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Home My WebLink About1989-11-01 Council Minutes• • AGEI�TDA K,ENA= C = TX COUNC = L — REGULAR M�E.T = NG Noveem►ber 1 , 1�95� A . CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. Agenda Approval 4. Consent Agenda *All items listed with an asterisk (*) are considered to be routine and non -controversial by the Council and will be approved by one motion. There will be no separate discussion of these items unlesp 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. a. SCHEDULED PTJBL=C COMMENT (10 Minutes) 1. Jim Bookey: Survey of Tract A, Gusty S/D No. 2 C . PUBL = C HEAR=NGS 1. Resolution 89-74: Transfer $60000 in the Sewer Treatment Plant Funds 2. Resolution 89-72: Supporting HJR 13, Providing a Secure Source of Public Education Funding 3. Resolution 89-73: Authorizing Robert A. Breeze, Esq. to Act as Agent for City of Kenai D . COMM = S S iON/ COMM S TTEE RE PORTS 1. Council on Aging 2. Airport Commission 3. Economic Development Commission 4. Harbor Commission 5. Library Commission 6. Parks & Recreation Commission 7. Planning & Zoning Commission 8. Misc. Commissions/Committees E . M I NUTS S 1. *Regular Meeting, October 4, 1989 2. *Regular Meeting, October 11, 1989 1 F . CSC) RRE S PC3NDENCE 1. *Letter from RDC: Thank you for renewal 2.. *Letter: Appointment of Bob Scott to Alaska Seafood Marketing Institute 3. *Letter from Exxon: Winter Office and Staff Changes 4. *Letter to Mr. & Mrs. Stasek from Mayor Williams C3. COLD BUSZHESS. H . NEW BUS=N'ESs 1. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 3. Change Order: Airport Terminal Building 4. Claim to Exxon, Kenai Dock 5. Assignment of Lease: Former Post Office Facility - Jack Thompson 6. Applications for Lease: Former Dairy Queen Facility 7. Discussion: New Chairs for Council 8. *Games of Chance & Skill: F.O.E. Auxilliary of Aerie 3523 (Eagles I. ADMINISTRATION REPORTS 1. Mayor 2. City Manager 3. Attorney 4. City Clerk 5. Finance Director 6. Public Works Director 7. Airport Manager J. DISCUSSION 1. Citizens 2. Council X . ADJOURNMENT i, • • KENAT C=TY COUNCTI:, — a0QUI-AR HZZ =NG Novc�rr�®r I , 19a9 K�ra.a3 City H�.l].. Mexyor Jc:>Ian a. W3.3-3-iams Pees3.dd.rig A. CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call Present: Mayor Williams, Measles, Monfor, O'Reilly, Smalley, Swarner, Walker Absent: None 3. Agenda Approval a. Remove Item B-1 b. Item B-1, Add Sally Bailie, Ron Malston, & Sue Carter for Kenai Bicentennial Visitors & Convention Bureau c. Item B-2, Add Barry Thomson for EQC d. Ann Spohnholtz will speak on Item C-2 e. Add Item H-7 f. Add Item I-6 MOTION: Councilman Smalley moved approval of the amended agenda, seconded By Councilman Walker VOTE: Motion passed with Unanimous Consent 4. Consent Agenda Councilwoman Swarner: There are some corrections in the minutes of October 11th but I don't have my paper with me so I will address that at a later time. MOTION: Councilman Smalley moved for approval of the amended Consent Agenda, seconded by Council VOTE: Motion passed by Unanimous Consent S . SCHEDULED PUBL = C COMMENT (YO minutes) 1. Kenai Bicentennial Visitors & Convention Center Sally Bailie: As we are rapidly approaching the halfway point in our fiscal year we felt it appropriate to update the., activities of the Bureau. ' KENAI CITY COUNCIL November 1, 1989 Page 2 You have received, in the past, a copy of our 1989-90 goals and objectives as well as one of our portfolios. We wish to report on our current projects in progress to date. 1) the bicentennial celebration, our number one priority is progressing under the leadership of Councilwoman Chris Monfor. The committees are meeting on a monthly basis with the next meeting set for 11/27/89. Among the activities being planned are a masked ball, sponsored by the Kenai Chamber of Commerce, scheduled for the first part of March, 1991, which will be our opening ceremonies as well. Other activities in the planning stage include a month long celebration honoring Kenai's oil industry; special events and a state-wide potlatch by the local Native organizations; a special event involving the fisheries industry; the presentation of the "Ballad of Kenai"; numerous programs and events at the KCHS auditorium and much more. A calendar of events and dates will be started after the first of the year. As you are aware, in coordination with the City of Kenai we have submitted a grant request to the Department of Economic Development in the amount of $800,000. We have obtained support from the Native community as well as the Kenai Peninsula Borough Economic Development District in our effort. Representatives from EDA have advised our staff that word on the preliminary application process should be forthcoming within the week. Pending EDA acceptance of our project we shall then proceed with the final application process. A copy of our 1989-90 budget has already been submitted to the Council so you are aware that our advertising budget is $50,000. War have contracted the services of Holden, Hackney, Breeze and the following ads will be placed in. this fiscal year: Anchorage 1990 Visitors Guide; Alaska Magazine (2 ads); Alaska Airlines Magazine; Travel Agent Magazine; Alaska Newspaper summer supplements; and Travel Weekly's Guide to Alaska which will go out to 235,000 travel agents. An additional $10,000 is allocated for radio placement to target Anchorage and Kenai stations for May, June, and July. A 3 to 4 minutes video is in the process of being produced. There will be a direct mail campaign to western travel agents, Alaska Magazine inquiries and Japanese travel agents. This will include a. complete portfolio on travel accommodations, etc. $25,000 is going towards the production of a 4x9, two -fold color brochure with a printing of 50,000 and in addition a Japanese version. A study -was. done and the Japanese tourist, by far, spends the most money of any tourist that comes to the state. And there are indications that there will be a large amount of Japanese tourist next season. The slogan is, "Kenai - Come to the Source", the source being that we have it all and we're not overstating a thing. The project is scheduled for completion, June 30, 1990 so that distribution can be done for the upcoming bicentennial. Another goal is to brie meetings and small convention 9 9 9 s to our area. .. We have begun that process by assisting and planning for several conventions ' KENAI CITY COUNCIL November 1, 1989 Page 3 to be held in Kenai in 1990. The American Legion, Credit Union League, Alaska Real Estate, and two bids are in the works for 350 and 400 to 500 attenders. We certainly will be utilizing the proposed convention center at the King Oscar. Several years ago when we were first looking at bringing conventions to the area, it was stated that a group of 300 people coming to an area for three days and spending $150 per day conservatively, will turn over 3 to 4 times means $250,000 to a community. We are also funding and sponsoring the mural project which is under the direction of local artist Olivia Shemanski and will begin in the spring of 1990. The following buildings have been approved for design anc art work: Peninsula Oilers; Peninsula Flooring; Moose Lodge; Telephone Utilities; Salamatof Seafoods. Additional building owners are being contacted. We have been given a commercial fishing boat which will be refurbished this winter and placed on display for the next tourist season. We are in the process of locating a warehouse to house the project. The State Division of Tourism advises that only 16% of visitors Alaska visit the Kenai Peninsula. Our staff has obtained information such as, from the Pratt Museum in Homer, that over 23,000 passed through their -- facility last summer. 15,000 were recorded at the information center in Soldotna. 2900 were recorded at the Kenai Information Center during the same time period. By advertising and promotional campaign, expending over $85,000 the construction of a Visitor and Cultural Center. National statistics indicate that the number 2 and 3 reason why a tourist visits an area is to view historical and cultural exhibits. We appreciate the support of the Council and with all of our work together I think we'll have a great birthday party. Mayor Williams: My state-wide job training group met in concert with two other groups which met in Fairbanks. There were only 100 of us, but the entire meeting had to be moved to the Hilton in Anchorage. That meeting could have been held in Kenai. We will be holding our quarterly meeting here in December and it is a smaller group. I attended the Legislative Budget and Audit Committee meeting and Commissioner Malone in discussions regarding meetings in Kenai, Commissioner Malone indicated that he is absolutely, tremendously in favor of it. He feels that Kenai can definitely be included in that loop. That loop at the present consists of Anchorage, Fairbanks, and Juneau and Kenai would be perfect. One of the things we looked at •when planning our meeting was perhaps bussing everyone down and flying them back. I think we're on our way to success with this. 2. Barry Thomson: Today the Kenai Chamber of Commerce hosted the President of the Resource Development Council, Pete Nelson who gave a talk on the status of the RDC in Alaska. She also brought down some information on the tenth annual conference and ask for your consideration. of this very important conference. We feel that Alaska is presently coming up to. a cross roads. We are pulled and buffeted in several. KENAI CITY COUNCIL November 1, 1989 Page 4 directions by several different oppoBing forces due .to the .problems we had with the oil spill, brakes put on development, declining revenues From. Prudhoe Bay and shortfalls in the future, The State is very rapidly moving towards some very difficult decision, We feel that this conference is one that is important since it is', addressing several different factors and the 'basic question is one of balance and what RDC is'doing in'the form of -responsible development. It is in Anchorage on November 29 & 30 and Jonathan Sewell from KPB will be giving a presentation. The registration has an "early: bird" limitation until 11/3/89. As the Chairman of the Kenai Economic Development Commission and Board Metaber of RDC, I am here to request Councii support me to travel and participate in this. conference. I would. encourage Council to attend this also. Mayor Williams pointed out that there is a Thursday afternoon presentation which will include Mayors from Seldovia, Juneau, and Valdez. Mayor Williams will not be able to attend due to a prior commitment for National League of Cities in Atlanta. MOTION: Councilwoman Monfor moved that money come from the travel budget in order that Mr. Thomson attend this conference, seconded by Councilwoman O'Reilly VOTE: Motion passed by Unanimous Consent C . VU03LX C HEAR= NGS 1. Resolution 89-74: Transfer $6,000 in the Sewer Treatment Plant Funds MOTION: Councilwoman Swarner moved for adoption of -Resolution 89-74, seconded by Councilwoman Monfor Mayor Williams called for comments from the public, there were none. VOTE: Motion passed by Unanimous Consent 2. Resolution 89-72: Supporting HJA 13, Providing a Secure Source,of Public Education Funding MOTION: Councilwoman O'Reilly moved for approval of Resolution 89-72, seconded by Councilman Smalley Mayor Williams. Because this particular matter.is of great concern to a. tremendous amount of people in this state,. the Chamber of Commerce who have taken a position on it, I have furnished a large amount of information regarding the Permanent Fund operation, the Governor's proposal, and I I KLNAI CITY COUNCIL November 1, 1989 Page 5 attempted to ask representatives from both sides of the. issue to attend and address the issue. I was unable to got anyone from the Permanent Fund Board to come down, however, Ms. Spohnholtz is available. a. Ann Spohnholtz: I would like to state at the beginning that I don't think the Governor's Office and the Permanent Fund are on opposite sides. It is the purpose of the Permanent Fund Corporation to invest the money and to make sure it's taken care of. This alters how some .of the fund earnings would be dealt with, but the Corporation doeshIt have a position on how to do that. Ms. Spohnholtz distributed information and referred to material posted on the board. Ms. Spohnholtz: The Education Fund is the Governor's proposal to take 40% of the earnings of the Permanent Fund to reinvest them back inside of the Permanent Fund creating a fund within the fund. It is being created by Constitutional Amendment. A Constitutional Amendment in the State has to go through three phases, it has to be passed by the House, it has been passed by the House last year with bipartisan support. 