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HomeMy WebLinkAbout1985-05-01 Council MinutesAGENDA I � KENAI CITY COUNCIL - REGULAR MEETING MAY 1, 1985, 7s00 PM 6s30 PM - Work Session PLEDGE OF ALLEGIANCE i A. ROLL CALL 1. i 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. - 8. PERSONS PRESENT SCHEDULED TO BE HEARD I (Time Limit - 10 minutes per person) ' i C. PUBLIC HEARINGS 1. Ord. 1036-85 - Amending Zoning Map - Cinderella, �p j Princess, McCollum to RR-1 2. Ord. 1037-65 - Establishing Kenai Municipal Code, Landscaping Regulations 3. Res. 85-41 - Directing Continuation of Aliak, McCollum Assessment District ; 4. Res. 85-42 - Setting Percentage of Fair Market Value on Lease of City Lands 5. Resolution to Legislature Supporting Additional Staff at Wildwood 1 6. Application for New Liquor License - Pizza Napolitans #2 7. Application for New Liquor License - One Stop, Boys Limited S. Res. 85-43 - Awarding Contract - S. Highbush, Bumblebee, E. Aliak, D. MINUTES Swires, Highbush Rd. 1. *Regular Meeting, April 17, 1985 E. CORRESPONDENCE 1 I 1. *FAA - Transfer of Antenna Farm 2. *Walters do Olson Iris. - Workmen's Comp. Adjustments 3. 1 DEC - Application for Wastewater Disposal Permit - 1 Fisherman's Packing ' 4. *Chugach Natl. Forest - Additional Winter Recreation Facilities 5. *Dept. C,&RA - State Revenue Sharing Payments 6. Dept. Public Safety - Annul Highway Safety Plan 7. *Son. Murkowski - Transfer of Antenna Farm S. *Conf. of Mayors - Funding fors Municipal Assistance { State Rev. Sharing School Funding A .= s 3er7 J,o i F. OLD BUSINESS G. NEW BUSINESS 1. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 3. *Ord. 1038-85 - Amending Kenai Muncipal Code - Shift Differential Pay 4. *Ord. 1039-85 - Amending Kenai Municipal Code - Increasing City's Participation in Supplemental Retirement Program 5. *Ord. 1040-85 - Amending Kenai Municipal Code - i Certification Pay for EMT -Paramedics I 6. *Ord. 1041-85 - Amending Kenai Municipal Code - New Position, Assistant City Attorney 7. *Ord. 1042-85 - Increasing Rev/Appns - State Grants to Health Facilities - $289000 S. *Ord. 1043-85 - Replace Salary Structure, Hourly Rates in Personnel Regulations I �-, 9. *Ord. 1044-85 - Amending Kenai Mun.cipal Code - Communications Dept. Work Week _ 10. Consent to Assignment - Alcan N/W to Rosenberg, Dickens 6 Dar - Airport Counter Space 11. Approval - OceanTech - Extend S. Ames Rd. 12. Discussion - M.A.P. Project - Add Water & Sewer Assessment Dist. - McCollum, East Along Spur s. Approval - Additional Engineering Design for Adding water & Sewer - M.A.P. Project 13. Discussion - Plaque from Kenai Civic League :.." 14. *Games of Chance & Skill Permits j Ladies' Aux., Order of Eagles, #3525 15. *Monte Carlo Permits Ladies' Aux., Order of Eagles, #3525 16. Discussion - Doyle's Proposal to Develop Gravel Pit on i City Lands - H. REPORTS 1. City Manager 2. City Attorney 3. Mayor 4. City Clerk 5. Finance Director 6. Planning & Zoning 7, Harbor Commission S. Recreation Commission 9. Library Commission li { I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD ( Time Limit - 5 minutes per person) ADJOURNMENT - i I ' I � i ti B" 'w ' ,y KENAI CITY COUNL'IL, REGULAR MEETING MAY 1, 1985, 7:00 PM KENAI CITY ADMINISTRATION BUILDING MAYOR TOM WAGONER PRESIDING PLEDGE OF ALLEGIANCE A. ROLL CALL Presents Sally Bailie, Jess Hall, Ray Measles, Chris Monfor, John Wise, Tom Wagoner, Tom Ackerly Absents None A-1 Agenda Approval So Mayor Wagoner asked that item C-2, Ord. 1037-85, be deleted. yy�� P--_ b. Mayor Wagoner asked that Res. 85 Supporting Additional Staff at WLldwood - distributed this date, be added so item C-5. c. Mayor Wagoner asked that Substitute Res. 85-43, distributed this date, be added as item C-8. d. Mayor Wagoner asked that Res. 85-47 - Transfer of Funds, Inlet Woods Assessment Dist., Plane 6 Specs - be added as item C-9. e. Mayor Wagoner asked that PO - Qwick Copy, $1,800 - be added under item G-2. f. Mayor Wagoner asked that Res. 85-46 - Tranef. of