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Home My WebLink About1986-06-18 Council Minutes„..r r AGENDA KENAI CITY COUNCIL - REGULAR MEETING 3UNE 189 1986 - 7:00 PM PLEDGE OF ALLEGIANCE A. ROLL CALL Be C. 0 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 requestst 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 0*ders. PERSONS PRESENT SCHEDULED TO BE HEARD (10 min.) 1.• Marko Zurak, Doyle Conet. - Utilities on Projects of Doyle Conet., Handling and Procedures of Projects PUBLIC HEARINGS 1. 2. 3. 4. 5. 6. 7. Be. 9. 10. 0 _ If Ord. 1130-86 - Amending Kenai Municipal Code - Zero Lot Line Development -.... a. Substitute Ord. 1130-86 Ord. 1131-86 - Amending Kenai Municipal Code Townhouse Development 8. Substitute Ord. 1131-86 Ord. 1144-86 - Amending Kenai Municipal Code - City }, Parke ” Res. 86-56 - Transfer of Funds - Senior Citizens Project - Admin. Aset. Take Over Project Director Duties - $1g166 - Res. 86-57 - Transfer of Funds - Senior Citizens Project - Vehicle Maintenance - $19053 Res. 86-58 - Transfer of Funds - Plana for Automated Flight Service Station - $79000 Res. 86-59 - Transfer of Funds• - Sewer Lift Station �_� Pump - $I p755 Res. 66-60 - Awarding Contract - Communications Maintenance - Southcentral Communications - $109344 Res. 66-61 - Transfer of Funds - Cook Inlet View, - --- -. Lilac - Inspection - $6p830 Res. 66-62 - Awarding Bid - Cook Inlet View# Lilac Surveying and Engineering Inspection - M. Tauriainen - $431,930 D. E. F. G. H. I. MINUTES 1. *Regular Meetings May 219 1986 P 2. *Regular Meetings June 49 1986 CORRESPONDENCE OLD BUSINESS NEW BUSINESS' 1. Bills to be Paid, Bills to be Ratified •- 2. Requisitions Exceeding $19000 3. *Ord. 1145-86 - Amending Kenai Municipal Code - New Position - Aset. City Attorney 4. *Ord. 1146-86 - Amending Kenai Municipal Code Penalties and Remedies - - -- =T— S. Ord. 1147-86 - Increasing Rev/Appne - Senior Day Care Donations - $183 w . .n. a. Public Hearing, Ord. 1147-86 6. *Ord. 1148-86 - Incress. Rev/Appne - Float Plane Basin- Land Acquisition - $1609000 { 7. *Ord. 1149-86 - Amending Kenai Municipal Code - °= _ c _ Landscape Regulations G. *Ord. 1150-86 - Increasing Rev/Appne - Float Plane a •• Basin - Design - $1109000 9. Approval - Request for Extension of Drilling Permits, Cannery Loop Wells 01 & #3 10. Approval - C. Gintoli - Kenai Community Center Transfer of Funds - $8p050 Y. 11. Disc. - Federal Revenue Sharing 12. Disc. - Kensitze Tribe Use of Property - Ames St, 13. Disc. - Water & Sewer Service to West of City Limits Down Spur - . ....... _ 14. A roval - Revision of Construction - Dan Roberts Baron Pk. S/0- REPORTS 1. City Manager'` 2. City Attorney 3 e Mayor 4. City Clerk 5e Finance Director =...x.` - 6 e Planning & Zoning 7. Harbor Commission Be Recreation Commission 9e Library Commission PERSONS PRESENT NOT SCHEDULED TO BE HEARD (5 min.) - ADJOURNMENT U o rr r.�5ou --•.tee-rye-^'----s-.. � � �� _ .1 � KENAI CITY COUNCIL, REGULAR MEETING, MINUTES 3UNE 189 19069 7s00 PM KENAI CITY HALL MAYOR TOM WAGONER PRESIDING PLEDGE OF ALLEGIANCE - A. ROLL CALL Presents Ray Measles, John Wise, Tom Wagoner, Jess Hall Absents Chris Monfor, Tom Ackerly (excused) -• -= Sally Sallie (arrived late) A-1 Agenda Approval 6. Mayor Wagoner noted a packet of information was distributed 6-17. b. Mayor Wagoner noted amendments to item C-19 Ord. - - -:;, 1130-86, and C-29 Ord. 1131-86 were distributed in the 2nd packet c. Mayor Wagoner asked that item G-10 be deleted as the work cannot be done till after the 3une 24 election. Council approved the agenda as amended. A-2 Consent Agenda MOTION: Councilmen Measles moved, seconded by Councilman Hall, to approve the Consent Agenda as submitted. - Councilman Wise asked that item G-79 Ord. 1149-86, be deleted from the Consent Agenda. Motion passed by unanimous consent. , - COUNCILWOMAN BAILIE ARRIVED AT THIS TIME, 7s05 PM. B. PERSONS PRESENT SCHEDULED TO BE HEARD B-1 Marko Zurek, Doyle Const. - Utilities on Projects of Doyle Const., Handling A Procedures of Projects - = Marko Zurak, Doyle Construction. They are in the latter stages of one pro act (Inlet Woods), and beginning another (Eagle Rock, etc.. Inlet Woods was a "contractor's dream" as for as utilities, etc* were concerned. He distributed material to Council. The project was divided into 2 stages. --° - - The contractor would do phase It when complete they would go to phase 2 so the utilities could be done. It should have worked, but when the work woe complete and utility compenAse .. went in to do the work, there were gaga. Doyle had to devise the project and submit it to the City to be done by Oct. 1985. There was not enough to go through 1966. The utility companies come in on Aug. 1. That dead line was to in till Aug. 15. There,..:'�T, __ a Important. They did not have come was a meeting on 3uly 15# the utility coo* said they would y. have the utilities done by Aug. 11 if they could come in by they Aug. 1.Doyle Const, thought that was okoyt were The utility cos. started about Au . 