The URL can be used to link to this page

Home My WebLink About1982-06-16 Council MinutesAGENDA KENAI CITY COUNCIL - REGULAR MEETING-, JUNE 16, 1982 - 7:00 PM PLEDGE OF ALLEGIANCE A. ROLL CALL 1. Agenda Approval B. PERSONS PRESENT SCHEDULED TO BE HEARD 1. Bob Anderson, Union Oil - Sludge Problem at Waste Sites C. PUBLIC HEARINGS 1. Ordinance 778-82 - Decreasing Rev/Appns - Senior Citizens Center Grant - ($2,210) 2. Ordinance 779-82 - Charter Amendment - Use of Funds from Sale of City Lands for Capital Improvements 3. Ordinance 780-82 - Increasing Rev/Appns - Library Donations - $600 4. Ordinance 781-82 - Increasing Rev/Appns - Sewer Treatment Plant - $26,450 5. Resolution 82-56 - Awarding Contract - Radio Maintenance, Misc. Depts. - $16,818 6. Resolution 82-57 - Transfer of Funds - Forest Dr. Extended & Gill - $2,195 a. Change Order #1 - Harvey's Trucking - Forest Dr. Extended to Gill - $2,194.78 7. Resolution 82-58 - Transfer of Funds - Lawton, Tinker. walker, Rogers - $1,539 a, Change Order #5 - Quality Asphalt Paving - Lawton, Tinker, walker, Rogers - $1,539.09 S. Resolution 82-59 - Award of Bid - Misc. Concrete Block Bldgs. to Contractors Supply 9. Resolution 82-60 - Awarding Bid for Rotary Snowblower to Howard Cooper Corp. 10. Resolution 82-61 - Requesting Governor Veto on HCSCS SB-180 (Judiciary) AM H on Revisions of Title 29 11. Renewal of Liquor License - Peninsula Oilers D. MINUTES 1. Regular Meeting, June 2, 1982 E. CORRESPONDENCE 1. homer Electric - Relocation of Power Poles F. OLD BUSINESS G. NEW BUSINESS 1. Bills to be Paid, Bills to be Ratified 2. Requisitions Exceeding $1,000 3. Ordinance 782-82 - Decreasing Rev/Appns - Sewer Treatment Plant Const. - ($532,753) a. Public Hearing t 4. Ordinance 783-82 - Increasing Rev/Appns - Library Grant - $4,675 5. ordinaenancecof7Russian Orthodox nChurchAPaarish House-- $2,000 6. Ordinance 785-82 - Repeal KMC - Appt. of Acting City Clerk 7. Addendum to Lease - Great Northern Investment Corp. S. Consent to Assignment - Baldwin 6 Arness to Kenai Professional Ltd. 9. Assignment of Lease - Colette Yamamoto to Ron Yamamoto - Little Ski -MO 10. Discussion - Paving of Strawberry Rd. - Borough Project 11. P&Z Resolution to Amend KW to Exempt Subdiv- isions Prepared by City and to Allow Subdividers to Post Security Other than Surety or Check 12. Amendment to Lease - Southcentral Air - installation of Fueling System 13. Discussion - Lands Conveyed to City By Tax Foreclosure of Borough H. REPORTS 1. City Manager 2. City Attorney 3. Mayor 4. City Clerk S. Finance Director 6. Planning & Zoning 7. Harbor Commission S. Recreation Commission Z. PERSONS PRESENT NOT SCHEDULED TO BE HEARD ADJOURNMENT I - - - -evffAuw�_._ I .-_- - -- ---- . KENAI CITY COUNCIL - REGULAR MEETING, MINUTES JU14E 16, 1982, 7:00 PM KENAY CITY ADMINISTRATION BUILDING MAYOR VINCENT O'REILLY PRESIDING PLEDGE OF ALLEGIANCE A. ROLL CALL Presents Vincent O'Reilly, Betty Glick, Ray Measles, Tom Wagoner, John Wise Absents Ron Malston, Dick Mueller (both excused) AGENDA APPROVAL 1. Mayor O'Reilly asked that item C-2, Ord. 779-82, be changed to item F-1, Old Business, as it is up for introduction only. 2. Mayor O'Reilly asked that the title of item B-1, be changed to: Bob Anderson, Union Oil - Possible Drilling Mud Problem at Drilling Sites. Council agreed to the changer. B- PERSONS PRESENT SCHEDULED TO BE HEARD B-1 Bob Anderson, Union Oil - Possible Drilling Mud Problem at Drilling Sites Bob Anderson introduced himself as District Land Manager. In addition, present were Ken Zerda, Jim Callender, Larry Vavra and Kevin Tabler from Union Oil. They have had a lot of press, a lot of it unwarranted, they feel, He felt they were dealing with a problem of definitions. The conser- vationists are directing their problem to the reserve pits in the Kenai gas fields. 6 are active. They are used for drilling operations for holding drill cuttings and drill mud. When removed, they dispose of them at the Kenai dump - an approved site - and solids are left at the pit. The problem of these groups is they feel Union Oil is disposing of waste material in these pits. Union Oil has offered to: a. Conduct water sampling in the pit b. Monitor the area outside the pit To date, the groups have not agreed this is a proper procedure. There are 2 reserve pits, them, is no sludge and no waste within the City of Kenai. Union Oil is attempting to work out with DEC the definition of terms and under- standing. When the field is totally depleted (about the year 2000), this will have to be addressed. This is a permanent site. Ken Zerda The controversy with DEC started out as a definition.