Funds, water do sewer on Spur from McCallum - distributed this date, be added as item G-12b. g. Mayor Wagoner asked that Ord. 1045-85 - Change of range for Librarian 6 Senior Citizen Coordinator - distributed this date, he Added as item G-17 h. Mayor Wagoner asked that Ord. 1046-85 - Change of range for Communications Supervisor - distributed this date, be added as item G-18. i. Mayor Wagoner noted the letter from Anchor Trailer Court, distributed this date. j: Mayor Wagoner asked that item G-16, Doyle Proposal, be changed to item B-1. k. Mayor Wagoner asked that item G-13, Civic League Plaque, be changed to item B-2. MOTIONS Councilman Wise moved, seconded by Councilman Measlee, to delete item G-4, G-60 G-8, G-17 and G-18 from the agenda. Councilman Wise explained, they all belong to the Personnel Code and should not be introduced without discussion. City Manager Brighton noted Finance Director Brown's memo dated April 10, the ordinances have to be introduced this date to be effective July 1. Mayor Wagoner suggested they could be passed the same night as introduced as emergency ordinances. MOTION, Amendments Councilwoman Bailie moved, seconded by Councilwoman Monfor, that item G-17 be removed from the listing in the original motion and remain on the agenda. VOTE, Amendment (Failed): Yeas Bailie, Monfor Not Hall, Measles, Wine, Wagoner, Ackerly VOTE, Main Motion (Paeeed)s Yes: Hall, Measles, Wise, Wagoner, Ackerly No: Bailie, Monfor KENAI CITY COUNCIL MAY 1, 1995 Page 2 MOTIONS Councilman Measles moved, seconded by Councilwoman Monfort to remove item C-2 from the agenda for tonight. Motion passed by unanimous consent. Council approved the agenda as amended. A-2 Consent Agenda MOTIONS Councilman Wise moved, seconded by Councilman Measles, to approve the Consent Agenda as amended. Motion passed by unanimous consent. S. PERSONS PRESENT SCHEDULED TO BE HEARD B-1 Doyle Proposal to Develop Gravel Pit on City Lands Mr. Doyle was not present. 8-2 Plaque from Civic League Roger Meeks, Box 424, Kenai. Council had asked him to get an estimate for the plaque. The members of the Civic League offered to furnish labor and materials if the City would pay the difference between the cost and moneys available. Mayor Wagoner asked that an ordinance be drafted for the difference Council agreed to the request. Co PUBLIC HEARINGS C-1 Ord. 1036-85 - Amending Zoning Map - Cinderella, Princess, McCollum to RR-1 MOTIONS Councilman Measles moved, seconded by Councilwoman Monfort to adopt the ordinance. PUBLIC COMMENTS a. Rick Baldwin, Kenai. Lost year, in connection with installation of a water do sewer district, residents of the area attempted to re -zone the area for a low density residential section. An ordinance was introduced to allow re -zoning. A petition was submitted to the City and accepted, there has been no opposition. He urged passage of the ordinance. b. Pastor Earl Moore, Grace Brethren Church. At P&Z meeting there were some lots along the highway exempt from the zoning change. The Church property was divided down the middle. He would like to make sure this was changed. He would like to add the additional lot to the exemption. MOTION, Amendments Councilman Wiae moved, seconded by Councilman Hall, that the portion of property owned by Grace Brethren Church be deleted from zoning and the sketch be amended. Co JoAnn Buzzell, McCollum Dr., Kenai. Their lot is listed as Church property. Mayor Wagoner replied, this had boon corrected. _ I J 1 571 :�1 F 8 . KENAI CITY COUNCIL MAY 1, 1985 Page 3 VOTE, Amendments Notion passed by unanimous consent. VOTE, Main Motion so Amended: Motion passed unanimously by roll call vote. C-3 Res. 85-41 - Directing Continuation of Alisk, McCollum Assessment District MOTIONS Councilman Measles moved, seconded by Councilwoman Bailie, to adopt the resolution. PUBLIC COMMENT: a. JoAnn Buzzell, McCollum Dr., Kenai. She was shocked that 50% was suggested. She contacted many people, they were all against it. Mayor Wagoner explained it could be