'It goes to the Senate this session and then on the ballot for the voters. The first proposal is school funding needs and has two purposes; to provide a stable source of funding for our public school system and overall budget stabilization. The reason behind this is the decline in production at Prudhoe Bay. FY90 is the first year for decline of production. By 2005 will 21% of the production today. The Prudhoe Bay field is bigger than any field that has been or will be found in the State. I am assured by our oil and gas regulators that there is nothing on the horizon that will make up this kind of change. The hard times we're seeing ,in Alaska the last couple of years don't compare to what the potential is Mtn the future unless we make some decisions in the Permanent Fund. "C.j eoirCe4!. M of all royalty oils go into the Permanent Fund into the principal and do not come out. All uses of earnings are in legislation, not in the • • Constitution. Approximately half of the earnings are used for dividends and is a five year rolling average so it's not exactly half and varies from year to year. Next year's will be the first year to go down. Inflation proofing is the second priority, (dividends are the first priority) and means that we want to put enough money in so that it will be able to have as much purchasing power next year as it does this year. The earnings reserve is everything left over. The only two uses of the earnings reserve account have been to fund the operations of the corporation and to fund the litigation of the oil companies when they are not paying their fair share. The legislation has put elmost,all of that money back into the fund. Chart #6 shows how it would change the Permanent Fund and,the use of the earnings if it were passed. 40% of the earnings would go back into the fund creating the Education Fund within. Dividends still exist exactly KENAI CITY COUNCIL November 1, 1989 Page 6 the same as it is now. Since the Education Fund earnings are paid off separately, the dividend does not go up but it does not go down. The tradeoff is that it will not go up as much as it would have. It will still go up to $1000 but not to $1600. The inflation proofing is provided by the Education Fund itself. Since it is within the Permanent Fund principal it becomes the inflation proofing. The last chart demonstrates how it stabilizes overall State government. The government is at a $2.3 billion level now. By the year 2005 it can produce $800 million per year to fund education. There is still a $606 million gap by the year 2000. We are still going to have to raise State. taxes or cut the budget by massive amounts. This will not stop the debate needs that go on as people decide what to do with their government. It does protect education from this level of cuts and it means Municipal Revenue Sharing doesn't have to fight with education in terms of the diminished dollars. Councilwoman Monfor: My problem with the resolution at this time, is that this is the positive side and we haven't been presented with the negative side of it and there is. In roughly the year 2000 if we're investing this 40% back into the permanent Fund, this means that there's less money coming in to each individual which over some number of years comes to roughly $600 per child plus their parents, which means that child is not getting free education which he has the right to. He is losing Permanent Fund money. Ms. Spohnholtz: The dividend. You're right. It will be approximately $188 per year that each person gives up in order to fund public education. Councilwoman Monfor: It will be more than that year after year. If you start with a child aged 6, by the time he's completed 12 years of education how much money would he have been entitled to from the dividend that he did not get. These are the kind of questions that are not being answered. I'm a school district employee and my school district is having some questions with this at this point. Ms. Spohnholtz: That is not a secret. The fact is that it will happen for 15 years that the dividends are smaller. At the end of that time it will revert to the system that it's at right now. It averages $188 a year. for 15 years. Councilwoman Monfor: To me that's a bias. That means any child that's in school for that 15 years, any family that has children in, school for that 15 years, they're paying for their child's education via. the Permanent Fund. Those that have children that graduate after the 15 years are not. No. Spohnholtz: Every person in the State will be paying for it. If we, don't do it, we will have less than $1 billion to spend and at that point education will be costing the State $800 million. If there is only $1 billion and you have to spend $800 million of it on education, where is the rest of State government come from. Councilwoman Monfor: Maybe it will have to disappear like it should. No. Spohnholtz: That debate is real and it will continue. But we're not hiding from that question. KENAI CITY COUNCIL November 1, 1989 Page 7 Councilwoman Monfor: I guess the concept of this is like being the "devils advocate", there has to be another side and we as a Council are not seeing the other side. Mayor Williams: The only way the people of Alaska are going to be able to be presented with this information is through a massive educationAl program that would be associated with this being on the ballot. The House. has passed the issue 31 to 8 and it goes on to the Senate. The issue before the House and Senate is only the issue as to whether or not to put it on the ballot. That's my primary objective, to see that this kind of information gets out and see that everybody understands it. I talked with Commissioner Malone last week and he has expressed reservations and the only way those questions are going to be answered is through the ballot issue. Councilwoman Swarner: What inflation factor is used. Answer, 4%. What about the growth rate of the school enrollment because as we all know the population of the school children will be increasing. Ms. Spohnholtz: That has been factored in conservatively and takes in the birth rate. The amount of dollars, $800 million is to include both of those growth factors. Councilwoman Swarner: This resolution does not address the inequities between urban versus rural. Ms. Spohnholtz: The Constitutional Amendment does not deal with that issue, but actually the hearing that I'm here for is Senator Fischer will deal with that tomorrow. The foundation formula is being modified and this is a good opportunity for your entire town to go and speak on that issue. A Constitutional Amendment is not a good place to deal with that issue. That is a political issue and I've heard it from Anchorage to Barrow. Right, it's, not fair, we're going to try to make it fair. Councilwoman O'Reilly: I have some questions also, but this resolution we're not voting on the merits of the program, we're voting to put it on the ballot and obviously if they're successful, there will be an education program going on within the State, as far as the electorate is concerned, and some more figures are forthcoming I'm sure from Juneau. Ms. Spohnholtz: Mary Halloran is producing a three page paper of facts this week. We're getting so much attention and I've been going to so many groups, its going a lot faster than we anticipated and we need to publish those facts. Mayor Williams: Also of importance is getting information out to the people of exactly what is happening with Prudhoe Bay and what will happen to the income to the State. I don't think people really understand that we are on the decline. City Manager Brighton: In the last graph you show the decline in revenues from oil, if this were passed, it would secure funding for education and that would be the only secure funding in the state. Ms. Spohnholtr,: That's exactly right. City Manager Brighton: That means municipalities, states, and everyone else is going to have to fight over the remainderof— the funding which is going to be 25% less than it is now. Ms. Spohnholtz: V . KEAAI CITY COUNCIL November 10 1989 Page 8 It will be 25% less than what it is now. want to do that is because if that $80 0 Ms. Spohnholtz: The question is not whether education would be willing to share but what are the voters of the State of Alaska willing to commit to. We believe the voters of the State will commit to public education, as their number 1 priority. Councilwoman Monfor: I think we're all in agreement that they'll do that. Mayor Williams called for comments from the public. b. Dave Brown, 118 Wooded Glen Court: No. Spohnholtz calls it the yolk of the egg, it seems to me to be the rotten egg. I think that in order to present a fair picture to the people of Alaska, the Governor's Office should be presenting both sides of the issue in this pamphlet. Rather than showing that your Permanent Fund continues to grow, it should show, as the Daily News did on Saturday, that by the year 2005 it's going to be costing you $700 per member of your family. I have four children, two that are going to be going to college in the next four years and we're currently putting this money in an education .,,,. fund already. I think to pass this resolution is unfair to the voters. I don't believe it's the responsibility of the City Council to come out before it's on the ballot, in favor of something like this. If you do pass any resolution at all, it would be wise, in the body of that resolution, to present both sides of the issue. Looking strictly at declining oil production in Prudhoe Bay is false and has been referred to as inaccurate. If you look at the overall world wide production of oil it's continuing to increase as the demands increase and as long as you provide private enterprise with the incentives to search for that oil they will continue to find the oil. To look at ANS prices between 1985 to 1988 on a price per barrel amount is inaccurate. To get an overall view at what is happening to income to the state they probably need to look at when they started receiving those funds in the 1970's and you would see that this large dip in 1986 would show as hardly a dip at all. Alaska is rich in other resources besides oil and I believe the oil companies are paying their fair share and as these other resources are drawn upon within the State, those other resources are asked to pay their fair share also. You can't continue to put the overall burden on just the oil production. Comparing 100% of the production to the fiscal abilities of the State are not fair. I would speak out against this resolution however, if you feel inclined to pass any resolution at all, I believe you should come back at your next meeting and present both sides of the issue. c. Barry Thomson: On the graph, by the year 2004, the projected earnings are going to exceed the projected needs for education. While this is certainly down the road, I would ask what is going to happen to those excess funds. KU1AI CITY COUNCIL November 1, 1989 Page 9 Ms. 8pohnholtz: Any fiscal projection that are 15 to 20 years out are really very shaky. We are factoring in the price of oil, the stock market, and a whole number of other things. The deposits to the fund are set up to go for 15 years. If it's fully funded those deposits will stop at that point. If it does not produce enough income, then the legislature has the option to continue the deposits for up to five more years in order to be able to produce that amount of money. There is also a piece in the Constitutional Amendment itself that says that if there should be in any given year more money, it will go directly back into the Education Fund. Barry Thomson: If the excess goes back as principal than it's going to generate more earnings. Ms. 3pohnholtz: Actually I think the opposite is likely to be true.. The potential is more likely that there will not be quite enough funds. If we have another economic boom and lots of people move here, then this number is very conservative and will serve as a path. Councilwoman Monfor: I cannot support this resolution. I could support a resolution that states somewhere in the body that both sides of the issue has been discussed. Mr. Brown had a valid point that we're only being besieged by one side of the issue. Not saying there are two sides, but we've only heard one side. To me it's a foregone conclusion that it will be on the ballot and people will vote for it because education is American and apple pie. I see it as you're paying for education so why shouldn't schools just charge tuition. There are people that are retired so why should they be funding education. Councilwoman O'Reilly: To answer Councilwoman Monfor's last statement, I think the tradition has always been people pay for education when you're in school, the older people are paying for your education and when your kids are in school you're paying for their education and when you're older you're paying for somebody else's. Councilwoman Monfor: I know, you're always paying. Councilwoman O'Reilly: I think the debate on the issue ... I don't think we should be talking about the merits of the issue, frankly. We're just suggesting that the City Council endorse putting it on the ballot for the people of the state to decide. We're not deciding the issue. I'm not fully convinced myself. Councilwoman Monfor: That's right and I don't disagree with you. I just feel that somewhere in the body of this resolution they need to know that: we feel the other side has been presented. Councilman Measles: The resolution from the City of Kenai is not needed to get anything placed on the ballot for the voters on a state election.. Anything we do with this resolution is going to give an indication that the City of Kenai supports Governor Cowper's position on establishing this fund. I personally would be opposed to any resolution supporting this in any way. If the Governor wants it on the ballot he'll get it on the ballot. IMNAI CITY COUNCIL November 1, 1989 Page 10 Councilman Walker: In talking with a number of people in town, I took a. small telephone survey .and. I dealt with .quite, a few people ,on this and the majority of the people that I have ,talked to were against it.. And I really don't want to discuss the merits of this particular proposal either. I don't feel that I'm . qualified to discuss. all of the merits,. certainly there are a lot of numbers that are st,ill,up in the air. Most of the people I've.talked to, from„what they know are against it, but even more than that, preponderance of the people I've. talked to,. I asked specifically if the City should be taking an action, even just to:put it on the ballot and they said no. They do not want their Permanent Fund messed with and they are. actually tired of hearing surveys and ballot propositions, etc., constantly chipping away at the Permanent Fund., They would just as soon leave it alone. So I too, would have to speak against this resolution in particular based on the people I've talked with. Mayor Williams asked if Council wanted to offer any amendments to the resolution, there were none. VOTE: Motion fails Councilman Walker - no Mayor Williams - yes Councilman Measles - no Councilwoman Monfor - no Councilwoman O'Reilly - yes Councilman Smalley -.yes Councilwoman Swarner - no 3. Resolution 89-73: Authorizing Robert A. Breeze, Esq. to Act as Agent for Cityof Kenai MOTION: Councilman Smalley moved to introduce Resolution 89-73, seconded by Councilman Walker Mayor Williams called for comments from the public, there were none. Mayor Williams: Council will recall that originally we had discussed the firm of Boyko, Breeze and Flansburg. In discussions with Mr. Breeze it. was brought to my attention that there are certain regulations regarding attorney' s firms acting as agents for philanthropic donations and that the firm Holden, Hackney and Breeze, of which Mr. Breeze is also a partner would be the act4al company that is dealittq with'.obtaining the '.grant itself. If a philanthropic grant were to be made, on behalf of the Bicentennial Cultural and Heritage.Center that the Council may very well be willing to accept, andIn order to allow them to act as our agent it would require a resolution of Council. Councilman Walker: I understood that this is at no cost to the City? Mayor Williams: No cost to the City in that it will not cost us any money. There will be a fee as., with any group that is going out on behalf of a fund raising effort is going to get their shore of the.effort. But the City of Kenai will not expend any of its funds in obtaining this KENAI CITY COUNCIL November 1, 1989 Page 11 grant. Councilman Walker: What will the cost be? Mayor Williams: Contingency on this sort of thing is generally 20%. Councilman Smalley: And that would come out of the grant itself. That would mean the grant would be. reduced by approximately $500,000. Councilwoman O'Reilly: I really appreciate the Mayor's efforts on behalf of the City and its bicentennial project. Having said that, I have a �° vo problem with this. -Sx the fee and I don't believe the City is paying age' something, if it ever came to be, but we have funded a very successful Visitors and Convention Bureau to do precisely this, to find grants to help in this whole celebration year. I would feel that that would be their job, if they are aware of the situation. I have a real reluctance to endorse Mr. Breeze to be the agent for the City of Kenai. Mayor Williams: Let me explain my feelings on the whole thing. If the Cultural and Heritage Center is to be produced, the City has gone on record saying they would put up to $1 million in the project. If the Center becomes a reality the City will own it. The building and facility will be ours, we will have to build it and maintain it. It would therefore, be logical that the City would be interested in obtaining some ;�. funds to help off -set the $1 million that we guaranteed for that program. I felt that this was a way to see that it was done. The Convention Bureau, with regard to the Center, itself can do nothing to produce that facility. As a matter of fact, at the last meeting associated with the grant application to the EDA, the City of Kenai was asked to sign on to that grant. The entire responsibility of the whole project is the City's, we're allowing and funding a group within the City to produce the bicentennial effort on our behalf. Councilwoman O'Reilly: I agree with everything you're saying and I would commend the Bureau for the tremendous job in Sally's report, things are really going well, I'm not being critical of this, but when the original budget proposal for the Bureau was being discussed, that was a major emphasis, that was one of the reasons we changed it's designation so that they could be eligible for grants from different philanthropic organizations. If we have that Bureau in place I don't understand why we need an outside agent. Councilman Measles: I share Councilwoman O'Reilly's feelings and I respect that there are people within the bicentennial organization that would have as much or perhaps better received by the proposed donator of this money than Mr. Breeze would. Then we wouldn't have to give them $500,000 to do it. Mayor Williams: I would also offer the comment that neither I nor those. of the bicentennial body or Council knows who to go talk to. t KE.NAI CITY COUNCIL November 1, 1989 Page 12 8 VOTE: Motion failed Councilman Walker - yes Mayor Williams - yes Councilman Measles - no Councilwoman Monfor - no Councilwoman O'Reilly " no Councilman Smalley - no Councilwoman Swarner - no COUNCIL RECESSED D. COMMISSION/COMMITTEE REPORTS 1. Council on Aging Councilwoman Swarner informed the Council that there had not been a meeting, however, they are still working on the Congregate Housing and expressed appreciation for the support and urge more support. 2. Airport Commission Councilwoman O'Reilly reported that the last meeting was October 12th, 'however, because of a lack of quorum it .was a work session. The next meeting is November 9th. Mayor Williams asked Councilwoman O'Reilly to transmit to the Commission that they look into obtaining some photos of all the platforms. Since we are placing a $200,000 model of a platform in the terminal, it might be a good idea to display photos of the other platforms in the same area surrounding the model. 3. Economic Development Commission - rrrrn rrrirw. Mayor Williams reported that the last meeting was also October 12th. Minutes are available, They are looking into obtaining Mr. Malone and other speakers who might be able to enlighten them on economic development issues. 4. Harbor Commission PW Director Kornelis reported that the next meeting is scheduled for October 23rd, however, there was not a quorum. 5. Library Commission No meeting, no report. 6. Parks & Recreation Commission No report. -ro KLNAI CITY COUNCIL November 1, 1989 Page 13 7,. Planning„ & Zoninci Commission a. Councilman Smalley reported that the resolution concerning the proposed recreation zone was postponed due to some difficulties with the sign code portion of it. They postponed hearing on the resolution to the next meeting, November 8th. b. The next item to be dealt with later will be the lease application for the Dairy Queen. The Commission felt the highest and best use for that area was an eating establishment, that it was in compliance with the current airport plan and that both applications be recommended both leases be sent on to Council because they were basically the same use. 8. Misc. Commissions/Committees City Manager Brighton called attention to the minutes from the Beautification Committee. They have requested that the Planning Specialist get with Mr. Kluge to get a cost projection for redoing Municipal Park and design a plan for Lawton Strip. I think you should be aware of that, and secondly, they voted to recommend the closure of Municipal Park to overnight camping in the future. Neither of these items have been in front of the Parks & Recreation Commission. It would appear, .r under those circumstances that they are over -reaching on what it is they ought to be doing or they ought to be doing it in conjunction with Parks & Recreation Commission who have that responsibility. This Council put Lawton Strip into a conservation district on the basis that the neighborhood in that area did not want any of that vegetation removed out there and we've received a couple complaints from them. Although I think. it looks a lot better than it did, there have been complaints that they don't want that barrier removed. I call this to your attention on the basis that it is going through the process and I think before it finally gets here, and it's possible it could get here by the next Council meeting just from the recommendation from this group. Councilman Smalley: Would it not be in the best interest to both organizations to have Administration pull those groups in and have a little chat as far as responsibilities over -lapping goes? City Manager Brighton: I think the first step is that they ought to talk to each other first. Councilwoman Swarner: I'm the Council representative for the Beautification Committee and I left early. Did you come to that meeting Mayor? Answer no. When they made the motion about contacting. the architect, I informed them about our concern about widening the highway and the Municipal Park wasn't a clear title and it wasn't .... they still wanted to go along with asking for a design. Mayor Williams: They were aware that they were chopping down state owned trees out there. Councilwoman Swarner: I think maybe they probably need some direction, they're not taking direction from me. City Manager Brighton: Well I called it to Council's attention before it gets too far out there and it's too late to pull it back. You folks have the responsibility for making those decisions. If they're going to make decisions to spend money you need to okay those things. Councilwoman Monfor: The Council's known all along what they were doing on Lawton because we've been appriaed of the situation and really what they're doing is just clear cutting ita ' it kooks more like.a park type area which I think has enhanced the City but I do understand what you're. saying. I think it's a communication problem and itIs. a problem that needs to be addressed by the Mayor.' I think they just need to be 'reiuinded that they are an arm of the Parks & Recreation Commission and they should maybe have a work session. Mayor Williams: I'm glad you brought that up.' It's beep my understanding that the Council always intended that they be, an arm of the Parks & Recreation Department and they should be taking their guidance from them. I will agree that in some instances it appears as though the Committee has been branching out on their own. Perhaps we need to direct a letter to them about that. Councilwoman Monfor and Councilman Measles will attend the next Beautification Comittee meeting. Mayor Williams asked for any further direction. Councilman Smalley directed the Mayor to continue with his plan to draft a letter to the Committee. E . M S NUTE 5 1. Regular Meeting, October 4, 1989 2. Regular Meeting, October 11, 1989 Councilwoman Swarner will present the requested amendments to the Clerk upon locating her notes. F . CORi2E S PONDENCE 1. *Letter from RDC: Thank vo,u for renewal Consent Agenda Item 2. *Letter: Appointment of Bob Scott to Alaska Seafood Marketing Institute Consent Agenda Item 3. *Letter from Exxon: Winter Office and StafF'Chan es This letter came with some photographs. Mayor Milliams passed.them out the Council. Exxon Corporation has extended an invitation to Council to view their equipment and visit their office. • • : . KZNAI CITY COUNCIL November 1, 1989 Page 15 4. *Letter to Mr.'