HomeMy WebLinkAbout1983-07-20 Council Minutes..' -. ..�..-r
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AGENDA
KENAI CITY COUNCIL — J'UL i 20, 1933 — 7 ; OU FM
PLEDGE OF ALLEGIANCE
A. ROLL
CALL
1.
Agenda Approval
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B. PERSONS PRESENT SCHEDULED TO BE HEARD
1.
Mike Tauriainen, M. Tauriainen do Assoc. - Airport Ramp
and Itinerant Parking
2.
PDA - Airport Vehicle Parking
C. PUBLIC HEARINGS
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1.
Ordinance 875-83 - Amending Kenai Municipal Code -
Incorporating Alaska Statutes, Title 28 Regarding Motor
Vehicles
2.
Ordinance 876-83 - Increasing Rev/Appns - Grants from
Kenai Peninsula and City of Soldotne for Senior Citizen
Center - $59,495
3.
Ordinance 877-83 - Increasin Rev/Appns - Chore Helper
for Senior Citizen Center - 12,901
4.
Ordinance 878-83 - Amending Kenai Municipal Code -
Creating Advisory Museum Commission
5.
Ordinance 880-83 -Amending Kenai Municipal Code -
Provide for 100% Access LID's to Implement Charter
Change
6.
Resolution 83-110 - Transfer of Funds - Hire Bond
Counsel for Sale of GO Bonds - $8,000
7.
Resolution. 83-111 - Requesting Municipal Assistance
from State
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8.
LACK Project - Amending Wince,Corthell, Bryson
Inspection to Include Design 6 Inspection - 25th Ave.
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Water - $1,700
9.
Change Order 01 - LACK Project - Spruce Const., 25th
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Ave. Water Main - $17,443
a. Resolution 83-112 - Transfer of Funds - LACK
a=y;
Project - Change Order #1, Spruce Conat - $17,443
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D.
MINUTES
1.
Regular Meeting. July 6, 1983
E.
CORRESPONDENCE
F.
OLD
BUSINESS
G.
NEW
BUSINESS
1.
Bills to be Paid, Bills to be Ratified
2.
Requisitions Exceeding $1,000
3.
Change Order. #1 - 2nd Ave Water & Sewer, Roads - Doyle
Const. - ($2,550)
4.
Change Order #1 - 1st & 2nd Sta. - Prosser - $2,000
5.
Assignment of Lease - Wometco Lathrop to Jack Estes
6.
Discussion - ERA - Counter & Office Space Improvements
7.
Discussion - Thompson Park - Amending Wince, Corthell,
Bryson Engineering Design to Include Water & Sewer
Study
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
I.
PERSONS PRESENT NCT SCHEDULED TO BE HEARD
ADJOURNMENT
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KENAI CITY COUNCIL, REGULAR MEETING, MINUTES
7ULY 20, 1983, 7:00 PM
KENAI CITY ADMINISTRATION BUILDING
MAYOR RONALD MALSTON PRESIDING
PLEDGE OF ALLEGIANCE
A. ROLL CALL
Present: Betty Glick, Ray Measles, John Wise, Ron Malston,
Tom Ackerly, Sally Bailie
Absents None
Councilman Wagoner arrived 7:15 PM.
AGENDA APPROVAL
a. Mayor Malston asked that item C-9 and C-9a be deleted.
b. Mayor Malston explained that deletion of item C-9 would
eliminate item C-8 from Public Hearings, but suggested
it remain as is.
C. Mayor Malston noted item G-3 was distributed this date,
and asked that Ord. 879-83 be discarded, it was put in
the packet in error.
Council approved the agenda as amended.
B. PERSONS PRESENT SCHEDULED TO BE HEARD
B-1 Mike Taurisinen, M. Tauriainen & Assoc. - Airport Ramp and
Itinerant Parking
Mr. Tauriainen reviewed the project and explained they have
added to the project. They are interfacing with Professional
Design Associates. They are overlaying all the area, one
area is very bad. They will expand the itinerant parking
area, add fencing and tie -downs. It will be overlaid with 2"
of asphalt, the bad area will have to be excavated. They
will receive bids for award Sept. 5 and award Sept. 7.