amended. Councilman Wise asked if they could come down the cul de sac instead of down Spur. Public _ Works Director Kornelis explained, that is church -I property, the eul de sac does not have the right of way. MOTION, Amendments Councilman Wise moved, seconded by Councilwoman Monfor, to amend the resolution to include the request of Beck, Bielefeld, do Hayes (agenda item G-12). VOTE, Amendments Motion passed by unanimous consent. b. Vesta Leigh, Kenai. When they submitted the petition, they thought they were paying 25:. She had a problem seeing the City give $1 Million to a corporato entity and getting the little guy. There are some people who cannot afford 50%. of Jan Huf, Buckingham, Kenai. She is willing to pay 25:, but would not want it if at 500. She would wart water, but not sewer. Mayor Wagoner noted she would be billed for water whether she had it or not. She replied she is willing to pay it, but not at 50:. d. Pastor Earl Moure, Grace Brethren Church. They have sewer hook up and have a new well. They are not pushed for either one, but want to see their neighbors get it. They feel 50% is too high. e. Mrs. Chester Cook, Ninilchik. They own a duplex off Hutto. They get no service from the City, they had hoped this would mean service from the City, but 50% is too high. f. Karen Rogers, Kenai. They feel 504E assessment is unacceptable and would withdraw their petition at that rate, but they are willing to pay 25%. g. Walt Ward, Magic St. They tiave contacted most of the Council. When it came out, 204E sounded good. They have heard many reasons for the 50% amounts the money could go further, to see if we want it badly enough to pay a fair share. They wore willing to pay 20%, now he hears 25%, is Council going up to 50%? When was iL 100%? Councilwoman Bailie said she paid 100% in a home in Wildwood Manor and one in Central Heights. She i i 'I � I I i i KENAI CITY COUNCIL MAY 1, 1985 Page 4 added, what got the City in trouble was the State giving us grants. Council was prudent to put in water & sewer and paving, but it is of necessity that we get back to assessments since the money is cut back. h. Colleen Ward, Magic St. The neighborhood came to the City in light of the «ark done around them. They said they were willing to pay for improvements. They submitted a plan, the City approved it. Then the City said they would expand the scope and ask for double the charges. She knew they were a landmark case. But they cannot afford 50:, it could be so much as $400 more. They are a random group of people and are a cross section of what will happen in the future. If they cannot afford it, how can others? As long as the money is available, we should extend as much as possible. The City can still do this with 25:. If the City does 50:, this will die. Since this is a new idea, the City should do it gradually. Funds are still there. It may be a little while before they are not. We can do 50: at a later date. Councilwoman Bailie noted Council is not out to get 50:0 they had no one in mind. Do the people realize it will be over a 10 year period? Mrs. Ward replied yes, but some assessments are $150,000 to $200t000. By requiring hook-up, it would be $1,000 to $4,000 for 3 years. I. Peggy Courtney, Kenai. 20% to 25: is better than 50:. j. Rick Baldwin, Kenai. There are many people at this meeting, none of them favor 50%. Many people cannot pay that amount. This is not the way it was told to them. Originally Council had money they wanted to use to upgrade the roads. The people came to Council and said there was inadequate water & sewer, it would be unproductive to gravel, then come back and tear up for water & sewer. At that time it was to be 100: funded by the City. He came to Council and spoke against it. He felt if there was to be a meaningful project, they should pay a portion. We are now arguing over how it will be implemented. It could be gradual or Council could pick an arbitrary number and see if they will pay. He asked Council not to pick an arbitrary