member's Last Name
I
Scott I Cunnin.qham
Social Security Number IDaytime Phone Number
I
545-90-1025 , I 907-262-2221
~Home Mailing Address
PO Box 566
City, State and Zip Code
Kenai: AK 99611 ,
Pe~ number under whi~ the t~t w~ ~en. 1
Alternate Member's First Name"
Ricky
Social Security Number
396-50-2830
Home Mailing Address
IAItemate Member's Last Name
Gease
IDaytime Phone Number
J 907-283-1991
PO Box 700
City, State and Zip Code
Kenai. AK 99611
Has the altemate member laken and passed tlle tes(!)?~ ~ Yes I~ NO
Permit number under which the test was taken.
MANAGER OF GAMES- As defined in 15 AAC 160.995 and 15 AAC 160.365
Manager's First Name ]Manage~ Last Name ISocial Security Number [Daytime Telephone Number
Margaret axter ! 546-72-7331 907-283-7133
HOlI~ MaJli.§ Address !City K e ri a i Slate I izip Cede I
1619 Toyon Way AK ~g611
MBP MEMBER APPLICANTS. Ail member applicants must (1) have a permit or (2) have applied for a permit in this permit'tear.
' Permit Number ' 'iqame of Organization ............. Tele~h0ne Number
I I I i I I
1. 0_'?~! Penin_su!~ 0T!er.s Baseball Club- _~nc g07-?_R3-71~ ,
2. 0072 Kena~ Convention & V~s~tors Bureau, Inc 907-283-1991
.
,,4'm i il
,%
THESE QUESTIONS MUST BE ANSWERED. (If you answer yes to either question, please submit the person's name and position of responsibility.)
[~! Yes [~XNIo Has any member of management o._r any person who is responsible for gaming activities ever been convicled of a felony, exlortion, or
a violation of a law or ordinance of this state or another jurisdiction lhat is a crime involving theft or dishonesly or a violation of
gambling laws?
[~ Yes X [~ No Does any member of management or any person who is responsible for gaming activities have a prohibited financial interest
as defined by 15 AAC 160.954 - 959?
'"l
I declare under penally of unsworn falsification,~at I have examined this application, including any attachments, and that to the best of my knowledge and belief,
it is true and complete. I understand that any//a/h:,e statement made on this application or any attachments is punishable by law.
<~rmary ~ember SignatUF) .~.// iPrinted Name .......... jDate I
I^~~k~'~/~ I Scott Cunningham I 11/20/031
/ ') ...... ' '~= [PMD'
$ oo / ' J
Make checks payable to the State of Alaska / ..... /
See instructions f°r mandatory attachments.
Form 04-859 (Rev 09/03) Two copies of this application must be sent to ali applicable municipalities and boroughs.
MBP Name
Old Town Bingo
SUPERVISORY EMPLOYEES
,,
First Name
Margaret
First Name
First Name
First Name
, , ,
GAME TYPE (use for completing information below.)
Game Type (use for completin.q information below)
2004 Multiple-Beneficiary Permit Application
· , · ,
Federat EIN
71,,-0917986
I~ermit Num0er
1819
Last Name
Baxter
Last Name
'Last Name
Last Name
Social security Number
546-72-7331
Social Security Number
Social Security Number
Social Security Number
i1,,
v Bingo Deep Freeze Classic Goose Classics Race Classics
~ Raffles I Dog Musher's Contest Ice Classics Rain Classics
X Puli-Tabs ----' Dog Mushers Sweepstakes King Salmon Classics Salmon Classics
, Contest of Skill i Fish Derbies Mercury Classics Snow Machine Classics
Canned Salmon Classic Special Draw Raffle
_
, ~
ACTIVITIES CONDUCTED BY MBP
Facilily Name 'Physical Addres~ " Game Type(s) Is Facility
,
Oilers Building/ Corner of Cook Bingd/ ~owne~
Bingo Hall & Main - Kenai Pulltabs
I~ Donated
~ Owned
~ Leased
I~ Oonaled
i i ill iiii
I~ Owned
[~1 Leaseci
I~ Donated
~ Owned
{~1 Leased
{~1 Donated
,,, ,
[~ Owned
{~ Leased
~ Donated
(~1 Owned
~ Leased
I~ Donated
, , , ,,, , ,
[~ Owned
[~ Leased
[~ Donated
ACTIVITIES CONDUCTED BY VENDOR (pull-labs are the only games a vendor can conduct) Vendor registration and fee must be attached.