6. At virtusily done. y - the Aug. meetings the phone co., HEA and Enster as d they had no contract to do phase 2. The first time they sold that woo at pre -bid. Doyle got to phose-2 end there were .problems. They had to coordinate with someone who did not Cor.thell A hove a contract. They were approached by Mince. Bryson, who asked for costs for Doyle to put crossings on phase 2. Doyle said okay, they acquired voter, contacted _ HEA. The cost was $79500. This was accepted by McLons'.a y,- (owners). Doyle put them on the project site. They stopped t= another job to do this. The follow ng Monday they were told by McLane they did not want them to do this, they would do ` their own bore. Doyle did the street, curb and gutter work Co and hauled in crush. They got a letter from Wince, rthell KENAI CITY COUNCIL DUNE 189 1986 Page 1 do Bryson saying Enster would do crossings. At the time they did not have a contract. Doyle felt this wee the wrong time, they could do it when Doyle finished their underground, so they said no. They received a letter from the City saying they were not cooperating, it wca herd to cooperate when it was spelled out phase 2 would be done May 15 to June 15. Doyle said they would do phase 2 this year. The letter from the City was dated Oct. 1985. The request from Wince, Corthell 6 Bryson to do crossings was dated Oct. 1985. Doyle felt they were delaying them from paving. In phase 1 they lost 3 to 3-1/2 weeks with problems. With phase 2 they lost 8 months. The underground work on crossings started Aug. 15. They completed it June 1986. It is to the City's benefit to have this completed as soon as possible. They will collect assessments when it is complete. Doyle has to complete their work in 2 weeks. A 3 week delay plays an important part. In the contract it states the City will suffer financial losses if it is not completed. The contractor will pay the City $450 per day for each day till complete. Mr. Zurek submitted some suggestions for future LID's. Doyle had no problems with the project, but the time lost carried it to the following year. Their warranty will not start till the work is complete. He is asking Council to have s work session to discuss this. Atty. Rogers noted to Council that they should be aware that this may be a claimant against the City i and he cautioned them that if they wished to negotiate t is their prerogative. If note it will come to the Legal Dept. Mr. Zurek added, if a project goes over time, it is never looked at. Mayor Wagoner stated Council did not wish to discuss at this time. Mr. Zurek said there is some serious planning to be done for future LID's. Atty. Rogers explained, if the City acknowledged any problems at this time it would be a factor against the City in future dealings. Mayor Wagoner noted there is a City ordinance requiring location of utilities. Public Works Director Kornelis explained, in this case the utilities worked together to put them in the some corridor. Mayor Wagoner noted there are 2 problems to solve. The problems with Doyle Const. should be handled administratively, and a work session can be scheduled for general problems with LID's and utilities. Council agreed to the suggestion. C. PUBLIC HEARINGS C-1 Ord. 1130-86 - Amending KMC - Zero Lot Line Development a. Subst. Ord. 1130-06 MOTION: Councilman Wise moved, seconded by Councilwoman Bailie, to adopt the ordinance. There was no public comment. MOTION, Amendments CounoilMsn Wise moved, seconded by Councilwoman Bellies to essbnd the ordinance, 14.20.161 (b) (4), change 305 to 40X* total building coveregs.1 and.lines 3 &41 delete the words, *ln,RR and RS xones and 40% of the lot sees in the RU zone." Hs 1urthet amended the ordinance by -adding 14.20.161 (b) M Side yard set booke.should be 10 ft. for single floor,.15 ft@ set beak for 1-1/2 and 2 story. VOTE, Amendments Motion passed unanimously by roll call vote. „s KENAI CITY COUNCIL DUNE 18, 1986 Page 2 NOTION, Amendments Councilwoman Sailte moved, seconded byy Councilman Hall, to amend the ordinance, 14.20.161 (b) (3), change 45 ft. to 40 ft, minimum width. VOTE, Amendments Motion passed unanimously by roll call voter. There wee no public comment. VOTE, Main Motion as Amended: Notion passed unanimously by roll call vote. C-2 Ord. 1131-86 Amending KMC - Townhouse Development MOTION: Councilmen Wise moved, seconded by Councilwoman Bailie, to adopt the ordinance. MOTION, Amendments Councilman Wise moved, seconded b Councilwoman Bailie, to amend the ordinance, 14.20.160 (b� (6) (1), change 30% to ., 40% total building coverage; lines 2 6 3, delete the words "in the RR and RS zones and 40% of the lot area in the RU zone." He further amended the ordinance, 14.20#160 (b) (10)9 add the words "except for side yard set backs" at the end -of the sentence. VOTE, Amendments Motion passed unanimously by roll call vote. PUBLIC COMMENTS a. Building Inspector Hackney. He agreed with Councilman Wise, and asked that Ord. 1130-66 oleo be amended. Atty. Rogers referred to his memo and noted the specific will control the general. MOTION, Amendments Councilman Hall moved, seconded by Councilman Wise, to emend the ordinanoe, 14.20.160 (b) (10), delete the paragraph in its entirety. VOTE, Amendments Motion passed unanimously by call call vote. VOTE, Mein Notion as Amendeds Motion passed unanimously by roll call vote. C-1 Ord. 1130-96 MOTION, Reconsiderations Councilman Vigo moved, seconded by Councilmen Hell, for immodists reconsideration of Ord. 1130-86. VOTE, Reconsiderations Motion passed unanimously by roll call vote. F) • Q! . IG -J._. ,... ._ : _ �rt<•---f'----:ter--.