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HomeMy WebLinkAbout2004-02-18 Council MinutesAGENDA KENAI CITY COUNCIL - REGULAR MEETING FEBRUARY 18, 2004 7:00 P.M. KENAI CITY COUNCIL CHAMBERS htt wwvcr. ci. kenai. ak. u s 6:00 P.M. -- Board of Adjustment Hearing: Appeal of Planning & Zoning Commission Denial of PZ04-02 -An application for an Encroachment Permit for rear yard setbacks for the property known as Lot 2A, Block 4, Inlet Woods Subdivision Jones Rep lat (1545 Windward Drive), Kenai, Alaska. Application submitted by Tracy W. Jones, P.O. Box 2749, Kenai, Alaska. ITEM A: CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. Agenda Approval 4. Consent Agenda *All items listed With an asterisk (*) are considered to be routine and non- controversial by the council and will be approved by one motion. There Will be no separate discussion of these items unless a council member so requests, in which case the item will be removed from the consent agenda and considered in its normal sequence on the agenda as part of the General Orders. ITEM B: ITEM C: ITEM D: SCHEDULED PUBLIC COMMENTS (10 minutes) REPORTS OF KPB ASSEMBLY, LEGISLATORS AND COUNCILS PUBLIC HEARINGS 1. Ordinance No. 2034-2004 -- Increasing Estimated Revenues and Appropriations by $8,200 in the Airport Terminal Enterprise Fund for Engineering and Design Services to Expand the Passenger Holding Area. 2. Resolution No. 2004-09 -- Supporting the Addition of a Lobby and Spectator Area to the Multipurpose Facility in Preparation for Use as a Venue for the 2006 Arctic Winter Games. 3. Resolution No. 2004-10 -- Emphasizing the Importance for the Alaska Legislature to Provide Adequate Funding for the Alaska Department of Fish 8. Game to Continue Essential Management of Alaska's Wild Fish and Game Populations. 4. *2004 Liquor License Renewals -- Little Ski-Mo Drive In -- Restaurant/Eating Place • New Peking Chinese Restaurant -- Restaurant/Eating Place • Upper Deck -- Beverage Dispensary Tourism ITEM E: COMMISSION / COMMITTEE REPORTS 1. Council on Aging 2. Airport Commission 3. Harbor Commission 4. Library Commission 5. Parks 8. Recreation Commission 6. Planning 8. Zoning Commission 7. Miscellaneous Commissions and Committees a. Beautification Committee b. Kenai Convention 8v Visitors Bureau Board C. Alaska Municipal League Report d. Kenai Chamber of Commerce e. Arctic Winter Games ITEM F: MINUTES 1. *Regular Meeting of February 4, 2004. ITEM G: CORRESPONDENCE ITEM H: OLD BUSINESS 1. Discussion -- KPB Ordinance No. 2004-03, Authorizing the Sale of Approximately 0.25 Acres of Land to Herman and Irene Fandel to Resolve a Long Standing Trespass on Borough Land Located Within the City of Kenai. ITEM I: NEW BUSINESS 1. Bills to be Paid, Bills to be Ratified 2. Purchase Orders Exceeding $2,500 3. *Ordinance No. 2035-2004 -- Increasing Estimated Revenues and Appropriations by $5,000.00 in the General Fund for a Grant for Police Training. 4. *Ordinance No. 2036-2004 -- Amending KMC 1.90.040 by Adding KMC 1.90.040(c) that Imposes a Limit of Three Three -Year Terms Upon Serving on City Commissions or Committees Except for the Planning and Zoning Commission. 5. Approval -- Extension of Construction Schedule/Lot 8, Block 2, Cook Inlet Industrial Air Park ITEM J: REPORT OF THE MAYOR �.1 ITEM K: 1 ADMINISTRATION REPORTS 1. City Manager 2. Attorney 3. City Clerk ITEM L: DISCUSSION 1. Citizens (five minutes) 2. Council EXECUTIVE SESSION - None Scheduled ITEM M: ADJOURNMENT KENAI CITY COUNCIL - REGULAR MEETING FEBRUARY 18, 2004 7:00 P.M. KENAI CITY COUNCIL CHAMBERS htt wvcw.ci.kenai.ak.us VICE MAYOR JAMES C. BOOKEY, III, PRESIDING 6:00 P.M. -- Board of Adjustment Hearing: Appeal of Planning & Zoning Commission Denial of PZ04-02 - An application for an Encroachment Permit for rear yard setbacks for the property known as Lot 2A, Block 4, Inlet Woods Subdivision Jones Repiat (1545 Windward Drive), Kenai, Alaska. Application submitted by Tracy W. Jones, P.O. Box 2749, Kenai, Alaska. ITEM 1: CALL TO ORDER AND ROLL CALL Vice Mayor Bookey called the meeting to order at approximately 7:02 p.m. in the Council Chambers in the Kenai City Hall Building. A-1, PLEDGE OF ALLEGIANCE Vice Mayor Bookey led those assembled in the Pledge of Allegiance. A-20 ROLL (_ A T,T. Roll was taken by the City Clerk. Present were: Vice Mayor Jim Bookey Linda Swarner Pat Porter Blaine Gilman Rick Ross Absent was: Joe Moore and Mayor John J. Williams A-3, AGENDA APPROVAL Mayor Williams requested the following changes to the agenda: ADD AS: B-1, Persons Scheduled to be Heard -- Robert Ruffner/Update On Water Quality Monitoring and reminder of Bluff Erosion Workshop in Homer, March 17-18, 2004. ADD AS: I-6, Discussion -- Request for Letter of Support/ Senate Bill 190, Adding certain state-owned lands into the Kenai River Special Management Area. ADD AT: K-1, City Manager Report -- Kenai River Bluff Erosion Study Project