Name of Vendor
"'PJlysicai Address Vendor Numbe~r '
, ~
,
.
,
Use additional sheets as necessary.
Nenana Ice ClassiC
Box 00272 '
Nenana, Alaska 99760
(907) 832-5446
R
November 12, 2003
To Whom It May Concern:
This letter is written as notification that the Nenana Ice Classic will be conducting
gaming in your community through the agents that have sold tickets for the Nenana Ice
Classic in previous years. Nenana Ice Classic tickets will be sold beginning February 1,
2004 through midnight April 5th, 2005.
The Nenana Ice Classic holds a 501C Tax Exemption with the State of Alaska as a Non-
Profit Charitable Gaming Corporation. We are asking that you please consider
exempting the Nenana Ice Classic from any sales taxes in your community (should you
have a sales tax).
Proceeds from our ticket sales benefit local volunteer agencies such as the Nenana
Volunteer Fire Dept., and Emergency Medical Services, our local Public Library, KUAC
Public Television, many local childrens functions and activities.
If you have any questions, please feel free to call our office at (907) 832-5446.
Respectfully,
Cherrie Fomess, Manager
cc: State of Alaska, Division of Charitable Gaming
Betting on the Tanana River breakup has been an Alaska tradition since 1917.
PSA
From: SHANON
.,
,
Greater Soidotna ......... Chamber. of .C°mmercee44790. ...... Sterlln~l Hw~/,~Soldotna, AK.. 99669
FA
Date: Monday, November 24, 2003
Number of Pages: 1 ' ' '
Phone: (907) 262-9814
Fax: (907) 262-3666
lnfo~)soidotnachamber.com
To: ALL MEDIA
PLEASE RUN ON THE COMMUNITY CALENDAR
Listed below are the December speakers for the Soidotna Chamber of Commerce
Luncheons held on Tuesdays at Noon at the Riverside House in Soldotna.
Bill Popp, Kenai Peninsula Borough Oil &.Gas Liaison
Aud Walaszek, Kenai Peninsula Winter Games
e~~ew~e~ /6:
Soldotna Year in Review
No Chamber Luncheon-Merry Christmas
No Chamber Luncheon-Happy New Year
Please call Shanon at 262-9814 of you have any questions.
Thank You,
Shanon Hamrick
Soldotna Chamber of Commerce
I/I '~ I~CR'Okl ~I:~QINWLiq Wkllr~rl-lr~ ~uJnT,~ 0nh7 ,~,7, AnU
Project status Report
A/B/F/ CityContaet Project Name
A JL Airport Security Fencing
A=Active
NC=Non-Construction
F--Future
STIP=State Trans. Imp
KK - Keith Komelis
JL - Jack La Shot
RS Robert Springer
MK - Marilyn Kebschull
Jet- Jan Taylor
Statas
Engineering work progressing.
A JL
Airport Secudty System
Preparing project manual.
A MK
Airport Supplemental Planning
Assessment
Met with FAA on November 20 to review plan and
determine what FAA will fund. RFP being drafted
by Airport Manager and Planner.
A KK Basin View LID
This project has been completed and the City has.
received the State DOL releases. We are working
on final assessment roll and public headng.
A KK
Bddge Access W & S Feasibility
Study
Received final report evaluating different routes ..
from Wince-CorthelI-Bryson. Report sent to DEC.
& EDA.
A JL/RS City Hall HVAC
Documents complete.
A MK Comprehensive Plan
Approved. Final plan being prepared. When it is
received, the plan will be forwarded to KPB for
approval.
A JL
A JL
Contaminated Soils- Shop
Daubenspeck Environmental
Site Assessment
Work plan to be submitted. Received rankingfor ~
loan fund - could be funded if City chooses to.
Applied for 50% matching grant. Also may
reappropriate $151,314.
Final report has been received. UST removal
report received and submitted to ADEC.