�--�------•^_--�[--�-^-._. ^-•_— __—. __ _ '�i'. KENAI CITY COUNCIL 3UNE 189 1986 Page 3 MOTION# Amendments Councilmen Wise movedq seconded b Councilwoman Bailie, to amend the ordinance, 14.20.161,(b� (7), delete the paregreph in its entirety; 14.20.161 (b) (8)9 change to 14.20.161 (b) (7)• VOTE, Amendment: Motion passed unanimously by roll call vote. MOTIONS Main Motion as Amendeds Motion passed unanimously by roll call vote. C-3 Ord. 1144-86 - Amending KMC - City Parke MOTIONS Councilmen Measles moved, seconded by Councilwoman Beilie, to adopt the ordinance. PUBLIC COMMENTS a. Loretta Breeden, 1602 Barabare, Kenai. She asked that the ordinance be amended that there be no launching of boats by trailer at Cunningham Pk. Many times there may be 40-60 people fishing there, it is one of the good areas to fish on the river bank. Launching boats interferes for 15 minutes to 1/2 hour. Trucks with trailers go down on the gravel and mud. People park on Beaver Loop Rd. She had no objection to canoes. There is a terrible amount of erosion. Mayor Wagoner noted the ramp is steep and people also have trouble stopping their boats. MOTION, Amendments Councilwoman Beilie moved, seconded by Councilman Wiest to prohibit boat launching at Cunningham Pk. Recreation Director McGillivray suggested filling in the ramp that is theret it cannot be watched 24 hours a day. b. 3ohn Williams, 306 Candlelight, Kenai. He suggested Administration research the wording of the Cunningham Pke donation to see -; rights were reserved to launch boats. MOTION, Withdrawals Councilwoman Bailie moved, with consent of seconds to withdraw her motion. Mayor Wagoner asked that Atty. Rogers review the agreement. Recreation Direction McGillivray suggested some of the parks have no cooking facilities and camp sites, there should be a review of fee schedules. Council agreed to have a fee schedule for the 3uly 2 meeting. Councilwoman Bailie suggested making the municipal park part -camping and part -picnic. Council agreed the Recreation Commission should review all euggostions and then Council will have a work session. VOTES Motion passed unanimously by roll call votes o. n �I KENAI CITY COUNCIL JUNE 189 1986 Page 4 C-4 Res. 66-56 - Transf. of Funds - Senior Citizens Project - Admin. Aeet. Take Over Project Diroator Duties - $19166 MOTION: Councilmen Measles moved, seconded by Councilwoman Bailie, to adopt the resolution. There wee no public comment. Motion passed by unanimous consent. C-5 Res. 86-57 - Trans. of Funds - Senior Citizens Project - Vehicle Maintenance - $19053 MOTION: Councilman Measles moved, seconded by Councilmen Hall, to adopt the resolution. There was no public comment. Motion passed by unanimous consent. C-6 Res. 86-58 - Transf. of Funds - Plane for Automated Flight Service Station - $7,000 MOTION: Councilman Hall moved, seconded by Councilman Measles, to adopt the resolution. There was no public comment. Motion passed by unanimous consent. C-7 Res. 86-59 - Transf. of Funds - Sewer Lift Station Pump - $1, 755 MOTIONS Councilman Hall moved, seconded by Councilwoman Dailies to adopt the resolution. There was no public comment. Public Works Director Kornelis reported this is a spare. Motion passed by unanimous consent. C-8 Rea. 86-60 - Awarding Contract -Communications Maintenance- Southoentral Communications - $109344 MOTIONS Councilman Hall moved# seconded by Councilwoman Sallies to adopt the resolution. PUBLIC COMMENTS 9. Mike Sesrsys Chugiaks Motorola. Motorola has just opened a new shop in Kenai. They are now more convenient for the City. Motorola is supported in Kenai and Anchorage by a full complement of engineering staff and a company that is world wide. He felt his bid was goods but.•the added alternate was highs he asked Council to consider this. Notion passed by unanimous consent. 91 �Y 1 u <. LA� KENAI CITY COUNCIL DUNE 18, 1906 Page 5 C-9 Res. 86-61 - Transf. of Funds - Cook Inlet View, Lilac - Inspection - $60830 MOTIONt Councilman Measles moved, seconded by Councilwoman Bailie, to adopt the resolution. There was no public comment. Motion passed by unanimous consent. C-10 Res. 86-62 - Award Bid - Cook Inlet View, Lilac - Surveying, Engineering Inspect. - M. Teuriainen - $439830 MOTION: Councilman Hall moved, seconded by Councilman Messiest to adopt the resolution. There was no public comment Motion passed by unanimous consent. D. MINUTES D-1 Regular Meeting, 5-21-86 D-2 Regular Meeting, 6-4-86 Approved by Consent Agenda. E. CORRESPONDENCE None F. OLD BUSINESS None G. NEW BUSINESS G-1 Bills to be be Paid, Bills to be Ratified MOTION: Councilman Measles moved, seconded by Councilman Hall, to approve the bills as submitted. Motion passed unanimously by roll call vote. G-2 Requisitions Exceeding $1,000 MOTIONt