number. Atty. Garnett made a presentation for water & sewer with 31 names on a petition. Councilman Wise had asked if they would go 20%. Mr. Garnett said he would check and report to City Manager Brighton. In conjunction with the water & sewer project, they attempted to have re -zoning. This part was settled tonight. The people have seized at the 20% figure all along. This is the first assessment district to come before Council in many years. If Council does not approve the lower percentage, the work will we for nothing._ This will not not a precedent, the precedent is to give it away. They are not asking for policy, just to get water & sewer lines in the ground. ;he are not asking for the project as proposed, the City has extended Princess to people who have not asked for it or signed a petition. That would benefit people who do not live here. They did not ask to go across Magic. There are people there who oppose it. He suggested deleting Magic (the undeveloped portion). The 350 ft. of Princess and the back main to the Chrysler would be nice but not essential. k. Rodger Schmidt, McCollum, Kenai. He has tried for 18 years to make the road pasuable. P&Z let this psss without approval. It looked like they might be able to get something from the City, but now it looks like It may go down the drain. He would like it to go at 250. h I �'-/Y1�r �s_� r �_.�a.ui�+���-W^^^� ci/�^SrA�YA %l��fi�•c]!i-.-Y�G�J�Gcsva�'v.r�. ._-..a — sOC�I' - _ �_ __- - KENAI CITY COUNCIL MAY 1, 1965 Page 5 1. Kathy Burton, McCollum, Kenai. 50: is too high. She is hooked up to sewer, but she stands with her neighbors with this. MOTION, Amendments Councilman Wise moved, seconded by Councilwoman Monfor, to amend Section 39 change 50% to 25%. VOTE, Amendments Motion paased unanimously by roll call vote. Public Works Director Kornelis explained, the portion of line on Princess could be taken off. The property owners have been notified and know they are included. On Magic St. there is a drainage problem, trees would have to be removed, it would need engineering. The Baron Pk. area could be deleted, it was added because it would be beneficial to the project. The lines are small now, it would give them fire protection. Mayor Wagoner explained, he proposed the 50%. They have been trying to come up with a figure to make the money go further. No one in the City should be entitled to free water h sewer and streets. VOTE, Main Motion as Amendeds Motion passed unanirao-aly by roll call vote. C-4 Roe. 85-42 - Setting Percentage of Fair Market value on Lease of City Lands MOTIONS Councilman Ackerly moved, seconded by Councilman Measles, to adopt 16he resolution. There was no public comment. Motion passed by unanimous consent. C-5 Res. 85-45 - Resolution to Legislature Supporting Additional Staff at Wildwood MOTIONS Councilwoman Bailie moved, seconded by Councilwoman Monfor, to adopt the resolution. There was no public comment. Councilwoman Bailie explained, staffing is very critical. The Pre -Trail is redesigned, they are working with 4-man shifts. There is a potential for 18 employees, 60 total, a 6-man shift. The Palmer ratio is about 1 to 16. The Advisory Council is sending a letter. A request had been sent for additional people, but funding was cut. MOTION, Amendments Councilman Wise moved to add an additional clauses "WHEREAS, it appears the security of the community is threatened." Motion failed for lack of a second. Councilman Wise explained, the only justification is if security is threatened. Motion passed unanimously by roll call vote. '-� p ,i . r I f J KENAI CITY COUNCIL MAY 1, 1985 Pago 6 C-6 Application for New Liquor License - Pizza Napolitano 02 Clerk Whelan said the Borough reported April 30 that they are current. NOTIONS Councilman Wise moved, seconded by Councilman Ackerly, that a letter of non -objection be sent to ABC regarding Pizza Napolitens 82. Notion passed by unanimous consent. C-7 Application for New Liquor License - One Stop, Boys Limited Clerk Whelan explained, there was a concern that the business might be in a residential area, it is not. Councilwoman Monfor asked if there was a chance for people to make objection. Mayor Wagoner suggested Council ask for a public hearing and have the people in the area notified. Councilman Wise noted there will be a public hearing, there are 5 applicants for one permit. MOTIONS Councilman Weaales moved, seconded by Councilwoman Monfor, that a letter of non -objection be sent ABC regarding One Stop. VOTE (Poeeed)s Yost Bailie, Hall, Measlos, Wise Nos Monfor, Wagoner, Ackerly C-8 Res. 85-43 - Awarding Contract - S. Highbush, Bumblebee, E. Alisk, Swires, Highbush Rd. MOTION: Councilman Ackerly moved, seconded by Councilwoman Bailie, to adopt the resolution. PUBLIC COMMENTS Se Bill Nelson, owner of property on iidalgo. He asked Council consider his firm. He is qualified with a proven record with the City. There will be cost savings with this project. b. Oran Woolley, employee of Mike Tauriainen. Mr. Touriainen is out of town. His fee is the same as Trans Alaska. They have done similar projects in the City and request consideration. Councilman Ackerly noted Nelson was low bidder. Is there a reason for not accepting? Mayor Wagoner noted Council was to have access to proposals. Public Works Director Kornelis explained the proposals were sent out earlier for Council review. Price was only one thing they looked at. MOTION. Amendments Councilwoman Bailie moved, seconded by Councilman Ackerly, to substitute Nelson for Trans Alaska at $799006. Councilman Wine sale. we went to low bid the first time and there Are significant problems. The low bidder will make money with change orders. The problems are in the review ti ro KENAI CITY COUNCIL MAY 1, 1985 Page 7 process and construction management, Councilwoman Bailie noted Trans Alaska price for review work is $11,000, Mr. Nelson's is $1,000. Mr. Nelson explained, the RFP said they would like engineering to review plans to find out what io wrong. He did not include design engineering, just review of plans, If there are changes, they would work that out separately with the City. c. Dick Lomen, Trans Alaska. There was substantial fee for reviewing plans. They assumed there would be some changes that would be needed. They found a number of errors and estimated this as cost. There would be a refund if these things were not necessary, but he thought a fair portion would be used. Councilwoman Bailie asked Mr. Nelson if his cost included any changes. Mr. Nelson replied, if you make specific changes in cleaning up the contract, that is normally Included in the bid process, but road changes, etc. would be additional. He added, it is important that the personnel on the project be considered. MOT ION, Additions Councilwoman Bailie moved, seconded by Councilwoman Monfort to charge the amount from $97,000 to $79,000. VOTE, Amendments Motion passed by unanimous consent. Councilman Ackerly asked the Public Works Committee to do a contract analysis for award criteria. VOTE, Main Motion as Amended: Notion passed by unanimous consent. ADDED ITEMS Councilman Wise asked for a synopsis of the most competitive bids be part of the award. C-9 Res. 85-47 - Transfer of Funds - Inlet Woods Special Assessment Fund, Plans & Specs - $2,500 MOTION$ Councilman Ackerly moved, seconded by Councilwoman Monfort to adopt the resolution. There was no public comment. Public Weeks Director Kornelis explained, this is for $2,500 and the actual price is $1,B00 because they are trying to go for less specs but if they have to make more there will be money in the account. Motion passed by unanimous consent. D. MINUTES 0-1 Regular Meeting, April 17, 1985 Appfoved by Consent Agenda. E. CORRESPONDENCE � i r � n 0 KENAI CITY COUNCIL MAY 19 1985 Page 8 E-1 FAA - Transfer of Antenna Farm E-2 Walters 6 Olson Ina, - Workmenlo Comp. Adjustments Approved by Consent Agenda, E-3 DEC - Application for Wastewater Diaposal Permit - Fisherman's Packing Mayor Wagoner noted a year ago Fisherman's Packing asked for a lease to build a larger building. Have they been current on their lease payments and are they proceeding with the improvements? Accountant Parnell replied, they are current with their lease payments. Councilman Ackerly said they are proceeding into reorganization, Mayor Wagoner asked Administration to follow up on these things and remind them as to progress. E-4 Chugach Natl. Forest - Additional Winter Recreation Facilities. E-5 Dept, CBRA - State Revenue Sharing Payments Approved by Consent Agenda. E-6 Dept, Public Safety - Annual Highway Safety Plan E-7 Son. Murkowski - Transfer of Antenna Farm E-8 Conf. of Mayor@ - Funding fors Municipal Assistance State Rev, Sharing School Funding Approved by Consent Agenda. E-1 FAA - Transfer of Antenna Farm City Manager Brighton, in reply to query, stated he will respond to the letter. F, OLD BUSINESS None G, NEW BUSINESS G-1 Bills to be Paid, Bills to be Ratified MOTION: Councilman Hall moved, seconded by Councilman Ackerly, to approve the bills as submitted. Motion passed by unanimous consent. G-2 Requisitions Exceeding $19000 MOTION: Councilman Ackerly moved, seconded by Councilman Hall, to approve the requisitions, including $10800 to Qwick Copy. Motion passed by unanimous consent. G-3 Ord. 1038-85 - Amending KMC - Shift Differential Pay G-5 Ord. 1040-85 - Amending KMC - Certification Pay for EMT - Paramedics G-7 Ord, 1042-85 - Increnoing Rev/Appns - State Grants to Health Facilities - $28#000 G-9 Ord. 1044-85 - Amending KMC - Communicationo Dept. Work Week Approved by Convent Agenda. I I I � i � � J i i I i I 777 KENAI CITY COUNCIL MAY 1, 1985 V Page 9 G-10 Consent to Assignment - Alcnn N/W to Rosenberg, Dickens & Dar - Airport Counter Space MOTIONs Councilman Measles moved, seconded by Councilman Ackerly, to approve the assignment. Mayor Wagoner asked if the current lease is restricted to car rental only. Atty. Rogers replied, it is the same as the other ones. The expiration date is July 1. They are current. Motion pawsed by unanimous consent. G-11 Approval - OceanTech - Extend S. Ames Rd. MOTION: Councilman Ackerly moved, seconded by Councilwoman Bailie, to approve $3,750 to Oceaniech for extension survey and design on S. Ames Rd. Motion passed unanimously by roll call vote. G-12 Discussion - M.A.P. Project - Add Water & Sewer Assessment District - McCollum, East Along Spur s. Approval = Additional Engineering Deotgn for Adding Water & Sewer - M.A.P. Project b. Res. 85-46 - Transf. of Funds - Alisk, McCollum, Cinderella, Fox, Princess, Linwood Ext - $5,900, add to project G-12a MOTION: Councilman Ackerly moved, seconded by Councilman Measles, to approve $5,900 to McLane for addition to MAP project. Motion passed by unanimous consent. G-12b Res. 85-46 MOTION: Councilman Ackerly moved, seconded by Councilman Measles, to adopt the resolution. There was no public comment. Motion passed by unanimous consent. G-14 Games of Chance & Skill Permit - Ladies' Aux., Order of Eagles, #3525 G-15 Monte Carlo Permit - Ladies' Aux., Order of Eagles, #3525 Approved by Consent Agenda. G-16 Discussion - Doyle's Pr^posal to Develop Gravel Pit on City Lands (NOTES This was moved to B-1 on the agenda. tor. Doyle did not appear) Mayor Wagoner asked to postpone discussion till the next meeting. Councilman Ackerly noted this is in wetlands, chances of development are minimal. It would be a gravel � f 1 0 AWAMW KENAI CITY COUNCIL MAY 1 , 1985 Page 10 pit or recreational. Councilman Wise suggested payment in kind - gravel, not money. Mayor Wagoner asked that Mr. Doyle be asked to speak at the next Council meeting. H. REPORTS H-1 City Manager I City Manager Brighton spoke. ll' j a. He has had a request from the Vietnam Vets to use the soft bell field for 4 days in June. There has been II objection to this. He told them after the last j x= meeting they could have the field. Mayor Wagoner said this is during the season, there may be a tournament. Could it be put in another place? Councilman Measles noted it would be under 