HomeMy WebLinkAboutResolution No. 2022-10KENAI
CITY OF KENAI
RESOLUTION NO. 2022-10
Sponsored by: Administration
A RESOLUTION OF THE COUNCIL OF THE CITY OF KENAI, ALASKA APPROVING THE
EXECUTION OF A LEASE OF AIRPORT RESERVE LANDS USING THE STANDARD LEASE
FORM BETWEEN THE CITY OF KENAI AND STATE OF ALASKA, DIVISION OF FORESTRY
ON LOT 4A, FBO SUBDIVISION NO. 11.
WHEREAS, the special use permit to State of Alaska, Division of Forestry, for that portion of Lot
4, FBO Subdivision No. 7 as delineated as Lot 4A of the preliminary plat of FBO Subdivision
No. 11 expires on June 30, 2022; and,
WHEREAS, on January 10, 2022, State of Alaska, Division of Forestry submitted an application
for a lease of City owned properties within the Airport Reserve, described as Lot 4A, FBO
Subdivision No. 11 to use as an air tanker reload base for wildland fire prevention and
suppression; and,
WHEREAS, the State of Alaska, Division of Forestry lease application proposes improvements
including electrical service improvements and construction of a concrete containment barrier, an
investment that gives a lease term of 5 years according to the term table in Kenai Municipal Code
21.10.080; and,
WHEREAS, the proposed development would be mutually beneficial and would conform with the
Kenai Municipal Code for zoning, Kenai's Comprehensive Plan, the Airport Land Use Plan, Airport
Layout Plan, Federal Aviation Administration regulations, Airport Master Plan, Airport
Improvement Program grant assurances, and Airport operations; and,
WHEREAS, the City of Kenai did not receive a competing lease application within thirty (30) days
of publishing a public notice of the lease application from State of Alaska, Division of Forestry;
and,
WHEREAS, at their regular meeting on February 9, 2022, the Planning and Zoning Commission
reviewed the lease application and recommended approval by the City Council; and,
WHEREAS, at their regular meeting on February 10, 2022, the Airport Commission reviewed the
lease application and recommended approval by the City Council.
NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
Section 1. That a Lease of Airport Reserve Lands is approved and the City Manager is
authorized to execute a lease between the City of Kenai, Lessor, and State of Alaska, Division of
Forestry, Lessee, with the following conditions:
Resolution No. 2022-10
Page 2 of 2
Lot improvements as outlined in lease application from State of Alaska, Division of
Forestry include at a minimum electrical service improvements and a concrete
containment barrier with an estimated $10,000 minimum value to be completed within two
(2) years of signing the lease;
2. Evidence must be submitted to the City within 60 days of the completion of the
development and improvements;
3. The lease term will be 5 years;
4. Lot developments are required to prevent unauthorized access to the airfield;
5. Structures must be built behind the 100 foot building restriction line;
6. State of Alaska, Division of Forestry is responsible for all snow removal, and snow may
not touch the perimeter security fence or be piled to a height that would allow access to
the airport.
Section 2. That this Resolution takes effect immediately upon passage.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 2nd day of March, 2022.
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MAYOR
ATTEST:
Michelle M. Saner, MMC, City Clerk
New Text Underlined; [DELETED TEXT BRACKETED]
KINA
_..� _...enai 1210 Pidalgo Ave. Kenai, AK 99611-7794 1 907.283.7535 1 www.lcenai.city
MEMORANDUM
TO: Mayor Brian Gabriel and Kenai City Council
THROUGH: Paul Ostrander, City Manager
FROM: Ryan Foster, Planning Director
DATE: February 22, 2022
SUBJECT: Resolution No. 2022-10 — Approving the Execution of a Lease to State
of Alaska, Division of Forestry.