Councilman Hall moved, seconded by Councilman Measles, to approve the requisitions as submitted. Councilmen Wise asked about the computers for Public Works - Public Works Director Kornelle explained, this is not a word proeessorl there are 15 uses for it, including engineering, graphs, cost edtimetee- Councilman Wine asked about the gravel, ordered 2 times. Public Works Director Kornelie explained, the let project is $3.25 cuo yd, it is in the pit. The other to $6.00 cu. yd; it is delivered, Councilman Wine asked if this is part of the WOOD appropriated last year for gravel. Answer, yes. Councilman Wise asked that the roads needing gravel be taken care of. U, L cam, u_= j. 7--hX - -i:�?ice':._ n " At =-- �AY+�+—�I/MF�cSiMR11G�1�lMTfeiJ KENAI CITY COUNCIL =` 3UNE 189 1986 Page b Councilwoman Bailie asked if we have been doing dust control. Public Works Director Kornelis repliedg they will start July 1 and do about 4-5 miles of mad. There has been some on Berabarat there will be more. Councilman Measles noted we are replacing the wow - processors with IBM to be compatiblot the Apple computer (listed) is not. Public Works Director Kornelis repliedt Apple is better for the work he is doing, exceeds IBM for data and will tie into 'IBM. It also has a good word processor. Motion passed by unanimous consent. G-3 Ord. 1145-66 - Amend KMC - New Position - Aset. City - - �-- Attorney - = G-4 Ord. 1146-86 - Amend KMC- Penalties do Remedies Approved by Consent Agenda. G-5 Ord. 1147-86 - Inoreeo. Rev/Appns - Senior Day Care „. Donations - $163:.- a. Public Hearing, Ord. 1147-86 MOTION, Councilman Wise moved, seconded by Councilman Measles, to introduce the ordinance. - •=``-,:=:.-=_'=— Motion passed by unanimous consent. - ;v`' Sr. Cit. Coordinator Porter explained, she requested the 2nd reading this date because they will lose the donation if it Is not passed this date. MOTIONS 2nd Reading: Councilman Measles moved, seconded by Councilman Hall# to have 2nd reading this date. �. Motion passed by unanimous consent. ° : _ `- a ;::,:•o,' 1 MOT I ON e Councilman Measles movedo seconded by Councilwoman Bailie, to adopt the ordinance. There was no public comment. . f Motion passed unanimously by roll call vote. Sr. Cit. Coord. Porter reported the Sr. Day Care Program Is J g g They are happy at Ft. Keney. They have 6 nout had rowing 2 in Feb. <` 0-6 Ord. 1148-86 - Increas. Rev/Appne - Float Plane Basin Land "l Acquisition - $16Ot000 : Approved -by Consent Agenda. --' 44 Ord. 11,49-86 Amend, KMC » Landscape Regulations :.u—a ,. MOTIONS 3� Councilman Wise moved, seconded by Councilman Messiest to. introduce the -ordinance. ao •- _ KENAI CITY COUNCIL ,* DUNE 18, 1986 Page 7 7L MO'TIONq Amendments . Councilman Wise moved, seconded by Councilwoman Bailie, to emend the ordinance, 14.25.0309 line 19 keep the number of copies at three. He further amended the paragraph, line 7, add the words# 113rd copy with action taken shall be forwarded to building inspector." Councilman Wise explained, the building inspector does not -- know the changes made. If it is tuined down, a permit may V. be issued inadvertently. Councilman Hall said it is approved by -the Landscaping Bd, before the permit is issued. Councilman Wise noted it does not say that. Council agreed,.°'{ to have Administration review this. Councilwoman Bailie suggested combining the duties of the Landscape Bd. with `- P&Z. We have too many boards for builders. She noted we are doing away with penalties for non-compliance. VOTE, Amendment (Passed): Yeas Meselea, Wise, Wagoner, Bailie I'A Nos Hall `. Councilwoman Bailie said Council should address the problems a _. with a temporary ;t�rtificate. Also, penalties would be set ;; _•.` by the City Manager, that should be changed. MOTION, Amendments Councilwoman Bailie moved, seconded by Councilman Wise, to amend the ordinance, 14.25.060, line 7, sentence beginning "In the event--" should be left in. Councilman Wise said the old language said Council is the only one that can grant a certificate. That is not the intent of Council. We are just talking about landscaping, not code enforcement. Building Inspector Hackney said this Is a zoning ordinance. There are penalties in the zoning ordinance without tying it to a certificate of occupancy. He cannot give them a shorter time then 9 months on any other problem. He cannot give structure and landscaping temporary certificate at the same time. Councilwoman Bailie felt it should be more restrictive. Councilman Measles suggested writing conditions on the temporary certificate that specify. Atty. Rogers explained, that puts the burden on the City. He suggested making it up to 9 months at the discretion of the Building Inspector. He also suggested changing Planning Specialist to Building Inspector. VOTE, Amendments Motion passed unanimously by roll cell vote. Council agreed to have a work session with PbZ and Landscape Bda to discuss combining. Councilman Wise suggested the site plan ordinance should be combined with this ordinance. Councilman Measles noted regarding modifications it does not give the Planning Specialist direction on to whet minor modifications are, if she makes a decision Council does not like, there is no recourse. VOTE, Main Motion as Awendeds Motion passed by unanimous consent. 