& Mrs. Stasek from MayorIWilliams �_Yri � Y_.ILYY.rIY.Yr•.1 r....Y�.1.Yar111 IA LAY/r LAYY1 I�I�LrILI Consent Agenda Item c; . or -on au S Z NE S S None H NEW SUS=NE: S8 1. Bills to be Paid, Bills to be Ratified MOTION: Councilwoman Monfor moved to pay the bills over $1,000, seconded by Councilman Smalley VOTE: Motion passed by Unanimous Consent 2. Requisitions Exceeding $1,�,000. MOTION: Councilwoman Monfor moved for approval of payments of $1,000, seconded by Councilman Walker VOTE: Motion passed by Unanimous Consent 3. Chance Order: Airport Terminal -Building �A.rY..Y.�rYYY11rIr.Y.lr�.r_I.Y�.�� MOTION: Councilman Measles moved .approval of change order #10 to Kluge & Associates for Airport Terminal Remodel Project in the amount of $441, seconded by Councilman Walker VOTE: Motion passed unanimously 4. Claim to Exxon, Kenai Dock Mayor Williams pointed out the memo from the Finance Director addressing the request to accept. Finance Director Brown: We asked for $41,000 and they reduced. it to. $32,000 because we had significantly lower personnel costs, there was no. activity out -there so to speak of during that normally busy season. It. seems legitimate to me, it is a legitimate offer so in the last sentence they.ask the City to accept the offer and sign a waiver. Legal Department has not seen the waiver yet. MOTION: Councilwoman 01Reilly moved that, the Council authorize City Administration to accept the Exxon offer in the amount .of $32,263, seconded, by. o � � r� KEN-41 CITY COUNCIL November 1, 1989 Wage 16 VOTE: Councilwoman Swarner Motion passed with Unanimous Consent s - •.....6.L.&J. - Jacx mu--- Mayor Williams explained that the original lessee Jack sell it to Mr. Mr. Dave Feekin Thompson want to answer questionsJose Ramos and we haveis available to - City Attorney Rogers: I would recommend approval MOTION: Councilwoman Monfor moved to recommend the assignment by Councilman Smalley of lease, seconded City Attorney Rogers: You have basically a short synopsis occurred. I have the backupif Y opsis of what has to approve a sublease, however, he's combining e , We don t technically have and he doesn't end up with just a security assignment. with the assignment twist to it but we have just as much security as before It's a little VOTE: ' Motion passed with Unanimous Consent Mayor Williams; - ..� As Council may be aware from reading the minutes of the Planning & Zoning Commission we do have two applicants Queen proposal. (NOTE: The following portion is verb 4i8_ r that Dairy MOTION: a transcript) Councilwoman Monfor moved that Council accept the a for the Dairy Queen from Pete & Val Ischi, seconded for lease Swarner by Councilwoman Councilman Walker: I am disturbed that we don't even ro on both sides of the fence.eems P Pose discussion Commission discussed this at length and didn't comeme tup Pining & Zoning that Council has yet to discuss this in depth. I think with any decision, should at least view both of the issues before makingdefinite decision. Mayor Williams: In light of the dealing with twin Previous experience of this Council in Walker, if for no others revs � than tbelieve understand why we are and why we at least allow the appl3cantislto man other. Would Council care to have discussion allowialonng g those lines. Councilwoman Monfor: I proposed letting the lease to the I they came in, even though their proposal wasn't on echi's because it --was a proposal that was accepted b a lease application,. lease application opening the Dairy Queen as the Dairy Queen is in the t . 4 KENAI CITY COUNCIL November 1, 1989 Page 17 best interest of the City. Councilwoman O'Reilly: I go along with what Councilman Walker said,..I really would like to listen to both and I don't know the logistics of that. I have questions to ask the attorney that would apply to both offers, how can we do that if we are just considering one. City Attorney Rogers: I think it may be well, you have both parties in the audience and they want to give a presentation relative to the respective merits of the proposals. Insofar as any of the technical hurdles that some people perceive, I think I'm prefacing my remarks that those hurdles are not insurmountable and some in fact aren't hurdles. Some people misinterpreted code provisions to create hurdles that don't really exist, i.e. first in time first in right sort of thing which is applicable to the Planning Commission. In this instance it appears that the Commission punted as to both of them and it's in the Council 's lap. The criteria really is what is in the best interest of the City. To apply any form over sub�ctance type of argument relevant to the some specific form would be to derail the real issue and I do not think that is really a hurdle that need concern the Council at this time. I would be more than willing to address that, if in fact !'j► after the presentations it is an issue in anybody's mind. 4 :.4.. Councilman Smalley: With regard the Ischi lease. Are we going to decide to let the applicants come up and speak to us. Council agreed.. Councilman Measles: There is some concern about the motion that's on the floor, unless we're going to adjourn or suspend the rules, we have to have a motion on the floor before we can discuss or ask anyone to come up here and talk so the procedure we're in right now is proper with the motion on the floor we can talk to or listen to anyone in the audience we want to. hear. Mayor Williams asked if Council wished to direct questions to either lessee. Answer no. Since the motion is in favor of the Ischi lease I would ask either Pete or Val Ischi if they would care to address the Council, Pete Ischi: I live on 604 Laurel Drive. I'm not sure, if there are some questions someone wants to ask me or I'm not sure if I'm supposed to sell myself or what. Mayor Williams asked for an over view of his proposal and anything new that may have come up since you made your proposal and what your over all plans are for the facility. Pete Ischi: The overall plan is to (tape change - portion of sentence lost) work with to begin with because I didn't know when ... if it would get passed or International else .. , i have a Dairy Queen that, I lot of paperwork to take care of with don't know what kind of time frame that would take to get that completed. I have spoken to them, I have a general idea that it would take 3 or 4 weeks to get something completed there. e j. KENAI CITY COUNCIL November 1, 1989 Page 18 As for the condition of the interior, the equipment goes in there, assesses that and orders the ' by the time somebody remodeling, hires a mane er Proper equipment kind of a g• trains a just manager, I does a guideline. Our idea is to open it u had to have some Possible is what we're looking at. But the latest sooner than that if opened my store in Soldotna in February 24th and it would be April. I that's just a guideline. worked out great. But One of the intents for us if we do to purchase the building eventuallget y down awarded to us is we ar lease it, we want to buy it, And I ad• We don't�want tojting ustso and see how things are ' You know, I have to 0 for a to put down and also open the going I' I don't have that kind of moneyYear ° $50,000 to open the building. g 'cause we plan on putting in aboudown payment to purchase the building buwere t Iuwouldn'tS0.000 plus the required operate for a while. have any money to Councilman Smalley: A while back when we discussed the concerns that came out of finance was the length of time the one of the operate with regard to termination and responsibility and the lease would told that the best the CityY I think we were application, 60 days. Is that -still ao was two years' I notice in his Your proposal. Pete Ischi: yes, and T kind of base that on observing proposal, that it kind of led me to believe that that ou Lou Schilling's Some people think that with a written notice like t would be acceptable. going to be in there for a few days and leave, I, that, some people are $50,000 in there for a few days, you can't m not willing to put get a return that quickly. Councilman Smalley: And to the Finance Director. Fin The two year minimum that Council was discussing in t Finance Director nd si months ago, that never came from finance. I never had a ast go around six Years or six months or anything. problem with two City Attorney Rogers: It was Part and entirely new proposal. parcel of our RFP. This is an Mayor Williams suggested addressing the letter from Kim Howard where he outlines several inconsistenciesr' Graves letter to proposal. I feel that Mr. Ischi should review all of those Mr. � he understands. Ischi s there's no problem with that. I do, I've spoken with Dale items so that and Mayor Williams: The only inclusion we might address that of the picnic tables and Council can do t at this time may be technicality. The tables are scattered across th®hat as a matter of the convenience of the suggest with green right now for YOU can go and public. I might h Council s a get them and put them in storage. approval Pete Ischi: I've been in business'2 1/2 y I can succeed with the economy the wayitisrs I ® tea T have proven that from the Soldotna store and I'm basing the Kenai s -I've all m fi res think the location in Kenai Is better than the Sol re on that also. dotna store so 1 think KENAI CITY COUNCIL November 1, 1989 Page 19 I can generate the same type of gross as in the Soldotna area. Another concern that might be there, I don't know what the other person has in mind in starting it, but since I'm starting a couple months later, I feel the grosses I generate in taxes will off -set that in the first year. We're anticipating a $400,000 to $500,000 gross. I think that is. realistic because I know what we did in Soldotna. One of the requirements previously was having been in that business and grossed more than $300,000 a year in that type of business and I can prove all those.. City Manager Brighton: The normal procedure is, if the Council authorizes you to have the lease, we will need to order an appraisal on that property. Pete Ischi: I understand that. City Manager Brighton: We think that we would have the result of that appraisal within 30 days. At that point, normal procedure is you have 14 days to sign the lease and lease rates commence at that time. Unless this Council decides otherwise. Peter Ischi: When Lou Schilling's was approved, his commences as of April or May because it was approved by the Council. And I agree. City Manager Brighton: That's right, it was an exception and this Council has made no provisions for an exception to the normal procedure. The reason I call your attention to that,. I noticed you were talking about the possibility of it not being open until April and you're going to be paying on that lease until April. Peter Ischi: And that was. written in the original proposal. That's the outside line, we're shooting for sometime middle February or end of March. I had a manager lined up before due to my complications to the matter, I lost that manager and trying to find a qualified manager over night is not that easy. City