24 hour guard. Mr. Brighton said it is 1/2 scale of the memorial in Wash. D.C. They have looked other places, this was their specific request. Mayor Wagoner said we have about 26 teams. He suggested the high school football field. Council agreed they cannot have the ball field. b. Mr. Brighton spoke to Rep. Navarre. As of now the House will get $3.5 Million to allocate to the Kenai Peninsula. The division for Kenai is $1,650,000 for the community center, $950,000 for Soldotna, $900,000 for Homer. Son. Fischer is getting $6 Million to distribute to the Peninsula. $750,000 � is for Kenai roads h projects, it can be put into the community center. There is a total of $1,700,000 for the Peninsula municipalities, $5 Million for the Borough. $250,000 of that le for engineering And design of the pioneer home in Kenai. Of the $6 Million, 50% of the population gets $1.7 Million, ,.._ the other half gets $4,300,000. The Governor has a 0 $3.5 Million for the community center. At present ' there is $600,000 in DEC funding. We will get 50-50 match basis. If we get that, we will have ^•; $1,200,00 for the Aliak, etc. project. Sen. Kerttula's SA I budget has nothing in it, but it can be readjusted to -�` our budget. �1 ! H-2 Attorney City Attorney Rogers spoke. ' s. The executives from Fred Meyer were here last week and had a guided tour from the air and ground. b. He is trying to get RFP's for airport and golf course. 'o, o c. He asked Council to note Info #8 regarding airport leases. If this is adopted he will send addendums to all those that sign up. H-3 Mayor Mayor Wagoner noted the Games of Chance h Skill (' applications. The only reason Council grants them is J because the people running them are saying it is for a good k , cause. We do not get a report. He asked this to be �. researched. . I r A .� w `3 KENAI CITY COUNCIL —. MAY 1, 1985 Page 11 H-4 City Clerk Clerk Whelan spoke. a. She will be in Canada for Clerk's meeting May 20 to 24. This is a budgeted item. b. She asked Council to note Info 05 and bring this to the !/ May 8 Comp. Plan meeting with P&Z. c. The objection to easement distributed this date will be discussed at the next meeting. She wanted to note it was received and distributed at this meeting. d. Council is asked to speak into their mikes. The audience cannot hear them. - e. The next meeting is scheduled for May 15. Dorothy Hamill will be in town on that date, there has been a request for a charge of date. Council agreed to have the 2nd meeting in May on May 14 at 7s00 PM. Clerk Whelan was requested to rake proper notification. H-5 Finance Director None H-6 Planning & Zoning ; U 7 ii 4 Mayor Wagoner asked why they turned down the Fred Meyer application. Councilman Wise replied there was no data. Mayor Wagoner suggested they could come direct to Council. The minutes state no one spoke for them. c I H-7 Harbor Commission Councilman Ackerly said the RFP on fuel facility on the dock is being worked on. H-8 Recreation Commission �1 Recreation Director McGillivray said there will be a joint meeting May 7 of Beautification and Recreation with Ron KesprSsin on the Old Town study. H-9 Library Commission j Librarian DeForest said bid opening is May 8. i I i I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD 1. AIRPORT TERMINAL LEASESs Mayor Wagoner explained he has had contact with many people regarding the bid process proposed. Atty. Rogers said the letter from Avis dated April 25 has been distributed. We have enough space to put them all in business. There is enough room for 4 more car rentals. PUBLIC COMMENTS Be Betty Miller, Dollar Rent-A-Car. We went through this once before, bidding with revenues. The highest revenues got to pick their space. They have noent a lot of money on fixing up their space. The person in the space would receive $1,000 to move out. That would not cover costs put in there. Who will pay for the money they will lose? They were bid on a 3 or 5 year revenue income. Council and the airport manager decided there would