They will begin construction mid -Sept. They will do the
distressed area before Winter, the rest in the Spring. They
will gravel in the itinerant parking area now, pave in the
Spring. Councilman Wise asked if there was any discussion
regarding the fuel pits. Mr. Tauriainen replied, it was
discussed with Airport Manager Swalley. They are about 100
ft. from the terminal. Councilwoman Glick asked if this was
too close. Mr. Swalley replied there is room to operate.
He is working on getting data to extend the pipeline. One
of the primary users has donated $4,500 for a pad. (AIA)
Councilwoman Glick asked if we will incorporated moving
further north into the project. Mr. Swalley replied, if we
can. Delivery time on the pits is 4 months.
B-2 PDA - Airport Vehicle Parking
Gary Silvers spoke. They are in the final design - paving,
draining, new lighting, access to the new lots, vehicle and
pedestrian access to the Mike Tauriainen project. There are
3 basic areas involved.
COUNCILMAN WAGONER ARRIVED, 7:15 PM.
Mr. Silvers continued. Regarding the sidewalk, there is a
chain link fence around. There is sidewalk on Willow and
new sidewalk on the other side. He asked if Council
preferred asphalt or concrete on the remainder. Concrete is
2 times the cost of asphalt. He suggested asphalt.
Councilwoman Bailie asked, what is the idea of sidewalk all
around? Mr. Silvers replied, there is a great deal of
pedestrian traffic from there that should not cross the
parking area. Councilman Wise asked how they would operate
snow removal. Mr. Silvers replied, there are 4 types of
control:
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KENAI CITY COUNCIL
JULY 20, 1983
Page 2
a. curb & gutter in center
b. extruded curb on top of road
C. rolled curb
d. paint stripe with separations of stalls
Snow removal is sensitive and costly. It will have an
i impact on maintenance costs. He suggested painting stripes.
j It will wear off, but it is better and less expensive.
Regarding fencing on the outside, a barrier should be put
there to protect pedestrians and keep from random use of the
lot. The existing fence is not doing the job. He felt
there should be something around the fence. He had 3
suggestions:
a. pull it out & re -set, this is expensive
b. replace with I beam driven post ,
ce replace with 8x8 wood driven posts
Regarding signs in the parking lot. The signs may impact
the visual area. He suggested inside signs with publicity
and distribution by the rental agencies. Regarding
scheduling of project, they should be able to have final
plans by the end of the month. He asked if Council wished
to advertise this Fall for beginning this Fall or
construction next Spring. If they stay close to Mike
Tauriainen's job, they may get better bids. His will
probably go over to next year. They did not have a final
estimate, but it will be about $300,000 to $350,000 without
internal gutters. The questions for Council are:
i a. concrete or asphalt sidewalks
b. paint stripe internal
co type of post around lots
d. pursue advertising this Fall
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Councilman Ackerly suggested paving this year, at least the
center part. During Winter, if there is no center barrier, j
people will park all over. He added he would prefer asphalt
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sidewalks. Mr. Silvers said regarding drainage. There are
several problems. They will have to drain to one side, if
they put a ground level barrier, it may alter the drain
situation. In Winter they could put external posts of a
different color to line up on. It would be on one side so
they would all look the same. Public Works Director
Kornelis said in the long term parking they need barriers to
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designate the portion of the month parked. If they don't
they cannot tow the cars away. Councilman Ackerly said he
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j thought there was to be some excavating, would $350,000 be
enough? Mr. Silvers replied, yes. All they had to do was
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dig out and pack back. There would be a minimum of waste.
Mayor Malston asked where the rental cars would be. Mr.
Silvers replied, in the 3rd lot, it would be going out even
with the rest. He added, on the north lot there is a
drainage Swale, they will seed and plant as a green belt.
i MOTION:
Councilman Ackerly moved, seconded by Councilman Wagoner, to
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proceed post haste with airport vehicle parking with asphalt
paving, with substantial decorative fencing around the
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area.
VOTE (Passed):
Yes: Glick, Measles, Wagoner, Wise, Ackerly, Bailie
No: Malston
Public Works Director Kornelis explained, the ramp overlay
project is funded by FAA. The schedule is to get that
first, this one week after. We would have to holy Mike
KENAI CITY COUNCIL
JULY 20, 1983
Page 3
Tauriainen back till the engineering is done. They would not
pave the ramp overlay this year, just the distressed part.He
hoped the successful contractor would be willing to bring
in paving equipment this year. The electric plug -ins are
the new area now. We could pave right up to Sept. if the
weather is good. Mr. Silvers noted Ord. 875 regarding
vehicles could have an effect on the time frame.