On July 1, 2021, State of Alaska, Division of Forestry entered into a Special Use Permit for portion
of Lot 4, FBO Subdivision No. 7 as delineated as Lot 4A of the preliminary plat of FBO Subdivision
No. 11. The Special Use Permit was the only option available for continuing Division of Forestry
utilization of the property since the subdivision for the City Sand Storage Facility was not
completed/recorded at the time their previous lease expired on June 30, 2021. The Special Use
Permit terminates on June 30, 2022.
The Division of Forestry proposes electrical service improvements and a concrete containment
barrier with an estimated $10,000 value of improvements to be completed within two (2) years of
signing the lease. Activities noted on the application is an air tanker reload base for wildland fire
prevention and suppression. The requested lease term is 5 years with a starting annual lease rate
of $18,250.62.
Pursuant to Kenai Municipal Code 21.10.060 Lease application review, notice of the lease
application was posted in the Peninsula Clarion and stated competing applications may be
submitted for the parcel within 30 -days to the City. The 30 -day window from publication ended
on February 26, 2022 and no competing applications have been submitted to the City.
The parcel is within the Airport Light Industrial (ALI) Zone. Pursuant to KMC 14.20.065, the
purpose of the ALI Zone is to protect the viability of the Kenai Municipal Airport as a significant
resource to the community by encouraging compatible land uses and reducing hazards that may
endanger the lives and property of the public and aviation users. The proposed aeronautical use
is a permitted and compatible use in the ALI Zone.
The Imagine Kenai 2030 Comprehensive Plan outlines goals, objectives, and action items for the
City, including this one pertaining to the Kenai Municipal Airport:
Objective T- 1: Support future development near or adjacent to the airport when such
development is in alignment with the Kenai Municipal Airport's primary mission, "To be the
commercial air transportation gateway to the Kenai Peninsula Borough and Cook Inlet."
The proposed use complies with the Imagine Kenai 2030 Comprehensive Plan by supporting
development on lease lots with development that is in alignment with the Kenai Municipal Airport's
marketing strategy.
The Airport Land Use Plan was developed to identify the highest and best uses of Kenai Municipal
Airport land. The Airport Land Use Plan discusses leasing land and enhancing opportunities for
local economic development. The proposed use by the Division of Forestry complies with the
Airport Land Use Plan and would enhance local economic development.
Goal 7 — Natural Hazards and Disasters: Prepare and protect the citizens of Kenai from natural
hazards and disasters
Objective NH- 1: Implement the 2016 Hazard Mitigation Plan strategies.
The 2016 Hazard Mitigation Plan states that "Dead and dying spruce trees pose the greatest risk
of wild fire on the entire KPB, including the City. Wildland fire is designated as a hazard in the
2018 State of Alaska HMP with a high probability of occurring in the KPB." The air tanker reload
base provides the Division of Forestry a base for wildland fire prevention and suppression
activities that protects both the City and the Kenai Peninsula Borough.
At their regular meeting on February 9, 2022, the Planning and Zoning Commission reviewed the
lease application and recommended approval by the City Council. At their regular meeting on
February 10, 2022, the Airport Commission reviewed the lease application and recommended
approval by the City Council.
Thank you for your consideration.
Attachments:
City of Kenai Land Lease Application from State of Alaska, Division of Forestry
Plat of FBO Subdivision No. 11
Page 2 of 2
The City of Kenai I wwwlenaixity
�� City Of Kenai Application for: ❑ New Lease
=� Land Lease Application 11 Amendment ❑ Extension
\ ❑ Assignment
❑ Renewal
KENM Ka Application Date:
Name of Applicant: State of Alaska, Division of Forestry
Mailing Address:
550 W. 7th Ave.
City:
Anchorage
State:
AK
Zip Code:
99501
Phone Number(s):
Home Phone: 269-8461
Work/ Message Phone: 269-8461
E-mail: (Optional)
michael.burkhead@alaska.gov
Name to Appear on Lease:
State of Alaska
Mailing Address:
