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HomeMy WebLinkAbout1987-01-07 Council MinutesAGENDA KENAI CITY COUNCIL - REGULAR MEETING JANUARY 7, 1967 - 7:00 PM PLEDGE OF ALLEGIANCE A. ROLL CALL 1. Agenda Approval 2. Consent Agenda *All items listed with an asterisk(*) are considered to be routine and non -controversial by the Council and will be approved by one motion. There will be no separate discussion of these items unless a Council member so requests, in which case the item will be removed from the Consent Agenda and considered in its normal sequence on the agenda as part of the General Orders. B. PERSONS PRESENT SCHEDULED TO BE HEARD (Time Limit - Ten Minutes Per Person) 1. Joe Arness - Baling Facility in City 2. Don Cornell - Increase in Lease Amount - Alyeska Subdivision C. PUBLIC HEARINGS 1. Ordinance 1179-86 - Amending KMC Title 14, deleting "advisory" from committee names. 2. Ordinance 1180-86 - Amending KMC Title 16, providing supplemental assessment for specified assessment district. 3. Ordinance 1181-86 - Amending KMC Title 8, adopting national fire code and uniform fire code. 4. Ordinance 1182-86 - Amending KMC Title 6, location of polling places. 5. Resolution 87-1 - Authorizing sale of Government Lot 15 to Marvin Dragseth. 6. Resolution 87-2 - Awarding Contract of Recreation Center Flooring to Peninsula Flooring Center - $7,450. 7. Resolution 87-3 - Awarding bid for Senior Center van to Craycroft Chrysler - $16,701.70. 8. Resolution 87-4 - Confirming assessment roll - Eagle Rock/Tern. 9. Renewal of Liquor License - Windmill Restaurant. - - --`':�-==::•>'�� :F, =:fir f <s., .. fry � J Yf e, 1 L D. E. F. G. H. 10. Renewal of liquor licenses - Mr. D's, King Oscar's, Eadie's Frontier Club, Uptown Motel/VIP Lounge, Rainbow Bar do Grill. *11. Renewal of Liquor License - Eagles Club #3525. 12. Renewal of Liquor License - Peninsula Moose Lodge # 1942 REPORTS City Manager 2. City Attorney 3. Mayor „t rFY nL 4 City Clerk Director 5. Finance 6 Planning do Zoning Commission 7. Harbor Commission 8. Recreation Commission 9. Library Commission MINUTES *1 . Regular Meeting, December 17, 1986. CORRESPONDENCE OLD BUSINESS J- NEV BUSINESS 1. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 *3. Ordinance 1183-87 - Finding City -owned land not _ required for public purpose - Section 36. *4. Ordinance 1184-87 - Amending KMC Title 21 - Providing for $500,000 level limit policy insurance requirement. 5. Discussion - HEA letter regarding Bradley Lake Project/Railbelt Energy Fund. _- 6. Request for Assignment of Lease - D do D Enterprises to Galaxy, Inc. - Travel Agency/Kenai Airport. 7. Discussion - 1987-88 Capital Improvement Projects - Request for State Grants Priority List. 8. Request for Rescission of Lease - Blue Mountain Ventures, FBO Subdivision. 9. Discussion - Disposition of Candlelight Drive Extension. -• 10. Ratification of Council Telephone Poll of January 2, r, 1987 - Regarding award of bid for ticket counter _ construction and installation at Kenai Airport. I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD (Time Limit - Five Minutes Per Person) ADJOURNMENT ......... — j��-iN+:� —• tip. KENAI CITY COUNCIL, REGULAR MEETING, MINUTES sr" 3 ry JANUARY 7, 1987, 7:00 PM MAYOR JOHN WILLIAMS PRESIDING PLEDGE OF ALLEGIANCE �'�'���'{• `� _Lr A. ROLL CALL %gn. � Present: John Wise, John Williams, Tom Ackerly, Sally Bailie, Art McComsey, Ray Measles, Chris Monfor Absent: None A-1 Agenda Approval a. b. C. d. i. j• k. 1. MOTION: Mayor Williams asked that item B-2 be added - Loretta Breeden (Ordinance for Toxic Wastes). He explained it relates to item B-1 (Joe Arness). Mayor Williams asked that item B-2 (Don Cornell) be changed to item B-4. Mayor Williams asked that item B-3 be added - Iona Wilson (Alpine St. Plowing). Mayor Williams asked that item D-5 (City Manager's Report) be added as item B-6, to discuss City finances. Mayor Williams asked that item H-9 be moved to B-5 (Jill Burnett - Candlelight Extended). Mayor Williams noted item C-3 (Ord. 1181-86) be corrected to add effective date of Feb. 7, 1987. Mayor Williams noted item C-6 (Ord. Res. 87-2), substitute submitted this date. Mayor Williams asked that item C-9 (Windmill Restaurant Liquor License) be added to Consent Agenda. Mayor Williams asked that item C-12 (Moose Lodge Liquor License) be added to Consent Agenda. Mayor Williams asked that item H-10 (Telephone Poll) be placed under D-4 (Clerk's Report). Mayor Williams noted all items listed as H-NEW BUSINESS in zhe agenda are numbered G in the packet. Councilwoman Bailie asked that item Info 7 be placed on the agenda as item H-10. Councilman Wise moved, seconded by Councilwoman Bailie, to approve the agenda as amended. Motion passed by unanimous consent A-2 Consent Agenda MOTION: Councilman Wise moved, seconded by Councilman Measles, to approve the Consent Agenda as submitted. Councilman Ackerly asked why item C-10 (Liquor License Renewals) was not on the Consent Agenda. Mayor Williams explained, there may be some comments. Councilman Wise asked that item H-3 (Ord. 1183-87) be deleted from the Consent Agenda. Motion passed by unanimous consent. 