C PUBLIC HEARINGS
C-1 Ordinance 875-83 - Amending Kenai Municipal Code -
Incorporating Alaska Statutes, Title 28 Regarding Motor
Vehicles
MOTION: -
Councilman Measles moved, seconded by Councilman Wagoner, to
adopt the ordinance.
There was no public comment.
Motion passed unanimously by roll call vote.
C-2 Ordinance 876-83 - Increasing Rev/Appns - Grants from Kenai
Peninsula and City of Soldotna for Senior Citizen Center -
$59, 495
MOTION:
Councilwoman Glick moved, seconded by Councilman Measles, to
adopt the ordinance.
There was no public comment.
Motion passed unanimously by roll call vote.
C-3 Ordinance 877-83 - Increasing Rev/Appns - Chore Helper for
Senior Citizen Center - $2,901
MOTION:
Councilwoman Glick moved, seconded by Councilman Wagoner, to
adopt the ordinance.
There was no public comment.
Motion passed unanimously by roll call vote.
C-4 Ordinance 878-83 - Amending Kenai Municipal Code -Creating
Advisory Museum Commission
MOTION:
Councilman Measles moved, seconded by Councilwoman Glick, to
adopt the ordinance.
There was no public comment.
Councilman Measles asked if this could be a committee rather
than a commission. Councilwoman Glick suggested a Mayor's
Council similar to the Mayor's Council on Aging. Senior
Citizen Coordinator Porter said the museum needs direction.
Councilwoman Glick suggested Mayor Maleton come to the Aug.
1, 1983 meeting with 5-7 people as a Mayor's Council.
Council agreed to the suggestion.
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KENAI CITY COUNCIL
JULY 20, 1983
Page 4
VOTE (Failed):
Yeas Malston, Ackerly
Not Glick, Measles, Wagoner, Wise, Bailie
C-5 Ordinance 880-83 - Amending Kenai Municipal Code -Provide
for 100% Access LID's to Implement Charter Change
MOTION:
Councilmen Wagoner moved, seconded by Councilman Measles, to
adopt the ordinance.
There was no public comment.
Atty. Rogers said he had recommended against this at the
July 6, 1983 meeting. He noted Finance Director Brown had
also addressed this. Presently Administration can shorten
the time as short as proposed here. If the Finance Director
is away and it cannot be done in time, it will be opening
Lhe City to exposure in violation of the Code. Councilman
Wise explained the reason he introduced this is the
reauestor could have a reasonable time frame they could
relate to.
VOTE (Failed)s
Yeas Glick, Wise
Not Measles, Wagoner, Malston, Ackerly, Bailie
C-6 Resolution 83-110 - Transfer of Funds - Hire Bond Counsel
for Sale of GO Bonds - $89000
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MOTIONS
Councilman Wagoner moved, seconded by Councilman Ackerly, to
adopt the resolution.
'
There was no public comment.
Councilman Wise said he did not support a general bond
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issue. Council indicated there would be no liability to the
h general public. If we go to bond election, it will fail.
h There are other ways of meeting needs. Councilwoman Glick
said if we go with general bond sale, we would sell bonds,
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pay costs of bonds and have them available till someone came
in for an LID. Then we would put up -front money. Atty.
j Rogers said there would be authorization: of bonds, not
necessarily sale. City Manager Brighton said if we sold $2
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Million 2% must be committed within a a year period or you
are faulted 2%. 1/4 must be with a time frame. The reason
is so you do not invest at a higher percent.
VOTE (Passed):
Yes% Glick, Measles, Wagoner, Malston, Ackerly, Bailie
Nos Wise
C-7 Resolution 83-111 - Requesting Municipal Assistance from
'
F.
State
MOTIONS
Councilman Measles moved, seconded by Councilman Wagoner, to
adopt the resolution.
There was no public comment.
Motion passed by unanimous consent.
KENAI CITY COUNCIL
DULY 20, 1983
Page 5
C-8 LACK Project - Amending Wince, L orthell, Bryson Inspection
to Include Design do Inspection - 25th Ave. Water - $1,700
MOTION$
Councilwoman Glick moved, seconded by Councilman Measles, to
approve the amended contract in the amount of $1,700
Motion passed by unanimous consent.
