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HomeMy WebLinkAbout1989-04-19 Council Minutes. AGENDA KENAI CITY COUNCIL - REGULAR MEETING APRIL 19, 1989 - 7:00 PM A. CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. Executive Session 4. Agenda Approval 5. Consent Agenda *All items listed with an asterisk M 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 onthe agenda as part of the General Orders, B. SCHEDULED PUBLIC COMMENT (10 Minutes) 1. Bill Nelson, Engineer - Liability Insurance 2. Blaine Gilman, Attorney -,Pull Tabs. C. PUBLIC HEARINGS 1. Ordinance 1312-89 - Increasing Rev/Appns - Airport Runway, Taxiway C Overlay & Related Lighting Improvements - $1,666,452 2. Ordinance 1313-89 - Increasing Rev/Appns - Dock Facility - Expansion of Parking & Staging Area - $135,000 3. Ordinance 1314-89 - Increasing Rev/Appns - Library - Cancellation of Lease Agreement, Copy Machine - $1,500 4. Resolution 89-29 - Support of Salamatof Tribal Council for BIA Assistance - Road Access to Elephant Lake 5. Resolution 89-30 Award Contract - Boating Facility Parking/Staging Area - Foster Const. - $199,906.06 6. Resolution 89-31 - Award - VIP Street Improvements - Harley's Trucking 7. Resolution 89-32 - Award - Linwood, Candlelight, Kaknu, Kiana, Baker, Lawton Street Improvements - Quality Asphalt 8. Resolution 89-33 - Award.- E. Aliak, Highbush - Harley's Trucking 9. Resolution 89-34 - Transfer of Funds - Cooling System, Public Safety Bldg. - $70623 s . D. CONIIyIISSION/CONa9ITTEE REPORTS 1. Council on Aging 2. Airport Commission 3. Economic Development Commission 4. Harbor Commission 5. Library Commission 6. Recreation Commission 7. Planning & Zoning Commission 8. Misc. Commissions/Committees E. MINUTES 1. *Regular Meeting, April 5, 1989 F. CORRESPONDENCE 1. *Sen. Stevens - Alaska Conf. of Mayors Invitation to President Bush 2. *Deputy Assist to President Bush - Alaska Conf. of Mayors Invitation to President Bush 3.• *Unity Trail Committee - Kenai/Soldotna Bike Trail 4. *Alaska DOT&PF - Sterling Hwy Project G. OLD BUSINESS H. NEW BUSINESS 1. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 3. *Ordinance 1315-89 - Increasing Rev/Appns - Library Books, Donations - $1,800 4. Games of Chance & Skill - Pioneer of Alaska, #16, Kenai 5. Games of Chance & Skill - Multiple Sclerosis Society, Anch 6. Appproval - Vacate Utility Easement - Spruce Grove 7. Discussion - Lantern Circle a. Re -Naming b. Paving S. Discussion - Airport Terminal Leases 9. Approval - Lease Application - Gusty S/D #4 (Lot 1, Block 3) - James Doyle it I. ADMINISTRATION REPORTS 1. Mayor 2. City Manager 3. Attorney 4. City Clerk 5. Finance Director 6. Public Works Director 7. Airport Manager I* I J. DISCUSSION 1. Citizens 2. Council K. ADJOURNMENT KENAI CITY COUNCIL - REGULAR MEETING - MIANTES APRIL 19, 1989 - 7:00 PM KENAI CITY HALL MAYOR JOHN J. WILLIAMS PRESIDING A.: CALL TO ORDER Mayor Williams called the meeting to order. A-1 Pledge of Allegiance A-2 Roll Call Present: John Williams, Art McComseY, Ray Measles, Chris.Mon€or, Marj O'Reilly,,Linda Swarner. Absent: Hal Smalley (excused) A-3 Executive Session MOTION: Councilman McComsey moved, seconded by Councilman Measles, to adjourn to executive session concerning matters, the ismnediate knowledge of which would clearly have an adverse effect Councilon , the aFinance Directoces of the r, Kenai. I request that , and Attorney Haggart attend. VOTE: Motion passed unanimously by roll call vote. COUNCIL.ADJOURI$D TO EXECUTIVE SESSION: 7:05 PM. COUNCIL RECONVENED: 7:35 PM. NOTION: Councilwoman monfor moved, seconded by Conci Councilman McComsey, to have Council and Administration P with lawsuits against the assessments on Inlet Woods Subdivision. Motion passed unanimously by roll Mall vote A-4 Agenda Approval Mayor Williams spoke. a. Add item B-3 to the agenda (Vince Op ano lys, Economic Development Comm. - St y/ Economic Impact to the City of the Prince William Sound Oil Spill) b. Add item B-4 to the agenda (Clint Hall - Inlet View S/D) c. Item Info-3 relates to item B-2 (Pull Tabs) d. Item Info-6 relates to item C-1 (Ord. 1312-89) e. Additional material distributed this date relating to item C-2 (Ord. 13 r) f. Add Res. 89-35 (Repair of KCHS Stadium Facilities), distributed this date, as item C-10 g, item D-2 (Airport COMM. Minutes, 4-6-89) has 2 action items KWAI CITY COUNCIL APRIL 19, 1989 PAGE 2 CI h. Delete item 8-2 (Requisitions Exceeding $1,000). no action items MOTION: Councilman McComsey moved, seconded by Councilman Measles, to approve the agenda as amended. Motion passed by unanimous consent. A-5 Consent Agenda Council approved the Consent Agenda as submitted, by unanimous consent. B. SCHEDULED PUBLIC COM ENT B-1 Bill Nelson, Engineer - Liability Insurance Bill Nelson. I sent a letter to the Public Works