9 -" Ir". AA4, , A KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 2 ADDED ITEXt Mayor William noted a P0 for $5,400 to Ross services, Snow Plowing, was distributed this date to be added under item H-2. B. PERSONS PRESENT SCHEDULED TO BE HEARD B-1 Joe Arness Baling Facility in City Joe Arness, Chairman of Kenai Borough Waste Disposal Commission. There has been continuous controversy A 2 regarding the land fill in Section 36. The Commission has proposed closing it one year from this June. The Soldotna land fill would be the Borough land fill. It would be a problem moving solid waste from Nikiski and Kenai. one solution is a baling facility. It is done in Homer and works well. It would be baled and brought to Soldotna, once or twice a day. it would be cost -saving and cut down on litter. In some communities these balers are being used to create topography. it could be for ski hills. The Commission is meeting this date and will recommend Architect Gintoli to do the schematic proposalThey . will not recommend if there is any hesitation by Kenai. Kr. Arness distributed material showing the Homer He added, all ti.es facility and other facili operations are inside the building. City Manager Brighton asked if their intent was to increase the Soldotna site. He noted, many people at the Jan. 6 he A hearing objected to this. Mr. Arness replied, t Soldotna site is the one they have now. They do not have Elephant Lake at this time. Soldotna will only last 5-8 more years once Kenai waste goes there, it H could add a number of years if the waste is baled. e noted balers are the top priority at the Borough for Councilwoman Bailie asked about Municipal funding. Mr. Arness Marathon Rd. site being 7 miles out It was the replied, that would be a land fill site. only place with enough gravel. It is not a baler site. V� Al Councilwoman Bailie asked if they could locate the baler there. Mr. Arness replied, that is 2nd choice if they cannot get the Kenai site. Councilwoman Bailie noted there is a group trying to improve Section 36 into a nice subdivision. Marathon could be considered as an alternate. Mr. Arness explained, he could not give a date at this time, but they have an idea of how many bales they will produce. They would have to know how long it would take to build a ski site. When completed, they would move the baler. Councilman Wise noted the site cannot be developed now. He expressed Y-74 concern that the site is encroaching on Woodland ........ Subdivision. He asked that no more area be disturbed that a buffer around the area be retained by the . . . . . . . . . . . . Borough and the rest of the land be disposed of by sale. He asked for a commitment from the Borough how the land will be developed. Councilman McComsey asked in Kenai if there was a saving if the waste is baled and hauled to Soldotna. Mr. Arness replied yes, this will extend the life of the Soldotna land fill also. Bales have less impact than land fill. Councilman Kccomsey noted you can put playground equipment on bales right away, but cannot with land fill. Arness added, bales are water proof, they help keep surface water from filtering through the old land fill. Mayor Williams asked, what is the cost of the schematics? Kr. Gintoli replied, $1,800. KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 3 MOTIONS Councilman Wise moved to concur with exploration of the concept Mr. Arness has proposed. Council agreed to wait till after Mrs. Breeden's testimony. MOTION, Withdraw: Councilman Wise withdrew his motion. B-2 Loretta Breeden - Ordinance for Toxic Wastes Loretta Breeden, 1602 Barabara, Kenai. She asked that before Council considers extending the life of this facility or any other site in Kenai, they have a toxic waste ordinance. The land is useless because of pollution, it cannot be used for 100 years. Before Marathon Rd. is discussed, Council should consider this is the beginning of the water shed for Beaver Loop aquifer. She added, the only oil and gas action is in Cannery Loop. Mr. Arness replied, the Borough is drawing up a hazardous waste ordinance. They have reviewed the Anchorage ordinance. Alaska DEC is going to enact new regulations regarding solid waste facilities that will give local government almost total control. .`F NOTION: Councilman Wise moved, seconded by Councilman McComsey, N to concur with exploration of the concept as Mr. Arness has proposed. Motion passed unanimously by roll call vote. B-3 Iona Wilson - Alpine St. Plowing Ms. Wilson asked Council to reinstate Alpine as a street to be plowed. She has lived there since 1962, there was no division at one time but the City built a road for access to Alpine. The City had plowed and graded the road till the winter before last. She called the City and they said they would not plow because it was the only house on the road. She wrote a letter to Council and the road wa: plowed. It was graded last summer. She called last week and asked it be plowed and they said they would not because it was not on the list. When the road is not plowed, she can only get out by 4-wheel drive. She does not have city water & sewer, police, fire or ambulance when the road is not plowed. Public Works Director noted material distributed this date. Councilman Wise said .the map is erroneous, the plats do not agree with the topography. He did not think Alpine was on the property line. Councilwoman Monfor noted she lives on a road that is not completed and not accepted by the City, it is being plowed by the City. Mayor Williams said in Oct. 1984 Council directed Alpine not be maintained by the City. Councilwoman Monfor asked how long it would take to do Alpine. Public Works Director Kornelis replied, it is difficult to maintain, the gravel surface is poor. He estimated 45 minutes. Councilman Ackerly suggested it would be cheaper to pay someone to do it. Ms. Wilson said she has never seen them take longer than 15 minutes. It is 1/4 mile long, smooth gravel, no hills t 3 YtiF'k.