HomeMy WebLinkAbout1991-10-30 Council Minutes - Special Meeting•
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AGENDA
KENAI CITY COUNCIL - SPECIAL MEETING
OCTOBER 30, 1991
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1. Pledge of Allegiance
2. Roll Call
3. Agenda Approval
4. Consent Agenda
*All items listed with an asterisk (*) are considered
to be routine and non -controversial by the Council and
will be approved by one motion. There will be no
separate discussion of these items unless a Council
Member so requests, in which case the item will be
removed from the Consent Agenda and considered in its
normal sequence on the agenda as part of the General
Orders.
PUBLIC REARINa8
i. Ordinance No. 1468-91 - Increasing Estimated Revenues
and Appropriations by $70,000 in the General Fund for
an Environmental Study and Relocation Costs Relating to
Lots 10 Through 13, Block 1, CIIAP.
2. Resolution No. 91-47 - Adopting the City of Kenai,
Alaska 1992-93 Capital Improvement Project (CIP)
Priority List for Request for State Grants.
NEW BUSINESS
1. Approval - Mutual Release/Lots 10 Through 13,
Block 1, CIIAP/Grace Drilling.
2. Discueeion - Maintenance and operation
Agreement/Bicentennial Building.
ADMINISTRATION REPORTS
1. Mayor
;! 11 .i!
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XBNAI CITY COUNCIL SPECIAL XBBTINQ MINUTES
OCTOBER 30, 1991
PAGE I
1CBnz CITY COVXCxL - OPECIAL jWNTINGI
OCTOBER 30, 1991
MAYOR %TORT 4T. WXLLIAM, PREBIDING
Mayor Williams called the me -sting to order at approximately 7:02
P.M. in the Council Chambers in the Kenai City Hall Building,
A•1. PLEDOL 08 ALLgums
The Pledge of Allegiance was recited.
A-2. 0 ROLLCA�,,LL
Roll was taken by the Deputy City Clerk. Present were: Walker,
Swarner, Monfor, Measles, McComsey and Williams.
Councilman Smalley arrived late.
Mayor Williams requested the following changes to the agenda:
ADDS Unapproved Minutes of Planning & Zoning Commission of
October 23, 19911 for consideration of the
commissioners, comments regarding the Capital
Improvements --Projects List:
ADDS. Purchase Order to Kenai Kings Inn for $2,379 - costs of
1991 Annual Conference of the Alaska Association of
Harbormasters on 11/04/91.
MOTIONS
Councilman Smalls MOVED.for
Y approval of the agenda as amended
and requested MMIMOBB CONSENT. Councilman McComsey BNCONDED
the motion. There were no objections. SO ORDERED.'
• ZB11AI CITY COUNCIL 98XCIAL 1lE8'PZN6 MIIlOTSB
OCT088R 30t 1991
arras z
B. PUBLIC R1"Imse
B-20 Ordinance No. 14618-9i - Increasing Estimated Revenues
and Appropriations by $70,000 in the General Fund for
an Environmental Sttudy.and Relocation Costs relating to
Lots 10 through 13, H1ock 1, Cook Inlet Industrial Air
Park,
MO'1ZONI
Councilman Measles MOVED for adoption of Ordinance No. 1468-91.
Councilman MaComsey BLCONDRD the motion.
PUBLIC COMMBRT-
None.
COUNCIL DIBCVBBION:
Mayor Williams briefed the council on events related to the
meeting of the Bond Committee to have taken place in Juneau on
October 29th. Due to poor weather conditions, the Court System
representatives were unable to arrive in Juneau in time for the
meeting. Two new commissioners on the committee, Olds and Usara,
were unfamiliar with bonding procedures and there was no one in
attendance to answer their questions or alleviate their concerns.
Consequently, the meeting was postponed until December 9, 19n.
Mayor Williams conferred with Chris Benedicktson of the Court
System. They are concerned about the time element, and the
political environment due to ohenoeis in leadership in the
legislature during the next election and the reapportionment.
They are concerned that unless this project is underway by the
end of this legislative session, that it may not come to pass.
