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HomeMy WebLinkAbout1983-03-02 Council Minutes-A 11 AGENDA KENAI CITY COUNCIL - REGULAR MEETING MARC4 2, 1983 - 7:nn Pro PLEDGE OF ALLEGIANCE A. ROLL CALL 1. Election of New Council Member 2. Agenda Approval B. PERSONS PRESENT SCHEDULED TO BE HEARD 1. Carmen Gintoli, Architect - Jail Expansion Schematics C. PUBLIC HEARINGS 1. Ordinance 839-83 - Amending Kenai Muncipal Code - Uniform Building Code 2. Ordinance 840-83 - Amending Kenai Muncipal Code - Council Ratification of Purchases & Disbursements 3. Ordinance 841-83 - Amending Kenai Municipal Code - Limiting Number of Beverage Dispensary Licenses 4. Ordinance 842-83 - Increasing Rev/Appns - Lake, Marine, Granite Pt., F.B.O. - Road Water 6 Sewer, Street Improvements - $32,000 a. Substitute Ordinance 842-83 5. Ordinance 843-83 - Increasing Rev/Appns - Thompson Pk. Streets - $55,000 @. Substitute Ordinance 843-83 6. Ordinance 844-83 - Increasing Rev/Appns - Spruce, 2nd, 3rd - Water, Sewer & Streets - $44,000 a. Substitute Ordinance 844-83 7. Ordinance 845-83 - Increasing Rev/Appns - Airport Main Apron Extension - $140,000 8. Resolution 83-21 - Requesting Borough Assembly Delegate Zoning Powers to City 9. Resolution 83-22 - Transfer of Funds - Federal Revenue Sharing - Maintenance Agreement on 5 Word Processors 10. Resolution 83-23 - Award Bid for Furniture at Senior Center - Yukon Office Supply - $10,536 11. Senior Center - Change Order 03 - Cordova Conat. - $6,852 a. Resolution 83-24 -Transfer of Funds - Senior Center, Change Order #3 - $1,615 D. MINUTES 1. Regular Meeting, Feb. 16, 1983 E. CORRESPONDENCE F. OLD BUSINESS G. NEW BUSINESS 1. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 3. Ordinance 846-83 - Increasing Rev/Appns - Relocation of Security Fencing around FBO S/D - $37,500 4. Ordinance 847-83 - Repealing 6 Re-enactinq Kenai Municipal Code - Adopting Borough Code for Levy and Collection of Sales Tax 5. Airport Terminal Expansion - Change Order #2, 1 it, Halvorson, Inc. - $5,215.91 6. Gym - Change Order #7 - Blazy Const. - $6,650 7. Discussion - Security System for Rec Center H. REPORTS 1. City Manager 2. City Attorney 3. Mayor 4. City Clerk 5. Finance Director 6. Planning do Zoning 7. Harbor Commission S. Recreation Commission 1. PERSONS PRESENT NOT SCHEDULED TO BE HEARD ADJOURNMENT iY KENAI CITY COUNCIL, REGULAR MEETING, MINUTES MARCH 2, 1983, 7sO0 PM YrNAT CITY ADMINI`;TRATIfIN 9011OINC MAYOR RONALD MALSION PRESIDING PLEDGE OF ALLEGIANCE A. ROLL CALL Presents John Wise, Ron Malston, Tom Ackerly, Sally Bailie, Ray Measles, Tom Wagoner Absents None A-1 Election of New Council Member (Notes Changed to Appointment of New Council Member, per request of Councilman Measles. Council agreed to the request. MOTIONs i j Councilman Measles moved, seconded by Councilwoman Bailie, to appoint Betty Glick to the Council seat. l VOTE (Passed)`s Yeas Wise, Malston, Bailie, Measles Nos Ackerly, Wagoner Clerk Whelan administered the Oath of Office to Mrs. Glick. A-2 Agenda Approval a. Mayor Malston asked that Bob Bielefeld be added under item 8-2, Persons Present Scheduled to be Heard. b. Mayor Malstoo noted item G-5, Airport Terminal Ex- pansion, had an amendment submitted this date. Council agreed to the agenda as changed. B. PERSONS PRESENT SCHEDULED TO BE HEARD B-1 Carmen Gintoli, Architect - Jail Expansion Schematics Bill Kluge of Mr. Gintoli's office, spoke. They have made schematics for the proposed jail expansion. They did not feel the addition should be next to the City Hall. Problems eras a. The reception area is too small. b. The Dispatch area should not be in contact with the public. c. A conference room should be added. d. The present jail cannot be altered, it is cement. They proposed duing away with the old jail, and it be located on a different site. Inglewood S/D behind B&C and Trading Bay. They felt Trading Bay was better, it had access to the Court House, would have adequate day light (this is required). There would be 3400 sq. ft. on the new addition, the motif would be carried forward into the new addition. Scheme 1 is $5,000,000, Scheme 2 is $5,O00,0009 Scheme 3 is $972,500. Councilman Wagoner said Council did not ask for this. Mr. Kluge explained they had worked closely with Police Chief Ross, they tried to get it on the existing site, but they felt it is not advisable. Councilman Wagoner said Council did not ask for remodeling and expansion of existing facility. Chief Ross explained, Kenai City Council March 2, 1983 Page 2 at. the time 1)ept. �f Puhli� ),If ankr,rl i.i�-;m to look into an increase in the facility, he said he would consider only the needs of the City. An architect was required to consider 2 plans - one floor and two floors. Half way through he could see it could not be done. He told them they were not authorized and would not get any more money. They said they owed us another set of drawings. Council- man Wagoner said the State has asked us to expand the ,fail, if we build another facility down the street, he did not think the State would go ahead. Chief Ross said Mr. Gintoli has gone ahead with the plans at no cost to the City. Councilwoman Bailie asked, if Wildwood facility is built, what are our needs? Chief Ross replied, the City is con- tracting with the State for minimum security. These plans are on hold till the State decides. Councilwoman Bailie asked, what is the difference between the $300 sq. ft. ex- pansion and $100 sq. ft. addition? Mr. Kluge explained a a jail facility requires more security, an addition to Police does not require as much security. The interior will have to be concrete block. Councilman Wise asked if it was Administration's intent to put the renovation on Capital Improvements Project list. City Manager Brighton replied, he had talked to Chief Ross, he thinks it is necessary. Councilman Wise said the jail will be abandoned whether we close the Kenai facility and combine with Wildwood or expand the present facility. Chief Ross replied at the time the jail facility moves out, there is renovation we can do. B-2 Bob Bielefeld, Airport Leased Land Mr. Bielefeld, Kenai Aviation. He put a proposal to the City indicating a willingness to lease land on the airport north of the Tower, on Willow Extended. He has not heard a reply. He would like to add a building to do mainten- ance. He is closed where he is now. tie is aot askinq for City expenditure, except an appraisal. He would be building on about 10% of the area. He would clear the land himself. He asked for a reply by the end of the month. City Manager Brighton said he acknowledged receipt of the letter, but based on the lack of water & sewer and access, he felt he could not answer and sent a memo to Council. He has not heard from Council, it will be City expense. Mr. Bielefeld said a taxiway would not have to built by the City but a road may have to be done. Mr. Brighton said at this point we can go to Public Works Dept. to get cost figures. Air- port Manager Swalley said he and Mr. Bielefeld discussed the problems of water & sewer, access. The major problem is access of aircraft to the system. This is the only place Mr. Bielefeld can qo at this time. He would be blocked off during the period of construction, but that could be worked out. Mr. Brighton said they would work out calculations on access and appraisal and bring back to Council. Mr. Bielefeld said a taxiway does not have to be built, a gravel ramp is there. C. PUBLIC HEARINGS C-1 Ordinance 839-83 - Amendinq Kenai Municipal Code - Uniform Building Code MOTIONS Councilman Measles moved, seconded by Councilwoman Bailie, to adopt the ordinance. 0 Kenai City Council March 2, 1983 Page 3 There was no public comment. Atty. Rogers explained, the 1979 Sign Code is used now. This will serve as an update till we amend. Motion passed unanimously by roll call vote. C-2 Ordinance 840-83 - Amending Kenai Municipal Code - Council Ratification of Purchases & Disbursements MOTIONS Councilman Ackerly moved, seconded by Councilman Measles, to adopt the ordinance. There was no public comment Motion passed unanimously by roll call vote. C-3 Ordinance 841-83 - Amending Kenai Municipal Code - Limit- ing Number of Beverage Dispensary Licenses MOTIONS Councilman Measles moved, seconded by Councilman Ackerly, to adopt the ordinance. There was no public comment. Motion passed unanimously by roll call vote. C-4 Ordinance 842-83 - Increasing Rev/Appns - Lake, Marine, Granite Pt., F.B.O. - Road Water & Sewer, Street Improvements - $32,000 s. Substitute Ordinance 842-83 MOTIONS Counc`lwomen Glick moved, seconded by Councilman Wagoner, to adopt the ordinance. MOTION, Amendments Councilman Measles moved, seconded by Councilman Wagoner, to amend the ordinance with substitute as submitted. There was no public comment. VOTE, Amendment (Passed): Yeas Wise, Ackerly, Bailie, Measles, Wagoner, Glick Not Malston VOTE, Main Motion as Amended (Passed): Motion passed unanimously by roll call vote. C-5 Ordinance 843-83 - Increasing Rev/Appns - Thompson Pk. Streets - $55,000 a. Substitute Ordinance 843-83 MOTIONS Councilman Wagoner moved, seconded by Councilman Wise, to adopt the ordinance. I V I Kenai City Council March 2, 1983 Page 4 MOTION, Amendment: Councilman Measles moved, seconded by Councilman Wagoner, to amend the ordinance with substitute an submitted. There was no public comment. VOTE, Amendment (Passed): Yes: Wise, Ackerly, Bailie, Measles, Wagoner, Glick No: Malston VOTE, Main Motion as Amended (Passed): Motion passed unanimnualy by roll call vote. C-6 Ordinance 844-83 - Increasing Rev/Appns - Spruce, 2nd, 3rd - Water, Sewer & Streets - $44,000 s. Substitute Ordinance 844-83 MOTION: Councilman Ackerly moved, seconded by Councilman Measles, to adopt the ordinance. PUBLIC COMMENT: Rube Coyle asked, why are the substitute ordinances being submitted? Mayor Malston explained, in the past we have always used our own Capital Improvement Monies for engineer- ing, the substitute says we are using left over Leqislative monies for road projects. MOTION, Amendments Councilman Measles moved, seconded by Councilman Ackerly, to amend the ordinance with substitute as submitted. VOTE, Amendments Yea: Wise, Ackerly, Bailie, Measles, Wagoner, Glick No: Malston Councilman Wise said he would vote against it. The rationale is to complete links. Spruce St. has 2 houses that are not served by sewer, one is not served by water. He didn't see why we should spend this much money on this type of project. It is subsidizing large land owners. VOTE, Main Motion as Amended (Passed): Yes: Malston, Ackerly, Bailie, Measles, Wagoner, Glick No: Wise C-7 Ordinance 845-83 - Increasing Rev/Appns - Airport Main Apron Extension - $140,000 MOTION: Councilman Measles moved, seconded by Councilman Wagoner, to adopt the ordinance. There was no public comment. �L 1 Kenai City Council March 2, 1983 Page 5 Councilman Wagoner asked, once the project is engineered where will the money come from and how long will we have to wait? City Manager Brighton replied, he didn't know, the Governor wanted work -ready projects. We are trying to get into the Governor's budget, it is not at this time. They will not even consider it if it not engineered. We have an ADAP application on this. Councilman Wagoner said $140,000 is a lot of money to put into engineering and put on the shelf. Councilman Wise asked, what was the state, - on all ADAP proposals? Airport Manager Swalley said, we currently have 2 requests submitted. One was just approp- riated at the last meeting, ramp overlay and itinerant parking, has been since 1979. The other, extension of the taxiway, has been since 1980. We will put to bid on the ADAP fencing projects. The machinery requested in 1979 was lowered in priority. Councilman Wise noted the FAA has been required to set funds, when will they flow? Mr. Swalley replied, we should get release about June 1. Mr. Brighton added, the State has signed off on both projects (overlay and itinerant parking). We were short on itinerant i parking and have requested $80,000 discretionary money. It was allocated for airport, it is an approved project. Councilman wise asked, regarding the 5 cents s gallon bill, there was ADAP 1985-86 funding. Are we gettinq any money? Mr. Brighton replied, that has not been released at this time. It should come in the next 6 months, if it comes we can make up the difference on the shortfall. Councilman Ackarly noted $140,000 for engineering is a lot of money. Mr. Brighton said the project will cost $2.5 Million to $2-3/4 Million. It is our only chance to get the money to do the project. Safety, fish hauling, additional room for commerce and to open up additional lots are the reasons. Councilman Wise asked if we were to reduce the scope, would there be a major problem? Mr. Brighton replied, it would have no bearing on whether the Governor gave it to us. .� VOTE (Passed): Yess Malston, Ackerly, Bailie, Measles, Wagoner, Glick No: Wise C-8 Resolution 83-21 - Requesting Borough Assembly Delegate Zoning Powers to City MOTION: Councilman Wagoner moved, seconded by Councilman Measles, to adopt the ordinance. PUBLIC COMMENTs 1. Ruby Coyle. This was before Council less than a year ago. Public hearings were held and professional test- imony was given by Sam Best. Title 29 says PdZ may be turned over to the City if the City wishes to take it. The Borough may take it back. She didn't think we should do this. The Borough has said they will only give zoning. They alao said they would not pay any part of the financing. The citizens of Kenai pay the same amount to the Borough, and it is their obligation. Why should we pay the Borough to do the planning for all places and then for the City? We will pay 2 times. If we get another Borouqh Mavnr, he could take it away from us. It will coat us money. Councilman Wagoner said he knew there are problems with just taking ovor Kenai City Council March 2, 1983 Page 6 zoning, but he has problems sitting on Council when the City P&Z is only advisory. There are 15 people on the Assembly that are not residents of Kenai that make decisions about the City. We should make an attempt to get the powers back. It would not cost us that much for zoning only. Councilwoman Bailie said she talked to the planner in Homer, they are satisfied. The time factor is better. In Homer, they doubted the Borough will take it back and are willing to live with it. They also did not think it would cost that much. Mrs. Coyle asked, how long has Homer had these powers? Councilwoman Bailie replied, since last summer. Also, the Planner was not hired as Planner, but as Administrative Asst., so it did not mean a new position. Mrs. Coyle said she set on P&Z on the City and the Borough. She could not remember a time when the Advisory Comm. was turned down. It did take longer. She asked that we Lake out the transfer powers from Title 29, and require the Cities to be paid. Councilman Wise suggested a financial impact statement. Councilwoman Glick said Mayor Thompson had said help was avail- able. We had help from the Borough in the past. She has requested a Borough resolution for submittal to the Legislature amending Title 29 that when h if powers were transferred, they cannot be arbitrarily withdrawn unless the City agrees. Councilman Wagoner noted the more cities that take back these powers, the less chance it will be taken back. VOTE (Failed): Yesi Bailie, Measles, Wagoner Not Wise, Malaton, Ackerly, Glick Councilman Wise asked for a financial impact statement. Council agreed to put it. off. C-9 Resolution 83-22 - Transfer of Funds - Federal Revenue Sharing - Maintenance Agreement on 5 Word Processors MOTIONS Councilman Measlec moved, seconded by Councilwoman Glick, to adopt the resolution. Councilman Wagoner asked if this was for maintenance through June 30 or from the time the warranty would run out for 12 months? Councilman Wagoner said if this is for one year, it should be paid through June 30 and then have on the same period as our fiscal year. Finance Director Brown was not present. MOTION, Postponements Councilman Wagoner moved, seconded by Councilman Ackerly, to table till the next meeting. Motion passed by unanimous consent. City Manager Brighton was asked to find out and report at the next meeting. a _._ Kenai City Council March 2, 1983 Page 7 C-10 Resolution 83-23 - Award Bid for Furniture at Senior Center - Yukon Office Supply - $10,536 MOTION: Councilman Measles moved, seconded by Councilman Ackerly, to adopt the resolution. There was no public comment. Public Works Director Kornelis said he had no problem with this, but if both are approved, they will have $21,265 left for any future change orders or paving. Mayor Malston asked, it this the total for furniture and fixtures? Senior Citizen Coordinator Porter said, even with $10,000 for furn- iture, there was some money transferred at last meeting. There is about $8,000 left for furniture that would not be a change order. She did not anticipate any further change orders. Completion date is March 21. There will be more furniture purchased, but they will hold off. Mr. Gintoli gave her an estimate for paving, it would be about $15,000. Motion passed unanimously by roll call vote. C-11 Senior Center - Change Order #3 - Cordova Const. - $6,852 s. Resolution 83-24 - Transfer of Funds - Senior Center, Change Order p3 - $19615 C-11 Resolution MOTIONS Councilman Wagoner moved, seconded by Councilwoman Glick, to adopt the resolution. There was no public comment. Public Works Director Kornelis explained, there was money left over in construction account, that is the reason for the 2 different figures. Motion passed unanimously by roll call vote. C-lla Change Order #3 MOTIONS Councilman Measles moved, seconded by Councilman Wagoner, to approve the change order. Councilman Wagoner asked about item 03, washer & dryer. Senior Citizen Coordinator Porter explained, when they planned the building, they included a washer & dryer, but left it out. She currently does all the washing & drying. She does not think it is her responsibility and the new Project Director may not do it. They use a lot of linens. There is money left and they decided to use it. Councilman Wagorivt auggested they send it out. He asked about the location in the crafts room. There could be plumbing problems any place it is put. Mrs. Porter replied it is in the crafts room because it was against the Health Low to put in !tie kitchen. The anti -room is outside. Councilman Wagoner asked if it would take much space in the crafts room. Mrs. Porter replied, it is a stackable unit. . ^�?. ._ - . _ - � _-.- � -- - = • ram, ._= —_- .�.�..-...... ._�:- - �..�5`�� w� Kenai City Council March 2, 1983 Page 8 VOTE (Passed)s Yess Wice, Malaton, Ackerly, Bailie, Measles, Glick Not Wagoner D. MINUTES D-1 Regular Meeting, Feb. 16, 1983 Council approved the mi.nutfss as submitted. E. CORRESPONDENCE None F. OLD BUSINESS None G. NEW BUSINESS G-1 Bills to be Paid, Bills to be Ratified MOTIONS Councilman Wise moved, seconded by Councilman Measles, to approve the bills as submitted. Motion passed by unanimous consent. G-2 Requisitions Exceeding $1,000 Mayor Malston noted G-1 had been distributed 2 times, item G-2 had not been included. G-2 was distributed this date. MOTIONS Councilman Wise moved, seconded by Councilman Wagoner, to approve the requisitions, deleting the word processor, as action on this item was postponed to the next meeting. Motion passed unanimously by roll call vote. G-3 Ordinance 846-83 - Increasing Rev/Appns - Relocation of Security Fencing around FBO S/D - $37,5000 MOTIONS Councilman Measles moved, seconded by Councilman Wagoner, to introduce the ordinance. Motion passed unanimously by roll call vote. G-4 Ordinance 847-83 - Repealing & Re-pnn.-s i-tg Kenai Muncipal Code - Adopting Borough Code for Levy and Collection of Sales Tex MOTIONS Councilman Wagoner moved, seconded by Councilman Ackerly, to introduce the ordinance. N _Y Kenai City Council March 2, 1993 Page 9 Councilman Wise asked that it refer to the Borough Code. Atty. Rogers explained, that was the problem before. It did, and as a result it became outdated. If they change anything then we are not current. Motion passed unanimously by roll call vote. G-5 Airport Terminal Expansion - Change Order 02, Halvorson, Inc. - $5,215.91 MOTION: Councilman Wagoner moved, seconded by Councilman Ackerly, to approve the substitute change order for $15,096.98, submitted this date. Councilman Wagoner said everything in here should have been designed in the original facility. Public Works Director Kornelis explained, on 03, they noticed there were no extension plug -ins except in one place. They thought it was desirable for the planes when it was cold and for Air- port Manager Swalley•s truck. On 04, ceramic tile was only on one wall, they asked Mr. Gintoli early in the project for this and he has followed through. 01 do 02 were in the original packet. Council agreed to discuss later in the meeting when Mr. Gintoli was present. G-6 Gym - Change Order 07 - Blazy Const. - $6,650 MOTIONS Councilwoman Bailie moved, seconded by Councilman Measles, to approve the change order. Councilman Measles asked why there was a viewing panel in the racquetball court. Recreation Director McGillivray explained, the court used for beginners will not have one. They have had requests for observation for tournament play. The viewing area could not be put above, that would be in the teen area, and would not be practical. lie added, the Recreation Comm. had money from the State on Capital Im- provements, they have held off to wait till the construct- tion was almost complete. Councilman Wagoner noted the floors in the existing area will have to be re -worked. �.- Motion passed unanimously by roll call vote. G-7 Discussion - Security System for Rec. Center Recreation Director McGillivray explained, there is money 5 available in the original Recreation Center fund. It would have to go out to bid. There would be tremendous cost to repair or replace the equipment. Bob Downs, Southcentral Security, spoke. He explained it can be hooked up to a home. It is similar to the one in the Senior Center. It will cover the whole gym, and has battery back-up. Chief Rosa said he is looking at a system that will be compatible with the new system so they will all work together. City Manager Brighton noted Council has r f looked at a system for the Senior Citizens Center, the Library, and now the Rec Center. There is more valuable equipment in City Hall than in all those together, this has Kenai City Council March 2, 1983 Faye 10 not been addressed. Councilman Wagoner said vandalism is more of a problem than theft. Mr. Downs explained it will not be a power alarm, nor a fire alarm, but it does sense rapid heat changes. MOTIONS Councilman Wagoner moved, seconded by Councilman Ackerly, to direct Administration to proceed with a bid for the item and bring to Council for further action. G-5 Airport Terminal Expansion - Change Order p2 Architect Gintoli arrived at this time. He explained none of the items are required. Item #1, this would put receptacles on the counter. Councilwoman Bailie said she talked to Anchorage airport and they have theirs on the floor. If anyone wanted them on the counter, they did it themselves. Mr. Gintoli reviewed item 02, track lighting. This is also not a necessity. Mr. Gintoli reviewed item p3, outside electric receptacles. There are no outlets on the south end and the Airport Manager does not have one for his truck. This is also not a necessity. Councilman Wagoner asked about the $120 cost per outlet,. Mr. Gintoli replied, the cost is $60 for exterior and $120 for interior. They proposed 4 outside and 8 inside. The sheet rock is hung, but this would not affect this. Mr. Gintoli reviewed item #4, ceramic the on toilet wells. The toilets were designed according to Code, because of budget restrictions. This would put the on all the walls. It is not a necessity. He added with these items, it would leave over $100,000 in contingency. Councilman Wagoner said ceramic tile would cut down an the vandalism. With item #19if the users want receptacles, they can put in their own. With item #2, tract liqhtinq is not necessary. Council agreed to vote by item. Item p1, Counter Receptacles MOTIONS Councilwoman Bailie moved, seconded by Councilman Measles, to approve the request. Motion failed unanimously by roll call vote. Item p2, Tract Lightings MOTIONs Councilman Wise moved, seconded by Councilman Measles, to approve the request. VOTE (Paased)s Yes: Wise, Malston, Ackerly, Bailie, Measles, Glick No: Wagoner a 4 Kenai City Council March 2, 1983 Page 11 Item #3, Outside and Inside Receptacless MOTIONs Councilman Ackerly moved, seconded by Councilwoman Bailie, to approve the request. Atty. Rogers said he is a pilot, an exterior receptacle would allow transient planes to hook up. He suggested when transient parking is expanded, an underground line be run. MOTION, Amendments Councilman Measles movod, seconded by Councilwoman Bailie, to amend to exterior receptacles only. Mayor Maleton noted it would be cheaper to put in now than later. City Manager Brighton explained the exterior receptacle for the Airport Manager was requested because his vehicle site outside all the time. Airport Manager Swalley explained the inside receptacles were requested by one of the Station Managers. VOTE, Amendment (Passed)s Yess Wise, Ackerly, Bailie, Measles, Wagoner, Glick Not Maleton VOTE, Main Motion as Amendeds Motion passed by unanimous consent. Item #4, Ceramic Tile on Toilet Wallas MOTIONs Councilman Wise moved, seconded by Councilman Wagoner, to approve the request. Councilman Wagoner asked if it would be better to have stainless steel in the bar bathrooms. Mr. Gintoli re- plied that is the responsibility of the bar manager. He added, regarding the question about the location of the bear, fish & Wildlife and National Park Service will use the bear in conjunction with the montage. Motion passed by unanimous consent. Mr. Gintoli said there were additional change orders, they would like to side the entire building the same as the addition, in metal panels. They also would like to replace the boiler in the existing building. Public Works Director Kornelis noted the existing stucco will not even be painted with the job. Mr. Gintoli said the direction at the time of design was to get the High School to re -paint. He was instructed only to maintain the integrity of the existing building. He could get the cost of re -painting or finishing the some as the new one. Council agreed to Mr. Gintoli's proposal. I Kenai City Council March 2, 1983 Page 12 H. REPORTS H-1 City Manager City Manager Brighton spoke. a. Regarding the Harbor Commission memo in the packet, regarding the Coyle's land. He would have recommended no if he had been there. We have no control over this land. b. He reminded Council of the Bd. of Adjustment hearing on the Redoubt variance request on March 7. c. The FAA has contacted him regarding the Flight Service Station proposal. They will be here March 15, to look over the proposed sites. d. The trip to Juneau was reported in the packet. e. In the last week, he was in Juneau with Municipal League. Administration and Legislature are at logger- heads, Administration is trying to administer some new programs, the Legislature is objecting. The House, Senate and Administration have taken 1/3 of the budget in the past, Administration has submitted $218 Million without input from the Legislature. The Legislature has submitted a $25 Million additional supplement for Municipal Assistance, $16.1 Million was submitted by the Governor. It will be a few weeks before things start to jell. There is nothing in the Capital Im- provement Bill for Kenai, this is the supplement, not the Governor's bill. The local Legislators have been very helpful. But the only majorjty member is Dr. ;r Fritz. There are 3 bills important to uss 1. Prohibiting Lobbying without registering for Municipalities. 2. Utility companies would force us to pay relocat- ing costs of utility poles on any project funded by State money 3. Elimination of sales tax on food. This would mean :=- about 4.5 mills. It is difficult to argue against, but it could be used to eliminate Senior Citizens, energy costs, etc. Pretty soon you have nothing you can tax on. He felt local City officials can select the best ways to collect = money. He has sent letter of objection, if Council has any problems, please let him know. f. A supplemental DEC bill was introduced for $25 Million. At the present time, we have been able to get Linwood, Candlelight, McKinley, Evergreen, Haller. It is $1-1/4 Million we did not anticipate. Without any Capital Improvement monies in the Governor's budget, - we have to rely totally on the Legislature to fund for the City. There is nothing funded north of Anchor Point. Councilmen Wagoner said, regarding the sales tax un food, r: Washington State took theirs off and had to put it back on again. He would like a resolution to that effect. Councilman Wise suggested a resolution on all 3. Council- a Kenai City Council March 2, 1983 Page 13 man Ackerly asked, why did the Governor leave us out? Mr. Brtahton explained, the Governor didn't put the budget to- gether. He added, we have complied with every request they made, we had to submit to appropriate departments, but Homer and Seward hired lobbyists who are cronies of the department heads. They don't need the Governor's ear. Right or wrong, that is the way it is. We have to continue to communicate. Someone has to be there, they want to have consistency. It is hie intention to go back but to keep in touch also by phone and letter. Councilman Wise asked if we are excluded from the 1984 budget and oupfle- mental. Mr. Brighton replied the 1984 budget has nnt comc down yet. Councilwoman Bailie asked, what needs to he done on the library. Mr. Brighton replied, the schematics have been done. He told Health & Social Services it is ready to go. There were 3 Harbor Commission members there who saw department heads and Legislators. g. Councilman Wagoner said he has watching the Quandt property, there has been no progress. Is there anything we can do to get it started? Mr. Brighton replied, DEC was trying to enforce the lease on the basis of the City zoning code. They served notice, there was no compliance. They turned it over to the Attorney General's office, if they cannot get compliance it is the Attorney General's problem. H-2 City Attorney Atty. Rogers spoke. a. He asked if Vic Tyler could speak to Council. He has distributed a memo regarding this. He explained Mr. Tyler wanted to use land for a down payment, or use it for collateral. Atty. Rogers opinion was negative on both requests. Mr. Tyler spoke. He said the acquisition of City lands through purchase for private business, with 10% interest shown the City is trying to develop business. But if he cannot give the 1st deed of trust to the bank, he cannot get it. He has an option to buy at $3.90 sq. ft. If he exercises his option, he cannot develop unless he pays off. $1/4 Million financing in the bank is 14e. 10% money and a 20 year pay-off is uselese. Anyone who buys is just speculating. It will cost $200#000 additional for Schilling to develop, $5,100 a month costs. It would be $3 to $4 a ft. for operation the size of Arby's. He has to go with a lease, he is going to secure financing, then buy after subordinating the lease. They cannot issue a contract because they have a oubordineting lease. He offered to post a performance bond, he has offered a large insurance policy. Mr. Brighton explained the Code says we can lease property. He can take a lease and go to the bank and get financing. If the bank fore- closed, they would still have to pay us for the lease. On a sale situation, if we sell to him we take the lot position. Then the bank won't finance. If Mr. Tyler leases and gets financing, then he can come back and buy. He wants to buy, not lease. Mayor Malston noted it is the intent of Council to Bell, not to lease. Atty. Rogers explained he addressed the narrow problem, not the whole thing. It had to Kenai City Council March 2, 1983 Page 14 do with substituting cash for land and substituting of collateral to free up land. There is no provision in the Code for what he wants to do. Mr. Brighton said Mr. Tyler's only alternative is to go ahead and lease, get financing and then buy, That, takes him out of 10% interest and 15% down, and possibly the number of years. Atty. Rogers added we end up acquiring other lands, that is not what Council intended to do. Mr. Tyler explained the trade was an idea he had because of the location. Councilwoman Glick noted the Compre- hensive Plan adopted several years ago allowed us trade of lands, but referred to wetlands. Councilman Wise suggested amending the ordinance. Mr. Brighton said Council adopted the ordinance with Council taking lot mortgage. The Council could amend the Code that under some circumstances Council could take 2nd mortgage. Mr. Tyler said he would pledge his warehouse so collateral along with the City so they would have a 2nd on the main. He just needs the title to take to the bank, the bank would have let, the City 2nd. MOTIONS 1 Councilman Wise moved, seconded by Councilman Ackerly, to ' instruct Administration to proceed with an approµfiste ordinance regarding 2nd deed of trust or collateral acceptable to the City and move poet haste. Atty. Rogers said the Council has the power, but he did not know if they had the right. When you start taking 2nd and collateral, especially with airport land, there will be 2-way swaps between general fund and airport fund. He did not think it would be proper. You will have to buy improvements back at foreclosure sales at sub- stantial price. Seconds create problems, and what will Council do with those who have purchased under the old Code? Councilwoman Glick said the Ordinance was devel- oped with recommendations from the financial institu- tions. If we do on a case by case basis, one may be good, the next may not and we could have a discrimi- nation suit. We should also consult financial in- stitutions. Councilman Wise said only when we get lands on the tax rolls are we going to