- In addition to the disposal problem, it has since broadened. Now they feel ADEC has the right to permit. There is a difference of opinion. Union Oil feels permitting right lies with the agency involved. If there is an over- lap, Union Oil always has permits with both agencies. That will have to be resolved. He expects to have approval to drill the next well by 6-18-82. This will be outside of the City. Councilman Wise asked Mr. Zerda, is Union Oil in compliance with City permits? Mr. Zerda replied yes. Well #2 has been abandoned. This is Wetlands and many agencies are involved. Councilwoman Glick asked, there are materials left KENAI CITY COUNCIL JUNE 16, 1932 Page 2 in the pit? According to ordinance, a steel pit is required. Union Oil had a variance on that. The ordinance says all contents shall be removed. If they have removed the water, does this comply with the ordinance? Mr. Anderson replied he would like to review that. They did get a permit from the Corps. of Engineers. He was sure the City was addressed by the Corps. for input and sign -off of permits. Atty. Delahay said he would furnish Union Oil with a copy of the ordinance. He suggested Council might feel it advisable to amend the ordinance. This was passed many years ago, perhaps the City needed more protection at that time. Mayor O'Reilly asked if any tests had been taken on well #1 to see if there is any seepage. Mr. Zerba replied there is a reserve pit next to it and the water level is not the same. This would indi- cate no seepage. They are lined with gel lining, it is almost impervious. Union Oil feels this is the best method. Councilman wise asked for a sample of the water in the well drilled at well #1. Also, if there is a well drilled in the other area, he would like a sample of that. Mr. Anderson replied, they have sampled the wells in the gas fields and it Is potable water. They will sample #1 & #2. Mayor O'Reilly noted the Council appreciated the quick response by Union Oil to Council request. Union Oil has been good friends to the City and we have to work together on their problems. C. PUBLIC HEARINGS C-1 Ordinance 778-82 - Decreasing Rev/Appns - Senior Citizens Center Grant - $2,210) 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-3 Ordinance 780-82 - Increasing Rev/Appns - Library Donations - $600 MOTION: Councilwoman Glick moved, seconded by Councilman Measles, to adopt the ordinance. There was no public comment. Notion passed unanimously by roll call vote. C-4 Ordinance 781-82 - Increasing Rev/Appns - Sewer Treatment Plant - $26,450 MOTIONS Councilman wagoner moved, seconded by Councilwoman Glick, to adopt the ordinance. There was no public comment. Motion passed unanimously by roll call vote. C-5 Resolution 82-56 - Awarding Contract - Radio Maintenance, Misc. Depts. - $16,818 I F Q _ i KENAI CITY COIJXCIL JUNE 16, 1982 Page 3 MOTION: Councilman Measles moved, seconded by Councilwoman Glick, to adopt the resolution. PUBLIC COMMENT: Trycgve Erickson, Motorola Communications. Their company has given an incorrect impression. Motorola was the lowest bid, but it appeared they were not going to put a facility in the local area. It is ' their intention to give one hour service. The only j good back-up is an extra radio. Part of their pro- posal is a back-up base station. They feel they have the lowest & best bid. The base station would be j at no additional cost to the City. Councilman { Measles noted, the deletion of the one hour response time is not the only difference, the cost is also. i What is the reason? Mr. Erickson replied, they had ! closed the Kenai office, now they have a reason to . open a local office. They had difficulty manning their ! local office, now they have a good man to run the j office. Police Chief Ross noted we have back-up at the present time. He