Dept. to have my liability rates dropped. The main reason is economic. I will be paying for the duration of the contract. At this point if I will no longer be required to have insurance, it would lower my insurance rate. The City would not have any coverage anyway. My premium has increased from $13,000 last year to $25,000 this year for $500,000 professional liability insurance. The contracts remaining with the City are about $10,000 - $15,000 worth of work. For me to buy insurance, I would not be doing enough work to pay for the insurance. Also, what is the coverage that the City is being offered? It has been standard policy for this type of work to be $1/2 Million coverage. I think that is more than you need. You are paying for more coverage for consultants than you need. It is not the same type of risk in designing roads as it is in designing buildings. On roads there are not that many problems. I have not heard of an engineer that has been responsible for road failure. It is economic survival for me. $25, 000 worth of insurance for $10400 worth of work. I have bought $100;000 insurance, that cost $10,000. I feel there is no Prospect to amortize that much. I don't see enough engineering work in the area to generate, that much income. MOTION: Councilwoman Monfor moved, seconded by Councilwoman O'Reilly, to allow Bill Nelson to reduce his insurance coverage to $100,000 as long as he covers everything. Councilman Measles. How many contracts do we have out that this could affect? Will we have more people at next meeting with the same question? Public Works Director Kornelis. At this time we have no other inspection contracts, but do have some design projects. We will have inspection contracts at the next meeting. I would not be opposed to lowering these requirements to $100,000. They are streets and paving. Arch. Kluge does not have E&O insurance. He took over Arch. Gintoli's contract. We are only talking about E&O. Atty. Rogers. The (City) insurance broker and I talked about this. We are paying indirectly. I discussed the City calrrying the insurance, We should get reduced Proposals. KENAI CITY COUNCIL APRIL 19, 1989 PAGE 3 Councilman Measles. If it appears the direction we are going is that the City would insure engineers, how will this affect general contractors coverage for insurance? Public Works Director Kornelis. They would remain the same. Councilman Measles. Could an amendment make it to one individual? Mayor Williams. We would not want to do that. If we entered into new contracts, would that affect them? Atty. Rogers. It was for existing contracts only. MOTION, Amendment: Councilman Measles moved, seconded by Councilman McComsey, to amend the motion to state: for Bill Nelson, for existing contracts. Atty. Rogers. Was this for design and inspection? Public Works Director Kornelis. I would say both. I will get prices with or without, for $500,000 and $100, 000. We used to ask �-1-�.8G8. for roads and Goo for buildings. # Mr. Nelson. Romer does not require any on roads. The Borough does it project by project, depending on the risk. Soldotna is $250,000 maximum. I spoke to some consultants that are in the same boat (as I am). Mayor Williams suggested adding a friendly amendment to the motion, that it include existing contracts? Council agreed to the friendly amendment. Councilman Measles. Do we have to change an ordinance? Public Works Director Kornelis. No, we have had motions to lower rates. - vo'TE, Motion with Friendly Amendment: Motion passed by unanimous consent. B-2 Blaine Gilman, Attorney - Pull Tabs Mayor Williams. There are inclusions under item B-2 from AML and the Borough. I have a packet regarding pull tabs for Council review. The-Zorough excludes municipalities that exempt themselves. Atty. Rogers distributed additional material. Mayor Williams. The gross sales exceeded $3 Million. That is at the local area. There are only 11-12 operators. Blaine Gilman, Atty. (Distributed material) I have been asked to speak regarding gaming laws, primarily pull tabs. State laws in Alaska allow non-profit organizations to conduct Games of Chance & Skill or pull tabs. They must be in good standing for 3 years. Permits are liberally given out by the State. Some permittees have the option of retaining professional operators. They must be licensed by the State. In the business of running Games of Chance & Skill, etc. for profit, a percentage must go to the organization. There is a requirement of 15% of adjusted gross. Most games pay back 800s return, 20% would be adjusted gross. 