D. MINUTES
D-1 Regular Meeting, July 6, 1983
a. Clerk Whelan asked that page 4, paragraph 1, line 2,
delete the words "this does not involve." Line 3,
delete the comma and the word "they." Line 3, after
the word "different" add "and more difficult to
obtain."
b. Clerk Whelan asked that page 19, last paragraph, line
4, the word "break" be changed to "breach."
Minutes were approved as changed and corrected.
E CORRESPONDENCE
None
F. OLD BUSINESS
None
G. NEW BUSINESS
G-1 Bills to be Paid, Bills to be Ratified
MOTIONS
Councilwoman Glick moved, seconded by Councilman Measles, to
approve the bills as submitted.
Motion passed by unanimous consent.
G-2 Requisitions Exceeding $1,000
MOTIONs
Councilwoman Glick moved, seconded by Councilman Measles, to
approve the requisitions as submitted.
Councilman Wagoner asked about the $6,400 for coveralls and
towels. Public Works Director Kornelis replied this is the
same as previous years. It is primarily for coveralls.
Motion passed by unanimous consent.
G-3 Change Order 01 - 2nd Ave. Water & Sewer, Roads - Doyle
Const. - ($2,550)
MOTION s
Councilman Measles moved, seconded by Councilman Wagoner, to
approve the change order.
Motion passed by unanimous consent.
G-4 Change Order #1 - lot & 2nd Sts. - Prosser - $2,000
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KENAI CITY COUNCIL
JULY 20, 1983
ff Page 6
II MOTIONS
Councilman Measles moved, seconded by Councilman Wagoner, to
approve the change order.
Notion passed unanimously by roll call vote.
G-i Assignment of Lease - Wometco Lathrop to Jack Estes
MOTION:
Councilman Wagoner moved, seconded by Councilwoman Bailie,
to accept Administration's recommendation and notify
' Wometco Lathrop of the decision.
Councilman Wise said he understood the memo from
Administration, but felt comment was valid. Mr. Estes was
trying to develop, the City was not growing at the time.
The man is seriously ill, he cannot sell the husiness
without selling leasehold interest. He need to sell the
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business to go Outside for a kidney transplant. City Manager
Brighton explained his recommendation was based on the fact
that Wometco Lathrop has assigned the lease. He told them
they had to have Council consent to assign.
Jackie Russell, Property World, spoke. The property is for
sale. The only thing Mr. Estes owns is the building,
inventory and good will. The lease was re-evaluated this
year and went up. Mr. Brighton explained Mr. Estes'
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attorney come to the City to negotiate out of the lease.
Mr. Brighton took it to Council. He wanted to pay $1,000 of
the $4,000. Council agreed on that payment with
;. cancellation of the lease. Atty. Rogers said the
negotiations were to terminate the lease, but the debt still
exists.
VOTE ( Passed) s
Yost Measles, Wagoner, Ackerly, Bailie
Nos Gliug, Wise, Malston
G-6 Discussion - ERA - Counter & Office Space Improvements
Dave Baumeister ERA spoke. ERA': p position is not to ask
the City to fund, just for amortization of improvements over
a term. ERA would pay for improvements on the ticket
counter and share walls and common baggage belt. The City
has unused space he is being asked to lease at the a4me rate
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as those that are improved. Councilman Ackerly asked, what
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is the lease payment? Airport Manager Swalley replied,
about $9,000 per year. Councilwoman Bailie noted at the last
meeting, ERA had said they could operate without a conveyor
belt. Mr. Baumeister replied they could if necessary.
Councilman Measles suggested negotiating 1/2 the cost. Mr.
Baumeister noted this puts more cost burden on ERA than the
leaseholder on the other side. Councilman Wagoner noted a
request had been made to Administration to come back with
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regulations allowing the City to regulate who will come into
the airport. Councilman Measles reviewed his proposal
further. City put the conveyor belt in, put the partition in
to divide, ERA finish their side. The 6th carrier would
benefit from the conveyor belt and center partition, but
would still have to put in the counter space. Public Works
Director Kornelis said he had a change order from Halverson
in the amount of $60,000. Mr. Baumeister said his cost is
$19,000.