�d �2 1 KENAI CITY COUNCIL JANUXRY 7, 1987 PAGE 4 or hollows. They can do it with one swipe. Mr. Kornelis explained he was directed to discontinue maintenance. He had suggested it be put on the Capital Improvement list. He added, this property is not on Alpine, it is behind the lots facing Alpine. The road is outside the right of way, it goes through private lots. We would be trespassing if we maintained. City Manager Brighton asked if the road broke up during Break -Up. Mr. Kornelis replied yes, it also floods. NOTION: Councilman Wise moved, seconded by Councilwoman Monfor, that Administration be directed to limit maintenance of f Alpine to snowplowing. ��- Motion passed unanimously by roll call vote. }tin; Mayor Williams asked if next Spring, Public Works Director Kornelis could define the exact location, if Alpine is on or off private property. yy`• B-4 Don Cornell - Increase in Lease Amount - Alyeska Subdivision r.a.w.. Mr. Cornell explained he is sub -leasing the land. The Y lease price was increased last July from $1,340 to $4,446, 329$ over the original price. By the terms o sr4 his lease, he is obliged to pay the difference. Business is tough. Sept. 5, 1986, Mr. Booth (original a ` lessee) sent a letter to Atty. Rogers, there was no reply. He has come to Council because he is paying the difference. He is asking to have the City reconsider the new price. Mayor Williams asked if he had a 50% cap. Atty. Rogers replied the 50% cap was rescinded. It was in effect for 2 years. The lease amendment was signed by Cornell to Booth, Mr. Booth's objection was 6 months later. It is too late. If it had been done in a timely manner, it could have been worked out. Mr. =.:.' Cornell said there are 2 leases, one for Booth and the ,w. City and one for Booth and Cornell. He has no choice but to pay the difference. He could not protest to the City, he had to let Mr. Booth protest. Atty. Rogers ' replied he is not privy to the Booth/Cornell lease. qY,.•. Mr. Booth is the appropriate person to protest. He did }_ not protest in a timely manner. Mr. Cornell is not the Y..- .-•h, proper person to protest. Mr. Cornell replied, he agreed, but he is asking Council to see if anything can be done. Atty. Rogers said we have a number of lessees }`r that object because of lease amounts. If Council gives -- relief, he asked that it be in a uniform manner. Councilman Wise said the City instructed re -appraisal at renewal with a local appraiser. The lessee has a right to protest the increase, they should dispute the appraisal. He did not know if the value is wrong, 6$ return is not unreasonable. Mr. Cornell said when he agreed to lease, there was a price. Mr. Booth had said { - - it could not be increased beyond 50%. It was true at 't=? that time. Mayor Williams said the 50% cap was incorporated into the original lease and has been rescinded on others. It does not affect Mr. Cornell's lease. Council took no action. =. B-5 Jill Burnett - Candlelight Ext. FEW KENAI CITY COUNCIL JANUARY 7, 1987 5 PAGE Jill Burnett, 1304 Kiana, Kenai. The development of A her land has been delayed 4 years because of City delay. There is no appropriate access* The marketing peak has come and gone. They have 3 choices: a) Not to expand the golf course. That would be bad at a . . . . . . . . . . public standpoint; b) City build access road, that Redesign the course tQ Y. would be at a large cost; C) accommodate existing road. Mr. Morgan has been approached regarding this. He did not feel this was a viable solution. She has heard of golf courses that I - K I have been planned around roads. Mr. Morgan has not consulted professionals regarding the fact this would not be a viable solution. State and Federal agencies have approved the road for many years The City should stand by their word so she can continue the development. The city should commit to maintenance ...... ..... 2A till there are residents there. That option is in the original ordinance. That should be exercised as recompense to tier for the delay. She asked that: a) the City honor the old ordinance, all aspects have been complied with; b) The City provide maintenance. Mayor Williams said Ord. $70-83 grants this easement without mai ntenance or cost of perfecting. The problem is the lease to Mr. Morgan came after this ordinance. He asked, what does perfecting mean? Atty. Rogers replied nt of there was no delay by the City in establisbme public use easement. It says a 60 ft. easement be R , established. It i A---- s worded purposely that way. Also the City does not assume the cost of maintenance, N improvements or perfecting. Administrati on spoke against the easement. The easement was not perfected by a recordable document. Had it been recorded, any lease of those lands would be subject to the recorded document. There was a subsequent lease that did not . . . . . . . . . . . . ed by Ord. 870-83. Had it .......... exclude the property cover . . . . . . . . . . . been recorded, it would have been excluded. At this point, it would appear Mr. Morgan has indicated he will not give the rights he has. Council has indicated it does not wish to spend money on alternate access. , ". � I, -- 7Z q Access does exist on the section line. The Burnetts have not perfected the easement. The Morgans have property with recorded easement. Mrs. Burnett said at the time of the ordinance, she talked to Land Manager Labahn. He said the only thing required was a letter from the State. No mention of recording was made. She has attempted to record. The court house will not accept a copy of the ordinance. She made an appeal to the City to utilize the ordinance temporarily and was denied by Atty. Rogers. She has not been allowed to record. Alternate access does not exist, it is goverment declared wetlands. If permission could be Atty. Rogers obtained, it would be red tape and cost replied he did not recall the denial. if it was made, he asked if it was in writing. Mrs. Burnett replied, it was verbal to the Clerk. Atty. Rogers said if there was a denial, he would have it on record. Burnett Mrs. said she was told the City does not relinquish original copies. Atty. Rogers said that sounded reasonable. 5— Mrs. Burnett said she did not feel she should be said, if it was penalized. Atty. Rogers asked if she recorded, it would be a perfected instrument? Mrs. Burnett replied, she thought that is what he said. Atty. Rogers said, no recordable document was recorded. Mrs. Burnett said that was the only one available, and the city would not relinquish it. Councilwoman Bailie said if Council is responsible for approving establishment of public use easement by ordinance, the r- KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 6 City has the responsibility for recording of the ordinance. Under the circumstances, since this was prior to the Morgan lease, we have a responsibility to Burnetts. MOTION: Councilwoman Bailie moved, seconded by Councilman Wise, to provide Burnetts with access whether through existing Candlelight or through acquisition of a new route. Councilman Wise said there was access that had been used over time by predecessors and Burnetts. It was the intent of Council that the access be protected. Council meaning of perfecting was, they would not spend money on the road even for recording. But we did not expect perfecting meant surveying, that this would be incumbent on Burnetts. If was clear from the ordinance we would not maintain the road. The City should not have leased without due consideration of a road. Councilwoman Monfor said she is embarrassed Mrs. Burnett is back, she thought it was settled. She was remiss when the lease was wade with Mr. Morgan. She always thought Candlelight would be access. Mayor Williams said we have an existing lease with Mr. Morgan. An addition is planned this year. It will require re -design. He suggested Council consider a work session with Burnetts and Morgans prior to a motion, or after the action to clarify. Councilman Wise said we have an obligation to ensure access. Mayor Williams noted if an alternate route is chosen, Council will have to address the cost. Councilwoman Bailie noted this ordinance was adopted before the lease with Mr. Morgan, the City's responsibility lies with Burnetts. VOTE: Motion passed unanimously by roll call vote. B-6 City Manager's Report - Budget Status - City Mayor Williams asked that this report be done every month. He noted there is another short -fall in the State. We should be aware of the large change in State finances. City Manager Brighton reviewed the report from Finance Director Brown. Every one of our revenue sources is substantially below projected amounts with the exception of personal property (up a little). We have increased fund balance substantially in recent years. This will be the first year of a short fall. He added, Finance Director Brown attended a session in Anchorage regarding bonding and revenues. Comm. of Revenue Malone attended. It is not beyond possibility that we will take another cut in municipal assistance and revenue sharing. Finance Director Brown reviewed the meeting. Comm. Malone said the State will go back to essential services. There will be a State, private economy blend. There will not be capital projects to provide jobs. Employment in the State has been carried by the State, this will stop. An increase in the price of oil should be saved so we do not have to go through this again. Many pass -through funds will be eliminated. He was told local governments will get cut "real hard." The optimistic figure was 50%. He noted these are Comm. Malone's thoughts, not the Governor's KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 7 or the Legislature's. city Manager Brighton explained, if we get 50% funding for school debt, we will be lucky. It is a possibility municipal assistance and revenue sharing will expire this year. This means an excess of $1 Million per year. One mill is $330,000, 3-1/4 mills lost just for the City. At $15 Million to fund school bond indebtedness in the Kenai Borough, the Borough will need $7-1/2 Million new money. That is without opening the new schools, equipment, teachers. The Federal Government is in the same process of passing programs back to local government. Now the State is doing the same. It is happening all over the U.S. Kenai is ahead of others, but it will not save us. Mayor Williams said every time the City considers spending money, we have to consider this. There are many services that will have to be curtailed. We are looking at 15 mills next year. councilman Ackerly asked if it is going to be equitable in Kenai and larger areas with Bush areas. It has not been in the past. Mr. Brighton said some people are taking a long look at the Bush. They have our services but pay no taxes. The suggestion has been made that each one get a permanent fund check and pay a percentage in lieu of tax payments. There will be much debate regarding this. Councilwoman Bailie noted this was discussed at Municipal League. They are encouraging the Bush to tax themselves. It was suggested that if the tax payers were to organize they would out number them and could come to a decision. She added, we need to re -prioritize our commitments. She noted the sales tax report was through Sept., the new businesses will make a difference in the last quarter. Councilman Wise noted a head tax at $25 was mentioned. That could impact all people. A State sales tax was discussed. Also, a tax equivalency on those taxing themselves. He added, we need to think of the law suits against the City. If they are lost, that could be $1/2 Million to $3 Million loss. It would wipe out the capital improvement reserve. It generates interest revenue. He suggested Administration find a $100,000 cut in the current budget to cover the short fall. C. PUBLIC HEARINGS C-1 Ord. 1179-86 - Amend. KMC - Title 14 - Deleting "Advisory" form Committee Names MOTION: Councilwoman Bailie moved, seconded by Councilwoman Monfor, to adopt the ordinance. There was no public comment. Motion passed unanimously by roll call vote. C-2 Ord. 1180-86 - Amend. KMC - Title 16 - Providing Supplemental Assessment for Specified Assessment District MOTION: Councilman Ackerly moved, seconded by Councilwoman Bailie, to adopt the ordinance. There was no public comment. ir. KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 8 City Manager Brighton said there has been substantial objection to this. This is designed for: a) After we close out a special assessment district, if there is additional cost, it cannot be added into the assessments b) Payment will go to all the tax paying public, this will confine the charges to the assessment district. c) If there is a question regarding closing, the interest keeps acc:-uinq and acids to the cost. With this we can close out and address the problem at a later date. He noted Councilman Wise was concerned that a lending institution would not loan money for purchase without knowing liens. Councilman Wise explained, the application is punitive to any future special assessment districts or to Inlet Woods. Alaska Housing Finance will not loan money on property which has assessments without paying off the assessments. They are the major lender in the State. 2 charges are allowed in the ordinance. Alaska Housing Finance calls the City whenever there is an assessment till the 2nd special assessment is completed. Those living in assessment districts could not sell till there were 3 assessments levied. Also, if HEA wins their suit (regarding relocation of utility lines) we could go back and assess our losses. We are putting it to everybody because of one problem. r' VICE MAYOR MEASLES TOOK THE CHAIR. MOTION, Table: ti Z F' y Mayor Williams moved, seconded by Councilman Wise, to table the ordinance till such time as Administration `_:;•: can answer the question if it will affect financing of homes if it is put on the books. VOTE, Table (Passed): Y • Yes: Wise, Williams, McComsey, Measles, Monfor No: Ackerly, Bailie ';_ Acting Mayor Measles asked that this be done as soon as possible. MAYOR WILLIAMS RESUMED THE CHAIR. tst C-3 Ord. 1181-86 - Amend. IGIC -Title 8 -Adopting National Fire Code & Uniform Fire Code Mayor Williams asked that "Effective date, Feb. 7, 1987" be added to the ordinance. MOTION: Councilman Ackerly moved, seconded by Councilwoman Bailie, to adopt the ordinance. There was no public comment. Motion passed unanimously by roll call vote. C-4 Ord. 1182-86 - Amend. KMC - Title 6 - Location of Polling Places MOTION p0a°-: 7=rx Councilman Ackerly moved, seconded by Councilwoman Bailie, to adopt the ordinance. KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 9 There was no public comment. Motion passed unanimously by roll call vote. C-5 Res. 87-1 - Authorizing Sale of Govt. Lot 15 to Marvin Dragseth MOTION: Councilman Measles moved, seconded by Councilwoman Monfor, to adopt the resolution. There was no public comment. Atty. Rogers stated this meets the criteria of the Code. Councilman Ackerly asked, what is a small parcel? Atty. Rogers replied, this was used in the past for Alaska Statebank. A small parcel is what the Council says it is. Councilman Wise said this has been released for sale. It should be the same as Dave Brown's request for Section 36 purchase, it was not for sale without an ordinance to make it available for sale. Land Specialist Gerstlauer said the area is approximately 5 acres. In Mr. Brown's case it was set aside for public use, the ordinance was to make it available for sale. We do not have to make all lands available by ordinance. Councilman Measles said Dave Brown is an adjoining owner, and his land area is smaller than this one. Atty. Rogers said this is not a small parcel. This would get them on the tax rolls when they are not acceptable as a separate parcel to be utilized. Mrs. Gerstlauer said one acre is developable, the rest is swamp. Atty. Rogers replied, that is a different situation. Councilman Measles said we could not judge if the property is of value to anyone else or how much can be developed. Mr. Brown's case and this are similar, we should be consistent. The intent of the ordinance is for small areas of no value to anyone else. Councilman McComsey asked if he could still match the bid if it was put up for sale. Atty. Rogers replied, probably. MOTION, Table: Councilman Wise moved to table the resolution. MOTION, Withdraw: Councilman Wise withdrew his tabling motion. Mayor Williams explained, Section 36 land requested by Mr. Brown was set aside for special purpose and was not for sale, this land was available for sale. City Manager Brighton explained, he thought this was the easiest way to resolve the problem. Mr. Dragseth has the only access. Size, location and shape were all in the criteria. VOTE (Failed): Yes: Williams, Monfor No: Wise, Ackerly, Bailie, McComsey, Measles Councilman Wise noted Council has not objected to the sale, but it should be by bid. Council agreed to the statement. Mayor Williams said if it is offered for sale, there is no legal access. Adjoining property is _— KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 10 owned by Mr. Dragseth or the City. Council will have to make provision for access. Councilman Wise suggested the sale state there is limited access. C-6 Res. 87-2 - Awarding Contract of Recreation Center Flooring to Peninsula Flooring Center - $7,450 MOTIONS Councilwoman Bailie moved, seconded by Councilman Ackerly, to adopt the resolution, with substitute resolution submitted this date. Recreation Director McGillivray asked for an additional $827.15 to carpet the pool/game room. At the time of the request, the carpet was not bad, but it is now. He has $9,000 in the budget. MOTION, Amendment: Councilman Measles moved, seconded by Councilwoman Bailie, to amend the resolution to include additive alternate #1, $2,377.15. VOTE, Amendment (Failed): Yes: Bailie, Measles, Monfor No: Wise, Williams, Ackerly, McComsey, =r MOTION, Reconsideration: Councilman McComsey moved, seconded by Councilwoman Bailie, to reconsider the resolution. Motion passed by unanimous consent. Finance Director Brown explained, there is enough to cover the excess, it is under $1,000 and does not have to come back to Council. MOTION: Councilwoman Bailie moved, seconded by Councilwoman Monfor, to add the added alternate $1 to bring the total to the required amount and Administration will