15% may be negotiated but must be specified in the contract. A professional operator must be bonded, $250000 for each permit to $1000000 maximum. The bond - is to ensure the organization contracting is paid statutory required amount. The Renal Borough, this a KENAI CITY COUNCIL APRIL 190 1989 PAGE 4 month, passed an ordinance to prohibit professional operators from working in the Borough. I spoke at the Public hearing and tried to convince them that it was untimely for them to do this. The State is re -drafting their statutes. The Borough passed the ordinance and regulations have been sent out. Any organization, other than the non-profit themselves, will be consideredprofessional operators, such as bar tenders, etc. It will narrow it down. The 7-11 stores, some restaurants, some taverns have pull tabs. Under these regulations, most of this activity will be stopped. There is a provision in the Borough ordinance to allow cities to permit professional operators in their municipalities. There are good reasons why municipalities would do this: taxing issues are ignored by the Borough and cities. Borough Atty. Tom Boedecker said there is no reason pull tabs are not taxed. There is a substantial amount of money in this community being passed out. believe the cities should receive a portion of this. It will generate tourist trade and revenue as the only city in the Borough that allows them. This is much money at stake. Gaming is here to stay. I would urge Council to consider opening up the City for professional operators to open up in Kenai. Mayor Williams noted the City of Kenai is a permit holder. Atty. Rogers. Is there anything to preclude municipalities from being operators? Atty. Gilman, no. Councilwoman O'Reilly. The State is coming up with new definitions; when will we expect these? Atty. Gilman. A proposed copy is in the distributed material. S Mayor Williams. For a state that is not in the gambling business, there are 4 pages of rules regarding gambling. The Kenai Visitors & Convention Bureau is in the business. The Chamber of Commerce and AARP are in the business. There is a $4 Million revenue roll. The Borough feels it is a secondary retail matter that could be taxed. We are losing revenue at 5% of $4 Million. With manufacturing of pull tabs, odds can be set. Councilwoman Monfor. If we allow professional pull tabs in the City, how would we collect? Would some have to go to the Borough? Mayor Williams. They must report to the State under penalty of law and must purchase from licensed vendors in the State. There is a hazard of 0% return. Atty. Gilman. Pull tab distribution is regulated. They must report returns and numbers. Atty. Rogers. (Reviewed material distributed) The Oilers received $1.3 Million. Do they have operators? Atty. Gilman. I do not know. Atty. Rogers. The soldotna Chamber of Commerce runs their own. Soldotna Little League, Lionesses, KPBA? Atty. Gilman. I don't think any of them do. Atty. Rogers. These are the highest ones. Atty. Gilman. Permit holders have an option to run and it is in their interest to do so. But it is a viable option for smaller ones. Under the new ordinance, a substantial number of these people will be listed, operators will have to be licensed by the State. Atty. Rogers. That should not be a problem, with the amount they will be making. Mayor Williams. The Visitors & Convention Bureau is using as a quasi -professional operator even though they P. KENAI CITY COUNCIL APRIL 19, 1989 PAGE 5 are not professional. Also the Senior Center. Under e the new regulations those groups will be shut down. Atty. Gilman. If you consider allowingprofessional operators, you need to pass an ordinance for n taxati of activity. Actual raw dollars is not what the figures project. Sometimes there is a trade on winners. It should be taxed at raw dollars. Councilwoman O'Reilly. In small restaurants or bars that use permit -holders license., do they have more than one license. Atty. Gilman. Most small bar owners, etc. stick to 1-2 non-profit groups for pull tabs. They receive a Percentage of pull tabs as rent for space. Under the new regulations they will be classified as professional unless they run for free. Councilwoman O'Reilly. Is there State statutes that limit the number of permits businessmen could have? Atty. Gilman. The cannot sell any for profit. They can use for non-profit. With more than one, they are classified as professional. Mayor Williams. the State level, There are we may be many things trap spiring at ve ry interested in this. No action taken by Council. B-3 Vince O'Reilly, Economic Development of Economic Impact to Ci Comm. - Study/Plan Spill tY of prince William Sound Oil a. Vince O'Reilly, Economic Development Comm. In view of the circumstances we may all be dealing with. I wanted Council to be prepared to have an organized, comprehensive impact plan for Kenai of the oil spill. The purpose would not be accusatory or inflammatory, but enlightening. 