grow. Council- man Wagoner said the land was given to uo by the Fed- eral Government, is property that belongs to the City of Kenai. We cannot take risks with it. Mr. Tyler a aid he had other ways to go. It is just that the price is escalating so fast. It is getting out of the realm of small businessmen. He had thought of a mall, but it would be $90,000 at the beginning, then $2 to $3 Million for financing on lend he may never he able to buy. Mr. Brighton sugqeoted if the City amended the Code so they could take a 2nd if additional collateral worth 50: of the lot, it puts the City in a good position. Atty. Rogers said in private practice he insists on equal to the value of indebtedness. MOTION, Withdraws Councilman Wise,with consent of second, withdrew his motion. Mayor Malston sugqeoted Administration continue to work out a deal. 1k Kenai City Cuuncii March 2, 1983 Page 15 Council agreed to the suggestion. b. Atty. Rogers distributed his report. He explained it is his policy to assess attorney's Peen, so he in- cluded $1,200 in fees for item #2, Confession of Judgement. He will report on March 16 on the Gate 54 case. c. The Dolchok land trade needs action. The tape on the meeting was stolen with the recorder. fir. Dolchok claims mineral rights, the City says no. He wants to keep mineral rights wince the City presumably does not have them. We will have to wait for title reports. MOTIONS Councilman Wagoner moved, seconded by Councilwoman Glick, that if City does not have mineral rights, to allow Mr. Dolchok to retain mineral rights at time of action. Motion passed by unanimous consent. d. He will put a memo regarding item q9, PAZ appointment, in the March 16 packet. e. He received a call from Dept. Comm. O'Reilly that there is no money on capital improvement projects. He thought we should meet with key personnel down there. Public Works Director Kornelis said regarding the Dolchok land as a possible source of gravel. There is an inter- pretation of gravel being mineral rights. Atty. Rogers replied there has been a determination by the Alaska Superior Court that it ie material, not mineral. Mr. Kornelis noted, that clears up Linwood. H-3 Mayor Mayor Malston spoke. a. City Manager Brighton will chair the March 3 public hearing on the proposed Wildwood jail facility. b. Council will have to select a Vice Mayor. MOTIONS Councilman Wagoner moved, seconded by Councilman Ackerly, to nominate Councilman Measles as Vice Mayor. Councilwoman Bailie asked that nominations be closed. Motion passed by unanimous consent. H-4 City Clerk Clerk Whelan spoke. a. Regarding the petition from Roland Lynn in the packet, requesting an assessment district. Mr. Lynn has said he will be back with a petition signed by the land owners. W, Kenai City Council March 2, 1983 Page 16 b. Regarding the memo from the State C&RA regarding appeal on the population numbers. There was only 1 person difference between the preliminary and final report, so Administration did not see any necessity to an appeal. H-5 Finance Director None H-6 Planning 6 Zoning None H-7 Harbor Commission None H-6 Recreation Commission None I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD s. Public Works Director Kornelas. The proposals on 4 projects have been passed to the Public 'Works Committee. There is a large difference in costa. He requested a work session of the Public works Committee March 4, at 1s00 PM. b. Councilman Measles said the City Services Comm. was directed to make a recommendation for dedication of the Senior Center and a plaque to be placed. They feel rather than dedicate it to one individual, it would be better to dedicate the plaque itself. Then it does not set a precedent. There are so many people who have worked for the City we cannot dedicate one huilding to each one. There could be more than one plaque for the building then. [ii9lf VIM Councilman Wagoner moved, seconded by Councilman Ackerly, to direct Administration to convey a message to the Mayor's Council on Aging to have a plaque instead of a dedication. Motion passed by unanimous consent. c. Councilman Measles said regarding the Pioneers Home in Kenai. The Public Services Comm. had a meeting with Rep. Malone, Rep. Fritz and Senior Citizen Coordina- tor Porter. Mrs. Porter has obtained information necessary for proposal. City Manager Brighton said the plans have been qiven to Rep. Malone, he said it did not need specific legislation but just to the dept. involved. They will notify us. Councilman Meaalea said in order to strengthen our position, they wanted to offer adjacent land. Mr. Brighton said when we deeded the piece, we purchased the size we needed and a resolution on the ndjnininq real estate. The 5 acres Include the Senior Center site. Councilman Measles asked if there was a chance FAA would give it to the City instead of sell? Mr. Brighton replied, he would ask. Councilman Measles noted in other canon when we have asked, it was t X—ensi City Council parch 2, 1983 Page 17 City owned atructurpu, this is State owned. MO110Ns Councilman Measles moved, seconded by Councilman Wise, to notify the State that the City is making available at no cost, the land for the Pioneers Home. Motion passed by unanimous consent. d. Councilman Wise said at the Dec. Capital Improvements Projects hearing, Council committed itself,to conducting an investigation of sewage problems and solutions for Thompson Pk. To date, no such investigation has been initiated. NOTIONS Councilman Wise moved, seconded by Councilwoman Bailie, to appropriate $809000 to fund a Step 1 or equivalent EPA type investigation of Thompson Park -East Kenai sewage problems. Said ordinance should also commit the City to applying for EPA/DEC funds. 