A JL FAA Site
FAA has submitted final reports to ADEC.
Response will be included in Final Environmental
audit. Land transfer is then possible.
'Monday, November 24, 2003
Page I of 3
A/NC/F/
~T~
City Contact
JL
Project Name
Kenai AP ARFF/SRE Facility
Status
Closing out.
KK
Kenai Boat Launch
Improvements
Received $350,000 grant. Asked Boating Facility
designer, Nelson, for proposal for changes at the
facility.
KK
Kenai Coastal Trail
Corps has received funding for planning and
answering permitting questions on this project.
Rec'd status report 11/20/03 from Corps with
schedule.
A JL
Library Improvements
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.
KK
McCollum & Aliak, Set Net Dr.,
S. Ames Rd. LID's
These LID projects are on a list for consideration
by Council at a later date. Projects on hold until
changes made or funding found.
A JL
Multi-Purpose Facility
Refrigeration
Venting estimated at approximately $30,000.
Waiting to see extent of Arctic Winter Games
work. Removed siding panels to experiment with
condensation. May replace panels.
A KK
Pillars LID - Chinook Drive and
Sockeye Circle
This project has been completed, and the City has
received the State DOL releases. We are working
on final assessment roll and public hearing.
A JL
Runway Extension
Environmental Assessment
Met w/FAA on August 1. Must do additional needs
justification work. Will also do financial plan.
Airport Manager and Planner met with FAA
11/20/03.
A KK
Schooner Circle LID
This project has been completed, and the City has
received the State DOL releases. We are working
on final assessment roll and public hearing.
A JL
Senior Kitchen
Received grant. Preparing plans.
Monday, November 24, 2003
Page 2 of 3
A/NC/F/
City Contact
Project Name
Status
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
This project has been completed, and the City has
received the State DOL releases. We are working
on final assessment roll and public hearing.
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
City completed the review of CH2M Hill's draft
report. Going to contract with GeoNorth to update
GIS as part of this project.
A KK
WH 4
Drilled exploratory well and waiting for test results.
Microscopic particulate analysis being done.
STIP KK
DOT- Bridge Access Pathway
Pathway along Bridge Access Road from K-Beach
to Spur 3.3 miles... Project in environmental
assessment. Design scheduled FFY08.
Construction after FFY09.
STIP KK
DOT- Kenai River Flats
Interpretive Site
This is the rest stop and Birch Island Faciltiy near
the Warren Ames Bridge. This project has been
moved out of the STIP.
Monday, November 24, 2003 Page 3 of 3
/
SEARS ELEMENTARY SCH(
Mick Wykis, Principal
549 N. Forest Drive
Kenai, Alaska 99611
November 18, 2003
Kenai Fire Department
105 S. Willow St.
Kenai, AK 99611
Dear Kenai Fire Department,
Thanks to everyone at the Kenai Fire Department, Firefighters and Assistant
Chief Baisden for your work at Sears Elementary during Fire Safety Week.
Your efforts make a difference for children and families in preparation for
fire and other emergencies.
The Kenai Fire Department's long history of support of the Kenai schools is
a testament to your commitment to our community and schools. The
gentlemen and ladies of the Fire Department are great with our students and
Staff. The fire track on Friday and the water spray was educational and
exciting for everyone as well. Thanks much for another great week!
MW:kjr
Sincerely,
Mick Wykis, Principal
Sears Elementary
Phone
Fax
(907) 283-4826
(907) 283-9198
Kenai Peninsula Borough School District
Palmer, Alaska
(907) -761-7771
News Release
December 1, 2003
For Immediate Release
_ iiE --CEIV~~ '
__ _
CITY CLE
,APPLICATION DEADLINE APPROAC
TECHNICAL ASSISTANCE AND TRAINING GRANTS
,AND SOLID WASTE MANAGEMENT GRANTS
Decx'mber 31 ~t is the filing deadline for private non-profit groups and local governments
wishing to apply for Technical Assistance and Training Grants and Solid Waste Management
Grants, according to USDA Rural Development State Director Bill Allen.