Status Report/ Corps of Engineers. ADD AS: Information Item No. 4 -- KPB Planning Commission Notice of \ KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 2 Public hearing for a conditional use permit application to construct A 32-foot wide by 200-foot long boat launch ramp within the 50-foot Habitat Protection Area of the Kenai River/Kenai Landing, Inc., Applicant. MOTION: Council Member Swarner MOVED for approval of the agenda as amended and Council Member Porter SECONDED the motion. There were no objections. SO ORDERED, A-4. CONSENT AGENDA MOTION: Council Member Swarner MOVED to approve the consent agenda as presented and requested UNANIMOUS CONSENT. Council Member Porter SECONDED the motion. There were no objections. SO ORDERED, ITEM B: I SCHEDULED PUBLIC COMMENTS B-1. Robert Ruffner -- Update On Water Quality Monitoring and Reminder of Bluff Erosion Workshop in Homer, March 17-18, 2004. Mr. Ruffner reminded the council of the workshop to be held in Homer on March 17- 18 and noted there was room for several more participants. He added, there will be expert presenters from Alaska, Oregon and Washington, and they will be visiting areas prior to the workshop. Ruffner also reported the ADEC were again requesting grant proposals and his office would be submitting an application for funding for the Kenai River Water Quality Monitoring program. He noted, if funding is not forthcoming, they will continue the monitoring program to follow up on the amounts of fecal coliform in the lower and middle river and the hydrocarbons from Beaver Creek to the mouth. They will also be working with Kenai Landing and others interested in developing some kind of market - based approach to use less polluting boats, etc. in order to help reduce the gas levels in the river during the peak of the fishing season. ITEM C: REPORTS OF KPB ASSEMBLY, LEGISLATORS AND COUNCILS Assembly Member Glick reported on the actions taken at the February 17 Assembly meeting. She also noted the March 8 special election relating to funding for co - curricular activities by the Borough; their adopted federal capital improvement list will be taken with members of the Assembly to Washington, DC to be presented to the congressional delegation; the aircraft flat tax ordinance will have its next public KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 3 hearing on March 16 and final hearing on April 6; and, the public hearing for the Fandel trespass on borough property will be held on March 16 as well. ITEM D: PUBLIC HEARINGS D-1. Ordinance No. 2034-2004 -- Increasing Estimated Revenues and Appropriations by $8,200 in the Airport Terminal Enterprise Fund for Engineering and Design Services to Expand the Passenger Holding Area. MOTION: Council Member Porter MOVED for approval of Ordinance No. 2034-2004 and Council Member Swarner SECONDED the motion. There were no public or council comments. VOTE: -Bookey Yes Swarner Yes Moore Absent Porter Yes Gilman Yes Ross Yes Williams Absent MOTION PASSED UNANIMOUSLY, D-2. Resolution No. 2004-09 -- Supporting the Addition of a Lobby and Spectator Area to the Multipurpose Facility in Preparation for Use as a Venue for the 2006 Arctic Winter Games. MOTION: Council Member Porter MOVED for approval of Resolution No. 2004-09 and Council Member Gilman SECONDED the motion. Bob Peters, Old Town -- Peters noted, he remembered the initial discussions were to phase additions to the multipurpose facility and questioned what phase these upgrades would be considered. Vice Mayor Bookey explained these upgrades were recommended by the Parks & Recreation Commission and whether they would go forward would depend on receipt of funding. Peters asked if grant funds are not received through the federal government or the Arctic Winter Games, will it be an option to do the upgrades anyway. Bookey stated he was not anticipating to vote to go forward with the upgrades without grant funding. \ KENAI CITY COUNCIL MEETING � FEBRUARY 18, 2004 PAGE 4 Council Member Ross noted, these were recommendations from the Commission and he considered the resolution to be exploring possibilities through the Arctic Winter Games and their funding request to the federal government. MOTION: Council Member Ross MOVED to amend the resolution the "now therefore" paragraph: Delete "the following"; delete all of Section 1; and delete the designation "Section 2:" The paragraph would then read: "...it demonstrates the full support of the Kenai Peninsula Borough and the Arctic Winter Games' efforts in lobbying for state and federal funding to cover costs incurred in effecting..." Then, delete "...the above -described" and complete the paragraph with "... improvements to the City of Kenai Multipurpose Facility." Council Member Gilman SECONDED the motion Ross explained, the resolution was exploratory because it is not known what level of funding will come and council did not know for