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KENAI CITY COUNCIL
JULY 20, 1983
Page 7
MOTION:
Councilman Wagoner moved, seconded by Councilman Ackerly, to
direct Administration to sit down with Dave Baumeister and
work out an acceptable solution and come back with
recommendations to put him in the same level of doing
business with the City as all other air carriers.
Councilman Measles asked Mr. Baumeister, if we amortize to
a maximum of $25,000 over a 5 year period and he went over,
he would not come back to Council? Mr. Baumeister agreed.
MOTION, Withdrawals
Councilman Wagoner, with consent of second, withdrew his
motion.
MOTION:
Councilman Measles moved, seconded by Councilwoman Glick,
that the City agree with the proposal with ERA on their
lease space that the space will be completed exactly as
other ticket counters and the City would amortize expenses
of construction over 5 year period, not to exceed $25,000.
City Manager Brighton suggested a stipulation of 5 years on
one year renewal leases. Councilman Measles agreed, if they
pull out, they lose out on the cost. Airport Manager Swalley
said it would be $7,348 per year, including 15%.
VOTE (Passed)s
Yess Glick, Measles, Wagoner, Wise, Ackerly, Bailie
Nos Holston
G-7 Discussion - Thompson Park - Amending Wince, Corthell,
Bryson Engineering Design to Include water do Sewer Study
Councilman Wagoner said Council was to be provided cost of
water & sewer for Thompson Park, but have been provided with
estimate of cost to provide couL. Councilman Ackerly asked
for a ball -park figure. Public Works Director Kornelis
replied, a rough estimate of interceptor to run a sewer line
from Swires to Thompson Park, $1,100,000. The interceptor
to run inside Thompson Park is an additional $2,065,000, for
a total of $30165,000. That includes lift stations.
Engineering and contingency are not included. That would
bring it to about $4 Million. Councilwoman Glick said the
possibility of an small alternate community system was
discussed. Is there a cost on that? Phil Bryson - Wince,
Corthell & Bryson - spoke. There were 2 diecussiones one
wee evoluatiun of sewer problems, addressing alternatives
and engineering. The other was estimates of what it would
take for interceptor. Public Works Director Kornelis said
there is the question if DEC would allow. If they allowed
it, it would be 2 years before it would be approved. If we
go a package plan, we need another permit. It would require
another person on staff.
MOTION:
Councilman Wagoner moved, seconded by Councilman Ackerly, to
direct Administration to proceed with the road project in
Thompson Park as per previous letter to engineering firm of
Wince, Corthell & Bryson.
VOTE (Passed):
Yeas Measles, Wagoner, Ackerly, Bailie
Nos Glick, Wise, Malstan
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K€NAI CITY COUNCIL
JULY 20, 1983
pang R
ADDED IT£Ms
Mayor Holston noted at the last meeting Council had 2
alternates regarding the Thompson Park road project that
were not acted ons
a. Paved roadway at $780#000
b. Interim paving at $666,000
Public Works Director Kornelis explained, if there is no
intent of paving the road in the next 5 years, we can go
with the less substantial base.
MOTIONS
Councilman Wagoner moved, seconded by Councilman Ackerly,
to direct the engineers to proceed with alternate 02.
VOTE (Possed)s
Yess Measles, Wagoner, Malston, Ackerly, Bailie
Nos Glick, Wise
H. REPORTS
H-1 City Manager
City Manager Brighton spoke.
s. Regarding salvaging of the fire truck that was let out
for bid in Jan. The letter from Public Works Director
Kornelis in the packet explains for $19000+ we would
have an additional sanding }ruck, to buy one would be
$30,000. He recommended accepting the proposal.
MOTIONS
Councilman Ackerly moved, seconded by Councilwoman Bailie,
to convert the crash truck to a City sander for $1,000.
Mayor Holston noted it was discussed the truck could be used
for watering the green areas. If it was converted to a
sander, could it be used for that? Public Works Director
Kornelis replied no, the tank would be taken off. City
Manager Brighton added, we have an old fire truck we can use
for that purpose. It is not used for fires. The Parks
people are doing the work.
VOTE (Passes):
Yess Glick, Measles, Wagoner, Wise, Ackerly, Bailie
Not Holston
b. The July 6 packet had a counter -proposal From Bob
Bielefeld. P6Z and Council hove okayed it. The
appraisal is 4.5 0 ft. He has submitted a counter
proposal of 30 ft. He would construct roeds from the
end of Willow to the leased site. He would provide his
own access to taxi ways at City specs. He will
continue to develop to the far north of his property.
He intends to build a hanger, but was not specific
beyond that.
MOTIONS
Councilmen Wise moved, seconded by Councilwoman Glick, to
accept the proposal, except 50% for the first period of
negotiations.
KENAI CITY COUNCIL
JULY 20, 1983
Page 9
Mr. Brighton said he will provide his own septage and us
system. He will have a gravel road. He recommended a
counter proposal of 3.50 instead of 30. He has to put it
roadway to the site, about 400-500 ft. Councilman Hess]
asked, how such is he leasing? Councilman Wise replied,
about 5-1/2 acres.
NOTION, Amendments
Councilwoman Glick moved, seconded by Councilman Ackerly,
that Mr. Bielefeld hook up to water do sewer when available.
VOTE, Amendments
Motion passed unanimously by roll call vote.
MOTION, Amendments
Councilman Measles moved, seconded by Councilman Wagoner, to
change the price to 3.50 as recommended by City Manager
Brighton.
Councilman Wise suggested a 10 year limit at the low rate.
It would permit his to amortize over a reasonable length of
time. The extra 1/20 is not that important, getting the
property open is a greater advantage to the City.
VOTE, Amendment (failed)s
Yeas Messles, Wagoner, Holston
Nos Glick, Wise, Ackerly, Bailie
VOTE, Main Notion as Amended (Passed)s
Yost Glick, Measles, Wise, Molston, Ackerly, Bailie
Nos Wagoner
City Manager Brighton confirmed, 30 ft., one time cap, hook
up water & sewer. Council agreed.
e. Regarding the agreement with HEA on relocation of
power lines. We need to respond to their proposal,
;
that the lot time the City requested moving for
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roadway, they would be responsible; they would not be
responsible the 2nd time.
MOTIONs
Councilman Wise moved, seconded by Councilwoman Glick, to
--
support the proposed agreement.
Councilwoman Glick noted Public Works Director Kornelie had
said there have been times we have asked them to move more
than once. Does that happen often? Mr. Kornelie replied,
once or twice during a project. Atty. Rogers noted HEA may
relocate their offices in Kenai. This is not relevant to
'
this issue. This is not any part of the proposal. The
_
present agreement is an interim measure for relocating after
o'
the lot relocate. It has been the City position in courts
that at all times relocation is the responsibility of
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utilities. That is Common Law. The proposed agreement says
they can come back for lot relocation if they win the
litigation. Their attorney agrees. Litigation will
determine this. He is not aware that HEA has not said they
would relocate without this agreement. They will relocate,
s }
there is not need for an agreement for work in progress.
Also, the financial burden will remain with HEA unless the
courts any 3therwise. The City may not have the right to
expend funds that Common Law say otherwioo. We are getting
what we need now without an agreement. Mr. Brighton said he
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KENAI CITY COUNCIL
JULY 20, 1983
Page 1n
. ali6 ..
has no documentatina, just conversation with Mr. ybtt; There
is a possibility HEA might renege on relocation on the basis
we should make it part of the project. Though they agreed
to relocate on the basis of us being in court, it might be
in their best interest to stop relocating till the court
decision is made. Atty. Rogers said the courts would be
receptive to injunctive relief on the road project.
Councilman Mesoles said there is no reason for a 2nd
relocation very often.
COUNCILMAN WAGONER LEFT AT THIS TIME (10s20 PM)
VOTE (Failed):
-
Yes$ Wise
I Nos Glic'pk, Mvasles, Malston, Ackerly, Bailie
d. Regarding negotiations with HEA on moving of their
Ridgeway office headquarters. There is a 10 acre site
in the north side of Airport Way adjacent to the leased
1 lot of Glacier State Telephone and across the street.
It is FAA real estate. He scheduled a meeting with FAA
and Land Manager Labahn for this and 5 other matters.
He proposes trading a like dollar amount for that 10
acre site so the City would not be out any expense.
The trade would be on a portion of Section 36 on the
north side of the road, none is under discussion at
this point. The prevailing factor would be the cost,
appraisals would be needed on both. The purpose would
be to get them located in this area. Councilman
Ackerly said as a leaseholder he is not sure how strong
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his objection is when they get free property and he
has to pay. By giving them property, he is not sure
there are that many benefits. People who work there
will not move into the City. We should charge them
something, Councilman Wise said we have provision in
the Code to subsidize purchase for development. The
location has many attributes, they will relocate
because of access, not because of the lease. They need
us more than we need them. we could reallign Marathon
at the some time, it could be airport cost.
^`
Jackie Russell, Property World, spoke. The problem
with FAA property exchange for Section 36 land is she
would not like FAA authority in that area. HEA is
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non-profit and would not pay taxes.
MOTION$
Councilman Wise moved, seconded by Councilman Ackerly, for
--
the sale of 10 acres (at fair market value less discount)
of FAA land be made available with concurrence of FAA for
release, discount to be determined by negotiation.
Atty. Rogers said there is power to negotiate a sale in the
Code. We are subsidizing HEA'and suing them to maintain
their office to serve the public. Councilwoman Glick asked
Mr. Brighton if he had pointed out to HEA that they are in
breach of contract by not maintaining an office. Mr.
Brighton replied, no but he was sure they are aware of it.
Councilman Wise said part of the negotiations should be,
what are they yoing to do with it - move the Homer office,
have a substantial office? If they do something
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substantial, thay would bring other activity into the
area. He suggested the City Manager negotiate and come back
to Council.
M,
KENAI CITY COUNCIL
JULY 200 1983
Page 11
MOTION, Amendments
Councilman Measles moved, seconded by Councilman Wise, to
limit the discount, in negotiations to 10:.
Councilwoman Glick asked Atty. Rogers, if we do anything
other that offer them land at fair market value, does that
jeopardize our law suit? Atty. Rogers replied, he did not
think so.
VOTE, Amendment (Passed)$
Yess Glick, Measles, Wise, Ackerly, Bailie
Not Malston
Mr. Brighton noted there is nothing to say HEA will locate
in an appropriate geographical area, their headquarters are
In Homer, it is not in a geographical advantageous area. If
it were located here, it would generate substantial economic
activity for Kenai. Even if no one in the office relocates,
there would be people working there that would shop in
Kenai. The City does not compete with Soldotna, Homer or
Seward on industrial complexes on the Peninsula. There are
only a few things we can offer. HEA plans to increase 5-15
people in the future. They will relocate their entire
facility from Ridgeway. If he negotiates on basis of 10%
discount, the City will pay 10: discount, there will be no
cash cost to the citizens. We are committed way beyond this
in the proposal to the flight service station. Councilman
Measles said regarding giving land away. This is something
that is not in competition with any business in the
community. Councilwoman Glick asked, is the area on Airport
May free and clear of restrictions on construction? Has it
been released for sale? If we swap land, will those
conditions carry to the land we will srsp? Mr. Brighton
replied the only restriction would be that it could not sell
for less than appraised value. The City would have to get a
release from FAA to sell. Councilwoman Glick asked Mr.
Brighton if this was discussed with FAA. Mr. Brighton
replied no, he has noi, heard from FAA. He will most with
them in 2 weeks.
VOTE, Main Motion as Amended (Passed):
Yes$ Glick, Measles, Wise, Ackerly, Bailie
Not Malston
at City Manager Brighton noted awards received by
individuals of the City. Ken Siirilla was awarded
Sewer Treatment Operator of the Year, the sewer
treatment plant was awarded the Sewer Treatment
Plant of the Year. Mayor Malston and Airpc:t Manager
Swalt_ey received awards of appreciation from CAP.
Finance Oirecior Bro►n has received is Certificate of
Excellence in Accounting. Building Inspector Hackney
has received Certified Building Inspector from the
International Assn. This made him feel good about the
caliber of employees in the City.
f. Councilwoman Glick coked, regarding the
Candlelight/Linwood construction, have people been
informed they can hook up (at their expense) or are we
just stubbing out? Public Works Director Kornalls
replied we have not made any notifications. It is up
to the individual to contract out.
H-2 City Attorney
G
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KENAI CITY COUNCIL
JULY 209 1983
prbyp
_ _ _ lni
Atty. Rogers spoke.