The Mayor urged the.council to "take the leap of faith". The
only thing we'll lose is our $16,000/year lease income which goes
into the airport fund; and'what we'll gain is the clearing out
and cleaning up of that property to return it to an acceptable
and usable state.
The Mayor reminded council that:the Bond Committee is nota
statutory authority over the'Court system. The Court System has
statutory authority to;issue its bonds. Bringing this issue
before the Bond Committee is a matter of courtesy. This project
can be accomplished through other channels,
•
RENAL CITY COUNCIL SPECIAL MEETING MINITZS
OCTOBER 30, 1991
PAGE 3
Charlie Brown added that Tom Boutin of the Dept. of Revenue was
so certain that this matter would pass at the Bond Committee
Meeting, that he had a motion drafted and ready. Everybody still
thinks it is going to go.
Councilwoman Moufor asked, are we preparing a place for Grace
Drilling to move to?
Mayor Williams responded, no, we arranged a meeting between Grace
Drilling and Glen McCulium who has a five acre parcel already
prepared, surveyed and platted, and it's an acceptable site.
They are entering into a personal agreement and the City will
have nothing to do with that agreement.
Councilman Measles asked, regarding the relocation of Grace
Drilling and the environmental assessment we're having done on
that property - are we in anyway relieving them of any liability
for contamination that night be found on the property?
Attorney Graves answered, no, the mutual release at paragraph
5(C)(1) provides that the release shall not in any way abrogate
the duties and responsibilities contained in paragraph 54 of the
lease agreement. That paragraph sets out the environmental
responsibilities and their liability for any hazardous waste that
may be remaining on the site.
Keith Rornelis advised that two estimates for the fence have been
received. One was $16,000 from Frontier Fence, and $23,223 from
Peninsula Fence. Our ordinance had an estimate of $200000 for
the fence and the relocation equipment was estimated at $201000.
Thus, the $40,000 provided in the ordinance. We have two
proposals for environmental assessment - Phase I Environmental
Audit: Wince, Corthell & Bryson $7,500; Ecology & Environment
$6,000 to $8,000 plus expenses. If there are any problems or
unanswered questions, then they would go on to Phase II of the
assessment. The environmental work done on the Carr's property
was close to $30,000 because it was continued through the audit
stage. There will be a purchase order and recommendation in the
next packet for the environmental portion. The other part,.the
$40,000 is directly to Grace Drilling.
Mayor Williams added that Grace Drilling has committed to turning
over to us their 1988 environmental assessment records which
showed the property to be clean and clear, as well as their 1991
environmental records and samplings. These will be turned over
xM►= csTx
ocTosas so.
yAGB 4
COUNCIL SPSCIAL MEETINGS MYNUTEB
1991
engineer.
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But, there will have to be another review
to
of
our
the
new
property once
they're off.
VOTE: Swarner Yes Monfor Yes
Walker Yes Mccomsey Yes Smalley Yes Williams Yes
Measles Yes
Motion for adoption of ORDINANCE 1688-91 PABBED.
Resolution No.
91-67 - Adopting the City of Kenai,
8-2s Improvement Project (Clp)
Alaska 1991-92 Capital
Priority List for Request for State Grants.
royal of Resolution No.
MOTION: Councilman SuallcComse BgCONDBD thepmotion.
91-67. Councilman M Y
POHLIC COS:
Yf�i•a lC�it6rs
et et D e e On behalf of d the
yeas in
Subdivision owners, read a statement requesting
a area. Mrs
•
VIP Subdivision, specifically the Set
to
Kester advised council of the different steps snd adminhe ha. istration
bring this matter to the at
of council and
has enough
over the past few months. Tform anhassessmen district, and the
signatures on a petition to
percentage of homeowner signatures, with nrequestiftoube
re
on what the paving
required p assessment would even be. They
placed on the CIP list.
Bill .phi„ •i •
et e r v Mr. Popp spoke in support
equest
of the VIP subdivision/set Net Drive erroad ud the councilde ro pa®t road
presented by Mrs. Rester. He inform
conditions of set Net Drive and the increase in sh rtautfby
low
used as a
since VIP Road was paved. It's o Road to get back on K-Beach.
people coming off of Cannery Loop greatly appreciated, but problems
The upgrades done this year are
foresee in a few years. Every neighbor he has spoir ken
eir With
are for paved and paying
is in favor of the street being p
share.
Consideration of this project on the Capital Improvements
Project List is requested.
COUNCIL DISCUBBION:
Councilwoman Monfor inquired if we have any money from grants
left over to do this project.
• ate►= caxY
ocrosEs 30,
HAas s
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COUNCIL SPECIAL RESTING MINUTES
1991
Charlie Brown answered that there is little less than $100,000 in
grant money for roads, maybe about $80,000.
Councilwoman Monfor asked Keith Kornelis, how much money do we
need?
Keith Kornelis advised approximately $173,624 or $174,000
(rounded).
Mayor Williams commented that he has been discussithecomm pion
affairs with our legislaive representatives. ile wereasking for $4,500,000,
Park water and sewer system
numbers of that magnitude probably will not ba that
aforthlo iing
in one single piece. The discussion has been
hold at it in a two-phase operation and putting someusurplus moniesbly in
for the road development pasercne ofm. hThompsonate Park,pared hopefully
be able to come up with ph
there will be some money in the community road a�tigthaTheeiMayor
substitute for Thompson Park water and sewer, p
urged the council to maintain the A & B status of Thohave mpson Park
water and sewer, if for no other reason n The Mayor assured
one on the priority list the following year.
the council and the community neighbors that we'Men o everything
we can to promote some road money road the
evelopment monies in that
this time, none of the have been appropriated or assigned, or
pool that we're suggesting
in any way directed towards any specific project.
Councilman smalley asked Keith Kornelis if the $174,000 is only
for upgrading the gravel and not asphalt*
is for drainage, excavation, back fill,
seeding and driveways, and this is for
in the city limits.
Keith Rornelis replied it
leveling, paving, topsoil,
the Set Net Drive portion
Councilwoman Monfor commented
that has come
forward
stillwilling
need
all the roads that
be some way we can take some
at least begin to do whatever
that this group is the only group
to form an assessment district, of
to be paved, and that there shouttd
of that money who beeeft nextver and
Spring.
we need to o gin
Bill Brighton commented you won't get the money in the Spring,
September, perhaps.
Mayor Williams commented that if the
price
rai
iceis$175,000 and
d'twe
discount $23,000 for assessments ( g
• RENAI CITY Cp11liCIL BPSCIAL !lBgTING $2NOT8B
OCT088R 80s, 1991
8l►GE 6
leaves a balance of $152,000, and with a contingency built in, we
have about $80,000. That means we only have to scratch up about
MpO00 and the job can be done.
Bill Brighton commented that in his opinion, without juggling all
these numbers for the priority list, as opposed to listing a, single project like this, the council is on safe grounds if they
want to promise these people that they will do this job, if they
Will consent to a 13 percent assessment in that area, without
putting any measurable economic bent on the city's finances,
regardless of whether you get a dime from Juneau, or not. That's
not to say that everybody else that comes in after they've been
here, who ask for the same thing, he cannot give the same answer,
but in this particular instance, the council could probably do
this job without serious harm to their economics.
Councilman Smalley commented that he is inclined to somewhat
agree, because this group is willing to form an assessment
district and have come to us
necessarily obligated, but weware obligateith their d totlisten, The City isn't
people from the community and look at their en to the
project that is somewhat affordable, and he wouldssus� This is a
the group wants to form an assessment district. He would -liket it tohear more from Charlie before we set the number specifically.
Mayor Williams commented that if we lobby in favor of some
funding for the pool as listed, there should be no problem in
getting some funding and we could work some funds for this
project through that pool. He strongly suggested that we leave
the pool development figure as stated in the CIP -list .
Councilman MaComaey commented that in the past the Legislature
didn't consider lengthy lists, but it seems like we've been a
little bit better.
Hill Brighton added that we've reduced the number within the
list, perhaps not the dollar figure, but the number, and that's
what they appreciate.
Councilman MaComsey feels the list should be left as it is.. He
agrees that this group's road improvement request should be at
the top on that road improvement list.
