HomeMy WebLinkAboutRESOLUTION 1991-42 Suggested By:
OX~Y OF KRN~X
RRBOLUTXON gl-4~
Council
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, IN
SUPPORT OF THE INCORPORATION OF NIKISKI AS A SECOND-CLASS CITY.
WHEREAS, the people of the Nikiski area have historically'and
consistently advocated local co~munity control of services; and,
WHEREAS, the North Peninsula Service Areas have been providing
£ire (since 1968), recreation (since 1980), and road (since 1983)
services~ and,
WHEREAS, the incorporation of Nikiski will allow for the maximum
citizen input of participation into the local decision-making
processes involved in planning, land use, and resource
development~ and,
WHEREAS, the people have expressed a desire to insure the
continued viability of Nikiski as a residential, industrial,
commercial and recreational area offering its citizens a quality
life style.
NOW THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF
KENAI, ALASKA, that
Sectionl~ The Council supports the incorporation of
Nikiski as a Second-Class city within the boundaries deflne~by
the Local Boundary Commission.
S.ection2: Copies of this resolution be distributed to the
Commissioner of the Department of Community and Regional Affairs..
PASSED BY THE COUNCIL OF THE CITY OF KENAI,
of ~une, 1991.
the 19th day
.ams, Nayor
ATTEST=
carol L. FregS, City Clerk
(6114191)
The Intent of this report is to give 8 "ball park" picture of
Incorporation end to stimulate Ideas and discussion concerning the
direction of local government In the Niklsk! area. Any posstble
combination of services, government, liabilities, and revenues may evolve
during this process.
The purpose of this process Is to utilize the tax base of the Nlklskl
area for the benefit of the residents In the Nlkiskt area. To keep 1ace1
control of existing services end to malntatn the current Iow level of
taxes.
It ls the intent to form the least Intrusive form of government to
keep local autonomy. The ortgtnal goal is to form a Second Class City and
then Incorporate as e Home Rule City (with es few powers and costs es
possible).
The facts and figures In thts report are gathered from the Kenat
Peninsula Borough, Cltg of Kenai, and The Department of Communltg end
Regtonel Affairs. The flgures concerning the operation of the clt§ ere an
educated guess end ere subject to the will of the Ntktskl area residents.
.... ' ...... III I I IIIII I
Niktskl Area Report
May 30, I gg I
This report Is Intended to put forward Information on the subject of
governing options for the citizens of the Nlklskt area. The purpose le to
give a basic overview on the costs and services that would result in the
formation of a city In the Niklskl area.
This report Is done flgurtn§ the boundaries of the 'Nikiski Fire
Service Area as the boundaries for the proposed city. Using the Fire
Service Area wtll allow as close es comparison as possible with present
and projected costs end revenues if a city is formed.
It is t.o be noted that formation of a city will not have any local
impact on the Borough Mill levy. However, formation of it city will insure
local control of the three existing services: fire, recreation, and roads. It
will also assure residents that Federal end State Legislative Grants will ::~
be utilized for the benefit of the Ntklskl area. "
Down sizing of the proposed area for Incorporation wtll hove an
Impact both on revenues end for the expenditures for services. The
combining of the three present service areas may result in savings by the
new city.
Available to a newly Incorporated city Is formation funding as per
Alaska Statuates 29.05.180. This amounte to a one time grant of $50,000
for the first year and $:25,000 for the second year.
Before any city may be Incorporated there ts e petition process to
get the question on a ballot and then voter approval from within the oreo
to be Incorporated. Also, during this process public hearings ere co. nducted
and the Department of Community and Regional Affairs must be in
agreement with the boundaries and needs of residents and/or any concerns
from existing municipalities effected by e newly created city.
There are three forms that a new city can be operated under.
Following is a brief summary of the distinctions between home rule, first
class and second class cities within on organized borough.
lass (:itu
~Second C_ .. ; ......... -. ,- o,,thortze either sales or property
Voter approval ~s _nacelle, y_:~ "-'"'--ed 5 mills (except to avoid
· e rd ertu tax levy may no~
taxes Th p P . however the
· _ -. __ ~__~.~ ,~A ~-eclfic services are mandated by law, . _
CUlt Off UUIIU~/. rEu ~p
gel ....... .~_.,.A ,~,.. -xcercise of a wide range of services
city councll may outflu~ ~4~ ~-- ,~
Ithout voter approval so tong as the cltlJ can support these services
The c.u go,or, od
'""';"'.'"~ .... :~___ H..~ whfl wlll be mouor.
elected council mem. um~ uo~:.~'..'_'_"-_a..or has n°'veto power. A second
tiers before the COUnCll./ne
8!1 ma .. ---- - '----- -,,~-- charter onlu if it has a population of at
laSS Clt may adopt u .u.m .u.~
~east :~,SUO0 and Its boundaries encompass et least $5 square rnlles.