Attorney Rogers: Is it your intent then, if you took possession prior to that date you would not pay rent? Peter Ischi: No. As soon as I took possession I would pay rent. City Attorney Rogers: I would ask Council that regardless of which entity they award to, that the approval. be made subject to my drafting a lease that is amenable to both parties. That would be a specific exception to the approval regardless of which party. Councilman Walker asked if he were intending to be open year round?. Answer yes. Last year when we shut down it was due to some bank discussion, I couldn't get a loan until I closed the doors and it was too hard to close the doors over night and open them the next day. City Attorney Rogers: The City normally requires leased premises to remain open. Pete Ischi: I read that in the lease agreement. Mayor Williams: You eluded to discussions you had with Dairy Queen International, in opening this store, it requires and additional franchise agreement? Answer yes. I have to submit the proper paperwork but it's 99% sure I have it since I have the one in Soldotna. The average fee for someone off the street would be about $30,0000 since I have an existing store it will be $15,000. KkNAI , CITY COUNCIL November 10' 1989 Page ,20 Mayor Williams: You don't foresee any problem. Mr. Ischi: No problem at all. I was down there for two weeks going to a training school and 1 met with the proper people and they want to see that 'store open more'' than you probably do because,they receive royalties. The franchise controls me pretty heavily. They kind of do your work.for you because I can't slip money under the table or hide tax money or what ever because they see how much product I purchase from my distributors and match it with what I send them in royalties and they're after every.dollar. they can get so they control me continuously and they stipulate what I can, and cannot do. I can't just go in there and do what I like. Arid if I don't run a clean operation they would shut me down. Which is also one. of the requirements of the City. Councilman Walker: You mentioned something abouto$500000 for renovations and modifications, what is it you intend to do. Mr. Ischi: Nothing major on structure of the building, the equipment itself is kind of speedy, one soft serve machine costs between $60000 and $8,000, cash registers, etc., can run you $10,000 easily. I'm not looking to change anything on the permanent structure, just wallpaper and things. Mayor Williams: Also with us this evening is Mr. & Mrs. Hutchings who .:� were the other proposers, would you care to address the Council. Dawn Hutchings: 310 Dolly Varden Street in Kenai. The Planning & Zoning meeting, they had questions on who was first in.line. We've had a problem with who was first in line. Originally, we wanted to make a proposal to the City of Kenai for what we wanted to do and I was told that I could not submit any type of proposal to the City of Kenai that the City has guidelines that are already for that property and you would have to go by the guidelines. So after consideration of that, after reading over the lease that we would go according to the City's guidelines with what we had planned. At.the Planning & Zoning meeting it was brought up that Ischi's proposal would be taken over our application. The City's application would .... Mayor Williams: Would you rephrase that last statement. Dawn Hutchings: At the Planning & Zoning meeting they were deciding, I was told, the IschiIa proposal would be taken as first in line over my application. Okay, a proposal. The City, in their lease package stresses application, applicants. And as far as we are concerned. we are the first applicants -in line. We're the first. one's. who brought. in a deposit, we laid our money down and we agreed to all the.. City...' a guidelines. If it was said already that the Ischi I s proposal would be taken and I could not make a proposal I shouldn't even have had to give my money down. I gave .my money down in good,faith and I was told when I gave my money down that T would be the first applicant in line and then you would take into consideration what was going to be done between both applicants:if there was one or more applicants. w ` KQNAI CITY COUNCIL November 1, 1989 Page 21 Now as to what we're doing. We want to put in a fast . There ttfood, taco. restaurant. We feel that there's a market out there for plenty of hamburger places around here in Kenai and goldotna,and we feel that there is no fast food taco places, we can compete with the other, major franchises in the local area. And we have the equipment, we have the knowledge, we have people lined up already with 30 years experience in the fast food in Taco Bell that will be running it for us. And we have the equipment. We have the equipment to set up two places. Mayor Williams: Would you care to elaborate on your backing and your experience in business. Dawn Hutchings: Backing, our family is well known around the Peninsula. as far as business. My husband and I run a very successful business in soldotna right now. Better known as Hutchings Body Shop which has been changed over now to Quality Body and Paint. My husband and I have changed that over. And as far as people running it, we do have two people right now that would be managing it for us. Between the two they do have 30 years experience in restaurant management. One has 8 years experience managing a Taco Bell outside of Alaska. Mayor Williams asked if there were any questions from Council. Councilman Walker: You say you have the equipment in your possession right now. Dawn Hutchings: We believe we were the first applicants and they would take it on the first come first serve -basis so we have gotten the equipment, we have put a deposit on the equipment. This isn't something that we just thought overnight, hey.we're going to do this. My husband has been thinking about this for years. We've looked.at it and do looked into it carefully and decided that now we are in a position to it and do it right. So we did go and put a deposit on the equipment, and looking into the future to where we could open up another one in Soldotna within the next few months. And also, as far as compared to the Ischi's, we were on a schedule as far The thing - as opening, it was in 4 to 6 weeks. And we are ready. only have to do is get other employees and we plan on at least 20 that we will to 40. Councilwoman O'Reilly: You mentioned that you were a resident of the City of Kenai, but on your application, is this address .... Answer, it is in Kenai. Councilwoman Monfor: Is Speedy's Taco, is it a franchise or ... be it is quick to drive in. Answer, that's the goal. Mayor Williams: Two things should be brought to your attention, one is the position of either party makes no difference at this point in time. The council's responsibility at this time is to determine the proper lessee based on the presentation being made by both parties and I feel that we've been able to offer a full hearing of both h PrOp sa*ls-ng believe, at this point in time, it can be lookeds intodthis blindly. Any further questions or discussion. KENAI CITY COUNCIL November 1, 1989 Page 22 The issue comes back to Council. The.issue before us -at this time is to... approve a lease to the Ischi's which would of course require drafting. City Attorney Rogers: It would be direction to the City. Councilman Measles: Would Administration have any comments about either applicant? There were none. VOTE: Mayor Williams: The question before. us if voted.in the positive will allow them to proceed with the lease application for the City if voted in the negative then would require a second motion to address the other subject. Motion passes Councilman Walker - no Mayor Williams - yes Councilman Measles - yes Councilwoman Monfor - yes Councilwoman O'Reilly - yes Councilman Smalley - yes Councilwoman Swarner - yes i yr�j;t Mayor Williams: To the Hutchings, we very much appreciate your proposal. to the City and coming before us this evening. City Manager Brighton: I hope I'm not speaking after the fact but does the Council want to put a. period of time, at which this lease should be. signed as opposed to leaving it up to the people that are going -to lease it. Councilwoman Monfor: I don't think you're speaking out of time but it was, we all were aware of the time period in the original request and I think as the IschiIs stated tonight they're going to try to get in earlier and because that building has sat empty for.so long, and we've gone through so many problems with it that it would. behoove us to work with the Ischi's and be as expedient as possible but at the.same.time realize that he will have to deal with Dairy Queen International to get his equipment and I can't imagine anything.happening before 60 to 90 days. We have 30 days right in there for'the , City Manager Brighton: My, only problem in asking .the question is, as long as it's open ended there is no need for the lessee to open until July if he wants to. Councilwoman Monfor: No.# he said April. Mr, Ischi: I have no problem with whatever :time frame of going:in and actually signing the lease. I don't expect to wait to`April and eign.'it. Whenever its drawn up its no problem to put my signature.on it'. City Attorney Rogers: Nor do I anticipate it would take me until April to draft it. Mayor Williams. What Council needs to address is some method by which the, lease can be signed for a not to go beyond date. MAX CITY COUNCIL November 1, 1989 Page 2.3 Councilman Measles: All we really need to do is direct the Attorney to . draft the agreement between the City and Mr. Ischi to the extent that the lease would be effective on the date that Mr. Ischi would. like to take possession of the properties but not later than April 1. City Attorney Rogers: The document will be coming back to Council before execution for approval. Councilman Smalley: Obviously I. look like a person that enjoys hamburgers, I also enjoy tacos and I would encourage the other applicants to please consider opening, since they have their equipment, their business in Kenai anyway. We welcome you. Mr. Hutchings: I've got a legal problem with this whole thing. Mayor Williams: I would suggest of course, that if you do you direct your concerns directly to the City Attorney. COUNCIL RECESSED 7. Discussion: New Chairs for Council Council reviewed the brochures presented. There are 12 chairs to be considered. Councilman Walker: I have been looking at these brochures and I note the expense of the chairs, and I appreciate the efforts of the City to bring up the brochures, however, I still question the need to purchase new chairs based on the fact that we really only sit in these chairs for a very few hours each month and I really have a problem spending a couple thousand dollars on chairs that I question the necessity. Councilman Smalley: I concur. I figured it out and its about 10 hours a month that we're in these chairs. They aren't so bad. I have a problem with this kind of expenditure with the little use. Councilwoman Monfor: It would be different if it were just the Council that sat in these chairs, but we have to remember that its not just the Council that uses the chairs. I'm going to be perfectly up front, this is my seventh year on Council and I cannot tell you the numerous times we've requested having these chairs fixed, and secondly, I. as a Council person do not go out and spend the Council money on travel .or entertainment. I've been to Municipal League twice in seven years and one chair is less than a plane ticket to Juneau for four days,.which I.think ' is real frivolity. If we don't do it now, it's going to have to be done some time. Eventually you cannot repair them any longer. I'm certainly not saying we take the top of the line $400 chair, I just thought it was time the Council looked at it because .I can ,think of, in the last two years when the maintenance crew had to come in and fix these chairs,at least a half dozen times. I'm a short person and I could sit on a telephone book and be a lot more comfortable but there's more to the fact than the. Council sits in here 10 hours a week. KdNAI CITY COUNCIL November 1, 1989 Page 24 Mayor Williams: How does Administration plan to dispose of these chairs. City Manager Brighton: I suspect they would be disposed of as we would any other property, they would be auctioned off, we