be no more than 4 car rentals there. With more it is ridiculous. They have been helping support the City for many years. If the City {0 A , KENAI CITY COUNCIL MAY 1, 1985 Page 12 opens this up, not all can afford it. It is not fair to the old businesses. She suggested sticking with 10 cars and paying for additional, or raising the square footage cost. This is what Anchorage does. b. Joe Langston, Cheepie Auto Rentals. He pays a minimum of $1,O49 in Anchorage per month for a small space. Over $10,00O gross, he pays 10%. Their per foot rate is higher. He ordered new cars and has made a committment to come into the airport, he may have only 45 to 60 days to set himself against the large concerns. They could be subsidized and get their foot in the door. He would object to additional spaces. The people who have been there a long time could be kicked out. c. Leslie Lentz, National Car Rental. Sha questioned if there was enough revenue for more agen^ies. In 1983-049 they had a $36,000 decrease in revenue. Mayor Wagoner replied, he was suggesting space, not revenue. Me. Lentz suggested a waiting list rather than new stalls. d. Gary Zimmerman, Avis Rent-A-Car. Regarding the $1,0O0 displacement cost. The bidder roplaces someone who displaces someone else. Someone will have to pay out of pocket. They have besr, in the airport since 1967. A small company could out -bid them, they would have to move off the airport. The commissions would not go to the City. Most of their business to from referral. They had $149000 to $15,000 paid in gross revenue last year. Movina 8 companies into the airport would be a mistake, revenues are droppifig Flaw. The terminal would be torn up with businesses coming in and out. 60 days till lease terminations is not sufficient time for a workable solution. Councilman Wise suggested there may be exposure to anti-trust because of Supreme Court decision. Ms. Miller noted when there was a discussion about space, it was during the remodeling, she had a pole in front of her space. That was solved. If the City cannot say no legally, they could be put in the corner by the airlines. 45: of her business is walk-up. e. Johnny Jackson, Hertz Rent-A-Car. What is the intent of the City% to alleviate the legal responsik*ility of a law suit, increase revenue or provide additional service? Atty. Rogers replied the proposal as drafted has a primary goal to accommodate all potential tenants without preference. Leases to date have been for short duration without preferential right to renewal. They have expended funds for improvements, there was no promise for reimbursement. The dollar amount was just to state an amount, it can be amended. Regarding anti-trust, we do not have a problem, municipalities are exempt. He is recommending that the duration of tenure of losses be lengthened so they will know the amounts of money they can spend on improvements. the City hoe the same RFP for airlines. The leases could be extended on a day to day basis and have a work session. Council agreed to a work session on May 219 1985 at 7:00 PM. 2. Councilman Wiae suggested protesting the Enstar increase (Info #3). The criteria is gas surcharge. Their operating costa are lower, but gas is higher. Atty. Rogers said PUC concurs with postage stamp rates. Enster and KUSCO are doing what they stated at Council meetings. A protest would be inconsistent. The situation as presented is less than Eneter is paying. KENAI CITY COUNCIL MAY 1, 1985 Page 13 They cannot use our gas outside of the City because of terms of the contract RatS surchar a and as 9 9 surcharge do not apply. They were going to apply adjusted rates, but there was to be adjustment on costs to the City. Councilman Measles said there is no way APUC will allow different rates for different cities. The savings from Kenai will be spread out to other cities. Encouraging rates in individual cities could back fire. AWOURNMENT t Meeting adjourned at 1100 Pb. Janet Whelan City Clerk �'0PMO Vft er �©uHCR DATE /Cory //-Z 0 I w t �