2 members of the Economic Development Comm. have been contacted and approve, 2 have not been contacted. Chances are there will be impact on the City's economy. (He reviewed memo distributed this date) Many government agencies are involved on physical inspection, none on -economic The study would prevent panic. Ex. one impact. is going to offer 6+ � Processor $17. There are $ per hour, Exxon is offering government people here now and probably more coming. The purpose is to keep the budget loose, we do not know what we are going to have. Finance Director Brown says there is $130000 left in EDC budget. It is not a study for more knowledge, there is a major physical and economic calamity that has occurred. We have a responsibility as a city of knowing the economic effects on municipal government and businesses in the City. There has never been a similar t impype of act on the State. We have lost Prince William Sound herring fishery, if one glob of oil shows up in a salmon net, chances of the r that load of fish is nil. We cannot et t i buying vo with the physical impact of the spill, but g t involved with City s interests and reassure private business of what would happen if the salmon were not accepted. b• Stan Steadman, Kenai Borough, EDD. Regarding State action: Dept. of Commerce is charged by the Governor to spearhead economic recove ry. They packaged a grant proposal from EDA to match E xond KNAI CITY COUNCIL APRIL 19, 1989 PAGE 6 money. $�,00# 000 total regions. $12,000 $60,000 each for 5 Kenai area 1°er region, about $1 studies, There are other agencies the There • Convention Bureau will have•aThe Visitors &g The State visitors Assn, has undertaken c economic study. undertaken anampaign, C. Leohinueanel, Harbor Comm g t this time The Harbor Comm. has he is here to listen. d. Tim Elson, Economic Development Electric. Any decrease ini h has and Romer utility people• we will be watching an ?Pact on have a tool such as this would b ng this. TO M�' • O' Reill a helpful. economic modelsbe Ag°muahenower said there are ]Kenai Borough. The de for Kodiak and the see how this Y may be of use. Plays out, or we cant We c`� just c �n, organized nature to Scope take action of a g at us. He wanted council out what could be understand this will not uACll to be sure and may be open ended but would a to report. It study so we have somethingglue us some kind of Federal agencies as to tO glue the State and economicimpact. benefit from the spill: There will be• trucking activit p' ' hotel activity, earnestly recommend Y� aviation activity. active m ommend Council participateIinould manner. an Mayor Williams. I have been in c Y mayors. They are all inn contact with many Preparing impact studies. ) We situation, to havelng a handle Borough. the Borough. b) we are main With �On. n the amount of loss are going budget There are so in working g and in contingency funds in the g,DC Councilwoman Sw budget? Finance Director Brown. the Harbor Comm. budget is mixed with The Harbor Comm. the boating cannot answer that, g facility, I $50 000 The in facility unspent. g Y has touch* Some is in _areas we cannot MOTION: councilwoman Swarner moved McComsey, to go ahead with budget, take the moved,, seconded by Councilman remainder a study' use the EDC and travel; and from the Harbor C Prepare a resolution. ° budget Councilwoman Monfor. would hope that even though t get the report back, I impact, I would hope this wouldre well be negative As a fisherperson, if I be a Positive re People in the lower 48 ha esnaoing something negative' happening in Alaska, idea of what is They will not buy the Product. Motion passed by unanimous consent. �• O'Reilly, I can contact yes• Councilman Measles, Mr. CoughenoWer? be brought back at The resolution will Answer be an emergencythe May 3 meetin have to and You do not g' It would have to need an emergency meeting_ have•a full Council. we funds do not have to be g• Mayor Williams. These the good faith of the a Paaity.d immediately, We can use Atty, Rogers. A transfer is KENAI CITY COUNCIL APRIL 19, 1989 PAGE 7 Of funds can be done by a telephone.poll. I will research 4-20, or you can give Administration consent now. NOTION: Councilman Measles moved, seconded by Councilman McCOMey, to proceed immediately and if permitted by Code,.go ahead with the study.. VOTE: Notion passed by unanimous consent. f. Jim Carter, Borough Economic Development District. As of 5:30 PM, April 19, at the initiation of Exxon, they asked the State what could be done about the adverse publicity regarding the oil spill. There will be a meeting with Exxon April 20, $10+ Million from Exxon to cope with this. They are targeting the east coast media. Tourist activity has been hampered by adverse publicity. This will be a positive step. Mayor Williams. The City is expecting 11 caravans this summer, 4 more than last year. B-4 Clint Hall, Inlet View Clint