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HomeMy WebLinkAbout2003-11-05 Council MinutesAGENDA KENAI CITY COUNCIL - REGULAR MEETING NOVEMBER 5, 2003 7:00 P.M. KENAI CITY COUNCIL CHAMBERS htt www. c1. kenai . ak. u s ITEM A: CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. OATH OF OFFICE -- PAT PORTER 4. Agenda Approval 5. 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: SCHEDULED PUBLIC COMMENTS (10 minutes) 1. Proclamation -- KCHS Football Team ITEM C: REPORTS OF KPB ASSEMBLY, LEGISLATORS AND COUNCILS ITEM D: PUBLIC HEARINGS 1. Ordinance No. 2009-2003 (Final Public Hearing) -- Approving and Adopting the Comprehensive Plan for the City of Kenai and Recommending Adoption by the Kenai Peninsula Borough. 2. Ordinance No. 2021-2003 -- Increasing Estimated Revenues and Appropriations by $7,800 in the General Fund for Library Grants. 3. Ordinance No. 2022-2003 -- Adding KMC 7.15.055 to Allow for the Solicitation and Award of Construction Contracts by Competitive Sealed Proposal. 4. Ordinance No. 2023-2003 -- Increasing Estimated Revenues and Appropriations by $1,585.00 in the General Fund for the Planning Department to Attend Section 106 Training. 5. Resolution No. 2003-52 -- Awarding a Snow Removal Contract at the Kenai Municipal Airport Terminal Building to Tuff Construction for the 2003/2004 Winter Season. J -1- 6. Resolution No. 2003-53 -- Awarding a Two Year Contract for the Operation and Management of the Kenai Recreation Center to the Boys 8� Girls Club of the Kenai Peninsula, Kenai Unit, in the Amount of $125,000 Per Annum, With an Option to Renew for Two Additional Years. ITEM E: COMMISSION / COMMITTEE REPORTS 1. Council on Aging 2. Airport Commission 3. Harbor Commission 4. Library Commission 5. Parks 8s Recreation Commission 6. Planning 8, Zoning Commission 7. Miscellaneous Commissions and Committees a. Beautification Committee b. Kenai Convention & Visitors Bureau Board C. Alaska Municipal League Report d. Kenai Chamber of Commerce e . Arctic Winter Games ITEM F! MINUTES 1. *Regular Meeting of October 15, 2003. ITEM G: CORRESPONDENCE ITEM H: OLD BUSINESS ITEM I: NEW BUSINESS 1. Bills to be Paid, Bills to be Ratified 2. Purchase Orders Exceeding $2,500 3. *Ordinance No. 2024-2003 -- Increasing Estimated Revenues and Appropriations by $2,500 in the General Fund Visitors Center Department for Advertising. 4. *Ordinance No. 2025-2003 -- Increasing Estimated Revenues and Appropriations by $205,027 in the General Fund for an Alaska State Homeland Security Grant to Purchase a Digital Wireless Statewide Shared Public Safety Communications System. 5. *Ordinance No. 2026-2003 -- Increasing Estimated Revenues and Appropriations by $350,000 in the Boat Launch Capital Project Fund for a State Grant. -2- 6. *Ordinance No. 2027-2003 -- Increasing Estimated Revenues and Appropriations by $40,000 for a State Grant for Maintenance and Facility Improvement at the Senior Center. 7. *Ordinance No. 2028-2003 -- Adopting KMC 21.05.045 to Establish an Off -Airport Gross Income Rental Car Fee for Off -Airport Rental Car Companies Using the Kenai Municipal Airport for their Businesses. 8. *Ordinance No. 2029-2003 -- Amending the Fine Schedule at KMC 13.10.015. 9. *Ordinance No. 2030-2003 -- Amending KMC 1.90.010 to Allow the Kenai City Council to Establish Task Forces Regarding Millennium Square and/or Economic Development with a Membership of Greater Than Seven (7) and Sunsetting the Ordinance in Three (3) Years. 10. *Ordinance No. 2031-2003 -- Increasing Estimated Revenues and Appropriations by $7,000 in the General Fund for a Grant From the Rasmuson Foundation Art Acquisition Initiative. 11. Approval -- Lease Application/Division of Forestry, Lot 4, FBO Subdivision No. 7. 12. Approval -- Lease Application/ 20 / 20 International, Inc. and John C. 8� Marie L. Parker, Individually, Lots 5 8, 6, Block 1, FBO Subdivision. 13. Approval -- Termination of Lease/U.S. Fish & Wildlife Service, Lot 2, Block 3, General Aviation Apron. 14. Approval -- Concession Agreement/Hertz Corporation. 15. Discussion -- Council Liaison Assignments ITEM J: REPORT OF THE MAYOR ITEM K: 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 NOVEMBER 5, 2003 7:00 P.M. KENAI CITY COUNCIL CHAMBERS htt : I Z www.ci. kenai. ak.us JOHN J. WILLIAMS, PRESIDING MTNTTTF.q ITEM A: CALL TO ORDER Mayor Williams called the meeting to order at approximately 7:02 p.m. in the Council Chambers in the Kenai City Hall Building. PLEDGE OF ALLEGIANCE Mayor Williams led those assembled in the Pledge of Allegiance. A-2., ROLL CALL Roll was taken by the City Clerk. Present were: James C. Bookey, III Pat Porter Linda Swarner Blaine Gilman 1 Joe Moore Rick Ross l John J. Williams, Mayor A-3. AGENDA APPROVAL MOTION: Council Member Bookey MOVED for approval of the agenda as presented and Council Member Porter SECONDED the motion. There were no objections. SO ORDERED. A-4. CONSENT AGENDA MOTION TO AMEND: Council Member Porter MOVED to postpone the introduction of Ordinance No. 2028- 2003 until November 19, 2003 and schedule the public hearing on the ordinance for the December 3, 2003 council meeting. Council Member Moore SECONDED the motion. There were no objections. SO ORDERED. MOTION: Council Member Bookey MOVED to approve the consent agenda as amended and Council Member Moore SECONDED the motion. There were no objections. SO ORDERED. 