"We' re encouraging any Alaska group or governmental organization that needs assistance
under the terms of the grant requirements to apply," said Allen. Technical Assistance and
Training Grants are used by local communities or groups to identify and evaluate water and
waste disposal problems, and assist applicants in applying for fede~ funds to solve the
problems. Grant funds can also be used to improve the operatiOn and maintenance of existing
water and waste disposal facilities in rural areas. Solid Waste Management Grants are used to
reduce water pollution and improve planning and management of solid waste sites.
In fiscal year 2003, which ended on September 30a', three grants valued at almost
$320,000 were awarded. The Tanana Chiefs Conference in Fairbanks received two grants: a
TAT grant of $105,000 and a SWM grant of $170,000. The North Slope Borough received a
SWM grant of $44,945.
For more information contact Debby Retherford in Rural Development's Palmer office at
(907) 761-7726 or contact USDA Rural Development field office staff in Bethel, Dillingham,
Fairbanks, Nome, Sitka or Kenai.
USDA
USDA Rural Development is an Equal Opportunity Lender, Provider, and Employer. Complaints of
discrimination should be sent to: USD~I, Director, Office of Civil Right& Washington, D.C. 20250-9410
CHUH ~U~IN~s~ Uk~' ~UP.
~' AX NU,
Kenai Peninsula SAFE KIDS Coalition
For The Central Peninsula Area
Central 'Peninsula General Hospital
250 Hospital Place
Soldotna, Alaska 99669
907-714-4539
November 24, 2003
John Williams
Kenai City Mayor
210 Fidalgo Ave
Kenai, Alaska 99611
Fax' 283-3014
l)ear Mayor Williams,
Thc Ken.al Peninsula SAFE KIDS Coalition is in the process of submitting a grant
proposal to thc Alaska State Pm'ks, Department of Natural Resources for a snow~nobile
safety and education grant. The money will be used to purchase children's snowmobile
helmets and enhance our snowmobile education program. Our program is now in it's 5th
year. We have distributed over 600 helmets during this time. The Al~.ska State lt~jury
Prevention progrmu has adopted the progTam and made it available for use in other
Alaskan communities. National SAFE KID Campaign recognized our program i~l 2002
wilh 1h¢ Outstanding Innovative program. It is the goal of the Kenai Peninsula SAFE
K IDS Coalition to continue to increase snowmobile safety awareness and promote helmet
use for the children in our community. These efforts will in tuna reduce the number o f
unintentional injuries and deaths to children.
We wot, id appreciate it if you would write a letter supporting our efforts for this program.
Your supporling letter will be submitted with the grant application. Tlae deadline for the
application is December 15, 2003, so we m-e requesting your letter no later thma
December 5~h. Please feel free to fax your letter to (907) 714-4696.
Thank you for supporting our program. If you have any questions, please contact me.
Sincerely,
J a~'e B. Fcllman ~ '"'
RN, Coordinator
KPSK for Ccntral Peninsula Area
""". ~ ~. . *' I I . .
~ ~ ,:~:.l' ' : I I : ,I .~"
i . ,, ' ' i. ~*, *1. ,
Taking Responsibility Today for Alaska's Tomorrow
Volume 11 December 1, 2003
In an effort to keep afl Alaskans better informed about important government priorities,
I'm pleased to send you this wee~¥ up~at~ ~~iling some of tl~e in~at~e~ we're
undertaking. Your feedback and comments are always welcome as we work together to
build the future of our great st~t~.
-!
·
Building Our Economic Future:
Assistance to Salmon Fishermen:
A second series of checks were mailed last
week to assist qualified Alaska salmon
fishermen and
crew members
faced with
financial hardship
due to the fishing
industry's past
economic
downturn. The
Alaska
Department of
Labor and
Workforce
Development
processed and
mailed about
3,000 checks to
qualified
individuals. The
$550 checks were part of my administration's
Fisheries Revitalization Strategy, a multi-year,
multi-level plan that also includes an
international marketing program for wild Alaska
salmon. These payments follow an earlier
payment of $1100 distributed in July. I'm
confident that that our efforts to revitalize the
industry are working and I want to thank Sen.
Ted Stevens again for his continued efforts in
making sure the state receives federal funds to
help revitalize our fisheries.
