HomeMy WebLinkAboutRESOLUTION 2001-71 ,,
Suggested by: Council
City of Kenai
RESOLUTION NO. 2001-71
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA SUPPORTING
THE CONCEPT OF BUILDING A PRIVATE MEDIUM SECURITY PRISON OF UP TO
1,000 BEDS NEAR KENAI ON LAND OWNED BY THE KENAI NATIVES ASSOCIATION,
INC. (KNA), SUBJECT TO CERTAIN CONDITIONS MITIGATING POTENTIAL IMPACTS
TO THE CITY OF KENAI.
WHEREAS, the Legislature of the State of Alaska in House Bill 149 authorized the
Department of Corrections to enter into an agreement to lease facilities for the
confinement and care of prisoners within the Kenai Peninsula Borough (KPB); and,
WHEREAS, the KPB in Ordinance 2000-59 authorized the Borough to negotiate an
agreement with the State to operate a prison facility and the KPB subsequently
entered into a contract with Cornell Companies, Inc. to assist the Borough with the
planning, promotion and potentially the design, construction and operation of a
private prison of up to 1,000 beds; and,
WHEREAS, in Resolution 2001-26 the Borough designated property owned by the
Kenai Natives Association, Inc. outside of the City of Kenai near Wildwood Correctional
Center as the proposed site; and,
WHEREAS, KPB Ordinance 2001-23 authorized placing a binding proposition on the
October 2,2001 ballot that, if approved, would authorize the KPB to participate in the
proposed construction of a private for profit prison of up to 1,000 beds in the KPB;
and,
WHEREAS, the construction of the facility would be financed by the Borough through
revenue bonds to be repaid out of the funds paid by the State to the Borough for
operating the facility, and,
WHEREAS, the construction of the facility would be a twenty- month project valued at
over $60 million dollars that would employ over three hundred people in the
construction and trades industry during construction; and,
WHEREAS, the operation of the prison would create over two hundred permanent jobs
with an annual payroll of approximately $9 million dollars including benefits; and,
WHEREAS, the money brought into the local economy from the construction and
operation of the private prison would create substantial other economic benefits to the
Kenai Peninsula; and,
WHEREAS, the proposed connection of the facility to the City's water and sewer
systems would create a substantial impact on those systems which would have to be
financially mitigated to the satisfaction of the Kenai City Council; and,
Resolution No. 2001-71
Page 2
WHEREAS, a thorough social, economic, and financial feasibility study and City-
Borough memorandum of agreement would need to be agreed upon prior to the final
decision to build or not build the proposed facility; and,
WHEREAS, the Council of the City of Kenai recognizes the absolute right of all voters
to independently make up their own mind on how to vote on KPB Ballot Proposition 1
and encourages all voters to go to the polls on October 2,2001 and vote.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI,
ALASKA, that the Council of the City of Kenai, Alaska supports the concept of a
private medium security prison of up to 1,000 beds on the designated site providing
that 1) satisfactory arrangements can be made regarding connection of the prison
facility to the City's water and sewer systems; 2) a thorough social, economic and
financial feasibility study is completed prior to the final decision of whether to build or
not build the prison; 3) that the feasibility study be reviewed and approved by the
Kenai City Council and made available to the general public by the KPB on a borough-
wide basis; and 4) a memorandum of agreement can be agreed upon between the City
of Kenai and the KPB regarding the operation and impact of the facility on the City of
Kenai.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 19th day of
September, 2001.
ATTEST-
Carol L. Freas, City Clerk