1 ITEM B: SCHEDULED PUBLIC COMMENTS KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 2 B-1. Proclamation -- KCHS Football Team Mayor Williams read a proclamation in honor of the KCHS Football Team winning the 2003 Alaska State Small Schools Championship for the second consecutive time. Members of the football team and their coaches were present to accept the proclamation. ITEM C: REPORTS OF KPB ASSEMBLY, LEGISLATORS AND COUNCILS -- None. ITEM D: PUBLIC HEARINGS D-1, Ordinance No. 2009-2003 (Final Public Hearing) -- Approving and Adopting the Comprehensive Plan for the City of Kenai and Recommending Adoption by the Kenai Peninsula Borough. MOTION: Council Member Bookey MOVED for adoption of Ordinance No. 2009-2003 and Council Member Moore SECONDED the motion. Mayor Williams opened the public hearing. Rose Tepp, Kenaitze Indian Tribe -- Referring to information included in the packet, Tepp stated the Tribe's interests in involvement and/or collaboration with the city as: • Development of Millennium Square • Senior housing and related facilities (elder housing, assisted living, transportation) • Establish private volunteer programs • Transportation amenities (bikeways, trail, pedestrian paths) • Education • Partnership opportunities in development of a consolidated Tribal administration facility. Rita Smagge, KIT Executive Director -- In reviewing the Comprehensive Plan they noted: • Development of Old Town was discussed. In doing a needs assessment of the Tribe programs, etc., it was felt the development of a consolidated administration facility was a priority and number one area where it was felt the placement of the facility would be best was Old Town. They believe the city should consider more development in Old Town. KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 3 • The need for low-income housing. They have built housing, done renovation work, weatherization, etc. through funding they are eligible to acquire. They would like the need for low-income housing included in the Plan. Smagge also noted, they may come to council for a resolution of support for low- income housing funding through their organization. Council Member Gilman noted a list of items administration prepared from comments, etc., including those of KIT, to incorporate into the Plan. He noted, the Tribe's comments regarding the development of Old Town may be better placed in the city's economic development plan. MOTION TO AMEND: Council Member Gilman MOVED to insert those portions that Administration prepared suggesting comments of the Kenaitze Indian Tribe into the Plan and Council Member Porter SECONDED the motion. Gilman clarified he was speaking to items one through five of the document entitled Kenaitze Indian Tribe Comments/ Suggested Possible Inclusion Sites. Swarner noted, those items did not include the need for low income housing. Williams agreed there is a definite need for low-income housing in the city, but noted funding for this purpose was not being made available by Congress. He suggested wording could be included to state the city should encourage Congress to give more support to housing programs all over the state. City Planner Kebschull referred to Page 55 of the Plan and indicated wording included "monitor types of residential development and rate of growth, support federal and state programs for affordable housing; provides for adequate affordable housing; ensures an adequate supply of land is available for future residential uses." Moore referred Item No. 4 of the KIT list of suggested amendments and suggested council make a choice of language, i.e. add "...and Kenaitze Indian Tribe or native groups." Williams suggested using "or native groups" due to other groups in the area other than the Tribe. Gilman suggested adding a comma after facilities to read, ". . . , Kenaitze Indian Tribe and other native groups." Tepp stated it would be important to include the tribal entities, i.e. Kenaitze Indian Tribe and Salamatof Tribal Council. Gilman requested the following wording be included with his previous motion, ""...Facilities, Kenaitze Indian Tribe and Salamatof Tribal Council." Porter had no objections to the inclusion. ) VOTE: KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 4 There were no objections. SO ORDERED. Kebschull referred to Item 4 of the Corrections/Additions relating to the inclusion of an additional possible use for Millennium Square, i.e. interpretive site for historic Shkituk't village site. She noted, the purpose referred to "...the interest of the Salamatof Native Association as a potential private partner in eventual development of Millennium Square." Kebschull stated, in light of the previous discussion, this information may need to be corrected. Williams suggested the change could be made as housekeeping, inserting "Kenaitze Indian Tribe and Salamatof Tribal Council" and removing "Salamatof Native Association." MOTION TO AMEND: Council Member Porter MOVED to accept the housekeeping issues listed (titled City of Kenai Comprehensive Plan, Corrections/Additions) number one through eight as amended. Council Member Ross SECONDED the motion. There was discussion relating to the addition of the language and omitting other native organizations. Smagge explained she felt the Tribe should be specifically named because of its connection to all the native groups in the city and the historical reference to the village site. Bookey stated his concern with the "as a potential private partner in eventual development of Millennium Square" as financial/ monetary issue as it is written. Ross stated he had the same reservations as Bookey and stated he would have no problem if "as a potential private partner" would be deleted. He added, the wording would still recognize both groups for their interest in the eventual development of Millennium but not setting them out as the only potential private partners. The deletion would continue to recognize their historical interest. Smagge stated she had no objection to the deletion. MOTION