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KENAI CITY COUNCIL SPECIAL MEETING MINUTES
OCTOBER 30, 1991
PANE 7
Mayor Williams commented that the reality of capital projects in -
the legislature is that once they agree to a basic amount of the
capital budget, each district is assigned X number of dollars to
split up. And then it's up to us to determine what we want to do
with the share that we're going to split. And road, water and
sewer have been the standard nomenclature of the legislatur0 for
the dispersal of funds.
Bill Brighton commented that at one time the council appropriated
almost $500,000 and set it aside for the sole purpose of people
who were willing to come in and pay an assessment to get their
roads upgraded or paved. We didn't have anybody come in and we
eventually spent that money in other areas.
Mayor Williams asked Charlie Brown for a round figure of what
potentially will be left in the capital improvements budget, once
we've expended the necessary funds already committed?
Charlie Brown responded that it's in the neighborhood of 1.5
million.
Mayor Williams commented that once the legislative session is
over, and if we haven't realized the success we anticipate, we
can take.a look at the capital improvement budget.
Mayor Williams thanked Mrs. Kester and Mr. Popp for bringing this
matter to the council's attention.
Councilwoman Bwarner inquired about Forest Drive, even though it
was a state road, we had it on our list in the past. Has there —
been any work done to get that on the Borough list?
Keith Kornelis said that was one of the reasons why we were doing
this CIP list this early, so that it could be sent over to the
Borough.
Councilwoman Bwarner asked, we're not going to identify the roads
we're going to improve. Right?
Mayor Williams commented that his position is, we're not going to
spend a dime of this money on Forest Drive.
Councilwoman 8warner asked, Are we pushing the Borough to have
the school district have Forest Drive upgraded?
RENAL CITY COUNCIL SPECIAL MEETING MINUTES
OCTOBER 30p 1991
PAGE 8
Keith Rornelis replied, We're pushing the State. The DOT had a
meeting about a month ago. They are working out a six,yeBr plan.
We stated that we would maintain Forest Drive South if the State
would upgrade it properly. They are looking to put money in:a
special account for roads that municipalities are willing to take
over once they are upgraded.
Councilwoman Swaruer suggested to Keith Kornelis that this be put
in a letter to the State with a copy to the school district.
Councilman Walker asked administration if we have a copy of this
Petition that has been discussed (Set Net Drive),
Bill Brighton answered, No, we do not.
Councilman Walker said all that the people need to do is bring
that forward to the council and then we can address that
Petition,
, and have a chance to vote on it to either approve or
not approve.
Mayor Williams pointed out to council that at annual budget
time, we generally always add a couple. hundred thousand into the
capital improvement budget. Even if the capital improvement
budget were depleted, there would be sufficient funds to do the
Job, failing any monies from the legislature.
Councilman Smalley referred council to the Planning & Zoning
Minutes at page four, and advised that a couple -of the
commissioners had some concerns about the economic development
tourism portion - Item 2 on the Capital List. One of the
questions was, is not in fact economic development and tourism
one in the same. Is it not redundant to mention them both ire the
same line. Smalley said yes. On items A, B & Cl the question
came up - Since park improvements seem to be a change in
priority, they asked about the boat ramp. Smalley mentioned to
the P&Z commissioners that the City had not given this boat ramp
concept up; that we were circling our wagons and redrafting, and
that it may be a while before permits, etc. were issued.
then asked why not take money from the boat ramp and put itupinto park improvements and raise it to one million dollars.
Smalley replied that he's not too sure the City has a million
dollars worth of park improvements. Mr. McGillivey had submitted
some ideas and we got some ideas from Public Works. We saw'a
rather extensive list of repairs that need to be done, but
nothing in the neighborhood of a million dollars.
O xEN►s csxx cooNcxr, sa$c=Az MEETING auras
OCT088R 30v 1981
BARE 9
The other concern of the P a Z commissioners was the ice rink.
Is the ice rink for the city a dead issue? Smalley advised it is
probably still an issue with some citizens, but at this point in
time this council is not willing to bond or spend money, or put
it on a ballot unless there are citizenry that come forward and
request we do so, by a petition.
Their suggestion was that we look at item 2 and revamp those
figures. Smalley added that he is personally satisfied with the
way the figures are. Smalley deferred to Keith, since Kayo is
not here, about putting additional money into parks.