added, Motorola had called him several times. They submitted the 2nd bid on the basis of back-up time. On opening the bids, it was their intent to serve the City from Ancorage. l He had no indication there would be a shop down here. - It was later they said they would have a shop here. We have had back-up for police & fire depts. since the system was installed 10 years ago. Mr. Erickson - explained their bid was confusing, there was an error in the 2nd bid to say they would be servicing out of Anchorage. i Motion passed unanimously by roll call vote. C-6 Resolution 82-57 - Transfer of Funds - Forest Dr. -- Extended & Gill - $2,195 - . MOTION: �! Councilwoman Glick moved, seconded by Councilman Measles, to adopt the resolution. Councilman Wise asked for an explanation of the change order. Public Works Director Kornelis ex- plained, there is a water line down 4th connecting to Redoubt Terrace. There is one on 2nd connecting `=I to Section 36. There were valves on 2nd & 4th, they wanted to put a valve on Forest for shut-off. The - City furnished the valve and reduced the price. Councilman Wise noted this is a ratification action. He asked that this be stated in the resolution when .J this is done. Councilwoman Glick asked if this was '? expensive for labor & equipment. Mr. Fornelis replied no, not for the time involved- Wince, Corthell & iBryson thought it was reasonable. Motion passed unanimously by roll call vote. " C-6a Change Order #1 - Harvey's Trucking - Forest Dr. Extended & Gill - $2,194.78 I rr Ii � 11 1 KENAI CITY COUNCIL JUNE 16, 1982 Page 4 MOTION: Councilman Measles moved, seconded by Councilman Wagoner, to approve the change order. Motion passed unanimously by roll call vote. C-7 Resolution 82-58 - Transfer of Funds - Lawton, Tinker, Walker, Rogers - $1,539 There was no public comment. MOTION: Councilman Measles moved, seconded by Councilwoman Glick, to adopt the resolution. Councilman Wise asked for an explanation of the change order. Public Works Director Kornelis ex- plained, there was a conflict in the storm drain and the sewer drain. The storm drain had to be lowered, then the sewer line. City Manager Brighton said in items C-6 and C-7 it was his and Mr. Kornelis' opinion that a decision had to be made right then in order to prevent delay. Councilwoman Glick asked, don't we have as-builts? Mr. Kornelis replied, yen we do, but it is difficult to define the exact eleva- tion at that point. VOTE: (passed) Yes -'O'Reilly, Measles, Wagoner, Wise No - Glick C-7a Change Order $5 - Quality Asphalt Paving - Lawton, Tinker, Walker, Rogers - $1,539 MOTION: Councilman Wagoner moved, seconded by Councilman Measles, to approve the change order. Councilman Wise asked that this item also be stated as a ratification. VOTE: (passed) Yes - O'Reilly, Measles, Wagoner, Wise No - Glick C-8 Resolution 82-59 - Award of Bid - Misc. Concrete Block Bldgs. to Contractors Supply MOTION: Councilman Measles moved, seconded by Councilwoman Glick, to adopt the resolution. PUBLIC COMMENT: George Johnston, Pre31dent - Johnston Alaska Inc. At the time of the bid, he was required to have a bid bond, a contractor's license and a business license. He conten6ed Contractors Supply did not have a business license. He is protesting the award. Public Works Director Kornelis explained the firm does have a business license, they are also Superstructures. The license had been applied for when they submitted the bid. This is a union/ non -union company. The contract states the owner reserves the right to waive requirements. Other than the business license, all is in order. Council- woman Glick noted they are about• $7,000 lower than the next lowest bid. She asked Mr. Kornelis if he - - _' --- - _�:_ - --I-- ' - __ .--- - , __ _� -- 4 KENAI CITY COUNCIL JUNE 16, 1982 Page 5 felt they could do the job at that price. Mr. Kornelis replied there was mistake in the bid, but in talking to them, they said they will do the work. Councilwoman Glick asked if they would be asking for amendments. Mr. Kornelis replied they could not once it is finalized. Councilman Wise asked if there was a legal problem in postponing action. Mr. Kornelis replied 45 days after the proposal the owner must accept the proposal. Councilman Wise said he would like it postponed. Finance Director Brown noted this is Federal Revenue Sharing, the City is in double jeopardy. Council- man Wise asked if we are required to chlorinate our water? Mr. Kornelis said no, but it helps with color in the well houses. They stopped once and had trouble with odor and color. MOTION, To Table: Councilwoman Glick moved, seconded by Councilman Wagoner, to table till after Old Business and discuss t with the City Attorney so appropriate words can I be made. _ - Motion passed unanimously by roll call vote. - { C-9 Resolution 82-60 - Awarding Bid for Rotary Snow blower to Howard Cooper Corp. MOTION: Councilwoman Glick moved, seconded by Councilman Wagoner, to adopt the resolution. There was no public comment. XI Councilman Wagoner asked Public Works Director if there was a specific reason Taylor did not bid. Mr. Kornelis replied he did not know. Councilman Wise asked if the award had been approved by FAA. Mr. ^,G Kornelis said the money has been appropriated but 1 they do not have final approval by FAA. The specs have been approved. Airport Manager Swalley said this has been talked over with FAA. Motion passed unanimously by roll call vote. --- C-10 Resolution 82-61 - Requesting Governor Veto on HCSCS SB-180 (Judiciary) AM H on Revisions of 9 Title 29 MOTION: Councilwoman Glick moved, seconded by Councilman Wagoner, to adopt the resolution. There was no public comment. Councilwoman Glick said she requested this be pre- pared and forwarded to the Governor. This is the same as that of the Fairbanks Borough and Alaska Muncipal {� League Be. of Directors. There are items that could have an adverse effect on the City. Sen. Gilman �. concurs with this action. Motion passed unanimously by roll call vote. ' Clerk Whelan was asked to forward copies to Gov. Hammond, Municipal League Board and the 3 local it ''- - ! representatives. A F I KENAI CITY COUNCIL JUtIE 16, 1982 Page 6 C-11 R.anewal of Liquor License - Peninsula Oilers MOTION: Councilman Measles moved, seconded by Councilwoman Glick, to send a letter of non -objection toOilersolic Beverage Control Board regarding Motion passed by unanimous consent. Clerk Whelan was asked to forward a copy to the Peninsula Oilers- D. MINUTES D-1 Regular Meeting. June 2, 1982 Minutes were approved a.3 submitted. E. CORRESPONDENCE E-1 Homer Electric - Relocation of Power Poles Kent Wick, Homer Electric, spoke. For the past several years HEA has been asked to move ave spent facilities during all construction. They i much money doing this, and have not been reimbursed. All other cities reimburse HEA. They have to pass it on to their cansume�s000They worth ofwould facilitiesewillthis haveresolved. be moved t $ • O`Reilly asked, was the be moved this year. Mayor situation that many years ago, this was a minor amount and now it is a large amount' Mr. Wick replied yes. the City has paid Councilman Wise said in past years for part of it—Atty. Delahay said there has been irst a long series of correspondence. correipothanc . utilityen lis£required came P, to move facilities. There have been easkednthat Frontage Rd. the City paid because theyy disagreement the lines be buried. There is a serig�ld irarepresents between HEA attorney and him. Atty. HEA. He feels the City got free money from the State, that puts a greater burden the utoney from thesStatedor be the same whether we got the money for not. This is a basic question as to who will pay utilities. The City has no fee arrangement- HEA keep has taken over the City permit. aid off, but HEA legal title till the bonds are P a ents and has equity title. They have payments asde al they lare due. It have agreed to make p Ym construction, the State is State law that in planning constru for it. It does not say municipalities. That will pay should not control what Kenai does. older cities pay We have requested HEA remove Poles and work with the contractors. roeressland create additional expense. impede City P g at stake. They could move There is a lot of money the poles and get a court decision. There are various courses of action: a. To say yes and pay. a reement. We b. To sue to cancel the operating g would have to take operations