HomeMy WebLinkAbout1984-02-15 Council MinutesAGENDA
►KENAI CITY COUNCLI. - REGULAR MLLIING
FEBRUNRY 15, 1984 - 7s00 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
1. Oscar Thomas, KUSCO - KUSCO Franchise Tax Payment and
Other KUSCO Business
2. Russ Harrison, Fitness Center - City in Competitive
Prices
C. PUBLIC HEARINGS
1. Ordinance 891-83 - Amending Kenai Municipal Code -
Building Inspection Requirements
2. Ordinance 914-84 - Amending Kenai Municipal Code -
Public Vehicle Commission
3. Ordinance 915-84 - City -Owned Lands Not Required for
Public Purpose
4. Resolution 84-15 - Accepting State Grant - let, Birch,
4th Sts., Water do Sewer - $11#624
5. Resolution 84-16 - Transfer of Funds - Ft. Kenay
Restoration, Unemployment Insurance Claim - $1,700
6. Resolution 84-17 - Transfer of Funds - Gym
Inspection/Testing - $19211
7. Resolution 84-18 - Charter Amendment Restricting
Principal Proceeds on Sale of City -Owned Lands
S. Renewal of Liquor License -
Beverage Dispensary/Tourism - Harborview
9. Transfer of Liquor License -
Beverage Dispensary - Kenai Joe's
D. MINUTES
1.
*Regular Meeting, Feb. 1, 1994
E.
CORRESPONDENCE
F.
OLD
BUSINESS
1.
Recreation Center Fees
G.
NEW
BUSINESS
1.
*Bills to be Paid, Bills to be Ratified
2.
*Requisitions Exceeding $1,000
3.
*Ordinance 904-83 - Establishing Tenancy Requirements
in Airport Terminal
4.
*Ordinance 916-84 - Amending Kenai Municipal Code -
Restricting Sale Proceeds of Certain City -Owned Lands
5.
*Ordinance 917-84 - Amending Kenai Municipal Code -
Preference to Purchase Appli^.ants Over Lease
Applicants on City -Owned Lands
6.
*Ordinance 918-84 - Amending Kenai Municipal Code -
Transfer Of Liquor Licenses
7.
*Ordinance 919-84 - Finding Certain City -Owned Lands
not Required for Public Purposes
8.
*Games of Chance & Skill - Eagles 03525
9.
*Games of Chance & Skill - Kenai Emblem Club
10.
Discussion - Section 36 - Preliminary Plat
11.
Air Tek Proposal - Airport Rotating Beacon
12.
Discussion - Vacation of Utility Easement - Tract D,
Doubenspek S/D
13.
Consent to Assignment - Carter to Treat - Concession
Area
H.
REPORTS
1.
City Manager
2.
Attorney
3.
Mayor
4.
City Clerk
5.
Finance Director
6.
Planning & Zoning
7.
Harbor Commission
S.
Recreation Commission
9.
Library Commission
1.
PERSONS PRESENT NOT SCHEDULED TO BE HEARD
ADJOURNMENT
0
KENAI CITY COUNCIL - REGULAR MEETING - MINUTES
FEBRUARY 15, 1904 - 7%00 PH
KENAI CITY A014INISTRATION BUILDING
MAYOR TON WAGONER PRESIDING
PLEDGE OF ALLEGIANCE
A. ROLL CALL
Presents Chris Monfor, John Wise, Tom Wagoner, Tom Ackerly,
Sally Bailie, Jess Hall
Absents Ray Measles (Excused)
A-1 Agenda Approval
a. Mayor Wagoner asked that Approval of Liquor License for
Rainbow Bar, be added as item C-10.
b. Mayor Wagoner asked that Bob Bielefeld, Kenai Aviation,
be added as item F-2
Council approved the agenda as changed.
A-2 Consent Agenda
Amendments
Councilman Wise asked that item G-1, bill from Mike
Touriainen, be deleted from the Consent Agenda.
Councilman Wise asked that items G-3, G-4, G-5 and G-6 be
deleted from the Consent Agenda.
No vote is necessary for deletions from Consent Agenda.
MOTIONS
Councilman Wise moved, seconded by Councilwoman Bailie, for
approval cf the Consent Agenda as amended.
Notion passed unanimously by roll zgll vote.
B. PERSONS PRESENT SCHEDULED TO BE HEAR)
B-1 Oscar Thomas, KUSCO - KUSCO Franchise Tax Payment and Other
KUSCO Business
Oscar Thomas, Vice President, KUSCO. He delivered a check
this date for $19,000 to the City Clerk for KUSCO franchise
tax; so well as the financial statement for 1983 and other
documents.
The franchise agreement will expire in 1987. Prior to
expiration date, the contract with Union/Marathon will
expire. The City can purchase at that time. The City has a
60 day option. There has been much publicity on escalation
of well head prices. The concern is justified. People have
been coming to him with concern about costs after 1987. He
cannot tell them, but it will be higher. They had assumed
the supplier will make additional supplies available to
these. In spite of a good decal of effort by him, KUSCO has
not been able to obtain a firm promine. Enstar in Anchorage
has obtained long term contracts at 2 locations. KUSCO
feels the best interest would be to have Enstar purchase
KUSCO. There could be leas cost, it could provide a
solution to an economical fuel supply in the area. He is
giving notice of acceptance to the City of Enstar's offer.
He introduced Al Kendricks, Operations Manager for the Kenai
Peninsula; and Richard F. Barnea, Vice President, F_nuter
Corp. - Anchorage office.
CITY OF KENAI
FEBRUARY 15, 1984
Page 2
Mr. Barnes spoke. He explained that Mr
explained the Enstar proposal and KUSCO
asked Council fors
a. Approval of the transfer of the City franchise.
b. Waiver of City option to purchase assets.
C. Waiver of City option to purchase the system at the end
of the contract (in 3 years).
d. Approval of the transaction in all respects.
He would like the City to judge the issue on the basis of
what is best for the gas consumer - the residents of
Kenai. Enstar can offers
a. The lowest delivered cost of gas to the consumer.
b. A long term gas supplier dedicated to their company,
past the year 2000, at a reasonable price.
c. The ability to expand into new areas.
d. The best service.
Their old contracts are at a low price, the new ones have a
tie-in that will keep our costs lower than alternative fuels
in the area. 61,000 customers on the system is economy of
scale. They had 6,000 ten years ago. They deliver
37 Billion ft. of ae per year, 60 or 70 times the needs of
Kenai. They have 1120 Million investment in total assets.
They have specialty shops in their organization. They have
as contracts in Kenai, Beaver Creek, North Cook Inlet
Phillips), West fork and Beluga. They have proven reserves
dedicated to the system. They have deliverability. The
importance is in their peak capacity, they have been able to
avoid interruption because they have demanded high
deliverability from their suppliers. They have the ability
to expand, financially. In 1983 they added 8,000 customers,
there are 1,600 total customers for KUSCO. They could
provide a supply to Section 36. The larger number of people
give them the ability to give good service. They have been
in the business of flowing gas since 1961. They are
currently supplying some residents of Kenai by Kalifonsky.
They have service areas on both sides of Kenai, they want to
consolidate their interests. There will be some economy of
operation. They would use the KUSCO base as it exists now
for Kenai and the North Road, Soldotno and Ridgeway for the
rest. They did not expect to lay off anybody. They based
purchasing the property as of April 1984, to be complete
within 30 days. They should be in the new construction
season. They would like to gain PUC and Kenai approval
prior to construction season. PUC will want to know what
the people of Kenai want to happen. If the City can see e
better way, they do not want to be here. They would like to
meet in work session.
Councilman Wise noted the contract. with the City is 300 per
thousand, thin dnen not expire till 1986 or 1987. It cannot
be fed into other operators, will KUSCO operate no a
separate entity? Will Enoter roll into a contract with
Union/Marathon in 19877 Could they extend at that favorable
rate? Mr. Barneo replisid, thcy will average the cost.
Their Kenai contract will go from 600 to about 400 in 1986
through 1990. Through 1987, their rate will drop down
hecause of the 1972 agreement. The purchase ciao ad ju9tment
tariff takes sill the gas at a weighted fasts each masith and
has an adjusted rate. A regular Usti company doeo not make
money on the gas but ur► returned equity. Probably what the
CITY OF KENAI
FEBRUARY 15, 1964
P arTe 3
commission will ask them to do is take the costs of KUSCU,
revenue and assets aiid blend into their system. Their sales
price of gas to all customers iri loon than KUSCO, residents
are higher, commercial in lower. They are paying $1, KUSCO
is paying 350. Economy of sale is the answer. Most likely
they will treat Kenai as an Enstar customer and at the next
rate case, float everything in.
Mayor Wagoner requested City Manager Brighton, Atty, Rogers
and Finance Director Brown schedule a work aession with Mr.
Barnes, Mr. Kendricko and Mr. Thomas,
Councilman Wise suggested a Council work session prior to
meeting with Enstar and KUSCO to look at alternatives. Atty,
Rogers said he would rather meet with them first to have a
basis to work from. Mr. Thomas noted, regardless of who is
in charge, they would be justified in going to the community
with a 10% increase because they did not obtain their 16:
increase lost year.
Council agreed to the work session.
9-2 Russ Harrison, Fitness Center - City in Competitive Prices
Mr. Harrison said the original reason he asked to speak to
— ' Council was to qet his prices the some as the City gym. The
City is competing by putting in the some stuff as he has.
They built first, but Recreation Director McGillivray told
him they planned first. He talked to the Recreation Comm.
2-14-84. He will probably lower his prices to compete. His
problem is, he does not want the City to expand any more
than they are now. He did not see why they would put more
than $1.5 Million when private enterprise can take care of
1� it. He would ask not to have private instructors. tie has
those, but the City is cheaper. He asked not to have
monthly charges, but membership charges like he has. And
also not do any advertising. The Recreation Center started
_ out as a Youth Center, but they added racquetball courte.He
had no problem with that, but then they put in sauna and hot
tubs. He went to the Commission and asked the City to hold
off till he got his membership up. He has it up now. The
City put equipment in. He is collecting taxes to help put
equipment in the Rec. Center. Mayor Wagoner asked if he had
instructors with weight training and exercise cl000en. Mr.
Harrison replied, the City has aerobics classes, which he
_ - has, but did not want full time. Mr. McGillivray told him
they are paying utilities and employees with the money they
are collecting. Mayor Wagoner said there are no plena to
advertise.
Co PUBLIC HEARINGS
C-1 Ordinance 891-83 - Amending KMC - Building Inspection
Requirements
MOTIONS
Councilman Hall moved, seconded by Councilwoman Monfor, to
adopt the ordinance.
j There was no public comment.
Councilman Ackerly said this does not Solve the problem.
Mayor Wagoner agreed, saying the problem has been allowed to
be perpetuated to the and of construction. There have been 6
canes in the past. Councilman Ackerly said he did not see
the need for additional coot, for a minimal problem of the
City. With Huildinq Inspector Hackney's requirement for it
plot plan, they will know up -Front what. their plans are. The
problem is not that rampant. Mont. now homes require thin
CITY OF KENAI
FEBRUARY 15, 1984
Page 4
anyhow. At lease P&Z could decide whether to fine or not.
Councilman Wise said it is reduntant. The zoning code does
this already, we are not using this. If one builder was
fined $100 a day, you would hear from the other builders
fast. Councilwoman Railie asked if the lender's policy
coverage cover this problem if it exists? Councilman Hall
replied, the ATG letter in the packet says Farm Home says no
os-built is required, but title policy is required. With
issuance of title policy, they are responsible if not done
right, with a title policy. Atty. Rogers noted, regarding
the ATC letter. If he was working with this, he would join
with the City in suit. He added, there is a suit coming down
that says if the City has a program, there is a possibility
of liability on the part of the City.
VOTE (failed):
Yes$ Hall
Nos Monfor, Wise, Wagoner, Ackerly, Bailie
C-2 Ordinance 914-84 - Amending KMC - Public Vehicle Commission
MOTIONS
Councilman Wise moved, seconded by Councilwoman Monfor, to
adopt the ordinance.
There was no public comment.
Mayor Wagoner explained the people most affected are out of
town and have requested a postponement. That would be
April 4 meeting. Atty. Rogers explained the amendments
requested are Administrative clean-up. The word "taxi" is
changed to "vehicle," and the date is changed to July 1 when
the permit expires. The only substantive change was
20.05.1009 that was intuitive anyway.
MOTION, Amendments
Councilwoman Bailie moved, seconded by Councilman Ackerly,
to amend the motion with the substitutes ordinance.
Motion passed unanimously by roll call vote.
MOTION, Postponements
Councilman Wise moved, seconded by Councilman Ackerly, to
postpone the public hearing on the ordinance till the
April 4, 1964 meeting.
Motion passed unanimously by roll call vote.
C-3 Ordinance 915-84 - City -Owned Lands not Required for Public
Purposes
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 Resolution 84-15 - Accepting State Grant - lot, Birch, 4th
Sts., Water do Sewer - $11,624
A
CIV OF Kc`. Kira i
FEBRUARY 15, 1904
Page 5
MOTION$
Councilman Ackerly moved, seconded by Councilwoma+s -13ailie,
to adopt the resolution.
There was no public comment.
Notion passed by unanimous consent.
C-5 Resolution 84-16 - Transfer of Funds - Ft. Kenny
Restoration, Unemployment Insurance Claim - $1,700
MOTIONS
_
Councilman Ackerly moved, seconded by Councilwoman Sailie,
to adopt the resolution.
There was no public comment.
Councilman Wise asked, what can we do to prevent this
from happening? The specific project was short term and we
got into unemployment security? Finance Director Brown
explained, the employee has coverage going back to certain
quarters. The only way to avoid this is to get current full
time employees with overtime. Councilman Wise said
Municipal League had considerable discussion regarding
Davis/Bacon. A lot of communities are going to forced
accounting. He wondered if they are exposing themselves
to unemployment claims. They do not have to pay Little
Davis/Bacon wages. Mayor Wagoner questioned the connection
between Davis/Bacon and unemployment. Mr. Brown noted they
may be paying taxes so the State pays the claim. Kenai does
j
not, they pay as they go. In the long run, this auvoo
money. He added, unemployment claims by part time employees
II
coat the City more than overtime.
Motion passed by unanimous consent.
C-6 Resolution 84-•17 - Transfer of Funds - Gym
Inspection/Testing - $1,211
MOTIONS
Councilman Ackerly moved, seconded by Councilwoman Bailie,
to adopt the resolution.
--�-
There was no public comment.
Councilwoman Bailie asked if this woo the final payment for
inspection. Public Works Director Kornelis replied, the City
did the inspection on the gym, this is for tooting. There
was a PO written for testing, but the work exceoded the
-
amount of the PO.
-.
Motion passers by unanimous consent.
C-7 Resolution 84-18 - Charter Amendment Restricting Principal
Proceeds on Sale of City -Owned Lando
j1ySjI
MOTIONS
F, C.
Councilman Ackerly moved, seconded by Councilman Hall, to
adopt the resolution.
There was no public romment .
r,
a
Finance Director Brown explained, thin iu clone at.
` -
direction of Council, and accomponieu Ord. 916-84, to be
introduced this date. He asked if thi,4 could bo po"tponed
till public hearing of the ordinance. The r000lut.ior► ot.at.en
CITY OF KENAI
FEBRUARY 15, 1984
Page 6
the election will be in Oct. The ordinance would be
effective 30 days after passage, to handle sales of next
summer, and would be more strict than the charter. If the
charter is changed in Oct., it would be covered. If it
failed, Council would still have the restriction by
ordinance.
MOTION, Postponement:
Councilman Wise moved, seconded by Councilwoman Monfor, to
postpone action on the resolution till March 7, 1984.
Councilman Ackerly asked if there was any negative side to
this action. Mr. Brown replied, if it is Council intent to
run the City with these funds, it cannot be done or, thi3
amount. Mayor Wagoner explained, it is not to run the City,
but to not allow this or any Council to expend the funds on
something that will indebt the City and impact more.
Councilwoman Bailie asked, if the ordinance is passed, are
we tying the hands of subsequent Councils? Mayor Wagoner
replied, there could be another election. It is harder to
amend the charter than an ordinance. Councilman Wise said
we have one permanent fund for airport lands, in a contract
with FAA. Interest only can be used. Language now exists
for proceeds of land sales to go to capital reserve. Mayor
Wagoner noted a motion to postpone cannot be debated.
VOTE, Postponements
Motion passed unanimously by roll call vote.
C-8 Renewal of Liquor License -
Beverage Dispenear)/Tourism - Harborview
Clerk Whelan reported taxes have been paid current as of
this date.
MOTIONS
Councilman Ackerly moved, seconded by Councilwoman Bailie,
that a letter of non -objection be sent to ABC regarding the
Harborview.
Councilman Wise asked if we had a police report. Clerk
Whelan replied no. Councilman Wise noted we are not
following Code, according to Ord. 918-84 to be introduced
this date. Clerk Whelan explained, that is why it is being
introduced, to conform with State statutes.
Motion passed unanimously by roll call vote.
_ C-9 Transfer of Liquor License -
Beverage Dispensary - Kenai Joe's
Clerk Whelan reported all taxes are current.
MO1IQNs
Councilman Ackerly moved, seconded by Councilwoman Bailie,
that a letter of non -objection be sent to ABC regarding
t Kenai Joe's.
Motion passed unanimously by roll call vote.
C-10 Renewal of Liquor License -
Rainbow Bar
Clerk Whelan reported taxes are current. A letter, of
objection was sent to ABC and will have to be rescinded.
CITY OF KENAI
FEBRUARY 15, 1984
Page 7
" MOTIONs
Councilman Ackerly moved, seconded by Councilwoman Bailie,
to send a letter of non -objection to ABC regarding the
Rainbow Bar.
Motion passed unanimously by roll call vote.
MINUTES
Minutes were approved under the Consent Agenda.
E. CORRESPONDENCE
None
F. OLD BUSINESS
F-1 Recreation Center Fees
Recreation Director McGillivray explained, the Rec. Comm.
met 2-14. Their recommendations were:
a. The weight room remain at $3 at this time.
'= b. The young people are using the facilities on the week
ends, we are doing baby-sitting. The Commission
recommends requiring valid ID from high school and
putting $1 fee on Jr. High. A lot of the kids are
there all day, this may discourage them. Mayor Wagoner
asked if there is supervision on the free weights. Mr.
McGillivray replied, anyone using them must have a
spotter. The kids are only using the machines. Mayor
Wagoner said they should be chained. He asked, what
are the ages of the kids? Mr. McGillivray replied, 12,
13 and 14. Mayor Wagoner noted this is the age group
this was started to be for. We may have to accept the
Pact it is supposed to be for youth. He would rather
they were there than on the streets or the Mall.
Councilman Wise said if the weight system is improperly
used, it should be controlled. There is a liability
there. Mayor Wagoner explained he was talking about
the bench weights. Mr. McGillivray said they could
' chain them. The kids are running around bothering
people, that is the reason for the charge.
MOTION:
Councilmen Wise moved, seconded by Councilwoman Dailie, to
accept the recommendations of the Rec. Commission for Rec
Center fees.
Motion passed unanimously by roll call vote.
F-2 Bob Bielefeld, Kenai Aviation - Lease of Airport Lands
Mayor Wagoner explained, this was discussed at work session.
Atty. Rogers has made a proposal.
MOTION:
' Councilman Ackerly moved, seconded by Councilwoman Bailie,
that Administration accommodate the request of Bob Bielefeld
21 to enter into the negotiated lease for airport lands north
of the tower with payments to commence as of Feb. 15, 1984
' with the cost of any required re -appraisal to be borne by
lessee.
Motion passed unanimously by roll call vote.
CITY OF KENA:
FEBRUARY 15, 1984
i'ege A
G. NEW BUSINESS
G-1 Bills to be Paid, Bills to be Ratified (M. Tauriainen Bill)
MOTIONS
Councilman Wise moved, seconded by Councilwoman Bailie, to
approve the Mike Tauriainen bill for Lawton, Tinker, Walker,
Rogers.
Councilman Wise said there were engineering costs in the
letter to Council regarding liability. Have we been
reimbursed for the liability? He asked the over -run be
addressed first. Public Works Director Kornelis replied,
there was a problem with the corner of Tinker & Lawton.
There was a change order. Council wanted to put in water &
sewer line on Tinker/Lawton project. Mr. Tauriainen was the
inspecting engineer. When we went to put in a sewer line,
there was a stub -out in the manhole that was higher than
desired elevation. The question of liability was somewhat
clouded whether it was the contractor or inspector. When we
tied into the sewer line, we had to tear up asphalt, it cost
us some money. The information passed out this date shows
overrun in inspection fees of $15,000. Mr. Tauriainen feels
there is justification for claim based on these 5 points.
Administration recommends going ahead and swap claims for
settlement. If we go into claims back & forth, we may get
into cloudy issues. Mayor Wagoner objected to these things
coming up between contractor, designer and inspector. He
suggested not allowing design engineer do inspection.
Councilman Wise noted if he had not asked for division of
the question, it would never have been raised. There may be
a claim against the City. Were they submitted in a timely
manner? If the engineers submittal was valid and they are
wrong, they have E&n insurance for us. Mr. Kornelis
explained the stub -out on the corner was not part of the
design. We were in the construction phase when Council
asked to have a stub -out coming out of the corner of Lawton
& Tinker. Administration recommended against it. We had an
inspector do the design work. He used as -built drawings
that were old, and had one stub -out in the manhole. The
contractor hooked into the higher stub -out that was not
shown. Administration had a meeting with the inspector.
Mayor Wagoner asked if they took the top off the manhole to
see what was inside. Mr. Kornelis replied, evidently not.
It is 15 ft. deep. Councilman Wise asked, were the claims
timely and were they acknowledged? He added, if he had not
asked for division of the question, we would have paid off.
Councilman Ackerly said he is concerned as to how much he
should know and how much he should not know. Sometimes
people stop him on the street and know more then he does.
He does not know what to ask at meetings. How for does his
responsibility go as a Councilman? Finance Director Brown
explained, we are not paying $15,000 over. We are paying
Lhe contract only, not the overage. Councilwoman Bailie
asked, were those stub -outs close enough. If you lay lines,
it should be close to the stub -out. Mr. Kornelis replied,
in this coos, all they were doing was taking existing lines
and dead -ending. We had to lower when they found out it we --
too high. Mayor Wagoner asked, at what level did they hook,
what level was the engineer's estimate, and what was the
difference? P hil Bryson explained there was about 4 ft.
difference, 8 ft. to 12 ft. Mayor Wagoner asked
Administration to make a report why the contractor went down
8 ft. and what the engineer told him in the first place, the
processes that led up t,) thiu and if Administration feels
there was any negligence on the part of the contractor.
Council agreed to the request..
CITY OF KENAI
FEBRUARY 15, 1984
Page 9
G-3 Ordinance 904-84n A.rww� -
qJ�-�•is�9^�'1i.•".t''21:"j/�'Vr►nasfAs'8I1�8 �4'�wb�.�ri.inG
�t{KiI'trNt-v►�5, in TT.•pLr� Tt�r.. Aw` .
MOTIONS vo JJ
Councilman Wise moved, seconded by Councilwoman Bailie, to
introduce the ordinance.
Councilman Wise questioned the language. On 14.050, who else
but Council would approve?
MOTIONS
Councilman Wise moved, seconded by Councilwoman Bailie, to
amend the ordinance, section 14.010, section 14.030, section
14.040, the word "designed" be changed to "designated."
Airport Manager Swalley explained, 14.050 was put in to
preclude any permanent or long term temporary use. 30 days
was arbitrary. Administration has handled short term, long
term would have to come to Council.
MOTION, Amendment:
Councilman Wise moved, seconded by Councilwoman Bailie, to
change 14.050 to read, "No temporary non-profit or public
service activity shall be operated in excess of 30 days
without approval of Council."
VOTE, Amendment (Passed):
Yeas Monfor, Wise, Wagoner, Hall
Nos Ackerly, Bailie
VOTE, Main Motion as Amended (Passed):
Yess Monfor, Wise, Wagoner, Ackerly, Hall
Nos Bailie
G-4 Ordinance 916-84 - Amending KMC - Restricting Sale Proceeds
of Certain City -Owned Lands
MOTIONS
'P
Councilman Wise moved, seconded by Councilwoman Bailie, to
introduce 1-he ordinance.
Councilman Wise questioned the provision that dedicates
proceeds to capital improvement reserve. He would prefer to
go further and restrict investments. Finance Director Brown
replied, it. does. Councilman Wise said this would establish
a permanent fund, but. the proceeds go to the general fund.
We are tying up the money but we are restricting
1
availability of capital funds for the City. Non -recurring
revenue should not be used for operation of the City. A
restriction exists because of that. We have needs for water
a sewer and roads. That is what proceeds of sale of City
lands go for currently. We have a mini -permanent fund with
the airport, he agrees with that. But we may be tying up
moneys that could be better used. We know there will be a
_
sharp reduction in capital improvement funds from the State.
This is a +Soul searching issue and should be carefully
analysed. Mayor Wagoner noted the difference between this
account and FAA account is, the FAA account is not
► ',"
reversible by Charter amendment. tie added, putting moz"ys
into capital fundri or one time use isr not vonsiderate to
future taxpayers. Councilman Wise said if we do major
..
improvements to Section 36, we may not have funds to to
this. Mayor Wagoner said we have $3.6 Million in
unallocated fund balance to do what we need.
g
c
CITY OF KENAI
�EBRUARY 15, 1984
PRge 10
VOTE (Possed)s
Yess Monfor, Wagoner, Ackerly, Bailie, Hall
Not Wise
G-5 Ordinance 917-84 - Amending KMC - Preference to Purchase
Applicants Over Lease Applicants on City -Owned Lands
MOTION:
Councilman Wise moved, seconded by Councilman Hall, to
introduce the ordinance.
3 Councilman Wise noted in the first WHEREAS, that is not the
i intent of the City to sell City -owned real property. It is
to see it is used in development. Selling land is not the
only way for it to develop. He objected to the lessee
not having preference to lease or buy. If a person wants to
lease or buy, it sh,;uld be 1st come, 1st served basis.
Mayor Wagoner notel, when the City hired Land Manager Labohn
he was told the City wished to divest themselves of land in
the City. Councilman Wise said a lease with substantial
improvements has the right to buy, if not it is up to bid.
Atty. Rogers noted if a lease applicant fills out an
application and a person files over him with a sale
application, this would give precedence to the sale. At the
- sale, the second one to file would have priority even if it
is not the best bid. He suggested the lessee have priority
by 1st initiator. Substantial improvements may be made, but
may be less than the application. Mayor Wagoner asked that
a substitute be submitted at the next meeting. Councilman
Wise objected, saying the public cannot object to a
substitute ordinance. Mayor Wagoner explained, it would go
out in the packet for distribution.
MOTION, Tables
Councilman Wise moved, seconded by Councilwoman Bailie, to
table the ordinance.
Motion passed unanimously by roll call vote.
G-6 Ordinance 918-84 - Amending KMC - Transfer of Liquor
License
MOTION:
Councilman Wise moved, seconded by Councilwoman Bailie, to
introduce the ordinance.
Councilman Wise asked that the ordinance be changed to read,
a public hearing will be held if the Clerk or Police feel it
is necessary for reasons of taxes or public nuisance. Atty.
-
Rogers suggested not enumerating
the problems,
but stating. -
-
for any problem.
MOTION, Amendments
�Ci-``
Councilman Wise moved, seconded
by Councilwoman
Bailie, to
amend the ordinance, Section 1,
Delete the lot
sentence
beginning "It is determinod---"
to the 4th line,
to the word
"therefore." Begin the sentence
with "A public
hearing ---"
VOTE, Amendments
�a
ji Motion passed unanimously by roll
call vote.
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CITY OF KENAI
FEBRUARY 15, 1984
Page 11
VOTE, Main Motion as Amended:
Motion passed unanimously by roll call vote.
G-10 Discussion - Section 36 - Preliminary Plat
Land Manager Labahn explained this has been referred by P&Z
and will go to Borough P&Z. Councilman Wise suggested the
f100 ft. setback from the bluff should be planned into it.
Mayor Wagoner replied it will be by convenant. Bruce
Robson, McLane A Assoc., explained it can be on the plat as
a building setback. The minimum is 200 ft. This is a
concept that will go to the Borough and can be changed
again.
Councilman Ackerly asked if the 'brochure was started. Mr.
Labahn replied he would have it for the March 7 meeting.
G-11 Air Tek Proposal - Airport Rotating Beacon
Airport Manager Swalley explained he had recommended going
to radio control. In reviewing it, he felt the power cable
was better. The $7,000 figure is still accurate. Finance
Director Brown noted it would require a bid.
MOTIONS
Councilman Ackerly moved, seconded by Councilwoman Bailie,
to approve the contract with Air Tek for airport rotating
beacon for $2,160.
City Manager Brighton noted that it would not be on the
emergency generating system. If the power goes out at the
airport, this will not go on.
MOTION, Withdraws
Councilman Ackerly moved, with consent of second, to
withdraw his motion.
MOTIONS
Councilman Wise moved, seconded by Councilwoman Bailie, to
prepare specs and bid documents for an underground cable
system.
Public Works Director Kornelis suggested going directly to
the wholesaler for a price break. Mayor Wagoner replied he
would prefer it going to Council and not avoid the bidding
process. Airport Manager Swalley suggested using City
people for back fill and City vehicles for removing taxiway
covers. That will reduce the cost.
MOTION, Additions
Councilman Wise moved, with consent of second, to make this
subject to review by Administration for the most effective
program.
Motion passed unanimously by roll call vote.
G-12 Discussion - Vacation of Utility Easement - Tract D,
Doubenspek S/D
MOTIONS
Councilman Wise moved, seconded by Councilwoman Monfor, for
approval of tho vacation request.
..;
CITY OF KENAI
FEBRUARY 15, 1984
Page 12
Councilwoman Bailie asked, where to the alternate easement?
Land Manager Labahn replied, C St. will be replaced by Tern
Ave. He suggested the small portion labeled HEA Substation
not be vacated. The Tarn Ave. corridor will be for
utilities.
Motion passed unanimously by roll call vote.
G-13 Consent to Assignment - Carter to Treat - Concession Area
MOTIONS
I
Councilman Wise moved, seconded by Councilwoman Bailie, to
approve the request.
Motion passed unanimously by roll call vote.
H. REPORTS
H-1 City Manager
i
City Manager Brighton spoke.
s. He noted the requestfor assessment district for Camai
Subdivision.
b. Regarding the information item #17 in the packet, a
request from Kenai Community Care Center for a grant.
He will need Council advise.
c. Regarding the information .item #15, ADEC grants.
Public Works Director Kornelis reviewed. They
submitted 8 grant requests to ADEC. They assign the
priorities. We are on the list for water in Thompson
Park. The Legislature did not give ADEC anything last
year, they wanted to go direct grants. ADEC feels they
have a good possibility of getting funds this year.
They would fund 1/2 of the water for Thompson Park. We
have finished engineering of Thompson Park. City
Manager Brighton asked, do we go ahead with Thompson
Park or make an effort to slow down on the chance we
will get the funds? His recommendation is to go
forward and forget it. Councilman Wise noted there
would not be any money available till July 1. Mayor
Wagoner explained the funds would be for construction
only. Mr. Kornelis added, it could pay for
engineering. Mayor Wagoner noted Council already
decided not to do water do sower there. With no motion,
we will go on as proposed. Councilman Wise asked when
will Council get the report on Thompson Park. Mr.
Kornelis replied, he has received the preliminary
figures. Mayor Wagoner asked that a copy be sent to
all Councilpersons. City Manager Brighton explained,
we are not telling ADEC we do not want the money, we
are not taking our name off the list.
No action was taken by Council.
d. The Resource Development Council is meeting 2-15 and
2-16 in Anchoraye. The Soldotne Council is
attending. The discussion is on natural resources and
endeavoring to deal with Pacific Rim countries.
e. He thanked Council for the flowers.
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CITY OF KENAI
FEBRUARY 15, 1984
Page 13
H-1-b Request from Community Care Center.