75% and 12.5% of project respectively. Said ordinance to be presented to the Council for consideration/introduction on March 16, 1983. Public Works Director Kornelis said Councilman Wise thought there was a chance of an EPA grant. Engineer LaShot has talked to officials and funds are not available. He has written Keith Kelton for an answer in writing. He has not received one yet. Mr. Kelton has been transferred into another agency. Mr. "arnelis called DEC in Juneau and spoke to Mr. Rayfield. He assured Mr. Kornelis EPA does not fund Step 1 or Step 2 grants. As of Dec. 29, 1981, Step 1 and Step 2 grants were eliminated. Step 1 is facilities plan, Step 2 is design work. DEC will not fund Step 1 grants, only in design phase. There is a remote possibility the City could get funds for Step 3 (actual work). There is a provision in the grant that allowance is given for previous work. It is a small percentage of construction costs. In reviewing Thompson Park, there is a remote possibility because it is for interceptor linos and sewer treatment plants. If we did subdivision in the area we could go to EPA. This is construction phase, not facilities phase. City Manager Brighton said we are talking shout an area where 50% of the people want it and 5O% do not. For us to spend in an area that will create civil war is not good. 2 studies have been done out there. Councilman Wise said Step 1 is a feasibility study, that is what he asked for. Mr. Brighton said if 75% had said they wanted it, it would be worth the $800OO. There are other areas we can provide improve- ment where we would not have to go through this. Council- man Wagoner said the survey could say anything you went it to. But it would be a waste of money. You would find lots too small, soil conditions nre wrong and systems were installed wrong. Councilwoman Glick noted the survey was for water 6 sewer combined. More people were interested In sewer than water. Maybe we could look at communal sewer systems. VOTE (Failed): Yes: Wise, Railie, Glick Nos Malston, Ackerly, Measles, Wagoner 31• Kenai City Council March 2, 1483 Page 18 a. Councilman Wise said the City is funding development of building lots suitable for moderate/low income housing to further growth of the City. But we have few of what could be called quality building lots. Most of that land is City -owned. We have had defacto title to Section 36 for 5 years and do not have a program for moving it into the private sector. He estimated about 420 + building lots. He felt the most acceptable method of putting the land into private hands is for the City to plot the entire bluff portion and install all utilities in a single effort. He estimated about $5 Million for proper development, platting, roads, water, sewer, storm sewer, street lights, gas, elec- tricity and telephone. This could be funded by G.O. Bond issue put to the voters this Fall, with a one- time specific exemption from the Charter to enable all costs to be 100: apportioned to benefited proper- ties. Each lot could be assessed its share of development costs on ratio of market value, at $12,000 per lot. Disposal of lots could be by lottery. MOTION: Councilman Wise moved, seconded by Councilwoman Glick, that the City Administration prepare appropriate ord- inances for introduction on April 6 or earlier tot L Call for a G.O. Bond issue of $5,000,000 to fund dev- elopment of Section 36 bluff assessment district to be 100% assessed for all costs as a one time exception to the City Charter with said question to be placed on the ballot at the next regular municipal election. j 2. Provide %500,000 for engineering/Platting services for the bluff portion of Section 36 as a loan to be repaid f by tho assessment district on receipt of bond sale } proceeds. Councilman Wagoner said he did not think the City should get _ into land development. It should be put into private devel- opment. They should be able to make a profit. The value to the City is the houses on it. The City could hold 300 vacant lots for a long time. Councilwoman Glick said she - - took exception to that. Regarding Fidalgo, we caught flak when we put water 6 sewer, etc. in, but look at the devel- opment. City Manager Brighton said $1-1/4 Million sold in f` the area, the last lot has been advertised and is closing March 15. It is the last lot available from River Access Rd. to the bridge. The City has withdrawn 5 lots across the street. Councilwoman said the City has been in the development business in putting in streets and utilities. She found a problem taking exception to the Charter. Councilman Wagoner noted the City had to develop Fidelgo -, because of restrictions, there are no restrictions on Section 36. Mayor Malston noted Council had not asked the new Land Manager about this. He sug•lested he come back to Council with a report. Council set a work session March 7, 1983 after the Bd. of Adjustment meeting. r� Kenai City Council March 20 1983 Page 19 Land Manager Labahn said P&Z will set up a work session to diacuas this. Mayor Malston suggested PV be invited to the work session of Council. MOTION, Withdraws Councilman Seise, with consent of second, withdrew his motion. f. Councilwoman Glick said regarding the Pioneer Home. A resolution was prepared for Borough support, it passed at the 3-1-83 meeting with a proposed amend- ment to delete all reference to the City of Kenai and that Soldotna was more centrally located. The ,amend- ment failed. It is on its way to the Legislators. C&RA, the Governor, and the House & Senate C&RA Comm. She suggested Council keep abreast of Legislative actions distributed by Municipal League. AOJOUR NMENTs Meeting adjourned at 1s00 AM. ��1��•-apt Janet Whelan AROM d: COWM City Clerk OAfi C f