6-8 Ord. 1150-86 - increas. Rev/Appne - Float Plane Basin - Design - $1109000 Approved by Consent Agenda. nY - h .= P41 KENAI CITY COUNCIL DUNE 189 1986 Page 6 G-9 Approval - Request for Extension of Drilling Permits, Cannery Loop Walla #1 & #3 Mayor Wagoner noted Council had a letter from AK DNR dated June 13 distributed this date. MOTION: Councilmen Wise moved, seconded by Councilwomen Bailie, to approve the request. PUBLIC COMMENT: a. Kevin Tabler, Union 011, Anchorage. In the last year, the working interest owners have met with State and Federal agencies in establishing production of hydrocarbons. They made application for a new application to the State, it was rejected. They have made a new application for Tyonek D, not Beluga. It wee approved, Beluga was disapproved. The March 1 application was submitted for expansion, it was approved. Beluga was resubmitted and approved. All 3 were approved with unit expansion. Surface unit expansion and pipe line work can now start production. Actual extraction cannot commence for 90 days after approval. They can start by July 19 but they do not have the facility in place. b. Loretta Breeden, 1602 Berebare, Kenai. She asked Council to consider, the decision affects royalty and income of the City end shareholders and should not be taken lightly. She asked Mr. Tabler what the outer limits of the 2 Tyonek end Beluga zones are and how would they affect residents. Mr. Tabler replied, the participating area is established. There is no disagreement with that, it has been approved by the State and Federal Governments. He had a map outline. Production cannot commence till drilling is in place. They are in the process of right-of-way acquisition. They hoped to be on last year, they now have approval for this year. They are building the surface facilities this year, they would like to enter #1 and #3 as soon as possible. Mrs. Breeden eeked, what is the participating area? Mr. Tabler replied, Tyonek D is the smallest, Upper Tyonek is next, Beluge is the largest. They took in Section 16 because they thought it would be productive. They are all 3 participating unite. Ruby Coyle eeked, when do they start? Mr. Tabler replied, they will work #1 and 0. The largest Is Beluga. There will be production on those within Beluga. They have plane for 8 more wells to complete development. C. Ruby Coyle, 1412 Barebara, Kenai. She has a letter from Unocal to the State and copies of letters from the AK Oil do Gas Ode that Unocal will drill another well in 1986, to that on schedule? Does AK Oil 8 use Ode hold Unocal to that? Mr. Tabler replied, it is the plan of development. They do this once a year. In 1984 when they filed for participating unit establishment* they were given a time frame Mork schedule. They had to do certain things* 1986 was culminated at drilling. The goal was to get the product started. If there was no market they would ask for on amendment to develop. Re- opening of #1 6.#3 will be that committment. Mrs. Coyle asked* did the committment of Unocal to AK Oil 8 Gas Ode say they would go seat of the 2 wells to find out the perimeters of participating unite? Mr. Tabler replied he does not have that letter. He did not remember the requirements* if was demonstrated with Is �T KENAI CITY COUNCIL 3UNE 189 1986 Page 9 additional work that hydrocarbons did go further east then considered at first. Mayor Wagoner noted the only reason to go east would be to establish unite, they are already established. Mr. Tabler replied, that is moot now, this is the initial contract area, it could be expanded. Motion passed by unanimous consent. ADDITIONAL COMMENT: 9. Jim White, Far North Oil & Gas, Kenai. For North has an interest and has informed the State since 1983 that they have a market. These wells have not yet been put on stream. They have asked for a one year extension. For North has tried every way they know how to get these on stream. Mayor Wagoner explained the State has formed participating unite, they cannot start production till they have a pipeline. Mr.. White replied, he did not care if they had a pipeline. He would like them to put in welle, he will put in his own pipelines. G-11 Disc. - Federal Revenue Sharing Mayor Wagoner said Administration has asked for a work session, then the list (as included in the packet) will be brought back by ordinance. Council agreed to a work session. G-12 Disc. - Kenaitze Tribe Use of Property - Ames St. AttyRogers explained, the Federal Govt. is pre-empted. i The nitial citation given was not correct. The City Is precluded from restricting use of property. The use of mobile home in violation of Kenai zoning low will not stand. Councilman Wise said his understanding was the land wee allotted to an individual, and psesad to the tribe. The allotment statue does not stand. He asked that a title search be done on the property eo the City can determine the legal status of the land. It was up for sale by BIA and sold. Atty. Rogers sold he