There are a lot of not -for -profit groups that need
help. We should be cautious as to which ones we grant.
They may all be in asking for funds. He added, they
paid for their real estate. Mayor Wagoner noted we
have been a pass-throuqh agency to this point.
No action was taken by Council.
H-2 Attorney
Atty. Rogers spoke.
s. The memo regarding the franchise agreement passed out
this date. He will mail it to APUC, City of Soldotna,
and Atty. Berns on 2-16 and ask for comments.
b. He and City Manager Brighton had productive meetings in
Juneau. They met with Sen. Kerttulla, Gov. Sheffield,
Ray Gillespie of the Governor's office, Rep. Adams,
Rep. Malone and Sen. Gilman. We are candid in that
we are trying to do what they cannot do.
c. He attended the airport ramp extension hearings in
Juneau. He spoke to Rep. Cato.
d. The Utility Relocation hearing is in committee, will be
heard on Feb. 21. He will attend. He did not know if
we can prevent this, it is heavily loaded. The
committee said we are the reason for this. He confined
his discussions to the law and that it is unfair to put
the load on us. It is unfair that it is going to APUC
for determination. Under the Bill, Cable TV would be
reimbursed 100% for relocation. They are unessential.
Cable TV had made a substantial contribution to
committee members, he is making a study.
at Councilman Wise asked if Atty. Rogers was watching
Matanuska Susitna Borough. Atty. Rogers replied he has
received the briefs. We should investigate the status
of the suit. (NOTES This is referring to
Metunuske/Susitna vs State of Alaska, school
appropriations.)
H-3 Mayor
None
H-4 City Clerk
Clerk Whelan noted memo distributed this date regarding
destroying of ballots for Oct. 5, 1982 election.
H-5 Finance Director
Nune
H-6 Planning b Zoning
Councilman Wise reported they approved 2 plats, had a work
session regarding the zoniny code, discussed recodifying the
Borough Code
Mayor Wagoner asked if Mr. Carignan had been notifed
regarding his position on P&Z. Clerk Whelan replied yes.
I
• i
I
rl
r-
CITY OF KENAI
FEBRUARY 15, 1984
Page 14
H-7 Harbor Commission
Councilman Ackerly reminded the Council of the joint work
session on Feb. 21.
H-8 Recreation Commission
Recreation Director McGillivray spoke.
a. At the last meeting, the Commission discussed rec
center fees and budget. They also discussed changing
the name of the Ryans Creek Fitness Trail, per memo
distributed this date.
MOTIONS
Councilwoman Bailie moved, seconded by Councilman Ackerly,
to change the name of Ryans Creek Fitness Trail to Bernie
Huss. At the some time appropriate funds for signs.
Mr. McGillivray noted they had monies in the fund, so it
will not have to come out of City funds.
Motion passed by unanimous consent.
b. The parks report requested by Council was reviewed by
the Commission. They will submit to Council in March.
F-9 Library Commission
None
I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD
I-1 Councilman wise. At the Municipal League Legislative
Committee meeting they discussed:
Be Funding for joint revenue sharing/municipal assistance
b. Title 29 codification
d. The Little Davis/Bacon Act. Municipal League has
commented, discussed with Dept. of Labor. They suggest
letting communities set their own wage rates so a pilot
project. DOL is considering.
as Rep. Fritz was chairman of C& RA, he had his assistant
put together a synopsis regarding Title 29 revisions.
It is available in Juneau. He hoc a copy. It is what
we need to push on. There will be hearings, only on
the amendments (about b).
I-'L Councilwoman Bailie asked Airport Manager Swalley, the
airport was closed down for 2-3 hours recently for snow
removal. This hoe never happened before. One flight was
diverted to Soldotna, why? Mr. Swalley explained, there
have been 2 accidents recently and several close calls of
snow removal equipment on runways. We have no control when
the tower is not open. lie sent a letter to users that the
senior maintenance person has the right to close if
necessary. This was the lot instance of thin new procedure.
It was closed an excessive amount of time, it will not
happen again. It was done in the interest of safety.
Councilwoman Bailie asked if Anchorage is notified when this
happens, Mr. Swalley replied yes. This would only be when
the tower is not manned. Councilwoman Hailie naked if it
could be done during the day. Mr. Swalley explained, when
the depth is a certain amount, it has to he removed, no
matter what time.
1
I
CITY Of KENAI
FEBRUARY 15, 1984
Page 15
I-3 Mayor Wagoner. Something has to be done about the cars
parked in front of the airport overnight. Th9y are not
being towed away. The employees are parking there also.
Mr. Swalley replied, signs have been requested to post the
area.
ADJOURNMENT:
Meeting adjourned at 11 s 10 PM.
Inet Whelan
City Clerk
APPROVED BY COUNCIL
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