Caring for Our Communities'
One Year Anniversary: An annual tradition
for our family and for many of you is to come
together for a dinner during the holidays and for
each person to
spend a few
minutes sharing his
or her highlights of
the past year. In the
spirit of this tradition
Nancy and I will be
sharing some of our
observations and
some of the
highlights of the last
year during a
special broadcast
planned for 7 p.m.
tomorrow (Tuesday
Dec. 2) on Alaska's
public television
stations, ARCS, and
the Alaska Public Radio Network. It has been an
honor and a privilege to serve you as Alaska's
governor and we hope you'll join us for a look
back.
The governor's residence in Juneau is ready for holiday guests.
Open House and Arts Special:
On Wednesday, Nancy and I will be hosting our
annual open house from 3 p.m. to 6 p.m. at the
residence and all Alaskans are invited to attend.
The open house is a 90 year-old tradition that
I'm told started with 300 guests in 1913, and
:'7
P. S.A.
..Date: Tuesday,. November 25, 2003
Number of Pages: 1
Phone: (90,7)26.2:-9814
Fax: (907)262.3566
Info~soldotnachamber. com
FROM: Shanon
TO: Ail Media
Comments:
The Soldotna Chamber of Commerce is having its 3ra Annual Chdstrnas Tree Lighting and Fun Night. The party be-
gins Thursday, December 11 from 6-7:30 pm at Parker Park and the Soldotna Senior Center located on West Park
Avenue. (Near the Soldotna Post Office)
Santa and Mrs. ClaUs will be arriving b'/Fire Engine to greet area children and listen to their Chnstmas wish lists.
Mayor Carey will be the master of cere.~onies, and the park will be decorated in a festive patriotic fashion by area
school children. FREE sleigh ddes will De available for ali who attend, and the Kenai Carolers will be there singing
Christmas songs. Kids can have their pictures taken with Santa, and refreshments will be provided, including cook-
ies, punch, hot chocolate and coffee.
Please plan on attending this fun comraunity event. The more the Memer!
For more information call Shanon at 262-9814.
Thank You,
Shanon Hamrick
Visitor Center Coordinator
Soldotna Chamber of Commerce
~/[ d 9996 'ON
;8]~IIAiVHO YNiO(]IOS
~d[~'~ SOOZ S 'o~CI
-~ m I I I II i m II .... ~ _ _1 _1 im I , I I
Date: Tuesday, November 25, 2003
Number of Pages: 1
P.S A Phone'- (907)262-98t4 "
· · Fax: (907)262-3566
lnfo(~soldotnachamber, com
FROM: Shanon
TO: All Media
Commen1~:
Hello,
It's time once again for the Soldotna Chamber's Annual Christmas decorating competition! Christmas lights
are a great way to promote community spirit through the long dark winter months. If you or someone you
know has a wonderful light display and would like to be considered for an award, call or fax in a nomination
to the.chamber office. Nominations should include a name and address. First through third place pdzes will
be given in commercial and residential categories. Homer Electric Association is providing the following
prizes for each winner: 1st place commercial, $100 energy credit; 2nd & 3rd place commercial, $50 energy
credit. 1st place r~ ,sidential, $50 energy credit; 2nd & 3rd place residential, $25 energy credit. Deadline for
nominations is December 9, 2003 by 5 pm. Winners will be announced at the December 16 Chamber
luncheon. For more information call Shanon at the chamber office at 262-9814.
Thank You,
Shanon Hamrick
Visitor Center Coordinator
$oldotna Chamber of Commerce
g/g 'd 9996'ON
~:1~1~¥H3 VN.LO(]'IOS
Kenai Peninsula Borough Assembly
Notice of Work Session
December 9, 2003
Notice is hereby given that the Kenai Peninsula Borough Assembly will 'meet in a work
session on Tuesday, December 9, 2003, beginning at 10:00 a.m., to review and discuss the Kenai
Peninsula Borough Transportation Plan with consultant Tom Brigham of HDR, Inc.
The work session will be conducted in the Assembly Chambers of the Borough
Administration Building located at 144 North Binkley Street in Soldoma. All interested persons are
invited to attend the work session, however, public testimony will not be taken at this work session.