TO AMEND: Council Member Swarner MOVED to delete "as a potential private partner" and Council Member Moore SECONDED the motion. There were no objections. SO ORDERED. There were no further public or council comments. VOTE ON MAIN AMENDED MOTION: VOTE: Bookey Yes Swarner Yes Moore Yes KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 5 Porter Yes Gilman Yes Ross Yes Williams Yes MOTION PASSED UNANIMOUSLY. D-2, Ordinance No. 2021-2003 -- Increasing Estimated Revenues and Appropriations by $7,800 in the General Fund for Library Grants. MOTION: Council Member Moore MOVED for the adoption of Ordinance no. 2021-2003 and Council Member Swarner SECONDED the motion. There were no public or council comments. VOTE: Bookey Yes Swarner Yes Moore Yes Porter Yes Gilman Yes Ross Yes Williams Yes MOTION PASSED UNANIMOUSLY. D-3. Ordinance No. 2022-2003 -- Adding KMC 7.15.055 to Allow for the Solicitation and Award of Construction Contracts by Competitive Sealed Proposal. MOTION: Council Member Porter MOVED for approval of Ordinance No. 2022-2003 and Council Member Moore SECONDED the motion. There were no public comments. Council Member Ross noted he felt the mechanism should be available to administration and referred to Public Works Manager La Shot's memorandum included in the packet. Ross noted, the memorandum stated a proposed design/build project would require the council's pre -approval though it was not mentioned in the ordinance. Ross suggested the wording be changed in paragraph (c) to state the city council would pre -approve a project. He also noted, at paragraph (i), the second sentence refers to assembly instead of council and he felt that should be corrected to state city council. MOTION TO AMEND: KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 6 Council Member Ross MOVED to amend the ordinance at paragraph (c), changing the wording to state "When the City Council determines..." instead of "When the City determines..." Council Member Swarner SECONDED the motion. There were no objections. SO ORDERED. Discussion continued relating to the wording of item (g) of the ordinance, "...purpose of clarification..." and "reasonably susceptible of being selected..." Attorney Graves and City Manager Snow explained, the wording will allow the city to ask for clarification of responders' proposals, offering opportunities for the city to ask questions about the materials, equipment, methodology, etc. discussed in proposals. It was also explained, the wording, "reasonably susceptible..." means a specific proposal would have a good chance of being selected for the job. Swarner stated she had reservations when the ordinance was proposed and would like a review of the ordinance, i.e. how it worked, problems, etc. to be made and brought back to council in a year. Bookey agreed and added, he hoped the design/build ordinance be used minimally. } Further discussion noted the security camera project could be conducted by design/build. The question has been discussed with FAA and they believe it would comply with their regulations. VOTE ON MOTION AS AMENDED: Booke Yes Swarner Yes Moore Yes Porter Yes Gilman No Ross Yes Williams Yes MOTION PASSED. BREAK TAKEN: 8:15 P.M. BACK TO ORDER: 8:26 P.M. D-4, Ordinance No. 2023-2003 -- Increasing Estimated Revenues and Appropriations by $1,585.00 in the General Fund for the Planning Department to Attend Section 106 Training. MOTION: Council Member Porter MOVED for approval of Ordinance no. 2023-2003 and Council Member Moore SECONDED the motion. There were no public comments. City Manager Snow explained the training relates to the historic district ordinance. She noted, the training had already taken place and KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 7 council authorized it through a resolution passed at their last meeting. The ordinance is appropriating the grant funds received for the training. VOTE: Bookey Yes Swarner Yes Moore Yes Porter Yes Gilman Yes Ross Yes Williams Yes MOTION PASSED UNANIMOUSLY. D-5, Resolution No. 2003-52 -- Awarding a Snow Removal Contract at the Kenai Municipal Airport Terminal Building to Tuff Construction for the 2003 / 2004 Winter Season. MOTION: Council Member Bookey MOVED for approval of Resolution No. 2003-52 and Council Member Swarner SECONDED the motion and requested UNANIMOUS CONSENT. There were no public or council comments. VOTE: There were no objections. SO ORDERED. D-6, Resolution No. 2003-53 -- Awarding a Two Year Contract for the Operation and Management of the Kenai Recreation Center to the Boys 8v Girls Club of the Kenai Peninsula, Kenai Unit, in the Amount of $125,000 Per Annum, With an Option to Renew for Two Additional Years. MOTION: Council Member Porter MOVED for approval of Resolution No. 2003-53 and Council Member Bookey SECONDED the motion. Williams declared the public hearing open. Cliff Massie, Kenaitze Court, Kenai -- Massie introduced himself as speaking for the Friends of the Rec. Center and wanted to state their reasons they believed council should vote no on the agreement. He noted: • There was inadequate public notice/not enough time. }� • The Request for Qualifications (RFQ) was not objective and not fair. KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 8 • The proposal brought to council for approval was not the best proposal and not the best operator for the facility. • It's not a good contract, it's not well -written, and there are lots of loopholes in it. • It is bad public policy, there were too many petition signers who would rather have the issue go to the public for a vote. Kristine Schmidt, 513 Ash Avenue, Kenai -- Noted the following: • She agreed with Massie's comments there was inadequate notice, the agenda was not published until Monday and the contract was not made available for public review until Monday and that was only by request (having to come to city hall to pick it up) and this was not enough time for the public's adequate review and comments. • The RFQ process was not objective or fair; in her experience, she'd never heard of an RFQ, but was aware of a pre -qualification process followed by an RFP. • The RFQ pretended to be about qualifications but it already had a hidden agenda and the criteria were not provided to the invitees. No one knew about the points available; it appeared to be written to favor the proposed contractor and is why she and others feel the contract is a sham. • The reviewers were not objective. At least two of the known reviewers lobbied in support of the original contract and were already biased in favor of the proposal. • Referring to City Manager Snow's memorandum (included in the packet), Schmidt noted the stated criteria for why the Boys & Girls Club got the most points, was not included in the RFQ. • The issue was rushed through before the Parks & Recreation Commission could review and comment and she felt that was done on purpose. • If it had been a fair process, the Club would not have received the highest ranking. Both of the other proposals were submitted by people more qualified to run a full -service recreation facility than the Club and both are doing that currently and have more years of experience in managing such facilities. • If the proposals would have been rated fairly, both would have received more points under the qualifications category. • She questioned the full $125,000 contract amount when there are seven months left in the fiscal year. If that is the case, the actual proposal is $215,000 a year. • She questioned why the Club's board meetings are not open to the public. • Four years is too long and there is no term in the contract to stop the Club from requiring people to become members. The former contract required anyone using facility had to join the Club before they could use the facility and she felt this was wrong and probably illegal. She noted, she was told she had to complete the membership application prior to renting her locker at the Center and she felt users KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 9 should not be forced to become members of the Club to use taxpayer -supported facility. • The Club should reimburse the taxpayers for the cost of the sign on the facility. • Referring to the mandatory services of the contract, she noted many of those items are space rentals and not services, i.e. Teen Center, racquetball and wallyball courts, weight room, to be rented by home school gym and practice time. Other programs are dead or gone from the facility. She questioned why the Club would receive more points when what they are doing are exactly what the other proposers said they would do. • Section 32, L(2) proposes to split the revenue 50 / 50, but it is broadly worded and she felt it was a subsidy. • Referring to the last contract with the Club, she remembered the Club telling council and the public they would make no changes to the programs and almost immediately they moved the senior exercise program to the racquetball court. 0 She feels the Club is coming into the community and trying to monopolize and control all the recreational programs and facilities. Council Member Swarner asked when the agenda and contract placed on the website. Clerk Freas answered, stating the agenda was placed on the website on Friday afternoon. She did not place the contract on the website. Swarner asked if the city paid for the sign on the building. Snow answered, the Club paid for their sign and the city paid for the city's sign. Council Member Porter stated the reason the seniors were moved out of the gym at that time was because of pre -scheduling done by the City of Kenai for the basketball clinic and had nothing to do with the Club and the seniors were moved to the wallyball court for that day only. She added, she had been at the Center that day and asked the seniors how things were going and they gave her a "thumbs up." Porter continued, she was not questioning Schmidt's concern about a frisby hitting her mother at the gym, but the senior center had no knowledge of it happening and if it had been a real issue, they would have been informed. Additionally, the $125,000 yearly fee would be paid on a month -to -month basis. Williams noted the city council and administration will have oversight of the contract and noted, there is an option to renew after the first two years of the contract. Council will probably be who will decide whether the contract is renewed or not. Williams requested the Parks & Recreation Commission monitor the program from time to time and on a six-month basis. Williams stated he felt it would be a good contract and acknowledged the city had been divided over the issue and believed the election process took care of the division in the city and the interest of the general public as the citizens studied the issue and the council and administration were vindicated in the process they followed, which was shown by the outcome of the election. KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 10 Bob Molloy, 110 South Willow, Suite 101, Kenai -- Molloy stated he opposed the contract and noted his two main concerns he believed needed to be investigated: • When the Club was operating the facility in July, there was a membership form everyone had to sign if they wanted to use the facility. He noted, that was not in the contract and not in the current contract. He felt this issue needed to be clarified as he did not believe users needed to be giving their personal information and have to sign up in order to use the facility. • Public participation and input in the operations is only addressed through one meeting in January and because there is a private operator, the Commission no longer has anything to do with the facility. The January meeting will only allow public input once a year unless the Club will have open board meetings where public input will be allowed. This is not discussed in the contract. He believed it would be good to have more than one time a year when the public may have input. Williams stated comments can always be made to the Commission. He noted, the city is demanding heavy insurance coverage by the Club to protect the city. Because the Club has to have the insurance, their insurance carrier requires there be a monitoring of the users of the facility and that will be done by the membership form. There will be no charge in completing the form in the same way in the order that is done at the Library. Pete Micciche, President, Boys & Girls Club Board of Directors -- Micciche stated: • He is a resident of Soldotna. • It's obvious the people of Kenai take the Recreation Center very seriously as they do the operation of the Center no matter the age as they are all stakeholders in the services of the Center. • Thanked the administration, council and people of Kenai for the confidence and working through the process. • The Club wants to reach out to the people of Kenai that have concerns, ideas and feedback; the Club wants the process to work and encouraged the public's participation in the effort. • They want to meet with the Parks & Recreation Commission and Friends of the Recreation Center to learn their concerns and make the program work for everyone. • He hoped the resolution would pass and the council will give them an honest chance to run an excellent program for the community. Further discussion from council included: • Swarner questioned who would be responsible for someone falling on the sidewalk, etc. Graves answered, the contract provides the city is an additional insured on the Club's liability policy. In practicality, there would probably be claims against the cityas owner of the property and the Club as the operator. He added the felt the p p Y p � Y KENAI CITY COUNCIL MEETING } NOVEMBER 5, 2003 PAGE 11 best protection from the Club for the city would be for them to provide a liability policy with the city as additional insured. • Swarner noted page 4, relating to maintenance and the contractor making repairs due to damage or leakage. She asked if the city would be approving of the repairs, etc. to insure the repairs will be done to the city's standards. Snow answered, that would be handled by administration through the building department as other issues of that kind in other buildings owned by the city. She added, the city will supervise the repairs. • It was noted the fee schedule was not included in the packet. Snow noted that was an oversight, however it was the same schedule as was included in the original contract. • Gilman asked how much the city would save in outsourcing the management of the facility. Finance Director Semmens answered, he determined the savings by calculating what it would cost for the city to hire staff to provide the exact same hours the Club contract provides. He added, the hours the city used to operate the facility are similar to what the Club was proposing, except the Sunday closure and about eight hours of staff time on Saturdays. That is how the contract differs from what the city used to do. If the city would match the Club's budget from what it was originally proposed in March/April, the difference would have been $28,200. He added, that would mean the city s budget would be $487,772 as opposed to the $334,587 budget now budgeted. The difference is $74,000, assuming revenues come in at the budgeted amount of $79,200. Semmens added, though there are a lot of assumptions, his calculation was $74,000. Gilman stated he believed because of the budget concerns, there were other areas in the city which will need to be outsourced to private facilities and he hoped each time this is proposed, the process would not be so contentious. He noted, Ms. Kester, who also submitted a RFQ, was not present nor had made any written complaint the process was unfair. He stated he would support the resolution/contract because of the cost savings. Moore noted, the contract is subject to future appropriations by council and any council could, by way of appropriation or lack of appropriation, terminate the contract and due to that, the management of the Recreation Center would be reviewed every year. He added, he will support the resolution and encouraged the council to support it as well. Porter asked if the contract is approved and the Club is the successor, when did they plan on opening the facility. Snow stated the facility must be open no later than December 1, but most likely, the contract would be signed November 6 and the Club would then be able to begin moving into the facility. VOTE: KENAI CITY COUNCIL MEETING NOVEMBER 5 2003 PAGE 12 Bookey Yes Swarner Yes Moore Yes Porter Yes Gilman Yes Ross Yes [Williams Yes MOTION PASSED UNANIMOUSLY. Williams noted, he believed there would be major changes in the way governments do business over the next six years and believed the city would be considering more outsourcing. He added, this next year will also be a contentious budget year. BREAK TAKEN: 9:06 P.M. BACK TO ORDER: 9:17 P.M. ITEM E: COMMISSION / COMMITTEE REPORTS E-1. Council on Aging -- Swarner reported a meeting would be held at 10:00 a.m., November 6. She also noted, tickets were available for the Senior Connection's dinner and mystery theatre event to be held on November 14 and 15. E-2. Airport Commission -- Moore reported the meeting summary was included in the packet and reminded council of the joint work session with the Commission on Thursday, November 13. E-3, Harbor Commission -- Bookey reported the next meeting was scheduled for Monday, November 10. E-4, Library Commission -- Moore reported the next meeting would be held December 2. Williams referred to the opening on the Commission formerly held by a student at KCHS. He noted, it had been suggested to him students on commissions and committees should be ex-officio and not voting members, and that council should revisit the meeting schedules and return to the monthly meetings instead of bi- monthly schedule. Williams referred to an application received from Kelsey Dunn for placement on the Commission. He recommended Dunn be appointed and council had no objections. E-5. Parks & Recreation Commission -- Porter stated a meeting would be held November 6 and Williams reported he would be attending the meeting as well. E-6. Planning & Zoning Commission -- Ross reported the unapproved minutes of the October 22 meeting were included in the packet. He noted the Commission approved a conditional use permit for "Kenai Landing," approved two lease applications, and discussed input from representatives of the Kenaitze Indian Tribe relating to the Comprehensive Plan. KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 13 E-7. Miscellaneous Commissions and Committees E-?a. Beautification Committee -- No report. E-?b. Kenai Convention & Visitors Bureau Board -- Bookey reported the Board accepted the resignation of Ricky Gease and are now searching for a replacement for the executive director's position. E-?c. Alaska Municipal League Report -- Williams reported the AML conference would be held in Nome during the next week, however the City would not be represented; he reported on discussions and comments heard at the legislative hearing held in the council chambers relating to the Permanent Fund Dividend in October; and encouraged council and administration to stay aware of legislation which will affect the city. E-?d. Kenai Chamber of Commerce -- Ex. Director Colleen Canady reported the Chamber's annual fundraiser/ auction was very successful, the Village of Lights was officially opened with the lighting of the Leif Hansen Memorial Park on November 3; the "Christmas Comes to Kenai" parade and festivities would be held on November 28; the fireworks display will take place at the softball fields; and, entry forms for the parade were available through her office. E-?e. Arctic Winter Games -- Moore reported the next meeting would be held on November 13 at the fire training facility. Williams noted he had been approached by Borough Mayor Bagley asking whether there was someone from the city who would attend the Games at Wood Buffalo. Police Chief Kopp reported he would be attending as the co-chair of the security committee. Bookey stated he would be interested in attending as well. ITEM F: F-1. ITEM G: ITEM H: ITEM I: MINUTES Regular Meeting of October 15, 2003 -- Approved by consent agenda. CORRESPONDENCE -- None. OLD BUSINESS -- None. NEW BUSINESS I-1. Bills to be Paid, Bills to be Ratified MOTION: l KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 14 Council Member Bookey MOVED to pay the bills and Council Member Moore SECONDED the motion. There were no objections. SO ORDERED, I-2. Purchase Orders Exceeding $2,500 MOTION: Council Member Bookey MOVED to approve the purchase orders exceeding $2,500 and Council Member Moore SECONDED the motion. There were no objections. SO ORDERED, I-3. Ordinance No. 2024-2003 -- Increasing Estimated Revenues and Appropriations by $2,500 in the General Fund Visitors Center Department for Advertising. Introduced by consent agenda. I-4. Ordinance No. 2025-2003 -- Increasing Estimated Revenues and Appropriations by $205,027 in the General Fund for an Alaska State Homeland Security Grant to Purchase a Digital Wireless Statewide Shared Public Safety Communications System. Introduced by consent agenda. Ordinance No. 2026-2003 -- Increasing Estimated Revenues and Appropriations by $350,000 in the Boat Launch Capital Project Fund for a State Grant. Introduced by consent agenda. I-6. Ordinance No. 2027-2003 -- Increasing Estimated Revenues and Appropriations by $40,000 for a State Grant for Maintenance and Facility Improvement at the Senior Center. Introduced by consent agenda. I-7. Ordinance No. 2028-2003 -- Adopting KMC 21.05.045 to Establish an Off -Airport Gross Income Rental Car Fee for Off -Airport Rental Car Companies Using the Kenai Municipal Airport for their Businesses. Removed from consent agenda and set for introduction on November 19 and public hearing December 3. J KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 15 I-8. Ordinance No. 2029-2003 -- Amending the Fine Schedule at KMC 13.10.015. Introduced by consent agenda. I-9. Ordinance No. 2030-2003 -- Amending KMC 1.90.010 to Allow the Kenai City Council to Establish Task Forces Regarding Millennium Square and/or Economic Development with a Membership of Greater Than Seven (7) and Sunsetting the Ordinance in Three (3) Years. Introduced by consent agenda. I-10. Ordinance No. 2031-2003 -- Increasing Estimated Revenues and Appropriations by $7,000 in the General Fund for a Grant From the Rasmuson Foundation Art Acquisition Initiative. Introduced by consent agenda. I-11. Approval -- Lease Application/ Division of Forestry, Lot 4, FBO Subdivision No. 7. MOTION: Council Member Porter MOVED for approval of the lease application from the Division of Forestry for Lot 4, FBO Subdivision No. 7 and Council Member Ross SECONDED the motion. There were no objections. SO ORDERED, I-12. Approval -- Lease Application/ 20 / 20 International, Inc. and John C. 8� Marie L. Parker, Individually, Lots 5 & 6, Block 1, FBO Subdivision. MOTION: Council Member Porter MOVED for approval of the lease application from 20/20 International, Inc. and John C. & Marie L. Parker, Individually, Lots 5 & 6, Block 1, FBO Subdivision. Council Member Bookey SECONDED the motion. Williams reported there was soil placed on one of the lots when the neighboring lot was being developed. It had been reported to him, Parker's excavator will use some of the soil for bringing the other lot up to grade and what dirt is not used, will be removed. Gilman referred to information included in the packet that stated the use was not consistent with the Airport Master Plan and asked if the city would be limiting the ability to move into cargo operations with this approval. Airport Manager Cronkhite KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 16 explained, the Airport Commission discussed that concern and felt this would be the best place for the hangar development to occur. She added, no one has wanted to build a hangar at the airport for a long time and they didn't want to discourage that type of activity. She added, there is abundant ramp space and lots of property to house future cargo operations. VOTE: There were no objections. SO ORDERED. I-13. Approval -- Termination of Lease/U.S. Fish & Wildlife Service, Lot 2, Block 3, General Aviation Apron. Cronkhite explained she spoke with the lessee regarding their desire to terminate the lease and learned their desire to do so was based on location of their office. She also noted, the property has a hangar on it which will be available for lease, along with the property. Cronkhite added, she did not feel this hangar availability would compete with the other lease for development and leasing of hangars which was just approved. It was also noted, Fish 8s Wildlife paid lease payments based on the appraisal of the property for only the lease of the property. Now, the city will be able to lease the property with the improvements which will be a higher value. It was also noted, the lease agreement has a 90-day notice to quit in it and they have the right to terminate the lease and have the right to remove the hangar or the city could tell them to remove the hangar. They will be leaving the hangar. Council had no objections to the termination of the lease. I-14. Approval -- Concession Agreement/Hertz Corporation. MOTION: Council Member Moore MOVED for approval of the Hertz Corporation Concession Agreement and Council Member Porter SECONDED the motion. Council Member Swarner requested UNANIMOUS CONSENT. Cronkhite reported representatives from the Hertz Corporation were reviewing the concession documents. If council approves the agreement, they hope to sign the documents and in the space by December 1. She added, the motion would authorize the city manager to sign the concession agreement. VOTE: 1 There were no objections. SO ORDERED. KENAI CITY COUNCIL MEETING � NOVEMBER 5, 2003 PAGE 17 The issue was opened for discussion. Moore requested the Arctic Winter Games be added to the list of liaison positions. Comments from council also included an interest to reevaluate the bi-monthly meeting schedule in January. Semmens and Freas were requested to provide cost information in this respect for the discussion. Council set liaisons as follows: Council on Aging Council Member Swarner Airport Commission Council Member Moore Harbor Commission Council Member Booke Library Commission Council Member Gilman Parks & Recreation Commission Council Member Porter and Council Member Ross Planning &. Zoning Commission Council Member Bookey and Council Member Ross Beautification Committee Council Member Swarner and Council Member Porter OTHERS: Kenai River Special Management Advisory Board (KRSMA) City Manager Snow Economic Development District EDD Mayor Williams Cook Inlet Regional Citizens Advisory Council CIRCAC John Douglas Kenai Visitors & Convention Bureau Board Council Member Porter Challenger Center of Alaska Board Mayor Williams Arctic Winter Games Council Member Moore Council requested a report from John Douglas relating to CIRCAC be made twice a year. Williams stated he would contact Douglas. ITEM J: REPORT OF THE MAYOR -- Williams reported the following: • He attended an economic development roundtable discussion relating to oil and gas which was very interesting and continued with comments on his view of the future of oil and gas revenues, development, etc. • He met with the new manager of Home Depot. They will begin in-store training on December 4 and a "board cutting" will be held on December 18 at 3:30 p.m. • The day's Kenai Chamber luncheon presentation was about the Kenai Peninsula Borough's Comprehensive Plan process and progress. While there, he discussed the high-speed ferry proposal with Assembly President Sprague. KENAI CITY COUNCIL MEETING NOVEMBER 5 2003 PAGE 18 ITEM K: ADMINISTRATION REPORTS K-1, City Manager -- No report. K-2. Attorney -- Graves reported City Hall had been processing municipal traffic citations for about one month and since October, approximately 90 had been processed. He thanked Semmens and Lee Gattenby, Communications Supervisor, for their assistance in setting up the filing system. K-3. City Clerk -- Clerk Freas noted the following: • Council could have an opportunity to meet with Mr. Fauske of AHFC on Kenai -specific issues prior to his presentation on the evening of December 4. Council requested he be asked