will get a litigation report. G-13 Disc. - Water 6 Sewer Service to West of City Limits Down Spur Mayor Wagoner asked that this be put on the Capital Improvements List as requested by Arco. There Is a lot of bad water out there. Council agreed to the request. G-14 Approval - Revision of Construction - Dan Roberts - Baron ,Park S/0 MOTION# Councilmen Wise moved, seconded by Councilman Meaeles, to approve the revision. Motion passed by unanimous consent. H. REPORTS 8'Y . .ram KENAI CITY COUNCIL JUNE 18, 1986 Page 10 H-1 City Manager City Manager Brighton spoke. a. Ed Lowry has asked for access to the back side of his property (Kenai Plaza). He distributed material this date. Construction is being held up till access is acquired. Ed Lowry, Kenai. He reviewed the background as stated in the material. Atty. Rogers said he had reviewed this with Public Worke, they are water & sewer easemente, not access easements. Mr. Lowry replied, that is a different thing. They were in the process of granting Attye Rogerseasementsta en� Walker Lane access and deferred him to Public Worka, who deferred him to Planning Secy. Loper. It was approved by P&Z 1-1/2 years ago. Because there is water & sewer there, there did not seem to be a need to spend money for right-of-way through there. Atty. Rogers replied, Mr. Lowry chose not to. Mr. Lowry agreed, adding the question is does he have access. Based on May 239 1964 minutes, no one in the City seems to know. Atty. Rogers replied, it does not exist now and Mr. Lowry wants Council to let him proceed with vacation for access. Mr. Lowry replied it is -his contention it has been approved. Atty. Rogers noted this material was received June 16. Mr. Lowry met with City Manager Brighton June 16. Atty. Rogers has not reviewed the material. Right now there is a water & sewer easement, that is all. Mr. Lowry replied, he felt there was more than that granted and it did not happen. Atty. Rogers replied, it was in 19849 there was no perfection or follow-up. Councilman Wise noted it was not executed by Administration. City Manager Brighton replied it was not Administration's responsibility to execute. Mr. Lowry added, Land Manager Labohn left and it was not done. He requested the City prepare vehicle access agreement for that area, it will stand till it needs to be platted. He will assume the coat of platting. Mayor Wagoner asked if the property problems have been cleared up. Mr. Lowry replied, they will be in a few days. MOTION: Councilman Wise moved, seconded by Councilwoman Bailie, that a vehicle easement which coincides with the utility easement for Lot 1, Block 1, Spur S/D be approved this date. MOTION, Addition: Councilman Wiest with consent of second, asked that the 3-20-84 document be incorporated in the agreement. Councilman Hall said if we are going to grant thiep there should be a public hearing. The people in that area are under the assumption there is no easement there. His Lowry replied, that was included in the public hearing in 1964. P&Z and Council have approved. Mayor Wagoner Bald he is not comfortable with this, he has just received the document, Councilman Hall noted from the minutes he cannot tell if it was approved or not. Mayor Wagoner asked that Planning Sacy. Loper research this. He noted we are still under foreclosure. City Manager Brighton sold without access except for Spur Hwy from McDonelds and the shopping area, we could be responsible for an accident-prone area. There will .g" _..._.- _._. .p...�o `. .. .s,....�... - .. --- — �• -' = - 2_ Jul: KENAI CITY COUNCIL JUNE 189 1986 Page 11 not be a stoplight on Airport Way for at least 2 yeare, it would make sense to provide additional access to businesses other than Spur. Motion passed unanimously by roll call vote. b. Regarding the memo on the landfill site, distributed this date. The Borough wants a time extension and expansion of the site. They had some negotiations# the Borough turned down the City's offer. Councilman Wise asked that the Borough proposals be in writing. c. The Legislative Steering Committee for Municipal League will be here June 26 and 27 and will use the Council chambers to establish recommended legislation from the Legislature at the next session. Soldotne has asked Kenai to share the costs of refreshments at a reception June 26. d. Iry Skelton of the Dept. of Agriculture said he will meet with City Manager Brighton regarding the agricultural site. They will try to work it this summer but do not know beyond that. Mayor Wagoner said the City went to expense for this. Walter Them had said it would be a 10 year period, now they say 2 years. It hoe been suggested the fencing be used for a mobile home park. Mr. Brighton said it would have to be cleared with FAA to have a camper park. VICE MAYOR MEASLES ASSUMED THE CHAIR. b. (contd) MOTION: Mayor Wagoner moved, seconded by Councilwcm9n Bailier that the City reply to the Borough and approach them with a proposal that we will be interested in expending, and approval of DEC temporary use permit for 18 month additional period. Mayor Wagoner explained, the City does not need more land. We are the major land holder in the City. He would like the Borough to get rid of the propertyq but we are creating undue hardship on the City, the Borough and the people by not giving them an additional 16 months. MOTIONO Additions Councilmen Wise, with consent of secondq added to the motion that the Borough address 1) disposition of adjacent land and 2).8 redevelopment plan of land that is not contaminated. MOTION, Additions Councilman Wise, with consent of second, added to the motion that during the 16 month time the Borough locate another land fill. Councilwoman Bailie noted the City sold this g years ego. -Motionp Additiont Councilman Wise, with consent of second, added to the motion that they have 19 months, or lose if it fill* up earlier. r- KENAI CITY COUNCIL JUNE 189 1986 Page 12 MOTION, Addition: Councilman Wises with consent of seconds added to the motion that the Borough plat that tract to identify what will be in the dump and what excluded (the dump plus the 300x1000 area). They would also like the reply in writing. Notion passed unanimously by roll call vote. MAYOR WAGONER RESUMED THE CHAIR. c. (contd) Council agreed to have the reception for AML and split the cost with Soldotna. H-2 Attorney Atty. Rogers spoke. s- He spoke to H. Smith, FAA, The FONSI has been approved and we can proceed with condemnation for float plane basin. Council hoe introduced condemnation for 160 acres by slow take. If it becomes necessary to go to quick take the money can be deposited to court or go back to Council for more. Councilman Wise asked if a slow take enables the City to meet FAA requirements for appropriating ADAP proposal. Atty. Rogers replieds the document would be draftedv Airport Manager Ernst and Atty. Rogers will meet with FAA. They need their concurrence and will ask them those questions before filing. We would have the money in 20 days with a feet take but would not know what we would pay. Mayor Wagoner suggested we only need 2/1/2 or S acre piece. Atty. Rogers explainedg every time we say a different amount we have to re -do and substantiate that amount. We can only take the amount necessary for the project. Our documents say 80 acres are needed. Airport Manager Ernst added, if we change the acreage, the environmental assessment will have to be changed. MOTIONt Councilmen Wise moved, seconded by Councilwoman Bailie, to proceed with a slow take of 80 acres. Motion passed unanimously by roll call vots- H-3 Mayor None H-4 City Clerk Clerk Whelan spoke. s. The judges for the June 24 election will have to be approved by Council. Grace Cols, precinct 01s will be unable to serves she has been replaced by Ginny Atchison. MOTION Councilman Wise moved, seconded by Councilwoman Beilies to approve the judges as submitted, notion passed by unanimous consent. "sl J. 4. f d L J . KENAI CITY COUNCIL DUNE 189 1966 Page 13 b. Council requested the Clock check with other cities in the Peninsula regarding the additional costs of the Comprehensive Plan and CCC request for more money. Seldovis was not askedp Soldotna did their own printing contracting* Council Homer was nagreed to discuss ot sokedq Seward dthis id hatrthe n July 2 meeting. as There is a total of 32 absentee votes at this date for the June 24 election. This is a good turnout. d. Included in the packet is a reply from U.S. Dept. of Justice. The Clerk had submitted the City Code in its entirety for preclearance, but the Atty. Genl's office has required a breakdown of each amendment to the Code since 1972. This will require ordinancesq minutes# voteep publicity# correspondence and effect on minorities. e. Council had requested information on purchase of a flag for. City Hall, the information is in the packet. H-5 Finance Director None H-6 Planning & toning None H-7 Harbor Commission None H-e Recreation Commission None H-9 Library Commission None I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD s. Council agreed to have a work session on Wednesdays 3une 25 p at 700 PM. b. John Willismag 306 Candlelight, Kenai. Regarding the action on continuing permits for Unocal. Council acted hastily. One year ago Council reviewed this and extended one year. He suggested they will be back again next year to ask for another extension. The well opening con be accomplished 90 days otter approval by the State# it was approvhd in Msy. He suggested Unocal come book to Council in 90 days to report. Council has granted Un"g l Many favors since 1968 when the mein was run throuch City property. An economic favor loss granted for s pipeline. The cost of gas was not taken.. He would like Council to grant a waiver to For North Oil A (Ise for.liability insurance and bonding requirements on opening of a well. For North has $2009000 cash bond with the State, has workman's compensation., The posting of a bond did not have much impact on what the all companies did or bid not do. There is much mud loft from post drilling. Cleon-up did not occur. By welvingg perhaps a smell company could get started. Mayor Wagoner explained it would have to be done by rescinding ordinance. If the ordinance was rescindedp Unocal would not have any A J j •- KENAI CITY COUNCIL DUNE 189 1966 Page 14 requirements also. Mr. Williams noted the requirements are moot anyway, they are dealing with State and Federal requirements. The State bond requirement is more. be John Williams, Kenai. He asked that Candlelight be considered in the duet control. cs Jim White, For North Oil A Gas, Kenai. The problem that exists is the oil industry is in flux right now. The conditions that existed in January no longer exist. The coat of crude has gone way down. Mitigating in this is the insurance and bond requirements. The markets that used to write liability insurance and bonding no longer do this. The only 2 markets writing are London markets, the cost is prohibitive. For $20,000 worth of labor, they have to have $60,000 to $709000 insurance to underwrite that labor. If we can work this out, the results will be far reaching. We will be the first in the State that is not a major oil company since Statehood. Mayor Wagoner asked, what is the State bond? Mr. White replied, if they were drilling a single well, $100000 bond. Statewide permit is $2009000. He has 02 Million in cash put up for 2 wells. The State hoe certified they can drill if this was in the Borough. The only impediment they have Is the bonding and insurance requirements. They are going to re -work an old well. Atty. Rogers explained, the City's protection would be to go against the State bond. Councilwoman Bailie asked that Administration research this and the ramifications if it is rescinded. City Manager Brighton noted Kenai is the only city in Alaska where drilling is taking place. It is because of this ordinance that adjacent land owners do not have to go to the State for claims. Council agreed with the suggestion. Mr. White explained, he has rental equipment on site that is costing him thousands of dollars per day, there is an urgency. A 30-40 day wait could mean disaster. Mike Pelchl 3456 Beaver Loop Rd., Kenai. He homesteaded the land in 1951. He owns the land with the drilling rig on it. He has had problems with Unocal and nothing has been done. The land hoe a smell. He has subdivided and cannot sell the land. Reel estate agents will not handle because of Unocal contamination. Mr. White will not do any damage, it has already been done. He will open a well already dug. He will just pump gas out. Mayor Wagoner suggested the expedient way would be to put up a $25#000 bond. Mr, white explained he already has $100 000 in this that he cannot uses Mr. Poloh asked why the City did not have Unocal clean up his property. me at Wagoner replied he has written to the Governor, nothing hoe been done. Greg MoAuliffe. He has a substantial interest in the loses in Kenai. If the State has stringent requirements, that should be sufficient for the City. far North has the catobiiity to work if the City will waive the requiremonas It would benefit the State and the City. Sohn Williams, Kenai. He asked if the ordinance was in effect in 1991 when the first well was drilled. Atty. Rogers replied, he thought so. Mr. Williams noted the JkV ice; -o: s KENAI CITY COUNCIL JUNE 109 1986 Page 15 bonding requirement has done nothing to help this man's property. Mayor Wagoner explained, it is up to the owner to claim the bond. Waldo Coyle, 1412 Berabara, Kenai. The State DEC has had material in the paper about Unocal not cleaning up drilling mud, but nothing has happened. Ruby Coyle, 1412 Berabers, Kenai. Regarding For North, maybe this would distinguish the area for formation of cannery loop unit. Unocal has drilled on City property, State property and Mr. Pelch'e land. The drilling has affected Coyle's artesian well and the ducks in the flats and killed the grass in the duck flats. IF the City could prove the extent of the oil and gas pool they could pay for the community center. James White, Jr., 504 PineKenai. The $500000 Insurance requirement for 120,000 worth of labor will go to some insurance company's pocket. The bonding requirement is redundant with the State requirement. He asked that the ordinance amendment be on the July 2 agenda. Councilman Wise asked if it could be discussed at the June 25 work session. d. Clarence Ladd, Kenai. He has asked Council before and has gone to Landscape Bd. The Senior Center is being pushed down the pole and the community center put at the top. He wants the brush cleared out in front of the Senior Center. Mayor Wagoner said he hoe looked at it and is not sure what Mr. Ladd wants. If we cut trees down, we will hear from many people. Mr. Ladd replied, no trees, just brush. e. Clarence Ladd, Kenai. Regarding the community center. What would it cost to move the towers end equipment? Mayor Wagoner replied the estimate is $250#000. It will not be done at this time. Councilwoman Bellie added the center will not be at the antenna farm. f. Jim White, For North Oil & Gee. If the ordinance can only be expedited for the health and welfare of the City, he noted economics affect the health and welfare of the City. None of us would be here without oil. AOJOURNMENTs Meeting adjourned at 12t00 midnight. 71JO, Janet Whelan City Clork AMOVO W Cot OA17 CiO - e4 _i I� E