have no use for these chairs. Mayor Williams: They couldn't be used over at the library or anywhere? Councilwoman O'Reilly: I agree with Councilwoman Monfor in lots of things, but I don't have any complaints about these chairs. Maybe I just lucked out and I'll switch chairs with you. Councilman Measles: I'm not too sure this is something we need to do right now. I just realized that of the 10 hours per month I've eat in this chair for 1,200 hours. Councilwoman Monfor: We look at new things for other departments all the time with no consideration to ourselves. We are volunteers to serve Kenai and we need to do something for ourselves. Councilman Smalley: I don't disagree with Councilwoman Monfor, I think new chairs would be a fine asset to the City. The key is how much money is expended repairing these. PW Director Kornelis: So far it's just been labor. The materials have been negative. They've been welding and quite often there have been requests to come down and work on the chairs. For a dollar amount I can't help you. 8. *Games of Chance & Skill: F.O.E. Auxiliary of Aerie 3523 (Eagles Consent Agenda Item I. ADMINISTRATION REPORTS 1. Mayor a. There are two applications for the Planning & Zoning Commission - Art Graveley and Art McComsey. Both have indicated a desire to serve. Councilwoman O'Reilly: I think they would both be very good. Council agreed to the two persons. b. The Library Commission is still in need of a person. Councilman Smalley: I think it As for a student. Mayor Williams asked if there had been any applicants or anyone interested. Councilwoman Monfor indicated that the Commission may need more than one person. Mayor Williams presented an application from Saylor Rehm, however, he indicated other Commissions and asked that the Library Commission furnish names of persons interested. c. Mayor Williams asked Council to discuss ad hoc representatives to - various commissions and committees as this is the time of year we usually rotate so everyone gets a chance at a different group: Councilwoman Monfor will stay with Library. Councilwoman Swarner is on Beautification and Council on Aging and XkNAI CITY COUNCIL November 1, 1989 Page 25 indicated a desire to remain with the Council on Aging. Mayor Williams will wait on an appointment to Beautification until a subcommittee reports back. Councilman Measles will take Airport Commission Councilwoman O'Reilly will take Parks & Recreation Councilman Walker will take Harbor Commission Councilman Smalley will remain with Planning & Zoning Mayor Williams will remain with Economic Development Mayor Williams will attend the next meeting of the Kenai Caucus and leave it open for the Council to decide. d. Councilman Smalley reported that Randy Chilowski will come to the Library Commission meetings. e. Councilman Smalley reported that Katie Murphy will be the student representative for the Parks & Recreation Comniission. Mayor Williams asked if Council objected to Mr. Saylor Rehm being approached for the Parks & Recreation Commission. Councilwoman O'Reilly: There's no women on Parks & Recreation. Council went over the list of applications and agreed to wait until the next meeting before deciding on another member. f. Council representatives for AML Legislative Committees was next. �:•.: Councilwoman Swarner answered that she had completed only one year and will continue one additional year. Mayor Williams will be running for Second Vice Chair. District 3, Cook Inlet seat is open. Councilwoman Swarner stated that she nominated Mayor Williams at the last meeting. This will be discussed further in Juneau and Councilman Walker will have the option. • • g. Mayor Williams directed attention to Item 1-1, a letter written to Mr. Turpin which was directed by Council. In discussions regarding the Alaska Railroad building additional track, they were of an economic nature and the cost would be anywhere from $1 million to $8 million per mile to build. One plan being considered is sectionalized railroad meaning that if a spur were needed from a mine to a tidewater situation they might consider a spur not even connected to the main railroad. The other is a report that is being produced by our Borough and the Anchorage Assembly regarding ferry system transportation on the Cook Inlet. They are in the process of determining if there is sufficient cargo to allow for some type of rail barge. I have some concerns that I voiced at a Mat -Su meeting. The study draws heavily on our transportation system as far as people coming to Kenai. I indicated that the City had put $S million in infrastructure which is, the airport and dock. I indicated that we weren't sure we wanted a hovercraft or ferry system eat into that. The second phase will be paid, for by the Borough and Assembly. The plans to build a spur to Kenai are not good at this point in, time. h. Since our. -Intergovernmental Agency meeting regarding the new boat launch facility.. We have met with Mr. Cone regarding the property and a contingent agreement has been made'. That is, contingent upon a Corps of Engineers permit. How far have we gone with the permitting process? K&AI CITY COUNCIL November 1, 1989 Page 26 PW Director Kornelis: We are drawing up plans to submit to the Corps. Mayor Williams: The drawings are being prepared for the Corps now. PW Director Kornelis: We have gotten the plat back from Malone's. We need to determine acreage for our use. Mayor Williams: I strongly believe that we should enter into some kind of agreement with Chester Cone regarding the purchase of the land. There's no telling what cap happen between now and spring. The purchase agreement would be contingent .upon receiving the Corps permit. With Council concurrence I would direct Administration to proceed with the letter. Councilman Walker: I am certainly in support of that. Finance Director Brown: It would seem like it would be appropriate to draft an Ordinance appropriating the money prior to signing the agreement. Mayor Williams: I want the agreement drafted now so Council can see what it is going to cost for land and everything. City Manager Brighton requested Council consider the number for the property. Mayor Williams: We had a complete budget before us. The whole project is $419,000 of which we expect to get $200,000 from a federal grant and the City's cost. would be around $219,000. Finance Director Brown: Why don't T just draft an ordinance for an appropriation just for the land portion. Mayor Williams: My objective is to tie that land up. City Manager Brighton: That's only part of the scenario. This part is for the appropriation and then there's the contract. There are two different things here. Councilwoman Monfor: When the government agencies came, what was their consensus on the project. PW Director Kornelis: They were encouraging. There was some discussion as to where the launch should go and where the parking should be. They're all pretty much in agreement and want us to determine how we're going to be using the wetlands and how best to use the wetlands and environment. Councilwoman Monfor: And the Corps was there? PW Director Kornelis: We met with the Corps later, they couldn't make it on the same day. Mayor Williams: We face 16 separate agencies and 4 separate federal and state permits so we need to proceed as rapidly as we can for.what we can do. Fish & Wildlife, the Dingall-Johnson funds people have indicated that if we can get all this paperwork ready we are in the next budget. Councilman Smalley: Before we become financially encumbered with Mr. 'Cone we are going to make sure we have a relatively good chance.for approval because 10 acres of wetlands is not a good expenditure. Mayor Williams: That is my plan. MOTION: Councilman Smalley moved to have Mr. Cone commit option to sign an agreement on the land with the contingency that permits will be issued prior to money exchanging hands, seconded by Councilwoman Swarner. VOTE: Motion passed by Unanimous Consent X2NAI CITY COUNCII, November 1, 1989 Page 27 Councilwoman Swarner: How long will it take to get permits once they are applied for? Are we looking at'a life time? PW Director Kornelist I doubt that it would be before spring. Maybe by the following spring. i. The Pioneers of Alaska convention that is coming here nekt year has reserved four pages in the booklet for. the four .'communities. on the Peninsula. They have asked if the City of Kenai would like to participate by purchasing the inside back cover of the program. The cost would be $400. Jim Ruotsala, President of Pioneers of Alaska: There was a casting of lots and I picked the inside of the back cover. There will be from 850 to 1000 persons attending. MOTION: Councilwoman Swarner moved that we buy the ad in the Pioneer's brochure, seconded by Councilwoman O'Reilly. VOTE: Motion passed by Unanimous Consent J. I have been asked if we want to go ahead and produce the City } brochure. We had put it off until after the election. There had been some problems with separating the producer and printer. .The cost will be between $6,000 and $10,000. Council agreed to a continued interest in the brochure and Mayor Williams will return with a firm cost estimate. k. A work session was set for 'Wednesday, Xo+vember 8th at the Library. Included will be the Capital nts Projects and the RIP proposal. Councilwoman O'Reilly noted that evaluations have not been done yet. Mayor Williams proposed evaluations for after the first of the year since Council will be tied up. Council agreed. Councilwoman Monfor - asked if A. Reed would be attending the meeting on November 7th, answer no. I feel that the past meetings we've had with the legislators have been negative and I've felt a tension and I know part of it is my own personal problem. They come -in forecasting doom and gloom which we've heard for years, never on a positive receptive note with the City of Kenai wanting to be supportive. They forget that they were also elected by the people that live here. I wish that somehow we could change that so that we can go in and talk to them.and say these are some of the things we would like and we're realistic in what we're asking for and we realize,that we've.gone overboard on what we're asking for. But to come. away with feeling that there's something positive out there to look forward to. Last year the first thing. ".Swack".said was,it's not going to' happen, there's no money. That puts a bad taste in your mouth, and you feel like why talk to the people any more if this is their attitude. Mayor Williams: I think you've read my trip report on the meetings I've attended and it they're going to appears to be very apparent that one way or another spend a bunch of money this year. That figure, can go any where from $129 million to $350 trillion. It's pretty dead certain that everyone.agrees, up and down the railbelt that the legislators are pretty. ... • r • ftNAI CITY COUNCIL November 1, 1989 Page 28 much in favor of the railbelt intertie system. $129 million for it. From then on, at the last meeting with Senat road lintors y of whatfrom othersrwant. the rest of it they are split on. There is a b Councilwoman Monfor: What I'm hoping they will do is, instead of fighting us they can say they will support your request and we will try our hardest to help you get the money. Instead of saying to us what can we do there's no money. Mayor Williams: We have to have two plans in motion. Number one is the #1 absolute priority is Congregate Housing. We also need a backup priority or proposal. ($6 million) Councilwoman Monfor: We can work on that at the work session. I would be willing to go so far as to commit the City* should the Council gree to enlarging the dining facilities and d sothey money, the fact that we're giving them the Lan Y know how important this project is to us and doing nothing in return. Mayor Williams: I think we're going to have to address the question of the dining facility at any rate. Yesterday they were adding chairs to the tables since it was way over ropectty•Councilwoman We should stick1Reilly: Every wi h the one t ingyear we have some little backup p j ;rc t Mayor Williams: One of the problems we face with Congregate Housing is how it's going to be perceived by the otheea tand thatnities within t the he voting district . Homer doesn't seem t0bproblem worked on by all of us. It costs $40,000 per year to keep a person in a home and there are 40 units