to meet with members of the council and administration to discuss future funding for assisted living and senior housing. • She had received notification Rep. Chenault would be not be available after December 17 to meet with council prior to the beginning of the next legislative session. Freas asked council if they would like to meet with the area legislators prior to December 17. Council suggested 6:00 p.m. on November 19 or December 3. • A letter from Mack Padgett was included in the packet. The letter was regarding residents of Ames Road wanting to be put on the list for an LID when funding becomes available. Administration was requested to keep a list of those interested in paving and council would discuss the matter further during budget preparation. Semmens also noted council had set the resolution relating to the purchase of a server for the library over to the November 19 meeting. He requested it be postponed for public hearing to December 3 due to Library Director Jankowska being out of town and needing time to do further research on the issue upon her return. Council had no objections. ITEM L: DISCUSSION L-1. Citizens -- Bob Peters -- Stated his support for continuing with student members of commissions and committees being voting members as he believed their enthusiasm is a great motivator and because they have a sense and value of community. Peters added his support for changing the number of meetings back to monthly. L-2. Council KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 19 Bookey -- Asked if council was interested in doing a letter of support for the Tribe relating to low income housing funding. Williams stated he and Freas would develop a letter. Swarner -- • Stated she received a concern from a resident relating to Vintage Pointe not accept Section 8 coupons for new residents. Porter explained, the facility was originally built for middle or upper income residents and when they first allowed ASHA coupons and wanted to raise the rent, they found it could only be raised approximately $9 a month. It was felt that was not fair to the city to be always tied into what ASHA would allow for rent levels. Williams noted, that would have to be reviewed if funding were requested for an addition to the facility. • Requested fish habitat information from the RCAC should be included with the other coastal trail information. • Reported she attended a Department of Labor seminar, along with members of the city's finance department. Learned the contractor will now be paying a fee to them for their services, up to $5,000. She added, it was another unfounded mandate. • Noted the potential Navy contract for building deck scrubber units went to Palmer. Moore -- • Noted the bank of lights at the bank of the parking lot at the multipurpose facility were out and requested the cause be investigated. Williams asked whose responsibility it was for the parking lot lights and was told it is the city's. Porter -- • Asked if Parks & Recreation Director Frates was aware of any vandalism taking place at the ice rink and Frates answered he was not aware of any to date. • Suggested a survey or town meeting be held to gather information of what type of services the citizens want to continue, etc. She suggested council could request administration prepare new relevant questions. • Noted at the last council meeting, Swarner asked why no one from city administration goes to greet new businesses in the city. Porter volunteered to meet, greet, and welcome new businesses to the community and let them know who they should contact. Council had no objections. • Suggested city newspaper advertisements include the new city logo. • Referred to recent news relating to illegal immigrants being hired and asked if the city monitors its contractors. Graves explained, the city doesn't independently monitor their hires, but clauses in contracts state contractors must follow all state and federal laws. • Stated she would not be at the next council meeting. • Suggested council arrange for a meeting with industry, native groups, etc. again as she felt it would be a benefit. It was suggested the issue be discussed in Janua ry. KENAI CITY COUNCIL MEETING NOVEMBER 5, 2003 PAGE 20 Gilman -- • Referred to Bookey's suggestion council write a letter of support relating to low income housing for the Tribe. He stated, he believed they were talking about a letter to be sent to the regional corporations as the Governor is trying to direct federal funds to the regional corporations for distribution. He added, if funds are regionalized, KIT would not receive any more funding. Gilman stated he did not know if the city would want to get involved in that issue. Bookey stated he would contact KIT and discuss the matter further. • Stated he felt earlier comments relating to the future of oil and gas werepessimistic as he felt there are other ways to get interest here and keep the plants open. • Stated he believed if the council wants to get the native community more involved, the city should go to them and ask how the city can help them. Ross -- Stated he would not be attending the work session on November 13. Williams -- Stated he received a complaint the boat ramp was not open by someone who had paid for an annual pass and only used it once and then wanted to take his boat out and couldn't get access. Public Works Manager Kornelis stated anyone can contact City Hall and access will be made available. He added, the phone number, etc. is on the sign. EXECUTIVE SESSION - None Scheduled ITEM M: ADJOURNMENT The meeting adjourned at approximately 11: 34 p.m. Minutes transcribed and prepared by: e;�K�f� Y. S4;�� Carol L. Freas, City Clerk ApnCtiVED BY COUNCIL