Linda S. Murphy,. MMC - 0
Borough Clerk
CERTIFICATE OF PUBLICATION AND POSTING
I, Linda Murphy, Clerk of the Kenai Peninsula Borough, do hereby certify that, on the
day of t~,:-7...~_,,~/.Lc_-c__ , 2003, I mailed or caused to be mailed the foregoing Notice of
Meeting % the Peninsula Clarion, Seward Phoenix Log and Homer News, and requested that the
notice be published as a display ad in the December 4, 2003, edition of these publications. The
notice was also mailed to each post office and city clerk in the Kenai Peninsula Borough with a
request that it be posted until December 9, 2003 and was published at the Borough's website at
www.borough.kenai.ak, us.
Dated this ~=~. ~ '/-/~day of /? e,-z.,__~_~,.~ ~3 ,~-- ,2003.
Linda Murphy, MMC, Borough(~lerk
MAKE PACKET,S
COUNCIL. PACKET DISTRIBUTION
COUNCZL MEET'J:N~ DATE:
Mayor/Council Jl~ Attorney x~ Ta¥1o~/$p~in~le~/Kebschull ~(
X,
Police Deportment ~ Finance ~ Engineer ~'
Senior Center ';~ Airport X Kim X
Library ~ Perks 6 Recreation ~ Clarion ,~
.Fire Deportment ~' 5chmidt Mellish 'X,
VISTA ~
_
A~ENDA DZSTI~BUT~ON
Sewer Treatment Plant / Streets
Shop / bock
Building/Maintenance ~/',.Animal Control
Water/Sewe~ / Counter
DE~VER
Council Packets to Police Department Dispatch desh~~'~
The Clarion, Mellish & Schmidt's Office will pick their packet up in my office. The
portion of the agenda published by the Clarion should be emailed as soon
possible after Noon on packet day. The camera-ready agenda
c:/myfiles/documents/minutes/agenda form for paper) is emailed to Denise at
£¢ninsu/a (/ar'ion (at email folder Work ,Session/Special Meetings, or Composition in
Contacts or Ibell~acsalaska.net). Home Page documents (agenda, resolutions,
ordinances for public hearing, and ordinances for introduction) are usually emailed
to me and Z hold them in my HTML file. Place them onto the city's website .wi/th
Front Page from there as soon as possible before leaving the office for the~
weekend.
AGENDA
KENAI CITY COUNCIL- REGULAR MEETING
DECEMBER 3, 2003
7:00 P.M.
KENAI CITY COUNCIL CHAMBERS
,h,ttP://www.ci.kenai.ak.us
6:00 p.m. Council Work Session with Legislators
ITEM B: SCHEDULED PUBLIC COMMENTS (10 minutes)
1. Bill Coghill, Mikunda Cottrell & Co. -- Audit Report
ITEM D: PUBLIC HEARINGS
1. Ordinance No. 2028-2003 -- Adopting KMC 21.05.045 to Establish an Off-
Airport Gross Income Rental Car Fee for Off-Airport Rental Car Companies
Using the Kenai Municipal Airport for Their Businesses.
2. Ordinance No. 2030-2003 .... Amending KMC 1.90.010 to Allow the Kenai
City Council to Establish Task Forces Regarding Millennium Square and/or
Economic Development with a Membership of Greater Than Seven (7) and
Sunsetting the Ordinance in Three (3) Years.
3. Resolution No. 2003-50 -- Transferring $55,500 in the General Fund for a
Library Computer System.
4. *2003 Liquor License Continuance -- American Legion Post #20
5. *2003 Liquor License Continuance -- Uptown Motel/Louie's and Uptown
Motel/Back Door Lounge
ITEM H: OLD BUSINESS
ITEM I: NEW BUSINESS
1. Bills to be Paid, Bills to be Ratified
2. Purchase Orders Exceeding $2,500
3. Approval -- Design/Build Project-- Airport Security Camera System
EXECUTIVE SESSION -- None Scheduled.
ITEM K: ADJOURNMENT
The public is invited to attend and participate. Additional information is available
through the City Clerk's office at 210 Fidalgo Avenue, or visit our website at
http ://www. ci.kenai.ak, us.
Carol L. Freas, City Clerk D367/211