550 W. 7th Ave.
City:
Anchorage
State:
AK
Zip Code:
99501
Phone Number(s):
Home Phone: 269-8461
Work/ Message Phone: 269-8461
E-mail: (Optional)
michael.burkhead@alaska.gov
Type of Applicant: ❑ Individual (at least 18 years of age) ❑ Partnership Corporation XI Government
❑ Limited Liability Company (LLC) ❑ Other
Property Information and Term Requested
description of property (or, if subdivision is required, a brief description of property):
Lot 4, FBO subdivision No. 7, According to Plat No. 2001-34
Air Tanker Reload Base
Does the property require subdivision? (if Yes, answer next questions)
❑ YES O NO
Subdivision costs are the responsibility of the applicant unless the City Council
determines a subdivision serves other City purposes:
1. Do you believe the proposed subdivision would serve other City purposes?
❑ YES ❑ NO
2. If determined it does not, applicant is responsible for all subdivision costs.
Initials—MB
If an appraisal is required to determine the minimum price on the land, applicant is responsible
for the deposit to cover costs associated with appraisal. If a sale is approved, the cost of the
Initials- MR
appraisal will be either refunded or credited to the applicant.
It is the responsibility of the applicant to cover recording costs associated with lease.
Initials MB
Do you have or have you ever had a Lease with the City? (if Yes, answer next question)
EYES ❑ NO
1. Legal or brief description of property leased:
Lot 4, FBO subdivision No. 7, According to Plat No. 2001-34
P-7uest a Lease with an Option to Purchase once development requirements are met?
❑ YES ENO
F luested term for Initial Lease or Renewal (based on Term Table, not to exceed 45 years): 5 years
Requested term for Lease Extension (based on Term Table, not to exceed a total of 45 Years):
Requested Starting Date: July 1, 2022
Proposed Use (check one): xl Aeronautical I Non -Aeronautical
Do you plan to construct new or additional improvements? (if Yes, answer next five questions) L YES L Nt
1. Will the improvement change or alter the use under an existing lease? [::YES L NO
2. What is the proposed use of the improvement? Air tanker reload infrastructure
3. What is the estimated value of the improvement? $10,000
4. What is the nature and type of improvement?
Containment barriers, electrical service improvements
5. What are the dates construction is estimated to commence and be completed?
(generally, construction must be completed within two years)
Estimated Start Date: july 1, 2022 Estimated Completion Date: June 30,2024
Describe the proposed business or activity intended:
Air Tanker Reload Base
How does the proposed lease support a thriving business, residential, recreational, or cultural community?
Utilized for wildland fire prevention and suppression.
Lease Assignment Only: What is the name of the individual or legal entity the lease is to be assigned?
State of Alaska
Lease Renewal Only
1 Renewal of an Existing Lease (at least one year of term remaining): Requires new development.
Lease Term based on: Estimated cost of new improvements and I Purchase Price (optional)
I Renewal of an Expiring Lease (less than one year of term remaining): Does not require new development.
Lease Term based on: I Purchase Price I_ Professional Estimate of Remaining Useful Life
-1 Fair Market Value appraisal and/or 7 Estimated cost of new improvements (optional)
Requested Term for Renewal Based on Term Table, not to exceed 45 Years:
Submitting an application for a lease does not give the applicant a right to lease or use the land requested in the application. The application
shall expire twelve (12) months after the date the application has been made if the City and the applicant have not, by that time, entered into a
lease, unless the City Council for good cause grants an extension for a period not to exceed six (6) months. The City has no obligation to
amend, renew or extend a lease and may decline to do so upon making specific findings as to why a lease renewal, extension, or amendment is
not in the best interest of the City
Signature:
Date:
11/10/22
Print Name:
Michael Burkhead
Title:
Procurement Specialist
For City Use Only: Date Application Fee Received:
❑ General Fund ❑ Airport Reserve Land Date Application Determined Complete:
❑ Airport Fund ❑ Outside Airport Reserve 30 -Day Notice Publication Date:
Account Number: City Council Action/Resolution:
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