back. C. Hire an electric contractor to move the lines ourselves. He would not adv4se this method because of a question of title. d. File a strong protest to the Board of Directors. They should go to court and not refuse to service. e. Sue HEA for declaratory judgement that they move the lines. This could be done with (d). t KENAI CITY COUNCIL JUNE 16,1982 Page 7 He would submit the simplest lawsuit is who is res- ponsible for relocation. Councilman Wise asked if we have an ordinance relating to placement of utilities. Atty. Delahay said he did not know of one. Councilman Wise said this should be done. He suggested a break- down as to how many of these poles are being moved for our convenience. Mr. Wick said the majority are on road right-of-ways. Most were put in by the City. Atty. Delahay said KUSCO pays us 2% of their gross for use of the right-of-way and agrees to move their utilities when necessary. HEA obtained right-of-way without a permit fee. The problem is that when we improve the roads, we have to move the poles. The legal position is still the same, they are using our right-of-way. The only way to resolve this is to have it determined by court. The simple way is for HEA to bring suit after they establish costs. It is not appropriate to block City contracts. City Manager Brighton reviewed the letter from Atty. Baldwin. REA refuses to take any further action without a legal decision. We find ourselves in the construction season and almost to a point where the poles must be moved or construction stopped. He asked for a work session as soon as possible. Councilman Wagoner requested the Board of Directors of HEA be included in the work session, and that APUC be aware of the meeting. Councilwoman Glick said the Borough is having the same problem. Atty. Delahay said the Borough is using State Roads & Trails money and may have to follow State rules. He noted Borough Atty. Sarisky was in attendance. Atty. Sarisky said policy used to be that utilities moved the lines when the right-of-way was moved. The Federal Highway program changed that. The Borough is bound by State money and has to abide by these laws. Mayor O'Reilly asked, when a road is built by Roads & Trails money, is it owned by the Borough when it is finished? Atty. Sarisky replied, by the State. The State does the maintenance except when service areas are involved. Mayor O'Reilly noted in the City, the City owns the road when complete. Public Works Director Kornelis said they have working on this since last Fall. They other utilities said they would be relocated, all but REA have done this. He added, the City is in the process of working with the Borough for utility corridors. Mr. Wick said it is his feeling if we are moving ahead with resolving the problem, they will work with this. Council agreed to have a work session Monday, June 28, 1982 at 7:00 PM. at the Council chambers. Mr. Wick assured Council he would release the work. C-8 Resolution 82-59, Removed from Table MOTION, Re move from Table: Councilman Wagoner moved, seconded by Councilwoman Glick, to remove Res. 82-59 from the table. Motion passed unanimously by roll call vote. KENAI CITY COUNCIL JUNE 16, 1982 Page 8 MOTION, Amendment: Councilman Wise moved, seconded by Councilwoman Glick, to amend the resolution to read, the para- graph beginning NOW, THEREFORE--, line 2, after the word, "that", add "the City waive the minor irregularity of failure to submit a copy of business license by Contractors Supply Corporation and". Further amended, the paragraph beginning NOW, THEREFORE---, line 3, after the amount "$17,825.0011, add "subject to furnishing of a copy of a valid business license by said contractor on or before July 15, 1982." Mayor O'Reilly asked if Contractors Supply had a bid bond. Mr. Kornelis replied yes. VOTE, Amendment: Motion passed unanimously by roll call vote. VOTE, Main Motion as Amended: Motion passed unanimously by roll call vote. C-2 Ordinance 779-82 - Charter Amendment - Use of Funds l 1:-I1 from Sale of City Lands for Capital Improvements MOT/ION: Councilwoman Glick moved, seconded by Councilman Wagoner, to introduce the ordinance. Motion passed unanimously by roll call vote. G. NEW BUSINESS G-1 Bills to be Paid, Bills