sure what the proposals of administration will be to fit the recommendations made by the Parks 8. Recreation Commission. He added, council is concerned what level of funding might be received and what would be the continuing operating costs for such a facility and from where the funds would come. Ross stated, it was on those bases he offered the amendments to better demonstrate the council is exploring the concept and leaving its options open for any future program or funding until actual results are seen. Attorney Graves asked if the title of the resolution should be amended as well to reflect his amendments to the "now, therefore" paragraph. Ross stated the opening paragraph should also be changed to read...".. - supporting the Kenai Peninsula Borough and Arctic Winter Games' efforts in development of the multipurpose Facility in preparation for use..." Council Member Gilman had no objections to adding that change to the amendment. Gilman stated he would speak against the amendment, though he agreed with Ross in that he did not want to see any further City of Kenai funds go to capital construction costs to the facility unless it is taken to a vote of the people. He added, he wanted to make sure if there are additional costs in maintenance (after receiving federal funds for the upgrades), they are borne by increasing the ice time so the facility pays for itself. Gilman added, he believed the purpose of the resolution was to give to the Arctic Winter Games (AWG) what the community is requesting from the federal government. He added, he believed the resolution should have stronger direction by including the � KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 5 upgrades and projected costs for those who will lobby for funding in Washington, DC. Gilman stated he believed the original draft of the resolution was exploratory, was not mandatory upon the council, did not commit the city to pay for the costs if federal funding is not received, and felt the resolution should be passed in its original form. He would require the users to commit to paying increased ice costs to cover additional maintenance and operations before he would support going forward with the upgrades. Ross stated he understood the resolution would be a part of a packet to be delivered by the AWG. The resolution did not mention the $1.7 million in estimated cost and only mentions the priority list recommended by the Commission. Bookey agreed. Graves suggested, if council would consider the resolution in its original form, it could be amended at "full support of the addition of a lobby" to state "full support of federal funding of the addition of a lobby" as he thought it was a concern the resolution could be viewed as supporting the lobby and additions regardless of the funding source. Gilman stated he would prefer the suggested language of Graves as he wanted it to be very clear to the AWG the city wants to go for a certain level of funding for these additions. In watering the resolution down, he felt it wouldn't give the clear direction. Bookey stated he would be concerned to include the dollar amount in the resolution, it could be taken out of context and understood the city would make up the difference from what is received in federal funding for the upgrades. Ross stated, once after knowing the funding level and operating costs for upgrades, unless there was a commitment from the users in covering the increased operating costs, it would be difficult for him to support the upgrades. He added, the wording of the amendments gives the city the option of whether to go forward with upgrades and continued operating costs without having a resolution that has committed the city to going forward with the upgrades without knowing the level of funding. VOTE ON AMENDMENT: Bookey Yes Swarner Yes Moore Absent Porter Yes Gilman Yes Ross Yes Williams Absent MOTION PASSED UNANIMOUSLY. VOTE ON MAIN AMENDED MOTION: -Bookey Yes Swarner Yes Moore Absent Porter Yes Gilman Yes Ross Yes Williams Absent KENAI CITY COUNCIL MEETING } FEBRUARY 18, 2004 PAGE 6 MOTION PASSED UNANIMOUSLY. D-3. Resolution No. 2004-10 -- Emphasizing the Importance for the Alaska Legislature to Provide Adequate Funding for the Alaska Department of Fish 8s Game to Continue Essential Management of Alaska's Wild Fish and Game Populations. MOTION: Council Member Swarner MOVED for approval of Resolution No. 2004-10 and requested UNANIMOUS CONSENT. Council Member Porter SECONDED the motion. Council Member Gilman objected to unanimous consent. There were no public comments. Gilman explained he did not think enough information or explanation was available at this time to know whether the cuts being suggested would be appropriate or not. He added, he wanted to have an explanation from the Governor or his administration relating to the suggested cuts first and did not feel it was appropriate for council to act on the issue at this time. Council Member Swarner stated she would support the resolution because the commercial fishing industry is very important to the community and because the council had always taken a stand for the commercial fishing industry. She added, she believed that was the intention of Council Member Moore in requesting this resolution be brought forward. MOTION TO TABLE: Council Member Gilman MOVED to table action on the resolution until the next council meeting in order to get Council Member Moore's input and intent. Council Member Swarner SECONDED the motion. There were no obj ections. SO ORDERED. The resolution will be brought forward again for consideration at the March 3 meeting. D-4. 2004 Liquor License Renewals -- Little Ski-Mo Drive In -- Restaurant/Eating Place • New Peking Chinese Restaurant -- Restaurant/Eating Place • Upper Deck -- Beverage Dispensary Tourism Approved by consent agenda. ITEM E: COMMISSION / COMMITTEE REPORTS E-1. Council on Aging -- Swarner reported the First Annual Senior Olympic Games would be held at the Peninsula Center Mall on February 26 and 27. KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 7 E-2, Airport Commission -- Airport Manager Cronkhite reported the meeting summary would be included in the next packet and the Air Fair date has been set for May 22 and committee meetings were being scheduled. E-3. Harbor Commission -- Bookey stated the next meeting was scheduled for March 8. E-4, Library Commission -- No report. E-5. Parks & Recreation Commission -- Ross reported a special meeting was held on February 5 and the meeting summary was included in the packet. The Commission addressed only the multipurpose facility upgrade issue. E-6. Planning & Zoning Commission -- Bookey reported the Commission approved a setback and held a work session with Attorney Graves relating to a draft adult entertainment ordinance. E-7. Miscellaneous Commissions and Committees E-7a. Beautification Committee -- Swarner reported the meeting summary for the February 10 meeting was included in the packet. E-7b. Kenai Convention & Visitors Bureau Board -- Ross reported the new director had arrived and started her work at the Center. E-7c. Alaska Municipal League Report -- Swarner reported she would be participating in a Economic Development and Land Use teleconference on Monday, February 23. E-7d, Kenai Chamber of Commerce -- Executive Director Canady reported on activities taking place at the Chamber. E-7e. Arctic Winter Games -- Bookey reported he attended a meeting prior to the council meeting. He will be leaving February 24 for the Games at Wood Buffalo, Alberta, Canada. He will return late on March 3 and will miss the evening's council meeting. ITEM F: MINUTES F-1. Regular Meeting of February 4, 2004 -- Approved by consent agenda. ITEM G: CORRESPONDENCE -- None. ITEM H: OLD BUSINESS KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 8 H-1. Discussion -- KPB Ordinance No. 2004-03, Authorizing the Sale of Approximately 0.25 Acres of Land to Herman and Irene Fandel to Resolve a Long Standing Trespass on Borough Land Located Within the City of Kenai. Assembly Member Betty Glick -- Glick reported the borough's ordinance was introduced on February 3 and would receive a public hearing on March 16, 2004. She explained, her first involvement with the issue was in September/ October of 2002 when a ordinance was on their agenda for introduction. After reading it, she requested it be removed from the consent agenda. She noted, the wording at that time, stated it was an "unintentional trespass," however the background information included with the ordinance indicated the Fandel's had been notified in 1995 by letter they were in trespass. No action was taken by the borough to that regard and the 2002 ordinance was failed. Glick stated, at this time; • Fandel's are requesting to purchase 11,000 sq. ft. of the 28,000 sq. ft. encroachment. • The Borough Planning Commission unanimously voted not to recommend the sale of the property. • The 28,000 sq. ft. (including the encroached property) is currently for sale by the Borough. • The sale of the 11,000 sq. ft. will not impact the sale of the adjoining property. • She received suggestions the whole piece of property be put up for sale as one piece. • A drainage easement does exist on the 11,000 sq. ft. and no one can build on it. • The Borough Mayor is in favor of selling the property. • The fair market value is $12,200, based on the square footage of Lots 1 8� 2, Block 4 of Inlet View Subdivision, First Revision. • A temporary land use permit was issued to Fandel's for June 1, 2000- May 31, 2001. In the Fandel application, it is stated they were continuing to use the property without borough authorization. • The borough will have to spend funds to evict, as will advertising the property for sale. Glick noted, options for the Assembly were to authorize the sale; not