First C1..ess Cttu
V~ter · i~roval to levy sales tax is required. However, the council
.~.. ,gu. nro~ertu taxes without voter approval. Th.e ~[t~ m~ ~~, ~
,,,-u --? ~--~_ .~- ..... -- -~ ~ mills (except to avoid OelaUlt on uu.u~/. ,-~
property taxes lo ux~u~ u. ~ ...
Ices are mandated by law, however, the city council may
specific S~ .... ..,~. ,~, w de range of services without voter ap~rovet ·
120 T~e ux~u/~ ~- - "1 ~
author ...... '---- -~-~s services ftnonctolly. The city IS
so long as the city can suppm~ ~.~-
governed by a slx member counctl; the mayor Is elected separately by the
. he mo or may vote on matters before the council only to break ·
voters T Y a ado t o home
tie vote. The mayor has veto power. Any first class city m y P
rule charter.
~HOme Rule _ - ------ --- ---t flextbtltt, tn the needs and
form ol overnment Oller~ u~u mu,o
· . Th?s. ,___, ..~,H~.,. The Dowers, duties, procedures, et.ce}ora, of
desires OT mgm --~-~---..--. 5:___... .., . ~A..t tutton (charter7 approved
home rule city ere oetemtneo largu,9 uu o ......1 - ~- -- "rood or
. the voters of that particular city· These powers ced De u. u
by ....... --- .---~ -~stdents wtsh to make them, withtn the . _
restrictive as ~.u )~,.~._ ,_.. ,,-Der tttle 29. For example, the cna~er
limitations 66T OUT Dy ~tu~u ,o--
rovide the~ the excerclse of any powers other then fire pro,action,
m19~t P .... - ..... ----- must be eutho~zed by the voters.
reed BOlfltOfleflce~ one
me rule overnments have prohibited the levy of property texas without
ho. g - . .......... ~, ~ uncertain whether such 1Imitations ere.
voter approval nowuYm, ,~ ,o '
tsslble. U~der current law, · home rule ctty may not be tnco~oreTeo
perm .......,.. ~_ ,.,--,a ~r men extsttno ftrst class or second
directly. It may emu uu .u.,,,.- ..o
class city.
~sses~_ed Values
1)
Property Taxes:
Assessed Value
NiktskI Fire (TCA
Rea1 Propertu
Personal Property
Total
$713,415,000.
45,421,000.
544,02'/,000.
$ 1,302,065,000'
1).
State Revenue Sharing:
Nlktskl Ftre
N.P Recreation Area
N.P. Road Area
16,539.
4,360.
$146,909.
Vlu p $431,457.
2). nict al Assistance
kl $1,937,727/21,764 1(4846) . __~ ,_
N.~'n J~-~n - Prorated based on popmatton comparea ~u Borough
F~= it~'~'~r'o~uoh' population X NikiskI population
Fish Tax: 25S of tax collected tn cttu from fish processors
Sales Tax: Itust be voted on to be approved $ 20,600.
5).Hater Vehicle Tax
6).Liquor License Fees
7).State Grants: From Legtslature direct' tO muntctpatttg
1991 Iltli Levg Fire area '1.68 = .$2, lOO,oog.-
Recreation .50 = $ 651,432.
$3.,460. 106~
Tote1 projected Revenues
3).
4).
Fund Balances_
N.P. Road Service Area
N.P. Recreation Area
Fire Area
Total
121,2:58.
392,557.
660'241'
1.194.352.~
Expenses
Fire Service Area * $2,170,454.
Recreation Area # $ 709,206.
Tyonek Recreation # $ 155,600.
Road Service Area (Public Works) * $ 257,477.
(#KPB 91/92 budget figures)
City Manager/Finance $ 200,000.
City Council $ 80,000.
Clerk ~ 80,000.
Legal 175,000.
Rent, Utitllttes, ecl.
$
50,000.
Total projected expenditures
.8.:37.737,
The three service areas now hove a combined count of 27.25
employees. Unless the present employees could be used tn some areas of
city government there would be an Increase of approximately seven
employees:
city manager
city clerk
attorney
legal secretary/deputy clerk
accountant/data processing
secretary/data processing
secretary
There would be some question on the amount of Service Area fund
balance that would be retained if "Nlklskl City's" boundery ended up less
than the present fire service boundary. Also the question of debt service
for bond repayment end borough lands that would be tn the proPosNI cltU
limits.
BICENTENNIAL
June 24, 1991
CITY OF KENAI
210 Fidalgo Avenue
Ke~__a_i, Alaska 99611
PAX'907-28~014
Commissioner Edqar Blatch£ord
State o£ Alaska
Department o£ Reqional and Co~munity A££atrs
P.O. Box B
Juneau, ~K 99821
RE:
HXI~$K~ Z~CORPO~OH
Enclosed please find a copy of Resolution No. 91-42 adopted by
the City council of the City of Kenai. The resolution was passed
unanimously at the reqular meeting of June 19, 1991. The
resolution supports the incorporation of Niksiki as a second-
class city.
If you have any 'questions, please do not hesitate to contact this
office.
Sincerely,
J~/clf
Enclosure