here which makesse million per year the state is spending to keep 40 people so place el Coun cilwoman Swarner: I attended a meeting in Nikiski along with Senior Director Porter. Senator Fischer was on Williams:committed plus Everymember of Senator a cki May the and Representative Swackhammer. legislature has a copy of the brochure plus the housing postcards. City Manager Brighton: On the basis of the combativeness of the legislators, I spent over 2 hours with them last week and t hcwneX resseithd the same concern to me. They felt like every time they sa Council they wanted to grab them and ask knowt can theedo to make is not one-sideds relationship better. I want you tonow the What tends to create that is the first inatement t there, which thatgs what startswst you can rget the about getting this because the moneys whole thing out wrong. It antagonizes e a ple were you getoe talkdto told them, if it just appeared thatguys some people to get what the City wants/ thatantagonismwill go away. But the City doesn't visualize them taking position I want to caution you that Swackhammer may be Chair of Finance this time. But his big promotion is the school formula funding and he is going to be Y with that group all day. I will tell you now, if nothing else gets funded agree with the or that there will be schools will. I'm not so sure I yfinalized for another 300 million spent. Those conclusions will not be 4 or 5 months. KENAI CITY COUNCIL November 1, 1989 Page 29 Mayor Williams: I think we need to back up and say somewhere between $129 million and $234 million. Councilwoman Monfor: I know that this Council is willing to work with them and do what we need to do but when you feel like you're hitting a brick wall the first five minutes, it makes us wonder who they are representing. City Manager Brighton: Let me put you in their shoes for a second. Soldotna wants a Senior Citizen's Center like Kenai has and they can get that for $1.25 million not $6 million. They also represent all the people in Soldotna. Councilwoman Monfor: That is a problem. They forget some times, in fact all last year and the year before, they forgot they represented Kenai also. I'm not the only person that's felt that wax. City Manager Brighton: I'm inclined to agree with you, they have felt more pressure from that side than from here. Councilwoman Monfor: It's fine that Swackhammer is doing this foundation formula, but he wasn't elected just to do that, he was elected to represent all his constituents and they have things besides the foundation formula that they care about. If they come in with a give and take attitude we'll be just fine. 1. Regarding maintenance of roads. We are back in that time of the year when we have problems with roads. I'm sure Council has been called from irate citizens concerning roads. We're back to the business of clearing snow out of berms from driveways. I have a citizen with some type of ailment today that approached me and explained his problem. I've heard from various people with heart problems, pregnant ladies with husbands on the slope, arthritics, etc. What can we do. Can we mechanically attach something to the plows. Why not. PW Director Kornelis: We have snow wings already attached to graders. It takes a lot of time to change the snow wings for the gates, plus the amount of time it takes to do main roads and airport, then driveways. We would have to obtain more people and more equipment to do that. Mayor Williams: Does Council want to address additional expense of taking care of driveways for these people. The, way it's done elsewhere is that smaller equipment is used, pickups with snowplows, etc. Councilwoman O'Reilly: I don't know what you mean by these people. If we're going to do it we do it for everybody. Mayor Williams agreed. Councilwoman Monfor: Does this mean we're also qoing to take care of the post office boxes because the post office won't deliver because the berm is too high and the people haven't shoveled it out. City Manager Brighton: Well sure. Councilwoman Monfor: I think that's crazy. If they have a problem they can hire a snowplow to plow them out. Mayor Williams: How do you address the subject of a person who's had their driveway cleaned out and their own plowing done and then the grader comes along and slams it shut. Councilwoman Monfor: Tell them to move to Arizona. Councilman Smalley: I think you're talking about me because I called the other day. City Manager Brighton: I've lived here for,'10 years and it's always the same problem. Mayor Williams: There has to be a way to solve it. Councilwoman Monfor: They can all move to Arizona.. i &NAI CITY COUNCIL November 1, 1969 Page 30 PW Director Kornelis: We have a 5 man crew for plowing. It takes an average of 14 to 16 hours to plow just the main streets and the airport. City Manager Brighton asked how many hours of, overtime were worked on Saturday,. answer 14 hours. City Manager Brighton: That's 14 hours on top of all the hours they put'in prior to that. Mayor Williams: I want a collective answer from the City Council that says "go shovel your own driveways" if we're not going to address the problem. Let the press publish a notice that says, "we're sorry but we're not doing driveways." Councilwoman Swarner: We never said we were going to. Councilman Smalley: We never had done driveways. City Manager Brighton: That-'s been the policy ever since I came to Alaska. Mayor Williams: But they're coming in here and asking us why we don't do them. Councilwoman Monfor: No matter what we do they're still going to ask. There's always going to be someone out there that's going to ask. Councilwoman O'Reilly: If we do the driveways then they'll wonder why we don't do the front walk. • Councilwoman Monfor: And how many graders are there. We have to hire a truck go behind every grader. Mayor Williams: That's the end of that subject. m. Regarding Barabara Drive, I think you recall what happened with that road. Is there a problem with getting the slush off of it. What's the problem. PW Director Kornelis: one of the problems we have with all gravel roads is that they get saturated. When you get a grader on there it does more damage than if it was left alone. Barabara is particularly like that because there is a lot of mud and silt under it. Loretta Breeden called today and after I got done talking to her I think she understood that if we sent a grader out today in that slush and grade all the mud and gravel up with the slush we're going to have a worse mess and they couldn't drive down the road. City Manager Brighton: It's interesting to note that the two people that called and complained about Barabara Drive are the two people who did not want us to upgrade. n. Since we have an ordinance making it illegal to push your snow out in the street and leave it on the street, I would like the Administration to write a letter to Homer Electric to tell them they are in violation of . the Code. And in addition, publish a notice to that effect in the paper because when I can down Airport Way I darned near lost an automobile when I hit.that pile of snow that Homer Electric pushed out onto Airport.Way. PK Director Kornelis will write the letter. Councilwoman Swarner: Also, the apartments on Forest Drive. and Sth, they're pushing it on the street. 2. City -Man er None • 1*NAI CITY COUNCIL November 1, 1989 Page 31 3. Attorney None 4. City Clerk a. City Clerk Ruotsala pointed out,* letter in the packet which indicates. she has been appointed to the.Elections Board for,AML. She will also be working with the Newly Elected Officials. b. The next Council meeting will be November 21st. c. The Christmas party will be December,29th at Mr. D's. Councilwoman Monfor asked why it was not held at the Senior Center. Answer, it is too small and all other places are booked. 5. Finance Director None 6. Public Works Director, a. PW Director Kornelis pointed out Item Info 15 regarding the Kenai F 3" River viewing area. Council needs to agree to move ahead with the project prior to filing for the grant as outlined in paragraph two. b. Iowa Street house information from Howard Hackney was distributed this evening. This is the burned out house in Thompson Park. c. Float Plane Basin commercial slip project is shut down for the winter. d. The bar and restaurant had a substantially. completed inspection on October 16th. e. The bar and restaurant equipment is scheduled for November 16th. f. Fathom & Toyon project was completed except for the topsoil and seeding which will be done next year. g. VIP and Lawton project is completed. 7, ; Airport -Manager None • J. DISCUSSION 1. Citizens a. Mayor Williams informed the Council that Mr. Maguire indicated 'a desire to address the issue of the rezoning which was denied by Council. City Manager Brighton distributed a sequence of events to assist the Council. KENAI CITY COUNCIL November 1, 1989 Page 32 (NOTE: The following is a verbatim transcript of Mr. Maguire's statement) Samuel Maguire, 1308 Kaknu Way: Several months ago we put in a request to rezone a piece of property at the corner of Swires and Spur Highway. We went to a couple of zoning meetings and were turned down on our initial request because they thought it was spot zoning. They had, at that time, I think, four letters from people in the area that were, well one comment actually was "why didn't I go out and buy commercial property" and my answer to that is I couldn't afford it, his or anybody else's. He did have a piece of property right across the street, I could have bought for a pretty reasonable price probably in his mind. The second one was that I was going to increase traffic on Swires Road. And at no time was there any intent for the property to be used off Swires Road. There is an access off Kenai Spur Highway and I really don't believe the traffic department would have stopped us from using that seeings as how it was set up initially on the highway. Don't have a culvert but it had an access and everything else and about the only thing we'd want to do is upgrade it and put a culvert in. So I don't think we'd a had any problem there. The third lady, I was told by the fourth individual had filed hers at his request, and this individual was a guy that had the residential property just behind me. He not only. changed his mind, after him and I talked, but he proposed that we jointly subdivide one section of it commercial, I'm sorry, one section jointly residential giving a buffer zone between his property and the commercial property which was his grievance in the first place. And keep the commercial property to the forward part, we'd have a buffer of trees in between the commercial and residential, I myself, planned on using one piece of the residential to build my home on and that would leave me one fronting on Swires Road that could have been sold to somebody else. And in going back, well, then we came here and we were told that probably the best thing to do was to send it back to zoning which the board done, I'm sorry Council done. And it went back to zoning and we discussed it with zoning and based on this, the only stipulation really they made was that we did have a minimum of one acre in the commercial zone which still left us better than 28,000 sq. ft. for two lots in the residential zone. Due to the fact that, Mr. Doyle hadn't signed any papers we, we didn't sit down and draw a map out at that time, but it was my misunderstanding that a plat had to be formed. I thought that at some time a plat would have to be forwarded, but at that time it wasn't necessary and we came back to Council and Mayor Williams brought up the fact that it had not been platted and it needed to be platted. I had no difficulty with that. None. whatsoever. I think Mr. Walker was at the zoning meetings and he knows,. I tried to bend over backwards to do everything I could to get it approved. e • KdNAI CITY COUNCIL November 1, 1989 page 33 nderstood it was going to be then, set aside After that meeting, which I u until such time as we could get it Platted, I went o donnt ana And hated wii a latted. Which he a surveyor to have the property P he our to the Borough. I then got a call from a friend that y, Your before the or your rezoning's going up again Wednesday property, of an answer back from the Borough, I said no. City Councilp have you 9 picked up the phone, called the Clerk's off ice, the�e going tooPut r it 90 I p if they