find the additional. Councilman Wise said we will have a $400,000 shortfall in income. It is time we start cutting the current budget. Councilwoman Monfor said the area is in need of carpet. It would be better to spend a small amount now than a large amount later. Councilman Measles said the last area to cut is allowing public buildings to deteriorate. VOTE, Amendment: Yes: Williams, Bailie, McComsey, Measles, Monfor No: Wise, Ackerly VOTE, Main Motion as Amended: Yes: Williams, Ackerly, Bailie, McComsey, Measles, Monfor No: Wise I KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 11 C-7 Res. 87-3 - Award Bid - Senior Citizen Van - Craycroft Chrysler - $16,701.70 MOTION: Councilman Ackerly moved, seconded by Councilman McComsey, to adopt the resolution. There was no public comment. Councilman Wise asked, why are we using volunteer moneys and sending money back to the State? City Manager Brighton replied, this awards the van and the radio. The wheel chair lift is not part of the resolution. T'::cy are negotiz Uiiq with Easter Seals Society to provide the lift. If we cannot buy it, the remainder will go back. Councilman Wise said we are obligating $16,000+, we are asking Easter Seals for $3,000+. It would appear we are creating more problems for Finance Dept. by sending back $3,000+ and asking the public to come up with $3,500. Program Director Porter said she was contacted by Easter Seals as to what is needed. She needed a wheel chair lift, they said they would pay for it. She will use the left -over funds for winter tires and other things. She decided the easiest way was to have Easter Seals pay for the lift. There may be some funds sent back. She is still working with Easter Seals. Councilman Wise said we are obligating this amount and will have to pass the wheel chair lift later. Mrs. Porter said she would like to go ahead with the resolution. If she had to come up with the lift portion, she can come back for that. Councilman Measles said she cannot order the vehicle till they know about the wheel chair lift. It is factory installed. City Manager Brighton asked, how vital is the chair lift? Mrs. Porter replied, it is vital. Mr. Brighton asked if we had one before. Mrs. Porter replied yes, but they did not use it. They inherited it from the Salvation Army. Mr. Brighton noted, we disposed of the wheel chair lift before we disposed of the vehicle. Mrs. Porter said we have additional older people. -A1 VOTE: Motion passed unanimously by roll call vote. C-9 Renewal of Liquor License - Windmill Restaurant Approved by Consent Agenda. C-10 Renewal of Liquor License - Mr. D's, King Oscar's Eadie's Frontier Club Uptown Motel/VIP Lounge Rainbow Bar & Grill MOTION: Councilman Ackerly moved, seconded by Councilman Measles, to send a letter of non -objection to ABC regarding the applications. Motion passed by unanimous consent. C-11 Renewal of Liquor License - Eagles Club 83525 I r— KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 12 Approved by Consent Agenda. C-12 Renewal of Liquor License - Peninsula Moose Lodge #1942 Approved by Consent Agenda. D. REPORTS D-1 City Manager City Manager Brighton spoke. a. Building Permits Report: 1985 - 79 single 1986 - 33 single b. C. d. MOTION: 1985 - $4,600,000 commercial 1986 - $15,000,000 commercial Of the $15 Million, $6.7 Million is non-taxable, the remaining $8.3 Million is taxable. That is up 80%. The Community College is having a "Building Better Boards" course. Last year Administration contacted all comet/comet, the City paid the tuition. He suggested it be offered to all new members, including Council. Council agreed to the suggestion. The Borough Planning Dept. is asking for a decision regarding the Comprehensive Plan. He asked for a work session to resolve this. The Plan has not been adopted. He suggested he work with the Borough and report to Council at the Jan. 21 meeting. Council agreed to the suggestion. Council has placed the comm/camm reports at the beginning of the agenda. He asked if Administration reports could remain at the end of the meeting. The comm/comm chairmen wish to leave early, but Administration would prefer to review actions of Council during the meeting. Councilman Ackerly moved, seconded by Councilwoman Bailie, for Commission/Committee reports to be after "Persons Present Scheduled to be Heard" on the agenda, "Administration Reports" at the end of the agenda. VOTE (Passed): Yes: Williams, Ackerly, Bailie, McComsey, Monfor No: wise, Measles D-2 Attorney None D-3 Mayor's Report Mayor Williams spoke. a. Regarding the Annual Conference on Alaska's Resources meeting in April (item D-3). He asked if Council was interested. Councilwoman Bailie noted she would like to attend if Council approves. No action taken by Council. I r 2,77.1 .3 .&M ai KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 13 •L�.� b. Mayor Williams and Barry Thomson attended an ANWR meeting in Anchorage Jan. 5. Their comments were well -received. c . He has received a letter from Hope Cottage in "Cii,"...., >Y-•:!.-ii rye.-.. Anchorage. There are Kenai people there. They are asking for verbal support from Council. No action taken by Council. d. Appointments to Comm/Comm: Wildwood Advisory Board - Councilwoman Monfor �4 4R ;• Council on Aging -Sylvia Johnson - Re -appointment sr - Re -appointment Y=�= Shirley Henley �3 Betty Warren - Re -appointment Fiocla W11son - Appointment . k Patrick Cartee Appointment Appointment Beautification -Harry Lewis - Landscape -Doug Sloan -Appointment Carolyn Osborne -Appointment Economic Development - Darren Bond - Appointment Library - Ron Chappell - Appointment y M _ Personnel Arbitration - Robert Summers - $�77A Appointment Gene Burden -Appointment Ron Malston - Appointment 3 Mike Baxter - Confirm Roger Holl Confirm Planning &Zoning - Mar j O' Reilly -Appointment szy�l; Gloria Church -Appointment ;fir L Leighton Misshou -Appointment £x •a Parks & Rec - Dale Sandahl - Appointment Cynthia Salazar - Appointment ndYF5� 4 �t �n Harbor -Barry Eldridge -Appointment Council approved the actions as submitted. r2�E • �.z 4 - {; �i. e. Regarding the Airport Committee and Harbor Commission. We have other transportation problems in the City that could be reviewed by a transportation commission. Government entities have no problem with combining the 2. It has been done before. There is no problem with co -mingling of assets, the Finance Dept. can take care of that. An airport commission could review all Yuri = r x r n. material and bring it back to Council. y.,. Councilwoman Bailie said we need an airport commission more than we need a harbor commission. ,, ' We are not looking at a full blown harbor any more. Mayor Williams said a transportation comm. could hasten Federal funds for a 4-lane Spur e`b':. Hwy. Councilman Ackerly said a commission does 1 very little regarding Federal funds, Administration does the grant writing. Mayor Williams said the idea was to increase the number xY Ah to 9, 4 for airport and 4 for harbor, with one chairman. He has asked Administration to prepare an ordinance for an airport commission. councilman Ackerly noted there are things that need to be s •_:- . -_' done this summer with the harbor commission. City y �u Manager Brighton said over the past 7 years the airport has expanded itinerant parking, remodels the terminal, expanded the apron, painted the runway, worked with the float plane basin, �l 3 i fi expanded and improved parking to an amount of $5-$6 Million. Why do we need a commission now? ir} Councilman Wise said we do not know the needs of the airport tenants, what action is being taken to fill up the lots, if sanding and cleaning is adequate, etc. we do not hear till there is a KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 14 problem. It is a $50 Million project. The taxiway was done because we were going to lose $400,000 in AIP moneys. Mayor Williams asked for a vote of Council regarding the preparation of an airport commission. VOTE (Passed): Yes: Wise, Ackerly, Bailie, McComsey, Measles No: Monfo:: Mayor Williams abstained. Airport Manager Ernst reported the safety zone project was submitted the same time as the float plane basin. It was not a last minute project. It was proposed if we could not get the basin done. Mayor Williams asked that an ad be placed in the newspaper asking for volunteers for the airport commission. f. Councilman Ackerly suggested the Airport Manager and Public Works Director be added to the agenda under reports. Council agreed to the suggestion. D-4 Clerk Clerk Whelan spoke. a. A telephone poll was conducted Jan. 2, 1987: Shall the Council award Ticket Counter Const. & Installation project, to 4-D Interiors for $3,899? Vote - 4 yes, 3 unable to reach. b. Council had requested the Clerk obtain an estimate of costs to place the entire agenda in the newspaper. For a 2 page agenda, the cost would be approximately $100 per notice. Mayor Williams suggested limiting it to 1) Persons Present Scheduled to be Heard and 2) Public Hearings. Councilman Ackerly suggested it be placed as a display item rather than a legal notice. Council agreed to the suggestions. Polly Crawford, Peninsula Clarion, said there is an article on the agenda before every Council meeting that includes public hearings. C. Councilwoman Bailie asked about the suggested ad regarding the accomplishments of the year. Clerk Whelan replied she and City Manager Brighton were to work on it after the 1st of the year. Mr. Brighton said the Peninsula Clarion had an article on all projects done in the past year. Councilwoman Monfor said she had thought it would be mailed to the citizens, using the Capital Improvement Projects list. Councilwoman Bailie said we have done many things right, we provide more services at a low mill rate. It should be stated. D-3 (Contd): Mayor Williams noted Friendship Air will have their inaugural flight Jan. 16. D-5 Finance Director None D-6 Planning & Zoning KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 15 None D-7 Harbor Commission None D-8 Recreation Commission D-9 None Library Commission Chairman Swarner spoke. a. She has been re-elected chairman. b. She thanked Council for changing the agenda and thought Administration reports should stay at the end. c. The library has 609 volunteers in December, 3 full time people. 300 people attended the open house. She thanked Council for the $100 donation. d. The Friday Night Flicks have started. E. MINUTES E-1 Regular Meeting, Dec. 17, 1986 Councilman McComsey asked that page 3, item C-3, the numbers be changed to $1,700 for 1985 and $874 for 1986. Council approved the minutes as amended. F. CORRESPONDENCE None mg l. G. OLD BUSINESS :�. None H. NEW BUSINESS lyi��T*.fyt H-1 Bills to be Paid, Bills to be Ratified MOTION: Councilman Measles moved, seconded by Councilwoman Bailie, to approve the bills as submitted. Motion passed by unanimous consent. H-2 Requisitions Exceeding $1,000 Mayor Williams noted the PO to Ross Services for $5,400, snow plowing, distributed this date. MOTION: Councilman Wise moved, seconded by Councilwoman Bailie, to approve the requisitions with the additional $5,400. Motion passed by unanimous consent. H-3 Ord. 1183-87 - Finding City -Owned Land Not Required for Public Purpose - Section 36 ry��, 03 KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 16 MOTION: Councilman Ackerly moved, seconded by Councilwoman Monfor, to introduce the ordinance. Councilman Wise had a concern with Section 2, it states auction will be with no right of refusal. Mr. Brown should be granted 1st right of refusal. MOTION: Councilman Wise moved, seconded by Councilwoman Bailie, that the appropriate site be guaranteed that 1st right of refusal be granted. Atty. Rogers explained Section 2 refers to 5% real estate commission. Councilman Wise asked if Mr. Brown had 1st right of refusal. Atty. Rogers replied, he has no preference till he has made a good faith deposit after the land is available. MOTION, Withdraw: VOTE: Councilman Wise, with consent of second, withdrew his motion. Motion passed by unanimous consent. H-4 Ord. 1184-87 - Amend. KMC Title 21 - Providing for $500,000 Limit Policy Insurance Requirement Approved by Consent Agenda. H-5 Disc. - HEA Letter - Bradley Lake Project/Railbelt Energy Fund Mayor Williams asked if Council wanted a resolution prepared. He is not sure if we should pass a resolution till we know what the State Administration will do. It will cost the State $91 Million to abandon, $356 Million to complete. Councilman Ackerly asked that it be on the Feb. 4 agenda. Mayor Williams asked that Kent Wick be asked to speak. City Manager Brighton noted HEA had a meeting this date, he will distribute the material to Council. Council agreed to the suggestions. H-6 Assign of Lease - D&D Enterprises to Galaxy, Inc. - Travel Agency, Airport MOTION: Councilman Ackerly moved, seconded by Councilwoman Bailie, for approval based on Atty. Rogers' contingency in his memo. Motion passed by unanimous consent. H-7 Disc. - 87-88 Capital Improvement Project Priority List Public Works Director Kornelis reviewed. The changes are from the work session of Dec. 29. He had suggestions as stated in his memo. Councilman Ackerly asked if the picture could be changed to show a project using State funds. Mr. Kornelis explained it has to be KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 17 engraved, but it could be done next year. Mayor Williams noted the golf course will be increased to 18 holes and.will increase traffic on Candlelight. Last year Public Works did dust control, it did not work. The cost was such that it would be paved in 4 years at the cost. He asked to be on record regarding paving Candlelight. Councilwoman Bailie suggested putting signs on Tinker and Lawton directing to the golf course. Mr. Kornelis replied it has been started. MOTION: Councilman Wise moved, seconded by Councilwoman Bailie, to adopt the City of Kenai's 1987-88 Capital Improvement Project List Request For State Grants as amended and shown on Attachment A, attached hereto. Motion passed by unanimous consent. H-8 Rescission of Lease - Blue Mountain Ventures, FBO S/D MOTION: Councilman Ackerly moved, seconded by Councilwoman ems, c" Monfor, for approval provided they are current in their rrJ t�z{ lease. -`x Land Specialist Gerstlauer explained, they have leased ' W �_.. the building that AAI Freight was in. They are from not Anchorage. The lease if for 5 lots that are =q ,� developed. They are asking to rescind on those 5. It is 99 lease, beginning in 1980. City Manager a year Brighton explained, from a legal standpoint, the City can hold them to the lease till they can make it profitable or rescind and make 3 lots available for ag development. They have said they have no ideas or projects. Councilwoman Monfor said at one time Ski No had an area for sale when he had a lease. Can they do the same thing if they found some one with an idea? Answer - yes. Councilman McComsey asked if there were other lots available. Mrs. Gerstlauer replied, at the Y= other end. Atty. Rogers noted they would be willing to ' lease if anyone wanted them. Councilman Wise said it does not benefit the City to bludgeon business that has suffered from the economy or poor planning. Councilman McComsey asked if each lot was a separate lease. Mrs. '==�-.z-:1,L.•.. Gerstlauer replied they would be in default of all if they stopped paying on any. They want a partial <A rescission. Councilwoman Bailie suggested putting in ti'Er= the lease that if there was any reason for rescission there would be a penalty. Atty. Rogers replied, it could be done but he suggested not putting it in the lease because the City may not want to enforce it. By not putting it in the lease, we keep our options open. rtr3` Councilwoman Monfor said she did not want people to s think that it is easy to rescind. Once a lease is rescinded, can people come back if the economy picks up? Atty. Rogers replied once they rescind a lease they have no grandfather rights. Mayor Williams ;::�--•- suggested Administration enter into negotiations to see y., what it is worth to them. He suggested a 6 months or y«4'= one year penalty. A. Motion passed by unanimous consent. ...:. u-- H-9 Float Plane Facility a KENAI CITY COUNCIL JANUARY 7, 1987 PAGE 18 Councilwoman Bailie expressed concern regarding seeding, etc. $124,000 is high. she suggested doing this in-house. Is the $196,000 for inspection, etc. included in the basic bid? Public Works Director Kornelis explained, there was a mistake in the water. That is a normal price. Headworks is control of water. Councilman Ackerly said he objected to the $196,000 inspection fee. He suggested doing a design -build. would FAA accept it? Mr. Kornelis replied, FAA has already accepted. Atty. Rogers said a design build is professional services. This was done in Juneau and stopped in the courts. Mr. Kornelis added, a design build is going out to bid and saying what we want. This is already out. Also, Mr. Nelson is using the maximum amount. The $196,000 is from the original proposal, we are not locked into this. Councilwoman Bailie asked if it is difficult to have someone else come in with some other engineer. Mr. Kornelis replied it is not usually done. Councilwoman Bailie suggested we delete anything in reference to seeding. Councilwoman Monfor wondered how we could do this after the budget discussion. Councilman Wise said the time for that is when we go for bid. The seeding could be an additive alternate. Councilman Ackerly asked why there were 2 top soil prices. Mr. Kornelis replied, there is a difference in hauling distance. Council took no action. ADJOURNMENT: Meeting 'adjourned at 11:55 PM. Janet Whelan v City C1e1k