authorize the sale; and, if not authorized, go forward with an eviction from the land. Glick requested guidance from the council as to the KPB Ordinance No. 2004-03. KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 9 Ross stated, the council requested an investigation of whether, when the city initially sold this land to the borough, there were any restrictions on the deed as to the use of the property (whether it was to be used for only educational purposes) . He noted, information included in the packet indicated there were no deed restrictions noted with the transfer of the land. He added, he was not interested in the council taking a position on the issue with this finding. Ross stated, he didn't think the city should take a stand on an issue that is between the borough and the person encroaching on the property. Porter stated her agreement with Ross, however was concerned that since 1975, the property has been utilized and no taxes were collected. She added her concern the borough did not have an ordinance in place to penalize trespassers, no matter where in the borough the land is located. Glick stated there are provisions in the KPB code relating to encroachment issues and she agreed with the concern no taxes had been received for use of the land. She added, her intention is to bring up the issue of back taxes on the portion of the property being used. Council took no action on the issue. BREAK TAKEN: 8:19 P.M. BACK TO ORDER: 8:35 P.M. ITEM I: NEW BUSINESS I-1. Bills to be Paid, Bills to be Ratified MOTION: Council Member Porter MOVED to pay the bills and Council Member Gilman SECONDED the motion. There were no objections. SO ORDERED. I-2. Purchase Orders Exceeding $2,500 MOTION: Council Member Porter MOVED to approve the purchase orders exceeding $2,500 and Council Member Gilman SECONDED the motion. There were no objections. SO ORDERED, I-3. Ordinance No. 2035-2004 -- Increasing Estimated Revenues and Appropriations by $5,000.00 in the General Fund for a Grant for Police Training. Clerk's Note: 7/ 19/2005 checked the recording tape of the February 18, 2004 Council Meeting and noted a typographical error in the minutes at Item I-5. The motion should have been recorded in the minutes as follows: I-5, Approval -- Extension of Construction Schedule/Lot 8, Block 2, Cook Inlet Industrial Air Park City Manager Snow reviewed the memorandum included in the packet, noting the lessee of the property was requesting an 18-month extension of the construction completion date. She added, the lessee was close to completing a lodge on adjoining property she owns. It is the lessee's plan is to provide additional lodging facilities on this lot. MOTION: Council Member Porter MOVED to amend the lease to extend it through June 9, 2005 and Council Member Ross SECONDED the motion. There were no objections. SO ORDERED., Carol L. Freas, City Clerk July 19, 2005 KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 10 Introduced by consent agenda. I-4. Ordinance No. 2036-2004 -- Amending KMC 1.90.040 by Adding KMC 1.90.040(c) that Imposes a Limit of Three Three -Year Terms Upon Serving on City Commissions or Committees Except for the Planning and Zoning Commission. Introduced by consent agenda. I-51 Approval -- Extension of Construction Schedule/ Lot 8, Block 2, Cook Inlet Industrial Air Park City Manager Snow reviewed the memorandum included in the packet, noting the lessee of the property was requesting an 18-month extension of the construction completion date. She added, the lessee was close to completing a lodge on adjoining property she owns. It is the lessee's plan is to provide additional lodging facilities on this lot. MOTION: Council Member Porter MOVED to amend the lease to extend it through June 9, 2006 and Council Member Ross SECONDED the motion. There were no objections. SO ORDERED. I-6, Discussion -- Request for Letter of Support/ Senate Bill 190, Adding Certain State -Owned Lands into the Kenai River Special Management Area. Bookey referred to a letter of request from Senator Wagoner for a letter of support relating to Senate Bill 190. MOTION: Council Member Gilman MOVED to send a letter of support and Council Member Porter SECONDED the motion. There were no objections. SO ORDERED, ITEM J: REPORT OF THE MAYOR -- Vice Mayor Bookey reported the following: • He will attend the 2004 Arctic Winter Games in Wood Buffalo, Alberta, Canada from February 24-March 3. • He will attend the coastal workshop in Homer on March 17 and 18, but plans on attending the March 17 council meeting. KENAI CITY COUNCIL MEETING FEBRUARY 18 2004 PAGE 11 ITEM K: ADMINISTRATION REPORTS K-1. City Manager -- City Manager Snow reported the following: • The latest update from the Corps of Engineers relating to the bluff erosion project was added to the agenda at Item K-1. She noted the sedimentation study is to be completed in March, 2004 and the main report