said they whoever was on the phone was, oh,f until it until it come back from the Borough then it'll ail they'll probably put Of off u comes back from the Borough. It was put on it, but do is put it off. Well the Borough was to meet Monday night, You was that Wednesday night. come. It didn't seem it was necessary because t going to look ad already I didn'tyou we been said that until such time as it was platted y there p I didn't show up. Consequently, at it. Well that was my mistake. of the minutes and there's an was, I have a copy, they sent me a copy awful lot of misinformation in here on what was happening. Number one I was .... Let's back up to the part where you said the Mayor Williams: Excuse me. ou h met on Monday night and the Council met oiiWate:►s: C Borgouncil met he before the Monday. Mayor Wi So the Borough Maguire: Wednesday previous Wednesday, the Borough met the following Monday. had not yet met to review the plat. Mr. Magu ire: Yes, they had not mee to review the plat. Mayor Williams: t And the Council had already action. There was a comment here to the fact that it was not returned yet from Borough but that was all. question that was asked in your discussion wasdid the answer pwasle tnot One withdrawn and I think send in the letters had they ich is absolutely correct. But when by Boyles stand before the zoning Doyle) � attempted to stand here before you and d ause committee I don't think I need to ask him to withdraw his okay in tMY comet there. Now had I known fact of him beingplatted I misconception was when you told me to have it considerables amountOf realized that I was going to have to lay out I am not a . I am not a land surveyor, else do it. P.E.O. money And I to have this done can't do that no my own, I must go have somebo y tion that obligated myself to $1,000 to have iP t approval Under and e I s re really don't the zoning commission had recommendedthere had any balance on it. They understand why only 5 of them being acted as a committee. But yet this was brought up in the discussion. NOTE: Tape change, part of statement is missing. stating a fact that I had assumed that things were you already ng well and I.was ortunity to discuss i that I was going to have an opp roved., I had recommendation from the zoning committee that it bea approved., there was had a been told to have it platted could get d I t platted and the plat hadn't expenses involved, but before I roved, okay► its another catch 22, It's been approved, if you been app KENAI CITY COUNCIL November 1, 1989 Page 34 been approved, okay, its another catch 22. It's been approved, if you approve it. It's been disapproved if you disapprove it is what it amounts to. A statement that was made right by your own people here is that they've already decided the Comprehensive Plan I think they called it is that the best use for that and probably what's going to have to be done in the future is that be commercial. Why Swires Street was set for a good cutoff I don't know. I don't think it's correct, you know. One of the points was if I was living there and had small children I would be endangering' my children on that highway. And if we go all residential on that highway area we're going to have to cut the speed down its going to cut Anto everybody, ah the noise is horrendous. I intended to leave a buffer so that the people that were living behind me, myself included would have trees between them and the highway, I've got two small buildings on there I've spent a bunch of money cleaning them up, this is got nothing to do with the Council this something that I've been trying to do to be a good citizen. And yet I'm told that unless, and I'm reading something in here. Unless I talk all the rest of the people in that area into asking for commercial at this time then I shouldn't be allowed to put a commercial establishment in there. I'm not sure just where it is here that was stated that way but I believe it was said in here, in your minutes that the Comprehensive Plan says that should probably be commercial. But it should all be done at one time. Well, I wonder if Mr. Boyle was told that at Candlelight and Spur Highway when he put in for rezoning. And he's causing an awful lot more problems than I'm going to cause. The Mayor drives up and down Candlelight and I think he see's one of them today. Mayor Williams: That issue has been there since I've been there and I've been there 15 years. Mr. Maguire: Yet I'm trying to put a clean operation and because I'm this side of Swires Road I shouldn't be allowed to. Now, I've went and asked how, what step do I have next to get yous to give some reconsideration. I feel I've been faulted. It was said that you would wait until such time as the Borough acted on my application for platting, I know that it's not going to make a bit of difference if you vote tomorrow and you don't see any change, you're still going to vote it down. But, I'm still asking for reconsideration and an opportunity to answer your questions and maybe get a couple of yous to see that I'm, you know I could go over and I could buy a piece of ZubeckIs property and other than a building permit put anything I want to on .. a 7-11 and I've heard that 7-11 several times and I think Mr. Walker'll agree. I'm not trying to put a 7-11 in. This is a nice clean something you have never had in this town before. A clean place that you can buy good material for a reasonable price and I want to stay here, I don't want to have to go to the North Road, I don't want to have to go to K-Beach, I don't want to have to go to Soldotna. I want to be here. Close to my home. Mayor Williams. I think the primary question before us at this point is whether or not the Council acted hastily. By virtue of the fact that we * ;1INOVENAI CITY COUNCIL .November 1, 1989 Page 35 had not yet received the plat back from the Borough. That's the biggest question we have to answer. I personally believe, if in fact we did .act hastily that we should reconsider that ordinance. I don't know where the plat is, I don't think I've ever seen the plat and I don't think any,'of the Council members have ever seen the plat. City Attorney Rogers: I think, the motion to reconsider, I checked the code, is not appropriate, you need to rescind your prior action_ technically if that is the way you want to go. And then it brings it back. I don't think it's out of your control. If you rescind the action you're back to ground zero. Mayor Williams: We have to rescind the ordinance, we can't just rescind the action, we have to rescind the entire ordinance. City Attorney Rogers: Yes. Councilwoman Monfor: I can almost say with great assurity that none of us saw the final plat from the Borough before we had this meeting. And another thing that came out tonight that was one of the reasons I passed the negative vote was, I was under the impression they would have to come • in from Swires. And hearing tonight they would come in off the Spur makes a lot of difference to me, personally, because that is a commercial location that they're going into and they should come up the highway like they do all the other ones. We didn't see a plat. Mayor Williams: It makes a very good point too., the entire 660' of that 5 acre lot that Zubeck owns faces Swires Road. Any time Zubeck wants to put a driveway or 8 driveways on the Swires Road onto that 660' he may do so, and it is commercial property. What's the difference, one side of the street or the other. I have a problem with that. Councilman Measles: Does the City now have a copy of the plat that the Borough has approved. Mr. Maguire: They must have some where. They sent us our copy. City Manager Brighton: I suspect we do but I have not seen it. Janet would have it. City Attorney Rogers: This wasn't an agenda item I think. Councilman Measles: No, I'm just asking if we know that we have received it and we do have it available. City Manager Brighton: Yes, I think we do and we, could have it available at the next Council meeting. Councilwoman O'Reilly: In reference to your comments about the Zubeck property, I know where you're coming from but ,the complexion of Swires has changed since putting in the school. It would be a long time before we ever envision this. Mayor Williams: But the complexion of the Swires property hasn't changed. Councilwoman O'Reilly: But that's per the Comprehensive Plan. Councilman Smalley: I agree. I missed one of the Planning Commission meetings where it was discussed, or one of our meetings that we had called. Having read through the minutes and talked with some of the Commissioners, and having discussed it here. The plat that we looked at appears to be the preliminary plat that went to the Planning commission. 1 KdNAI CITY COUNCIL November 1, 1989 Page 36 After we. sent it back. I really think probably we should rescind the ordinance and them review it at our'next meeting when we have the plat that's been approved. City Attorney Rogers: I think it best to put it on the agenda for the next meeting so. it has the same public notice as the ordinance had at the last vote so both parties can address it. Councilman Smalley: Do we need that ordinance number at this time to rescind it or can we just refer to it. City Attorney Rogers: I have it here. Councilman Measles: You're not going to rescind the ordinance? City Attorney Rogers: No, just the action. The ordinance passed. You're rescinding your action on it. It basically brings up the ordinance again. MOTION: Councilman Smalley moved to rescind our action on Ordinance 1333-89, seconded by Councilman Walker. VOTE: Motion passed by Unanimous Consent City Attorney Rogers: You want the ordinance on the agenda with notification for introduction and hearing at the next meeting. Mayor Williams: And this would require two public hearings, the same as a regular ordinance? City Attorney Rogers: Just like a regular ordinance. Mayor Williams: It will require a preliminary for introduction at the next meeting and the public comment at the following. meeting. For the Maguire's benefit, the next meeting will be November 21st. The next meeting after that will be December 6th. It .will be introduced next week, there will be no public comment. You won't have to be here next week. 2. Council a. Councilwoman Swarner: I am considering going to this RDC meeting since I am one of the people that asked what we are getting for our money. b. Councilwoman O'Reilly: In the Planning Commission minutes for October 25th on page 5 there is an error in fact. They are discussing the Dairy Queen leases and a couple weeks ago we had a situation relatively similar to this .involving lease situations with the airport terminal and that never came before us, and Planning Specialist said it went to the Airport Commission, I believe that's in error. I don't believe it went to the airport. c. Councilwoman O'Reilly pointed out the chain letter in the packet.. Councilwoman Swarner: I sent it to, my sister-in-law. Councilwoman O'Reilly: It was a piece of Council literature addressed to my name in the packet. Clerk Ruotsala: If it was addressed to Council personally, I would not have opened it. Mayor Williams: I get some dandy letters that way. d. Councilman Smalley: If you notice the Planning Commission minutes, you will notethat at the very and of the meeting I talked with regard, L, • • because the Commission is also concerned about street Lighting, I got a call about the roads and the berms and.I suggested they do the. same thing I did, and that -was" to remove the snow myself. The second 'I I got was concerning inadequate street lighting and if we're going to have inadequate streets as far as lighting. why do .we have 21 lights going'on at . the port, when the port is not in operation so it looks, like a small city when you're driving across the bridge. I.said I did would ask. n't know but I PW Director Kornelis: We are in operation, including evenings. City. Manger Brighton:, I do know they were. calling public works at 5:00 P.M. that they needed fuel and it was dark. PY Director Rornelis: I ' wfll check with Swede but I know they work down there quite late. Councilman Smalley: T guess the suggestion was that if they were not in operation perhaps one light is better than a whole city full. K. ADJOURNMENT There being no further business, the meeting was adjourned at 11:10 P.M. Janet Ruotsala, CMC City Clerk Janet Loper Transcribing Secretary ly: