HomeMy WebLinkAboutRESOLUTION 1974-20r ..~ ~
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CITY OF KkNAI -- RiiSOLU'PION 74-20
AUTHORIZING THE TURN(~VER OF ALL OF THE CITY'S INTEREST IN THE IMI~ROVEMENTS
TO THAT RECREATIONAI. FACILITY KNOWN AS THE "RACETRACK" LOCATED ON LANUS
LEASED TO CITY BY ALASKA DEPARTMENT OF NATURAL RESOURCES LEASE ADL 55120.
WHEREAS, the City of Kenai and other interested organizations
and persons partic3pated in a community effort in 1972 to construct a
dirt race track, access road and site for spectators viewing;
WHEREAS, City funds of $23,599.55, and possibly other City
contributions of ec{uipment or "force account" labor to assist were made
in development of the said racetrack facilities in cooperation and
coordination with interested groups and persons;
WHEREAS, hoped for activity adequate to maintain the racetrack
facilities has not achieved a level of financial support anticipated or
required to permit continued operation o£ the racetrack facility with
participation by the City of Kr,nai;
WHEREAS insurance, rental costs and other operational coSts
are estimated to ~5,000.000 per year which apparently exceeds a reasonable
return to the residents of the City of Kenai which in turn could justzfy
continuing support from general tax revenues;
W~REAS, continued leasing of land for a racetrack by the City
has passed an experimental period and does not justify continuation when
the (:ity has uther land ~rhi~h might be used without the payment of lease
rental payemnts; and
WHEREAS, the Kenai Peninsula Racing Association, Inc., a non-profit
corporation has collected and received all the interest and assets of other
groups including but not necessarily limited to stands, track and parking
in hopes that such an organization can by itself continue to operate the
racetrack facilities in question; and
WHEREAS, a discontinuance of continued leasing of the land by
the City of Kenai is in the financial interest of the overall public
consideration o£ the City of Kenai at this time;
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI:
Section 1- The City finds that there has been adequate notice
to interes e~ pc~arties of a public hearing preceding final action on the
turnover of racetrack facilities to the Kenai Peninsula Racing Association,
Inc., so all interested groups, parties, or persons in the City have had
an opportunity to appear at a public hearing before the City Council to
discuss and argue i.n favor or against the relinquishment of the City's
interest in any improvements in the racetrack facilities as described in
this resolution.
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Se~tion 2- That it is in the public interest and welfare to
relin~iuish ti~City's interest in any i.mprovements and any City's interest
in any lease, on those premises described as:
Real property and exceptions as described in Division
of Natural Resources ADL 55120 attached hereto.
Section 3- That it appears that the Kenai Penizsula Racing
Association, Inc., is best able to carry on programs at the racetrack
facilities in a manner which might be successful in achieving the initial
goals of the community effort prompting construction of such racetrack
facilities.
Section 4- That assistance of the City shall be limited to a
transfer to t e Kenai Peninsula Racing Association, Inc., of all interest
in the improvements on the above described racetrack site.
Section 5- The Council finds the cost for insurance, lease
rental and ot er anticipated and possibly unanticipated costs, are
exceeding a reasonable return, to the residents at large in the City of
Kenai and considering other pressing financial consideratiuns must be
terminated at this time.
Section 6- That all reasonable notice to interested parties
has been given~ the contemplated action by the City Council in ter-
minating its interest in the racetrack facilities and turning over its
interest in such facilities to the said association.
Section 7- That primary reason for the City to turn over to
the Kenai en~la Racing Association, Inc., its interest in the improve-
ments on the racetrack facilities, is based on the said association's '
status as a non-profit corporation which has requested consideration for
such turnover and has as its purpose the achievement of the goals initially
considered for the racetrack.
Sectior~ 8- That the foregoing "turn over" be conditioned upon
Kenai Peninsu~~~ing Association, Inc., agreeing to give City of Kenai
"first refusal" to resume facilities if the said association intends to
transfer the facility or disband.
Passed this f_~ day of ,~974.
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