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HomeMy WebLinkAbout1994-10-19 Council MinutesKENAI CITY COUNCIL - REGM AR MEETING OCTOBER 19.. 1994 7100 P.N. KENAI CITY COUNCIL CHAMBERS 1. Pledge of Allegiance 2. Roll Call 3. Certification of October 4, 1994 Election 4. Councilmembers Oaths of office 5. Election of vice Mayor 6. Agenda Approval 7. 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. B. U�LEDPUB, LtC g9= (10 minutes) 1. Dorothy Gray - Proposed Projects/Townsite Historic - Board. 1. Ordinance No. 1606-94 - Increasing Estimated Revenues and Appropriations by $39,500 in a New Capital Project Fund for an Environmental Site Assessment of Lots 13 and 14, Cook Inlet Industrial Air Park. 2. Resolution No. 94-64 - Supporting National Unfunded Mandates Week, October 24-30, 1994. 3. Resolution No. 94-65 - Awarding a Contract to GeoEngineers, Inc. for Environmental Services on the Lot 13 and Lot 14, CIIAP Site Assessment, 1994 Project for a Not -to -Exceed Amount of $27,580.00. Council on Aging Airport Commission -1- to 3. Harbor Commission 4. Library Commission 5. Parks & Recreation Commission 6. Planning & Zoning Commission 7. Miscellaneous Commissions and Committees B. lsINOTgB 1. *Regular Meeting of October 5,..1994. R * = BUS-1=88 1. Bills to be Paid, Bills to be Ratified 2. Purchase Orders Exceeding $1,000 3. *Ordinance No. 1609-94 - Increasing Estimated Revenues and Appropriations by $2,100.in the General, Fund for Dances at the Teen Center. 4. *Ordinance No. i610-94 - Amending XMC'. 1.90,. 050 (b) of the Standard Procedures for Boards, .Comissions .and Committees. 5. *Ordinance No. 1611-94 - Amending the Qualification of Arbitration Panel Members in KMC 23.35.032(b). 6. *Ordinance No. 1612-94 - Reallocating Appropriations Between the Congregate Housing and FAA. Road Capital Projects Funds. 7. *Ordinance No. 1613-94 - Amending the Official. City of Kenai Zoning Map for Certain lands Described'as S%,.Sec. 11 Excepting the Kenai, River, SEA. SE% Sec. 10:: last of the Kenai River, A NEB Sec. 15 East of the Kenai river, Sec. 14 North of the Kenai River,.All Within T5N1 R11W, S.M. and Within the City of.Kenai. 8. Discussion - Kenai Peninsula Caucus/1995'Statement of_ Legislative Positions. 9. Discussion - Safety/voluntary inspection... 10. Dieouesion - Contract Amendment/Alaska Courthouse Site - Contaminated Soil Romediation. Appro�raI - Special Use Permit Kenai .Air; A..aska, .Inc. I. ADMINIBTRA'h=ON RSPQA�1'8 1. Mayor 2. City Manager 3. Attorney 4. City, Clerk 5. Finance.Director 6. Publicx Worke Director 7. Airport'Minager .T. DI8C088YO�t 1. Citizens (five minutes) 2. Council Rum CITY Comm RBC4i1 M IMETING OCTQBER 19t 1994 1800 VON* zMax CITY COMMI+ CMWERG VICE, X&TOR D. EAYNOND Bneroxer. . PUSIDING Vice Mayor Measles called the'meeting.to order at approximately 7:02 p.m. in the Council.Chambers in the Kenai City Hall Building. A-10 Pledge of Allogiance Vice Mayor Measles led those assembled in the Pledge of Allegiance. A-2. Roll Cali 0 Roll was taken by the City Clerk. Present were: Monfor, Measles, Bannock, Smalley, Bookey and Swarner, Absent was Williams.. A-3. Certification of October 40 i994 Election Clerk Freas read into the record the certificatiori.of the October 41 1994 election as follows: f,,�x" 01 YEl1�1i 289M= ELaCTION OF 00T01133t 4 # 1994 WE, the members of the Kenai City Council,. do hereby certify.the. results of a canvass of the ballots for the Regular Election of October 4, 1994. NOR CITY C0=CIL: Gus Rodeo ._224Write-In: _.�,�.. Harold 'Wall' Smalley 594_ H. Raymond Measles __„531, _ SPOILED BALLOTS* ABSENTEE BALLOTS RECEIVED: — ABSENTEE BALLOTS COUNTED: (In person, Personal QUESTIONED BALLOTS,COUNT'EDs Representative, Mailed)- POLL BALLOTS. COUNTED: ,� 79a QUESTIONED BALLOTS_ TOTAL:.VOTER 'TURNOUT: . RECEIVED: REGISTERED VOTERS: 36405 It VOTER TURNOUT: It] • KENAI CITY'COUNCIL MEETING MINUTES OCTOH81t 191 1994 PAGE 2 310TtoN: Councilwoman, Monfor KOVED to certify the election. of October 4, 1994 which placed Hal Smalley and Raymond Measles an the.Kenai City Council. Counciiwoman.0warner BRCONDLD the motion, Councilwoman Monfor requested tDUW=0V0 CO�18MTo There were no objections.. 8o ORDBRSD. A-4. Councilummors oaths of Office Clerk Freas administered the oaths of Office to Councilmembers Measles and Smalley. A-8. 91*0tion of vivo mayor MOTIONS Councilman,Smalley,KOVaD to nominate Raymond Measles as Vice. Mayor and Councilwoman Monfor 88CONDrO the motion. x0vtout Councilwoman Swarner ROM to close the nominations. Councilwoman Monfor requested flNAIitMOVS CONOUT. There were no. objections., 80 ORDEM O A. -Go Agenda ftpsoval Vice Mayor Measles stated he had no changes to the agenda. There were no other requests`for'.ohanges Vice Mayor Measles found the' agenda'to.be approved as submitted. A-7: Consent Agenda Vice Mayor Measles stated he had no changes to the. Consent Agenda.. Council.had.no requests for changes. Vice.Mayor Measles stated the consent agenda would stand approved as submitted. stmmuDLHp �maLrc eon 8-1. Dorothy'Aray - Proposed Projects/Town,site'Historic Board. ids: Or re orted he had been requested b the Townsite Historic Y p Y Hoard too give an update of:the Board's progress to the City l • • • KENAI CITY COUNCIL MEETING MINUTES OCTOBER 19, 1994 PAGE 3 Council. The Board has set its goals and projects. They felt it important to produce a preservation plan for the 01#2 Town district. They feel it is necessary to work with the Planning Department, Planning & Zoning Commission, and City Council to put together a comprehensive plan. Identification of historical properties, etc. are needed for the city. In working together, they will address tourism, economic development, parks, buildings, streets, etc. The Board feels a necessary step in this process is to inform the property owners and citizens of what they foresee for the future and how the ordinance is the basic step. It has been suggested this could bo- a time for possible incentive for property owners to help with the preservation plan. Gray requested Council become actively involved in pursuing a comprehensive plan for the area. Gray reported some of the topics the Board has discussed as projects for their consideration: a. Board would like the Council to go ahead and find out about ownership of the properties included in the Historic District for inclusion in a historical park. Council could either purchase or trade the land in order to preserve the property. b. Beach trail - The Board has requested City Engineer La Shot to find out if ISTEA funding would be available for the improvement of the trail, etc, ce street improvements - The Board would like to work on street improvements for the Historic District area. Also they would like an update of the status of the Fish & Wildlife facility. d. Bluff erosion/Sand dunes - Consider closing the beach road to motorized vehicles completely. Allow only foot traffic. e. Signage - Consider placing a nice sign indicating the. area old Town includes, etc. f. Denalina Heritage - Incorporate the Denalina heritage in the preservation plan. The site on which Kenai, Packers is how situated was the original site of the Denalina village. They would like to incorporate that area into their preservation -plan. RENAI CITY OCTOBBit 191 PAGE 4 COUNCIL MEETING MINUTES 1994 g. Joint Work Session - ltequested.Council to set a joint: work session to include Council, Planning & Zoning and Historic Board to develop a preservation plan-for.the..City of Kenai. Smalley asked if the Board has reviewed the Kasprisin' Report and the City Comprehensive Plan. Gray answered;they have seen them. Smalley reported the Planning & Zoning Compission has set a goal to review the Comprehensive Plan this year. Bookey asked if the Board has discussed incorporating the bluff area. Gray answered the Task Force had identified it as one of seven projects. Bookey stated he agrees with what they want to do, but believes the water and sewer problems will need short- term attention. Bookey added he hoped Council will not forget the other items they have stated. No work session was set. No action taken. 4) ITBM Cs 0 C-14, Ordiaanoa No. 1606-94 - Increasing Estimated Revenues. and Appropriations by $39,500 in.a New Capital Project Fund for an Environmental Site Assessment of Lots 13 and 14, Cook Inlet Industrial Air Park.. 'LOTION: Councilman Smalley MOVED for adoption of ordinance No. 1606-94 and Councilwoman Swarner BNCONDED the motion. There were no public or council comments. VOTES Monfor: Yes Measles: Yes Bannock: Yes Smalley: Yes Williams: Absent Bookey: Yes Swarner: Yes MOTION PROBED MANIMOUBLY. C-2. Resolution No. 94-r64 - Supporting National Unfunded Mandates Week, October 24-30.1 1994. ' is KENAI CITY COUNCIL MEETING MINUTES OCTOBER 19, 1994 PAGE 5 0 • NOTION= Councilman Bookey MOVED for approval of Resolution No. 94-64 and Councilwoman Swarner SECONDED the motion and requested DNANIMOUB CONSENT. There were no public or council comments. VOTES There were no objections to the request for unanimous consent. SO ORDZR8D. 0-39 Resolution No. 94-65 - Awarding a Contract to GeoEngineers, Inc. for Environmental Services on the Lot 13 and Lot 14, CIIAP Site Assessment, 1994 Project for a Not -to -Exceed Amount of $27,580.00- l[OTION S Councilman Smalley MOVED for approval of Resolution No. 94-65 and Councilman Bannock SECONDED the motion. There were no public or council comments. VOTES Councilwoman Monfor requested UNAN=MOOS CONBENT. There were no objections. 80 ORDSRLD. D-i. Council oa Aging No report. 1. D-2. Airport Commission Councilman Measles reported a meeting was held last week. A copy of.the agenda was in the packet. The minutes will be in the next packet. KENAI CITY COUNCIL MBETING AIINUT$8 OCTOBffit 19j, 1994 PAGE 6 Harbor commission Councilman Bookey reported the Commission met on October 10. .The minutes of the meeting were included in the packet. Bookey added it was a short meeting. Most of the discussion involved the storm, high tide, and the bluff damage done. D-40 Library Comission Councilwoman Nonfor reported the minutes of the last meeting were included in the packet. Monfor added a large amount of the discussion included Intellectual Freedom, D-s• Parks i Rocreation Commission Councilman Bannock reported the Commission met on October 17. Much of the discussion included the results of the Council's September 21 work session. The Commission decided.to.change the monthly meeting,date to the first Thursday.of the month to encourage better attendance. Bannock asked if Council had any. objections to the change in meeting day. Vice Mayor Measles asked if there was.aay conflict with other meetings on that date. Clerk Freas stated there are no other commissions, committees or boards meeting on that day. Council had no objections. Bannock stated the Commission_ reviewed their goals and.objectives established earlier in the year. Bannock reported eight of.the ten goals had been completed, including the tent camping area and the improvements to.the Bernie Huss Fitness Trail. Returning to Item D-4, Councilwoman Monfor noted a memorandum included in the packet which requests the Library Commission's regular meeting of November 2 be forwarded to December 6. The reason for the request was so commission members may attend. the Council's work session at which they plan to prioritize their goals and objectives. There was no objection to the request move the meeting to December 6. Planning a Boning Commission Councilman Smalley reported a copy of the meeting agenda was included in the packet. The Vozar request for a conditional use RENAI CITY OCTOBSR 19, PAGE 7 COUNCIL MEETING MINUTES 1994 permit was removed from the agenda as the applicant removed their application. P&Z Resolution No. 94-50, to rezone city property adjoining the Cone property was approved. Smalley reported Jim Butler (attorney for Cone) and Suzanne Fisler (State Parks) attended the meeting. Fisler suggested the rezone of the property would assist the -City in doing some of its projects in that area. He asked if the State would put that statement in writing. Fisler did not volunteer to do so. Fisler stated the State is very happy the City is doing this and would probably look favorably on city projects. Smalley also reported Commissioner Bryson informed them the Borough is rezoning some of its rural area within the Borough. They have had very interesting discussions. The Commission also reviewed the Boroughts proposed ordinance to establish an overlay district along the Kenai River. Smalley added the Commission will be keeping close attention to the matter. D-7. Miscellaneous Commissions and Committees Beautification Committee - Councilwoman Swarner reported there was no quorum for the Committee's last meeting. Swarner also noted a letter was included in the packet from the.Committee vice -chair requesting the Council's permission to cancel their regular meetings for November, December and possibly January. Measles asked if the Committee intended to hold'a meeting in January or not. Measles noted minutes of the October 11 meeting stated they will be meeting in January. There was no objection for the waiver of the Beautif l.cation Committee's November and December meetings. Sistoric District Board - Smalley noted the request of the Historic Board to remove Will Jahrig from the'Board (due to lack of attendance) and replace him with Mr.. Malanaphy, Smalley stated Malanaphy is very well qualified, however he lives outside the city. Smalley stated he believed another appointment from outside the city would not be allowed by coda. Smalley urged. Malanaphy to volunteer time and share his.expertise. Monfor stated Malanaphy fits the categories needed for certification. Measles stated the code defines how many members can be from outside of the city. Measles asked if Jahrig had been notified. Clerk Freas . stated . she sent a letter ' to Jahrig and has received no.response. X=..Its -i. Regular Meeting or October 5, 1994. Approved by consent agenda. None. mines„ Nona. �T �t�t Rvsays�s . 8-u Bills to bi 8aid, 8fii• ..to be 1tat"ied XOTIONS CouncilUan . Smalley XOVRD to pay - the bills and Councilman Sook"y BaCORD14D the motion. There were nc� .'pbje�stfons. ea ORDZRZD. 31-2. Burobaas Orders INcee4ing $1,000 unto : Councilwoman Monfor Nov= to approve the purchase orders exceeding. $1, t300 and Councilwoman -Swsrner 82CONORW the motion. CoUnailwomau Monfor . requestO4 umOxXoge CCUS '. `Theis were no objections* eo ORMSD. Councilwoman Monfor noted the memorandum included in the packet from : Clerk- yreas stat ih4 the - duss for AML exceed®d the - mount for which" Council had budgeted by $175. Measles stated there was► money in the budget to cover the extra costs, KENAI CITY COUNCIL MEETING MINUTES OCTOBER 19, 1994 PAGE 9 8-3. Ordinance No. 1009-94 - Increasing Estimated'R®venues and Appropriations by $21300 in the General Fund for Dances at the Teen Center. Approved by consent agenda, R-4. Ordinance No» ' 1610 94 � - Amending Mc 1.90.050 (b) of the. standard Procedures for Boards, Commissions and Committees. Approved by consent agenda. R-5. Ordinance No. 16i1-94 - Amending the Qualification,of Arbitration Panel Members in KMC 23.35.032(b). Approved by consent agenda. i M-s 0 ordinance 2T0. 16120-94 - Reallocating Appropriations. Between the Congregate Housing and., FAA Road Capital Projects Funds. Approved by consent agenda. Ordinance No. 1613w94 ' -- Amending th6 Official Cit of Kenai Zoning Map for Certai,n.lands.Described'as SK Sec. 11 Excepting the Kenai River, SE% SE% Sec. 10 East. of the Kenai River, K% NEB Sec. 15,East of the Kenai - river, Sec, 14 North. of the Kenai River, All Within TSN, R11W, S.M. and Within- the ., City . of Kenai. Approved by consent agenda, 8•8. Discussion - Kenai Peninsula Caucus/1995 Statement of Legislative Positions, Councilman Smalley referred to Page 10, Item 8(2), Aviation --- soldotna Runway Resurfaeing'�. Smalley asked Director Ernst what the situation is at that airport., Ernst stated he had not heard anything new. Ernst added he did not think the resurfacing would happen right away. The Soldotna Airport receives.funding from State contingency funds and hot from.Alh:money. Smalley also questioned Page 111 Item D, Correotional Facilities. Smalley suggested the Wildwood Facility.should be in first place considering the problems that have arisen with funding the facility. • KENAI CITY COUNCIL MEETING MINUTES OCTOBER 19, 1994 PAGE 10 Councilwoman Monfor stated the omission of the Kenai Health Center was a blatant error and should be added at page 11, Iten E, Health Facilities. Smalley agreed, saying the Health Center.' is a number -one priority. Measles stated he personally had a problem with the whole report. Measles requested Council give some thought to the report and bring it back to the November 2, 1994 meeting. There were no' objections. 31-9. Discussion - Safety/Voluntary Inspection. Kornelis referred to a memorandum from Rachel Clark which was included in the packet. Kornelis stated the Public Works Department recommends it undergo a voluntary safety inspection by OSHA. It would be three to four months before an inspection would take place. It has been four years since their last OSHA inspection. The inspection would be done at no charge and would identify areas not in compliance with OSHA codes. Measles asked what the down -aide to the inspection would be.' Clark (from the audience) stated if non-compliance items were. found, the City would have to make the corrections. Time would be given to make corrections. Voluntary inspections are not involved with the regulatory group. Reports are not passed on to the regulatory group. Bookey asked if they have conducted in-house inspections for acme idea of whether they are in compliance. Kornelis stated an OSHA inspection was held four years ago and changes needed to be made after that inspection. Bookey asked if Kornelis believed there would be any major expenditures. Kornelis stated he did not. know. Bookey stated he was concerned that since the City has not implemented its health and safety plan, there could be a mandate of 60-90 days in which to make corrections. Bookey asked if the information would be included in the safety plan. Kornelis stated yes. Kornelis added they have been training a number of employees, however, it will take some time to do all the training. The City's Health and Safety Plan is close to being finished. They have sent for some additional information to compare the City's plan for completeness. What has been done so far will get the City by. It is an very extensive plan. There will be a lot of hours put into the preparation of the plan. ::1 IfBNAI CITY OCTOBffit 19 p PAGE it COUNCIL MEETING MINUTES 1994 Measles stated he believed the inspection is one of the necessary.. evils that sometimes have to be done. Measles added ha did.not take comfort in reading they would "...generally be given 90 days to complete.**" and "...would probably not be able to cite us for the saute violation." With his experience with inspections, he;,is a. hit leery, but it is something that needs to be done. Smalley stated it was an "unfunded evil" and that he supported doing the inspection. Measles asked if the Council had any objections to going ahead with the voluntary safety inspection. There were none. Kornelis was directed to go ahead with the voluntary safety inspection. B 10. Discussion - Contract Amendment/Alaska Courthouse Site - Contaminated Soil Remediation. Kornelis referred to R. Clark's 10/12/94 memorandum included in the packet. The memorandum stated all of the soil at the courthouse has been washed and approximately 7#000 Cubic yard a* been disposed of off -site. The contractor is unable to remediate the remaining 750 cubic yards of soil by the scheduled ...project completion date of September 30, 1994. Bookey asked if the contractor will be able to take care of they fines themselves, because the memorandum states the contractor was suggesting moving the soil to another site. Koruelia.stated that is part of the agreement. They would like to get the soil off the site and clear the area in order to have tine site assessment of the two lots (Lots 13 and 14).. The amendment to the contract allows the contractor to remove the soil from the site and be subject to liquidated damages from the September 30 date until the soil is off the site and then the contractor would 'take full responsibility for cleaning it. Bookey asked if the $63,000 would be enough to cover the costs. Kornelis stated the contractor would be guaranteeing to clean the soil and meet DEC approval off site. That money would be.kept.in case there was a problem and the work was not done. The contractor's bond would continue to be held liable. Bookey asked if then the City would have the $.400,000 bond, plus the $631,000. Kornelis stated yes. Attorney Graves added it -is - their understanding that the performance bond would remain in effect and the City would be withholding the $631000. KENAI CITY COUNCIL MEETING MINUTES OCTOBER 191 1994 PAGE 12 Bookey stated he was not comfortable with moving the soil to another site, not knowing to what site they would be taking the soil. Rachel Clark (from the audience) stated the site would be up to approval by the City. At this time,'it would be taken to, the City of Soldotna where the cleaned material has been taken. The 750 cubic yards of soil would be stockpiled and cleaned next year. Bookey reminded Council that when the contractor came before Council, he stated they would be able to do all the work and not have to "bio" anything and the soil would be cleaned on site. Councilwoman Swarner had asked if they would be able to handle the work to the very end, i.e. to the destruction of the cartridges and that no materials would,be transferred off the site. Now the contractor is saying they cannot fulfill their contract. Kornelis stated the contractor did come to them and stated there was a change in site conditions because the city had introduced some heavy oils from the lots and several other things. After discussion, the contractor amended their statement and said -there was not a change in the site condition. Kornelis stated the amendment was worked out over a period of time and they have been negotiating it for quite a while to try to give the contractor something in return for getting the soils off the lots and to begin on the site assessment. Also to keep the City held harmless from any problems with the cleaning of the 750 cy of soil. Bookey asked Attorney Graves if he was comfortable with the proposed amendment, considering the Cityls liability. Gravest stated the City is requiring the contractor to hold the city harmless from any liability for moving the soil. As long as they are a viable company and Rachel thinks they'll do it correctly. - and DEC approves it, there's is still a possible risk because it i is the city's dirt, even though they will take possession of t. Graves added be believes Rachel, from an engineer's point of� view, is satisfied with the process as long as the plan gets DEC approval. Graves added they wanted to get the dirt off site in order to go forward with Phase 2 of the program, i.e. the site assessment of Lots 13 and 14. The amendment will do that and Rachel feels relatively sure the contractor will complete the project. There is enough incentive through withholding money and their performance bond, that the contractor will complete the project. P • KENAI CITY OCTOBER 19, PAGE 13 COUNCIL MEETING MINUTES 1994 Bookey stated he would feel comfortable' as long as thO.original bond is still in tact. For $63 000 th awe from the ' e contractor could walk._ Y project. if it would coot,$195,000 to clean the remaining 750 Cyr the city is left holding the bag again for the contaminated soils which would then be off the city site and Possibly contaminating someone elsets site. Graves stated the city does not intend to release the bond until the work is completed, which is when DEC says the work is complete. Clark (from the audience) stated until confirmation is received. from DEC saying the work is complete, there is no reason to release the bond. If released prior to that, it would allow the Potential of harming the city, Bookey stated as long as the city is in possession of the soils, R'yit is not endangering itself like it would if the soils were on another site, Bookey asked if there was some other way to do the work at the city s-site. Kornelis stated not -at this.time dine to the cold weather. Also, work can be started on the ,site assessment if the soil is. moved. Kornelis stated along with the bond and the $63,000, there would also be the agreement saying the contractor will complete the work, etc. If the contractor tries to renege, they could be taken to court. The biggest risk would be if this soil would contaminate other soils. Kornelis stated the contamination is not a real high concentration. Clark.stated.it was-200 parts per million. Clark added the soil has to be stockpiled. appropriately, i.e. on liners, with liners over the top., etc, Bookey stated his biggest problem was that the contractor stated before the Council and assured them they could take care of the whole project. This contractor probably would not have been, awarded the contract if Council had known the project would coo in this direction. Smalley asked if the City would be held .harmless if there would be contamination at another site. Measles.statead only in the.: agreement. Kornelis stated DEC would have a co of the agreement and would be involved in .the process and would be' watching it. Measles stated DEC first has to approve the new. site and permit the contractor to relocate the soils from one S KENAI CITY COUNCIL MBETING MINUTES OCTOBER 19, 1994 PAGE 14 site to another. However, the City can never be completely removed from the liability between here and the new site or after it gets to the new site. Smalley asked what if Council says no to the agreement. Kornelis stated they would not be able to move the soil off -site and.they could not reclaim the soils during the winter. The work would have to wait until next summer. Clark stated the city could assess liquidated damages and perhaps go after the bond. Bannock asked if going that route would cost them more than $63,000. Kornelis stated yes. The contractor would probably try to put some of the blame on the city. Bannock asked if there was an x blame to place on the city. Kornelis stated they did not think so. Bannock stated that would eliminate the potential of the city's contaminated soils contaminating other soil. Clark stated saying no would not allow the site assessment to be done. isKornelis reminded Council the city also brought soils from the airport to those lots for cleaning. That was not part of the original contract. However, the contractor has been paid for' that work. The contractor is saying they had not anticipated or expected to have any heavy oils. The contractor is saying the heavy oils is what is causing the bio-remediation problems. The city disagrees with that statement because in an earlier analysis of the site, of which the contractor had a copy, it was noted there was visibly stained soils of which some was from heavy oils. Bookey asked if they were saying the soils brought from the airport were the cause. Kornelis stated they are saying there:, were heavy oils and they were not expected, nor was it in the report, therefore the city changed the conditions and that this is not their responsibility. Kornelis stated they told the contractor no, that the city gave them all the test results in which it was stated there possibly were some heavy oils. Monfor recapped the scenario as the City lets the contractor take the contaminated soil off site. The contractor takes the contaminated soil to an approved DEC site. Therefore, that would remove the City's liability because DEC has approved the process? Measles stated no, no one is ever "off the hook" when dealing: with contaminated soils. Monfor asked even though DEC has . approved the site and the placement of the soil on the site, the City continues to be liable. Answer was yes. • KENAI CITY COUNCIL MEETING MINUTES OCTOSSEt 19, 1994 PAGE 15 0 • Kornelis stated the theory is that whoever originally caused the contamination is liable until the contamination is loot cleaned up. Kornelis added the soil would be placed on a heavy liner. The only way the soil beneath would become contaminated is if the liner would tear, etc. DEC's policy is that the City would remain responsible for the soil, even though they are agreeing the process is acceptable. Kornelis stated 750 cy is equivalent to 75 truck loads. Measles asked Attorney Graves what would happen if the site assessment is not done this year. Graves stated the main reason for having the site assessment done as soon as possible on Lots 13 and 14 was because of the settlement discussions with the former PRP's on the courthouse site. Everyone wants to know what is under Lots 13 and 14 before they sign off on the settlement. Graves added there is a lot of money involved. Some of the parties want to know as soon as possible because they want to settle. Graves went on to say they wanted to clear the site in order have the site assessment done and to get a preliminary report back in January. The risk is (if the agreement before them is not signed) the settlement negotiations would be delayed because parties may not want to proceed with settlement without knowing as much as possible what is under the ground. Graves stated the City would like to know what is under the ground before proceeding much further. Graves stated the question is how much risk is the City taking while moving the soil and storing it. This is somewhat of an engineering question. Kornelis and Clark feel it's a fairly acceptable risk. The soil is not highly contaminated. The engineering consensus is that is should not be that big of a risk to contaminate other soils. However, risk is there. The contractor would initially be liable, but it is the City's soil. Measles stated his concern is that as soon as approval is given to move the soil to another location, from that point on it releases reliability from Grace Drilling and prior users of the property, for any downstream problems that might arise once the-. soil is moved. This is because Grace Drilling was not asked if it was okay to move the contaminated soil. Council would have made that decision. It would remove Grace Drilling from the liability. Even if the site is approved by DEC where the soil could be stockpiled, would not likely have a site assessment done before the soil is placed there. Even though it would be placed w 6 KENAI CITY OCTOBER 19, PAGE 16 COUNCIL MEETING MINUTES 1994 on a leak -proof liner and would be covered, etc., but five years.. from now, after that soil is cleaned up, if Soldotna digs in that area and finds contamination, it will be Kenai's contamination that put it there. Clark stated it would be the same site where the City has already. placed 71000 cy. This is a much smaller amount of soil and less contaminated. The 750 cy is contaminated at 100 parts per Million which is legal. Measles stated 100 ppm is legal at this time, however, 1400 ppm was legal just a few years ago. Smalley asked if the attachment of the bond could be for more than the $63,000 worth of work left on the project. Graves' stated the bond is to complete the project, whatever cost that is, up to the bond amount. Bookey asked even if the soil would leave the original site and go to a different location. Kornelis stated if the contractor signs the amendment, yes. Bookey stated the contractors bonding company has not approved. it. It does not mean the bonding company will accept the liability. Bookey asked if there was any way the property could.: be evaluated with the 750 cy of soil still on the property, moving it from one side to the other. Clark stated it might be, able to be done that way, however, it would be more costly. Bookey stated he would feel more comfortable moving the soil off site but placed on other City property. Bookey added he really has a problem taking the soil to another site out of the City_ because the City has no control of what could happen. Bookey was concerned this would add more to the problem which has been going on for years. Bookey stated he was not willing to take the risk at this point. Kornelis suggested placing the soil on property along Marathon.. Road. Clark asked if Council was willing to give the contractor enough room to land -farm the soil if that's what they want to.do. Bookey stated he had little sympathy for the contractor as they stated they could do the work from the beginning. Bookey added. he did not think the City should have to give them anything. The City paid to have the work done based on the original bid and the contractor stated they could do it right down to the and and now _ they can't. i Monfor stated if the soil needs to be moved, it should be moved 7� to property in the City of Kenai. Smalley stated he agreed with Sookey. He also felt very uncomfortable sending the soil to • RENAI CITY OCTOBER 19, PAGE 17 11 COUNCIL MEETING MINUTES 1994 another city because in five years, the City would still be liable. Smalley added he thought the lots need to be assessed, but could only support moving the soil to another site in the city. Measles stated if one truck spilled soil between Kenai and Soldotna, it would cost approximately $3008,000 before DEC would agree the roadway was clean. There is no easy way to handle the situation. There is no safe way. Bookey stated it really is not the City's problem to solve, it's the contractor's. Measles added the contractor assured Council they could do the job, on site, and there would be no problems. They made a commitment. The City made a commitment. The contractor needs to live up to his commitment. Smalley asked what difficulties the City would have with DEC since they have.mandated the soil needs to be cleaned, etc. and.. it stays in place this winter. Kornelis stated probably none as long as it is properly stored. Kornelis added he thought the City could convince both the contractor and DEC to allow.us to use another site in the City. Stockpile, it properly'...This. contractor would do the work, pay for the liner., -retain the liability and clean it next summer. Smalley stated he would feel more comfortable with that if Administration could work that out with the contractor. This would still require an amendment. Smalley added oven -when the contractor knew there was additional soils -coming -in, they still told Council they could do the work and meet the deadline. They have not. Swarner stated she was not ready to give the contractor any leeway. The contaminated soil should stay where it is. -The contractor told the Council they would get the work doge. Council should not let them move it. Smalley asked if she.was suggesting the soil be moved to another site. Swarher.stated no. Swarner added the contractor can be assessed damages beginning October 1 and stick with the contract. Bookey stated if the contractor does a "bio" situation, 'it could take two to three years or longer. It would probably take more than one season to do the work. If that in the case, the contractor could hire a dirt burner and finish.the job. a KENAI CITY OCTOBER 19, PAGE 18 COUNCIL MEETING MINUTES 1994 Kornelis stated the amendment states the project must be completed by September 30, 1995. Liquidated damages would then begin October 1, 1995. Bookey stated he agrees with Councilwoman. Swarner. Bannock asked what would be lost if the site assessment would not be completed this year and put it off until July, 1995. What would be the balance of risk doing that versus a transportation risk. Graves stated the reason to have the assessment done is because the settling parties at the courthouse want to know what's under the ground because there is liability under the soil. Except for knowing what's under there, most of the settlement discussions are completed. From his point of view, it would delay, for a period of time, the City's ability to enter into any settlement. If Council wishes to do that, it would only delay the discussion. Bannock stated the settlement would be a minimum of ten months away. That would be what the City would lose if the amendment, was not approved. Graves stated it could, in some ways decrease the likelihood of settlement because some parties are wanting.to settle now. Bannock asked if the soil gets moved to another site, would it.be better to move it to the City shop area where there is already known contamination. Graves stated the City feels some of the contamination on the City shop property may have emanated from another site. If contaminated soil was placed on top,_ it would be harder to prove the contamination came from somewhere else. Graves advised not to place it at the city shop property. Bookey stated maybe the recourse the City has is the fees and fines that will be collected from the contractor for not completing the project on time would make the difference on the settlement on the other end. Bookey stated he would prefer the soil be left on the site and let the contractor worry about the problem. Vice Mayor Measles asked if there was a motion. MOTION: Councilman Bookey MOVBD that we leave the dirt where it is and leave the contractor on the hook. OT M ION FAILED FOR LACK OF SECOND. I(BNAI CITY OCTOBSR 19, PAGE19 COUNCIL MEETING MINUTES 1994 Measles noted no action was needed. The contract is in place,and in effect. Graves asked if the consensus of Council was to have the contractor do the work as they stated they would in the contract.? Answer yes. Graves stated Clark needed to advise the.contractor of.Council's decision. Clark asked if Council wished to delay the site. assessment. Answer was yes.. Graves stated the site assessment may not be delayed if the contractor decides to complete the project now. Measles added they could complete the program if they.decided to burn the soil. Faced with the liquidated damages, the contractor may decide they can complete the work this year. Smalley asked with the potential of difficulties with the underground of the lots and the potential settlements that could be lost, as the City Attorney, could Graves giva� a atrong recommendation of what would be in the best interest of.the City in order that he (Smalley) could make a decision. Graves stated there are competing interests. The Administration has a desire to clear the lot to proceed',with-the site assessment, but cannot deny the liability of moving the soil. No one could say it is not a risk. it's a judgement call between the risk of moving the soil and the site assessment delay. The site assessment -does not absolutely have to be done -by January. There is risk to move the dirt. Smalley asked if the risk (to.move'the dirt).greater than it is for settlement. Graves stated it.is hard to quantify. Another factor is the legitimate desire for the Council to tell the contractor that this is what they contracted.to do and they must do it. Graves added that is a legitimate decision. Smalley stated he supported the contractor completing the project as they originally contracted to do. Kornelis reminded Council.Item C-3 was.the award of the contract for the site assessment. Would Council want to reconsider the resolution or not award it until the.other problem is.decided. Clark stated the contract was for 90 days, with a completion date of January 1. Measles suggested Council to move for reconsideration of this resolution to award the site assessment contract to the .next �J I "J E KENAI CITY COUNCIL MEETING MINUTES OCTOBER 19, 1994 PAGE 20 regularly scheduled council meeting. The contract then cannot be awarded. The resolution will then be on the table for reconsideration. Maybe by then Council will know if the contractor will or will not be able to complete the contaminated soil work this year. MOTION$ Councilman Smalley MOVED for reconsider of Item C-3, Resolution 94-65 at the next regularly scheduled meeting. Councilwoman Swarner HECONDND the motion. There were no objections. 80 ORDERED. There was no action taken on Item H-10, Discussion, Contract Amendment/Alaska Courthouse Site - Contaminated Soil Remediation. R-11. Approval - Special Use Permit - Kenai Air Alaska, Inc. Director Ernst stated the special use permit would allow for a. 1001 x 3001 area to be designated as parking for Kenai Air. Doing this will clean up a problem that has been ongoing for some. time. There will be a_ small bit of excavation needing to be done. This should be no problem. There is a place to put thee. dirt. The excavation will be done at Kenai Aims cost. MOTION$ Councilman Smalley MOVED for approval of the Special Use Permit between the City of Kenai and Kenai Air Alaska, Inc. Councilwoman Monfor SECONDED the motion and requested UNANIMOUS CONSENT. There were no objections. RO ORDERED, Mayor Measles reported Mayor Williams was still in Russia. He had heard there may be a delay in his returning. I-2. City Manager Acting City Manager Howard reported the same for City Manager Manninen. • �7 0., KENAI CITY COUNCIL MEETING MINUTES OCTOBER 19, 1994 PAGE 21 1-39 Attorney Attorney Graves in the area for reported the Inlet Woods.settlement signature by the Inlet Woods parties Attorney Graves also reported.. he Will, be attending .4 conference in Nevada. He will'be out.of the office 2 6 , .1994. He will be ' back in the off ice . on Thursda3 1-4+ city Cierk ° No report. =-s. Finanao Director No report. -s • 103.10 Works Director Korne4lis noted Information No. l.Q regarding congregate housing preliminary plan costs. Korniel s added: an. ordinance Was introduced this evening to appropriate funds, x1ornelis requested Council review.the information to make sure this. is what they had in mind. =•7. Airport Manager a. Naplansuent Report — Ernst referred to the monthly:_: enpglanement report included in the packet. Ernst