Hall. I prepared a report of our history and background. We sold our interest to National Bank of Alaska, the City sent us a letter regarding paving of Susieana Lane. I thought the bank had all interest and told the City we had no interest. The bank said they would not pave this year. I spoke to City Manager Brighton and Atty. Rogers, they reminded me of the agreement regarding the lot as collateral regarding paving. I have given assurance to the homeowners. I asked City Manager Brighton if I could have an extension. I returned from a business trip to see in the papers that 1 would not do the paving. That was not my intent. Mr. Hall. At the last Council meeting, discussion was brought up regarding O'Brien Ct. Councilwoman Swarner. There is a hole on the left side of the road it is not very wide, it is not a good road. Mr. Hall. I think there is drainage there on the apartment parking lot. I did not develop the street, the City did. Mr. Hall. Regarding the lot on the corner of Forest and 3rd. In a trade with the City for a lot for the power station, the City offered to build the street for trade. At my own expense I built up to grade. I did not develop the street. Mayor Williams. That was before our time. Mr. Hall. When I bought the subdivision, it was not an improved street. I improved it at my own expense. Mr. Hall. You are asking me to sign a confession of judgement. That would affect my credit rating. I would like to see the subdivision paved. Is there any way it can be done without a Confession of Judgement? Atty. Rogers. Deposit $42,000 to the City. Mr. Hall. My cost is $32,000 to improve the street. -At this time if I was to bring $42,000 to the City, would I get a release of contract and release of deed of trust? is )MAI -CITY COUNCIL APRIL 190 1989 PAGE 8 Atty. Rogers. There was a lot for deed of trust. You sold the deed of trust to the bank. We did not rescind the deed of trust. The City is allowed to rely on your Promise. The deed of trust protects the 3rd party. You met with City Manager Brighton and me and said you would not pay. Mr. Hall. I did not say that. I did not believe we had any further interest in the subdivision. Atty. Rogers had said we signed a Personal deed of trust. I did not know that. Atty. Rogers. I do not know if the project can be done for $42,000. Public Works Director Kornelis. At the time it was estimated at that I would not be surprised if we could do it because of the bids we have received of late. Mayor Williams. If the City agreed to release from claim, would you pay $421,000? Mr. Hall replied yes. Councilwoman Monfor. we were unanimous that these people would have their streets paved this summer. We cannot let these people not have this done. Mayor Williams. When will you transpose the money? Mr. Hall. 1 will do that April 20 and get a release of deed of trust. Mayor Williams. Council agree? Councilwoman O'Reilly. Do you think we are safe for that? Public Works Director Kornelis. We would be close. Mr. Hall. I did my part for $30,000. It is not labor intensive. Councilwoman Swarner. Did Public Works look at curbs? Public Works Director Kornelis. Yes, Engineer LaShot did. Mr. Hall. 2 yds of cement, about $400. Councilman McComsey. Is there some way Mr. Hall could Put money in an escrow account? Atty. Rogers. Let him trust us. He wants a release he will the City will do it. ' pay $42,000 and Councilwoman Monfor. Norman St. - we were talking about finishing that off. Public Works Director Kornelis. info-15 explains this. Norman is a dead end Councilwoman Monfor. If Mr. Hall gives us $42,000, he is out of the picture. We will do it. If a family comes to us (on that street) we could pave? The storm drain is in the middle. It is sill to and not fix that. Mr. Hall. The y pave all around pavement in front of their driveway.le Williams. It seems strange that the plat was approved without the owner's approval. Councilwoman Swarner. Norman is not all paved. Are we expecting $42,000 would Rogers. That was pave Susieana Lane and Norman? Atty. Ro g part of his contractual obligation. Mayor Williams. How much is left on Norman? Mr. Hall. 1/2 of one lot. Councilwoman Monfor. I feel the City should do that. Mayor Williams. How deep is the corner lot? That is 50 ft. of paving. Is Council willing to make a settlement with Mr. Hall by having a deposit or cash or $42,000? Councilwoman Monfor. On one condition that Public Works Director Kornelis will make a statement that it will be paved this summer, public Works Director Kornelis. It can be done this summer. If he brought in the money, I would contact McLane and have them take a look at drawings, make a status report, take a look 1 KWAI CITY COUNCIL APRIL 19, 1989 PAGE 9 at curbs and gutters. Mr. Hall. My estimate is 29,800 ft. of asphalt. That includes