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HomeMy WebLinkAboutResolution No. 2019-22thecil.Jo/ KE NAI, ALASKA ~ CITY O F KENAI RESOLUTION NO. 2019 • 22 Sponsored by: Administration A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, AUTHORIZING THE CITY MANAGER TO ENTER INTO AN AMENDED BAR AND LOUNGE CONCESSION AGREEMENT WITH THE KENAI MUNICIPAL AIRPORT. WHEREAS, on June 17, 2015 Council passed Resolution No. 2015-40 authorizing the City Manager to enter into a Bar and Lounge Concession in the Airport Terminal for a period of five (5) years; and, WHEREAS, the Upper Deck Lounge will be closed for approximately nine weeks, starting April 1, 2019, due to extensive work associated with this project; and , WHEREAS, the Concessionaire is requesting reimbursement for costs impacting the business during this closure; and, WHEREAS, City Administration has determined that the request is reasonable due to impacts of the construction project. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI , ALASKA: Section 1. That the City Manager is authorized to execute an amendment to the Bar and Lounge Concession Agreement with the Upper Deck to compensate the concessionaire in a reasonable manner to offset costs to the concessionaire caused by the Airport Terminal Rehabilitation Project. Section 2 . That this resolution takes effect immediately upon adoption. ADOPTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 3rd day of April, 2019. BRIAN GABRIEL SR , MAYOR ATIEST: 'tftff~ a1/t/i a Pa&'~ Ct'tf a1/t/i a Fv.t~e" 210 FidalgoAve, Kenai , Alaska 99611 -7794 Telephone: (907) 283-7535 I Fax : (907) 283-3014 www.kenai.city MEMORANDUM TO: THROUGH: FROM: DATE: SUBJECT: Mayor Brian Gabriel and Kenai City Council Paul Ostrander, City Manager Mary L. Bondurant, Airport Manager March 27, 2019 Resolution No. 2019-22 Upper Deck On April 1, 2019, the Upper Deck Lounge will be closed until May 31, 2019, due to impacts of the 2018 Terminal Rehabilitation Project. The extensive project work includes asbestos abatement, window replacement, flooring , ceiling work, communications , roofing, electrical, mechanical, plumbing, etc., and will also include the closure of the south arrival entrance which in turn closes off the second egress to the lounge. Building code requires a second egress for the lounge . The project cannot move forward without this closure . Costs to the Upper Deck include credit processing fees, storage fees , insurance , telephone and employee wages at approximately $16,928 . If these costs are determined to be not grant eligible and at the request of the Concessionaire , City Administration will provide a rent credit for approximately twelve (12) months to offset the costs. The Upper Deck is current in all fees owed to the City and in compliance with the Kenai Peninsula Borough. Thank you for your consideration.