stated if they continue as they have been, by the end of the year,. they will be at the highest level ever. b. Aisport Coauission r.rrnst reported,Joel Kopp.began his appointment at the last Airport.Commission.meeting. Commissioner Diane Smith has resigned. They"ha`re two openings.on the Commission. c. COURter/Carpet Repl�►d�Gnt - Ernst referred, ,to his memorandum included in the paoket in regard to re- furbishing.the airline ticket and car rental,, nters in the terminal..:.Xrnst reported the Airport Commiesi.on examined�the'physical.;condition of the counters. The Commission 1.8 conssen' dua' was that the counters needed to be r®furbished and rer' oftiended that'..money: be appropriated from airport funds to do the work: The Compi.ssion also suggested the counter work be done at the time of the re' carpeting project early next year. Cost.estimate its . RENAI CITY OCfOBffit 19 � PAGE 22 COUNCIL MEETING MINUTES 1994 approximately $17,000. (This will include putting a h" round oak trim on the counters and stainless steel on the baggage well sides.) Swarner asked if the roof will need repair to stop the leaking that has occurred. Ernst stated they found the area (around a vent) on the roof where it had been leaking. They have corrected the problem. They will probably mop the roof next year as it has been three years since it was last done. Ernst stated the refurbishing was not included in the budget. Monfor stated she strongly feels the airport should be kept in good condition as it is the first place many visitors see of Kenai. Monfor added she believed the upgrading needs to be done. Ernst stated the funds could come from the Terminal Contingency funds. Measles requested a motion or direction from Council for Ernst to get additional price information. Measles added he agreed with doing the work at the same time as the carpet replacement. Swarner asked about painting the ceiling around the vents. Ernst stated he believed this a cleaning problem and will alert the cleaning contractor. There were no objections from Council. J-1. citizens a. sob Peters - Stated his concern for the ongoing bluff erosion. He is aware studies have been done in regard to the. problem. A preservation plan is to be formulated. Mission Avenue and the bluff should be included in the plan. Referred to the comments made in the newspaper article since the bluff sloughed away last. He was concerned some of the comments were,,. apathetic. Peters questioned the quoted amount of $25 million to repair the bluff. Measles stated the $25 million quote was made by the Corps of Engineers a few years ago. Measles added Peters should be . assured the Council has not forgotten about the bluff, etc. They realize there is a problem. Measles added he would not say the r� r • KENAI CITY OCTOBER 19, PAGE 23 COUNCIL MEETING MINUTES 1994 City would fix it, but will continue istireasonableethe aost,pthelCity If something can be done to fix it at will fix it. Peters suggested storing concrete blocks on city not property be too muchbelow the bluff. Peters suggested the fines Measles stated he was aware of aalong ithe beingriver heavily placed rocks in the river to save his house ands fined. Peters stated the city employees and council have been polite and interested. He did not feel he was gett g thr Kornelis reported he has contacted the obluffnd They will have ae coming to look at Mission Avenue and the small amount of emergencyactetersJahrig anthe Pastorof dplad o me suggestions. He will cont the church when the meeting will take place. Kornelis added there are two areas of funding. One has $500,000 maximum amount of federal money �n if $2ospent. mi1l on ofother fundingrie allows for protection funding, ie given, it needs to protect $20 million worth of property, Kornelis added he was told that if the property included streets and water and sewer, it would be hard justify worth of $20 million. ` Bookey asked if there have been any short-term remedies for the road and water/sewer problems. Kornelis stated they have placed gravel to keep water from running off the bluff. They have diverted the drain to the bluff. Barricades will be placed with signs allowing only residential and church traffic to use the road. Bookey stated he believed it important for the Council to investigate the problem closeThe bluffrisdanill not be able to important part of opened to the public again. He the tourism industry and needs contin discussed willsn edwell. to be hopes Council will understand acontingency put into effect next year. Kornelis stated he believed the water and sewer lines will need to be moved next year. ' b. Barry Campbell - Campbell stated he is a trustee of the Kenai Bible Chapel., The Chapel recommends the road be closed • KBNAI CITY OCTOBER 19v PAGE 24 COUNCIL MEETING MINUTES 1994 permanently. The Chapel has other areas for their parishioners to use for parking. They suggest the Coast Guard needs to move their light and the. drainage ditch'. needs to be changed as. well. Campbell requested the . City. keep the Chapel informed of what will be done in the area.�and'to permanently close the road. Coux►oil Rookoy - Thanked the Kenai Police Department for the report included in the packet. ewaraer - Also thanked KPD for the report. Requested to have the amount of money was received from the tent camping area included in the next packet. Nonfor - Requested the change in the Parks &Recreation meeting day be advertised. Yeas stated,she would advertise the change in the paper and on the City,ls official bulletin board. Hannock - No report Gualley - Also thanked KPO for the. report. Requested Government Day be set on the Council s December 7, 1994 meeting as the government class will change to society at the beginning of the new semester. There were no,objections. Smalley stated he would find a student who would like to be -appointed to the Library Commission as --a student representative. The meeting adjourned at approximately 8:20 p.m. Minutes transcribed and submitted by: 0