everybody that has curbs and gutters, including Norman. NOTION: VOTE: Councilwoman Monfor moved, seconded by Councilwoman Swarner, to take Mr. Hall's money (cash or certifieLd check), get him out of the picture, we take care of the road protect, with an absolute guarantee that the roads will be paved this summer. Mayor Williams. Direct Administration to proceed with necessary work as soon as possible? Public Works Director Kornelis. The biggest hold-up will be getting Council approval. Councilwoman Monfor. I remember streets on each end of town that were to be done and were not. Mayor Williams. Is Mr. Hall aware of any reason we cannot get this done? Mr. Hall. I can get done by this Spring. Atty. Rogers. I will draft a release covering these 2 documents. Motion passed by unanimous consent. Tim McGee, Susienna Lane. When Mr. Hall deposits the money, could it be put in a separate account so it does not get used for other work? Mayor. Williams. it is not necessary, it will be set aside for this. C. PUBLIC HEARINGS C-1 Ord. 1312-89 - Increas. Rev/Appns - Airport Runway, Taxiway C Overlay & Related Lighting.Improvements - $1,666,452 NOTION: Councilwoman O'Reilly moved, seconded by Councilman McComsey, to adopt the ordinance. There was no public comment. Motion passed unanimously by roll call vote. C-2 Ord. 1313-89 - Increas. Rev/Appns - Dock Facility Expansion of Parking & Staging Area - $135,000 MOTION: Councilman Measles moved, seconded by Councilman McComsey, to adopt the ordinance. There was no public comment. Councilwoman Swarner. I did not think it would cost this much. I thought it would be under $1,000. Mayor Williams. I brought this to Ccuncil's attention that it would be more. VOTE (Passed): Yes: Williams, MCCOmsey, Measles, Monfor, O'Reilly, No: Swarner. C-3 Ord. 1314-89 - Increas. Rev/Appns - Library Cancellation of Lease Agreement, Copy Machine _ $1,500 KENAI CITY COUNCIL APRIL 19, 1989 PAGE 10 MOTION: Councilwoman Swarner moved, seconded by Councilman Measles, to adopt the ordinance. There was no public comment. Motion passed unanimously by roll call vote. C-4 Res..89-29.- Support of Salamatof Tribal Council for BIA Assistance - Road Access to Elephant Lake MOTION: Councilman. McComsey moved, seconded by Councilwoman O'Reilly, to adopt the resolution. There was no public comment. Motion passed by unanimous consent. C-5 Res. 89-30 - Award. Contract - Boating Facility Parking/Staging Area - Foster Const. - $199,906.06 MOTION: Councilman McComsey moved, seconded by Councilman Measles, to adopt the resolution. There was no public comment. Motion passed by unanimous consent. C-6 Res..89-31 - Award - VIP Street Improvemebts - Harley"s. Trucking MOTION: Councilw man O'Reilly, moved, seconded by Councilman McComsey, to adopt the resolution. There was no public comment. Councilwoman Swarner. What was the company that did the Work in Woodland last year? Public Works Director Kornelis, Harley's Trucking. But this is paving, that was grave:.. Motion passed by unanimous consent. C-7 Res. 89-32 - Award - Linwood, Candlelight, Kaknu, Kiana, Baker, Lawton St. Improvements - Quality Asphalt MOTION: Councilman Measles :roved, seconded by Councilwoman Swarner, to adopt the resolution. There" was no public comment. Motion passed by unanimous consent. C-8 Res. 89-33 - Award - E. Aliak, Highbush - Harley's Trucking MOTION: Councilwoman O'Reilly moved, seconded by Councilman Measles, to adopt the resolution. KWAI CITY COtWCIL -APRIL 19, 1989 PAGE 11 There was no public comment, Motion passed by unanimous consent. C-9 Safety - Transfer of ty Bldg. - $7,623 Funds - Cooling -System.. • public Councilman Measles moved second McComey, to adopt the resolution by Councilman n. There was no Public comment. Motion passed by unanimous consent. C-10 Res. 89-35 - Ur in for Repair of g g Kenai Borough Rto Provide I• and Toilet Facil�;tiesad'WD Bleachers ding Concession Stand MOTION: Councilwoman Monfor moved Measles, to adopt the resolutlontion.ed by Councilman There was no public comment. Councilwoman Monfor, corre NCO. cted the name of KIMCO to Motion passed by imous consent. D. qpMMISSION%CONWTTgE _ PORTS - D-1 Council on Agin g Councilwoman Sw on by the senior Tashi r• There will be a nior citizens May 6. on show put Councilwoman SW arner. I will the Congregate gousing April 25e going to Juneau for y I called Rep. Navarre this date° reapproprlation of $87,000 Ieft in t regarding Congregate Housing',he study for distribute BoroughoOict an Objection Mayor Williams, ]action to plans to If It goes into had already been done. O'Relllygr�'clt will go to PPropriatlon bill. conveyed the Floor. Councilwoman 2S3 MaYor Williams. It feelings. They did not days. Councilw n t be done till ask when we are in Juneau, Swarner and I will address there the last few