will be prepared in April and scheduled for completion in July, 2004. She will check with regard to a more specific review schedule. • Referred to cost information, etc. relating to the pay station shacks for the dip net fishery which was included in the packet. She noted, the cost of the shacks was estimated to be about $2,000 from this year's budget and staffing will be about $4,000 in overtime costs. Swarner asked if DOT had been contacted with regard to clearing of sidewalks along the highway and/or trading duties. Public Works Manager La Shot reported DOT had been cleaning sidewalks during that day. Snow reported Public Works Manager Kornelis contacted DOT and no information was received relating to trading duties. } Snow also noted, there was some misunderstanding in the community the city was charging people to participate in the dip net fishery. She explained, the fees are collected to pay something toward the administration and enforcement of regulations imposed on the city by the State for the fishery, future improvements, parking, porta- potties, etc. K-2. Attorney -- Attorney Graves referred to Information Item No. 4, a notice of public hearing by the Borough Planning Commission relating to a conditional use permit application from Kenai Landing, Inc. to construct a 32-foot wide by 200-foot long boat launch ramp within the 50-foot Habitat Protection Area of the Kenai River. Graves explained, comments would be accepted to March 19, 2004 and asked if council wanted a letter or resolution in support or against prepared for council's consideration at their March 3 meeting. Porter suggested a letter of support be prepared. There were no objections from council. K-3. City Clerk -- No report. ITEM L: DISCUSSION L-1, Citizens Kristine Schmidt -- Stated she was speaking in opposition to Ordinance No. 2036- 2004, term limits for commissions/committees. She requested the ordinance be tabled in order for members of the commissions and committees to submit input on the ordinance prior to the council taking action. KENAI CITY COUNCIL MEETING FEBRUARY 18 2004 PAGE 12 Larry Semmens -- Spoke as a parent of a middle school student who participated in an all -Peninsula cross-country skiing activity at the city's trail on the golf course. He thanked Parks & Recreation Director Frates for his efforts in grooming the trail for six hours prior to the activity. M-2. Council Swarner -- Noted she had family members using the cross-country trail during the Christmas holiday and they also spoke highly of the groomed trails. Porter -- Questioned the request for storage space for library books. Snow explained, they are used books stored until the Friends of the Library tent sale. She had requested suggestions from staff, etc. for another storage area as the Economic Development District would no longer be able to offer storage space. Gilman -- Requested a work session be held for council to discuss the city's tax policy as he felt it was important to hold the discussion prior to the April budget work sessions because the outcome of the discussion could affect the budget . Due to council members schedules, it was agreed the topic should be included on the March 3, 2004 council meeting agenda for discussion. Ross -- Gave an overview of the teleconference discussions he has been participating in relating to the Municipal Advisory Group established under the Alaska Stranded Gas Act. He noted, the Group was reviewing the two proposals submitted to the State. He stated, concerns he registered at their last meeting were addressed, i.e. neither of the two proposals have consideration for a spur line to south central nor do they provide any economic consideration for use of in -state gas if a spur line is built. He noted, the Commissioner reported those were subjects of negotiation between the state and the proposers and they will be dealing with them. Ross stated he also asked if it was within the scope of the Group to consider any economic impacts to south central Alaska if a spur line is not part of the original project either increased costs, if built later, or in economic losses if it is not viable as a stand-alone project in the foreseeable future. The indication was those issues would be considered for the scope of the impact study that will be conducted. Ross also noted he would be participating in future discussions on February 27, March 3, 10, 17 and additional meetings as required. Ross also referred to information relating to a lunch meeting in Anchorage on February 27 and asked if council had any objections to his attending the luncheon. There were no objections. Bookey -- No comments. EXECUTIVE SESSION - None Scheduled KENAI CITY COUNCIL MEETING FEBRUARY 18, 2004 PAGE 13 ITEM M: ADJOURNMENT The meeting adjourned at approximately 9:00 p.m. Minutes transcribed and prepared by: Carol L. Freas, City Clerk S. By a `rl . W'Y :nT�Mf�!y04tq�R'i