Bill Brighton commented that it appears this figure was just
pulled out of the sky. The commissioner didn't identify what we
would do with that million dollars. If he could identify a
million dollars worth of repair and maintenance, then we ought to
give it some consideration. But, without any further thought
than this, it just appears that it's a waste of time dealing with
this kind of situation.
Mayon Williams advised council that there is another little pool
of money put together through the state parks and recreation
department. Somewhere in the neighborhood of a half million
dollars, to continue the development of the viewing areas on the
far side of the river - on the right hand side, which is the
state's portion. We have the city's portion, the state then
through a long involvement, has the second half of it. There
will then be a third phase in which the city and state will
cooperate to develop. It's that third phase in which lands will
be traded, agreements will be made as to what will happen with
regard to wetlands, and at that time it is anticipated that the
boat ramp will become a very positive part of the third phase of
development. This year hopefully we'll obtain that half million
to do the second phase on the other side of the river. it
definitely is not a dead item at this point, it's just kind of
setting on the shelf.
Councilman Smalley commented that he's sure they understood that
too. It's just that he knew no time definite that things would
go, because the political scene changes, and one person can
basically make a lot of vote changes of people that are looking
at our grant requests, permits, etc.
40 Mayor Williams commented, you can inscribe in my tomb stone "Down
the ramp".
RMAI CITY COUNCIL SPECIAL MEETING MINUTES
OCTOBEiR 30 v 2991
PAGE 10
VOT28
Walker: Yes Swarner: Yes Monfor: Yes
Measles: Yes McComsey: Yes Smalley: Yes Williams: Yes
RESOLUTION NO. 91-67 PASSED.
MAYOR: Councilman Smalley is excused from the rest of the
meeting.
ITEM C. subman
C�1• Approval - Mutual Release re: Lots 10 through 130, Block
1, Cook Inlet Industrial Air Park Lease/Grace Drilling.
DISCUSSION:
1 I5.�1 r
Mayor Williams advised that he talked with Mr. Dunham of Grace
Drilling, as well as members of the administration. A new site
is prepared and ready for them to move onto. Everything is
pretty well in line and we've had discussion this evening with
regard.to the environmental assessment and continuing
responsibilities of Grace Drilling,
Councilman MaCon►eoy asked if they've read and agreed to this?
Mayor Aiiliame said we faxed a copy of it to them - any reply?
Attorney Graves said that Kim Howard faxed them a copy about a
week ago and we havenIt heard anything back from them either
negative or positive.
Covtnoilmau XoComeap inquired, if we approve it this evening and
they come back with something else, we're going to have to go
back?
Attornoy Qravos: Yes.
Covtaailman Walker recommended that we put this item on hold or
table it until such time as we do hear from them. He has no
objection to it. The only other thing we might consider perhaps
would be approving it unless they have something to bring back
before us,
Agai12 CITY ��IL
OCT 08ER 300 1991
PA68 13
BByCIAL MLETINa MINUTES
e a rove it and let them disapprove
Williams recommended w it pit. What we're looking at here
Mayor
it if they have any problem wicture•
is the weather p Illous
D for approval and asked ectioCnsN e0
Counoilman Waix° 1mRRn�McComsey SZCONDED • No ob j
CONSENT. Counci
ORDBRED' operation
Dieaussion -• Maintenance uiidinpg•
C'Z• Bicentennia
Agreement/
t this draft of the document is
Bill grighton advised cbbnc input of additions or dale
brought before them for 7 and 8 regarding
regarding paragraph
ncil held a discussion okin being allowed in gnio aCenter�
Council es and sm 9
alcoholic beverages and Pat Porter, S
Executive Director, to handle insurance for service
e vices
Sue Carter• paragraph 7 regarding
Director mentioned diffe to strike
alcohol- Council agreed
of alcoholic beverages- ensation. It was
so discussed it #10 regarding COmpbe aid by the
Council al 50,000 is the annual am u ed ort to revoked upon 30
City, iedand that
h t this agreement can be changed
City, an either party•
days notice by regarding possible extension
Sue Carter addressed the r°andithe effective date ofthistake
eu the contractor that this agreement
requests by uesting are physically in the
agreement. The Bureau is th personnel will be
January 1, 1992 whether c t in November, p preparation
of f eCt will be
building. Advertising
at to handle visitor servsation inuance
starting January 1 . Worker's compensation costs for
of exhibits and displaysfor 1992, as well as p
premiums and advertising .must be paid in advance. of
stationary, a uest for an extension
e resented at the next council
or Williams advised council that a re
Ray the contractor may p
time by d asked Keith Kornelis to comment.
meeting an
1 that a memorandum with aCbgOrY°at on
regarding contract
Reath Rornelis advised he next' r has advised that he is.
will be present tier because
extensions- At this time the fromra different supp ill be
exten and he w
re -ordering metal door frame The door frames
supplier went outs fo uuhissreason•
the originaln of tim
requesting an extension
• 88NAI CITY
OCTOB$k 30v
FAGS 12
COUNCIL SPECIAL MEETING MINUTES
1991
would normally be installed prior to sheetrock, therefore the
project will be held up.
The consensus of council is that they are not interested in
considering extension requests and that penalties would be
applied.
Charlie Brown's memorandum addresses the fiscal period and start-
up date of this agreement and the payment of audit expenses.
Sue Carter expressed the Bureau's concern about paying audit
fees. The Bureau is willing to pay for half of a review. As an
exempt non-profit corporation, they pay for preparation of .an IRS
report, which would not be a sufficient report for the City. An
additional $1,200 fee would be charged for a report acceptable to
the City.
Bill Brighton advised that administration recommends splitting
the cost, with the Bureau's expense being limited to $600
annually for the review and the City paying the balance.
Council agreed.
The start-up date of January 1, 1992 is recommended by
administration, with a pro-rata clause indicating payments will
start January, 1992. Council agreed.
Sue Carter further advised counsel that $15,000 worth of
furnishings will be arriving, and UNOCAL is considering a $25,000
grant for the audio-visual room. Mr. LaShot has agreed to help
the Bureau go out to bid for that equipment.
C-3. Purchase Order to Kenai Kings Inn for $2,379 for costs
of 1991 Annual Conference of the Alaska Association of
Harbormasters on 11/04/91.
Councilman MvComsey MOVED to authorize payment. Councilman
Walker 033CONDED. No objections. SO ORDEREDe,
D-1. Mayoras Report.
Mayor Williams brought to council's attention the AML memorandum
regarding the Nominating and Credentials Committee meeting on
November 13th asking John Williams to serve on the committee.
The mayor asked council if any of them would like to serve in his
• xaNx: CITY
ocrossR ao,
PAGE 13
COUNCIL 88ECIAL MEETING MINUTES
1991
place on the AML Board of Directors and reminded council that his
mayoral term expires in 1992. Councilman Walker reminded the
mayor that council voted to put him on that committee.
Councilwoman ewarner added that he was elected to the position
and it is not a transferrable position. The mayor then mentioned
the legislative committee nomination forms to be taken care of,.
Councilwoman ewarner advised that she will be serving as a
moderator. Councilman Walker advised that he will be serving his
second year.
COMMEIEMB a
Mayor Williams mentioned the article in the Peninsula Clarion
regarding Nathan Calahan's departure from the area and it is of
interest to note that the case load of the City of Kenai tied for
third highest in the state. 2,500 misdemeanors and 400 felony
cases a year, indicating a tremendous court load, and again
t pointing out the fact that everyone in the court system knows,
understands, and wants the new court house.
Councilwoman ewarner asked if we are meeting with our state
representatives regarding the capital improvements list.
Mayor Williams advised he has spoken with the current
representatives about the list. Due to the upcoming
reapportionment, we will have one representative and no known
senator identified at this time. Kenai and Nikiski will be
represented by one person. Our present senator will be
representing another area. So, there is a question of who to
talk to about future projects.
The mayor also invited all council members and the public to
attend the Kenai Peninsula Caucus luncheon at noon Friday,
November 1st at Mr. D's to meet the guest speaker, Nancy Usara,
the new administration commissioner and the Governor's right hand
person. Ms. Usara is on the Bond Committee.
There were no public comments.
R. ADJOURNMENT. The meeting adjourned at 8:14 p.m.