days. Y• Rogers. I will be down Program Director Porter. a call from Sen. It happened fast. the Borough for Fischer. He had I received understood $89 Ospnior programs in the Borough. $1. He to truck. left was to be the Borough. He to the Boroughlse manager Brighton j s g for afire was for all seniors. The Congregate HousingtO give to turn Over ptoptiti erae in se Peninsula. study $27, 000 to our of the Borough. is Only fair Councilwoman.Program. It is one time It, Would mean for seniotlwit The original ae f undin 9'- Porter.within the central area? was Homer KeC't'zens,v Soldotna, central Peninsula Mrs. centers l Seldovia are not included area. Will Profit by the move Now all Ob Write a letter April 20, money, Williams, in addition? Mrs• Porter. Was there I any fire truck It was my understanding KENAI CITY COUNCIL APRIL 19, 1989 PAGE 12 there would be an appropriation for a fire truck in :addition. City Manager Brighton talked to Sen. Fischer. D-2 Airport Commission Councilwoman O'Reilly. They had a work session and looked at the airport (terminal) leases. They revised the gift shop only. When the project was approved, equipment purchased was deleted. At the work session we reviewed the lease for the bar. It became apparent the reason there were no bids on the bar and restaurant is because there was no equipment. The Commission requested action from Council to go back and add money for equipment for those 2 facilities. Councilwoman Monfor. Any idea of cost? Councilwoman O'Reilly. $120,000 for both. Airport Manager Ernst. It may be higher since it is not part of the package. Councilwoman Monfor. What happened to the old equipment? Mr. Ernst. It was sold for $12,000. Mayor Williams. Regarding the restaurant. There is concern around town that we may be overdoing ourselves in restaurants. It should be smaller. Councilman Measles. If we are going to put in equipment, let's put in for full service and let the lessee decide. It will not be that much more. Mayor Williams. Direct Administration to prepare bid documents and see what it would cost us? Councilman Measles. Was it bid with equipment? Mr. Ernst. No, we would get a better price if we went out for just those things and get better work. It was part of Arch. Gintoli's original package. MOTION: Councilman Measles moved, seconded by Councilwoman O'Reilly, that Administration prepare the necessary resolution/ordinance to add equipment to the restaurant and lounge at.the airport. Motion passed by unanimous consent. D-3 Economic Development Commission None D-4 Harbor Commission None D-5 Library Commission Councilwoman Monfor. There will be a book sale 4-21 & 4-22. D-6 Recreation Commission Mayor Williams. Any costs on the Welcome to Kenai sign? Recreation Director McGillivray replied no. D-7 Planning & Zoning Commission Councilwoman O'Reilly complimented the secretary on the promptness of the minutes. Mayor Williams. The Comprehensive Plan is being reviewed. KENAI CITY COUNCIL APRIL 19, 1989 PAGE 13- D-8 Misc. Comm/Conan . Beautification Committee. Councilwoman Swarner. Guf Sherman of Sherman Signs attended the last meeting. They discussed the back of the Welcome to Kenai sign. Public works Director Kornelis. There will be a report on the sidewalks at the Memorial Pk. at the next meeting. E. MINUTES E-1 Regular Meeting, April 5, 1989 Approved by Consent Agenda. F. CORRESPONDENCE F-1 Sen. Stevens - AK Conference of Mayors Invitation to Pres. Bush F-2 Deputy Assist. to Pres. Bush - AK Conference of Mayors Invitation.to Pres. Bush F-3 unity Trail Committee - Kenai/Soldotna Bike Trail F-4 AK DOT&PF - Sterling Hwy Project Approved by Consent Agenda. s G. OLD BUSINESS None H. NEW BUSINESS H-1 Bills to be Paid, Bills to be Ratified MOTION: Councilman Measles moved, seconded by Councilman McComsey, to approve the bills as submitted. Motion passed by unanimous consent. H-3 Ord. 1315-89 - Increas. Rev/Appns - Library Books, Donations - $1,800 Approved by Consent Agenda H-4 Games of Chance & Skill - Pioneers of Alaska, #16, Kenai H-5 Games of Chance & Skill - Multiple Sclerosis Society, Anch Councilman Measles. The Multiple Sclerosis Society is from Anchorage, it has pull tabs. Mayor Williams. Small groups are concerned that large groups would inundate them. If they can circumvent the will of the Borough, it will still affect small groups. I would hope we can address this after the Legislative session. I met a gentleman who wanted to have para-mutual betting. It could do a tremendous amount for tourism. No action by Council. H-6 Approval Vacate Utility Easement - Spruce Grove S/D No action by Council. H-7 Discussion - Lantern Circle a. Re -Naming KENAI CITY COUNCIL _ APRIL 19,.1989 PAGE 14 b. Paving Councilwoman Monfor expressed appreciation to Public Works Director Kornelis for the information, she will give to the people involved so they will have something concrete. H-8 Discussion - Airport Terminal Lease Completed under Item D-2. H-9 Approval - Lease Application - Gusty S/D #4 (Lot 1, - Block 3) - James Doyle Admin. Asst. Howard. They wanted a 5 year lease for trailer vans. This is the corner of Coral and Coho, towards the vet Center. MOTION: Councilman Measles moved, seconded by Councilman Mccomsey, to approve the lease application. -:.-= Motion passed by unanimous consent. I. ADMMSTRATION REPORTS h�; 1 I-1 Mayor Mayor Williams spoke. _ a. Request for re -appointment of Bob Scott to Economic Development Commission. Council approved by unanimous consent. e b. We are $379,398 under engineer's estimate on road projects. We could consider paving small roads, putting into Old Town or work on the Senior Center. Councilwoman Monfor suggested doing the end of Toyon Way. Public Works Director Kornelis. We got a grant, it was put into funds for all roads, it was a small amount. We have no plans at this time. Councilwoman Monfor. I thought we were going to do this, just in front of the townhouses. Mr. Kornelis. We would have to start from scratch. Councilwoman Monfor. It would save the City money on maintenance. Mr. Kornelis. We have done maintenance, but we have not technically accepted the road. Councilwoman O'Reilly. Do we have an estimate? Mr. Kornelis. About $60,000. $16,000 from Roads & Trails money. Councilwoman Swarner. I would like to see Administration bring back information on engineering and information of the cost and would we like to do assessments. Councilwoman Monfor. Regarding Old Town work. Before we do any we should talk to the Visitors & Convention Bureau because they have some specific ideas regarding that. Mayor Williams. They wanted me to mention that they would like to keep improvements to the right side of Main St. and wait till we see how we do with the viewing site grant application. 0 Mayor Williams. Do we have a short list of projects, such as Camai Circle, the golf course road, Toyon Way, Susiena Lane? Are we covered so none of this money falls back in October? Finance Director Brown. Every one of these projects have some of that money in it. There is $500,000 left. We will spend road money 1st, if any of the jobs get snagged, we would have to reappropriate. Councilman McComsey suggested Public Works Director Kornelis find the trouble spots with lots of maintenance. Mr. Kornelis. We have 2 jobs engineered and ready to go: old Town and Trading Bay. Councilman McComsey. Any others that take maintenance? Mr. Xornelis replied, he will prepare a list. C. He !net last week with representatives from Korea and had lunch hosted by Tesoro. This was a promotion of energy products. He expressed his thanks to Tesoro. They hosted the Yukong Ltd. representative. It is the prime energy company in S. Korea, 45% of the energy needs of Korea. He went to Anchorage for a dinner and presented the representative a key to the City. d. I will be traveling for the next 2 weeks. I-2 City Manager None. I-3 Attorney Atty. Rogers spoke. a. Councilwoman Swarner. Is the lease signed by Dairy -Queen? Atty. Rogers. No, we are dealing with their attorney regarding changes. We have said we could go with 2 year notice if they vacate. Under the law we cannot leave it vacant and collect rent. b. The status of the Treat Custom Cabinets. We are still gathering information from insurance companies. His representation is that he will level when construction season starts. We are trying to find insurance we can attach to if he does not. C. Councilwoman Swarner. What about Kenai Korners? Atty. Rogers. Notice is still out. I will report at the next couple of meetings. d. Councilman McComsey. Anything on the golf course? Atty. Rogers. No, we brought a motion for attorney's fees because of duplicitous claims. e. We are planning a condemnation for the float plane basin, not dated yet. We own the land. If we lose, we will appeal. They may if we•lose. I-4 City Clerk Clerk Ruotsala reported Student Government Day is May 3. I-5 Finance Director KENAI CITY 'COUNCIL APRIL 19, 1989 PAGE 16 Finance Director Brown. The budget up -date was distributed. I-6 Public Works Director Kornelis None I-T Airport Manager None J. DISCUSSION J-1 Citizens I • i J-2 Council a. Councilwoman Swarner. Children from Kenai are going to Anchorage for Future Problem Solving. They are giving out Kenai pins. There is a concert Friday night. b. Councilwoman Monfor. Ask Building Inspector Hackney to find out about the trailer and boat across from the mortuary on Spur Hwy. c. Councilwoman Swarner asked if we could take a look at the Quandt property. Mayor Williams. We will leave that with the attorney. R. ADJOUR DUM Meeting adJourned at 10:25 PM. l�ii Janet Ruotsala City Clerk