Go There is more litigation on leased lands for
non-payment of losses.
b. The restrictive easement question is proceeding. He
will report at the Aug. 3 meeting.
c. Land Manager Labahn is reviewing the HEA power line
question.
d. There is expanding litigation on the HEA pole relocate
controversy.
of Regarding litigation on Miles Dean vs the City, Mr.
Roper, Mr. Peterkin and the City are involved. The
City is a nominal defendant.
f. Regarding vehicle impoundment, Atty. Rogers and Police
Chief Rose have met, they will have a report for the
Aug. 3 meeting.
g. Regarding the Cable TV meeting. It was fruitful, other
cities are exploring franchise fees. There may be a
State-wide group formed. A letter from Ted Berne is in
the packet.
h. Regarding Councilman Messlee, request to look into
vacation of land dedicated to culto-al facilities.
He hoe a letter from the State, there will be no problem.
L. CIE has not paid, he will be filing forcible entry and
detainer.
H-3 Mayor
Mayor Holston asked Council for any people for commissions.
He asked that names be submitted to him or Clerk Whelan for
form completion.
H-4 City Clerk
Clerk Whelan said petitions will be available for Council
seats in the Oct. 4, 1983 regular election from Aug. 4, 1983
to Sept. 2, 1983.
H-i Finance Director
None
H-6 Planning 4 Zoning
None
H-7 Harbor Commission
None
H-8 Recreation Commission
Recreation Director McGillivray spoke.
of He has had a request to go to the Jesse Owens games in
Los Angeles Aug. 10 to Aug. 14.
MOTIONS
Councilman Wise moved, seconded by Councilwoman Bailie, to
approve the request of Mr. McGillivray.
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KENAI CITY COUNCIL
2L'L Y 20, 1983
0aye 13
Motion passed by unanimous consent.
b. Per Councilman Wise's request, there is gravel at the
soft ball field, they should be able to get out
easier.
I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD
a, Father Targonsky, Russian Orthodox Church. There is a
sign on the bluff stating the Russian Church was
founded in 1864. It should be 1846. Mayor Malston
explained that is a Chamber of Commerce sign, he
suggested father Targonsky contact them.
b. Public Works Director Kornelis. Based on direction of
Council, he will put an ad in the paper regarding
Section 36, the bluff will be divided into 4 areas.
Council agreed.
c. Jackie Russell, Property World. Regarding the LID
assessment districts for Eadie's Lane. She is
available to answer any questions. Atty. Rogers said
it is under the old rules, not the 100% rate. Mrs.
Russell said if there are DEC funds they would like
them used, if not, she will get amended requests.
Atty. Rogers replied, there are no DEC funds. Mrs.
Russell noted it figures out to $89000 a lot.
d. Councilwoman Glick wished Clerk Whelan a good time on
her vacation.
ADJOURNMENT:
Meeting adjourneed� at 11 s 10 PM.
7G��Yl�ii �'L'
Janet Whelan
City Clerk
F
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PARTIAL VERBATIM ERA
July 20, Council Meeting
Councilman Measles: I would move that the City agree on the
proposal with ERA helicopters on their lease space, that
the space will be completed exactly as the other ticket counter
areas in the airport and that the City would advertise the
expense of this construction over a period of 5 years or amount
not to exceed $25,000.
Councilwoman Glick: Second
City Manager: Mr. Chairman, I would like to stipulate that that
5 years be on 1 year renewable leases.
Councilman Measles: That's the way the leases are drawn up.
City Manager: Yes, it is, but you're motion might interpreted
that we're giving a 5 year lease.
City Attorney: Or that there's a presumption of renewal.
Councilman Measles: Or like I said if for some reason they pull
out at the end of the first year, that's the end of the
amortization time, ERA lost the balance.
Man: That's right
Mayor Malston: Did anyone come up with the amount of the lease?
City Manager: It's about $5,000.
Airport Manager: I've got a correction on that. It comes out to
$7,348.(inaudible on how many cents) per year.
Mayor Malston: Does that include the 15%, Jim?
Airport Manager: Yes, it does. (Inaudible)
Mayor Malston: (Inaudible) Madame Clerk, would you call the roll
please?
Betty Glick: Yes
Ray Measles: Yes
Tom Wagoner: Yes
John Wise:. Yes
Mayor Malston: No
Tom Ackerly: Yes
Sally Bailia: Yes
End of Verbatim
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