to be Ratified Mayor O'Reilly said Finance Director Brown had asked that the Craig Taylor bill distributed this date (6-16-82) be added. MOTION: Councilman Measles moved, seconded by Councilwoman Glick, to approve the bills submitted, including the Craig Taylor bill. Finance Director Brown noted the Quadra bill should be reduced to $14,813.43, there was an error in billing. VOTE, Amendment: Motion passed unanimously by roll call vote. VOTE, Main Motion as Amended: Motion passed by unanimous consent. G-2 Requisitions Exceeding $1,000 MOTION: Councilwoman Glick moved, seconded by Councilman Wagoner, to a(p�prove the requisitions. KENAI CITY COUNCIL DUNE 16, 1982 Page 9 C-2 Ordinance 779-82 (Reconsideration) F - 0 Atty. Delahay noted a corrected copy of the ordinance had been placed before the Council this date (6-16-82) because of a typographical error in the packet copy. MOTION, Reconsideration: Councilwoman Glick moved, seconded by Councilman Wise, for immediate reconsideration of Ord. 779-82. Motion passed by unanimous consent. MOTION: Councilwoman Glick moved, seconded by Councilman Measles, to introduce the amended ordinance with deletion of the typographical error with the ord- inance as distributed this evening. Motion passed unanimously by roll call vote. G-3 Ordinance 782-82 - Decreasing Rev/Appns - Sewer Treatment Plant Const. - ($532,753) MOTION: Councilman Measles moved, seconded by Councilwoman Glick, to introduce the ordinance. Motion passed by unanimous consent. MOTION, 2nd Reading: Councilman Measles moved, seconded by Councilwoman Glick, for 2nd reading of the ordinance. Motion passed unanimously by roll call vote. MOTION, Adoption: Councilwoman Glick moved, seconded by Councilman Wagoner, to adopt the ordinance. There was no public comment. Motion passed unanimously by roll call vote. Councilman Wise asked why were they having the 2nd hearing this date. Mayor O'Reilly replied, per Finance Director Brown's memo, this should take place before July 1, 1982. G-4 Ordinance 783-82 - Increasing Rev/Appns - Library Grant - $4,675 MOTION: Councilwoman Glick moved, seconded by Councilman Measles, to introduce the ordinance. Motion passed by unanimous consent. C,5 Ordinance 784-82 - Increasing Rev/Appns - Maintenance of Russian Orthodox Church Parish House - $2,000 1" r KENAI CITY COUNCIL JUNE 16, 1982 Page 10 Councilman Wise noted this is in a budget not in effect yet. He would prefer a resolution to transfer from contingency. MOTION: 4, Councilwoman Glick moved, seconded by Councilman i> Measles, to introduce the ordinance. Councilwoman Glick said she requested this because _ at the budget work session a request was made to donate money for upgrading. These facilities are on the national register. Promoting the City in- ---- volves tourism and this is on the tourist route. On the lease there is a provision the City may upgrade the facilities. The Council did not give - - Father Targonsky a definite no. She thought we could use this year's left -over funds. It is her intent that the money be set aside and only let out upon proper submittal of invoices and then be reimbursed. She would ask that the appropriation come out of contingency fund for FY 1981-82. Council- man Wagoner said he wondered how far the City will go with gimmicks. If we don't put a stop to this, we l are in a lot of trouble. Any non-profit organization could come before the City and ask for a request for money. They all need funds and have good reasons for "= them. He didn't see how we can give to one and not to another. There are State funds for this, and other avenues than tapping the City. Also, the contract says may upgrade. Finance Director Brown -- said regarding the timing, it was his intention to make it next year's money. If we need it in July, we have a whole year. Also, this is the 1st idea he had that it would be a gift to the Church. He put it in non -departmental so the City would buy the items. He is not sure it is the right account for a gift. Councilwoman Glick said she requested an ordinance so we could have a public hearing. It was -, not her intent to have it as a gift, but by invoices approval. We have donated money to Chamber of Commerce and have taken over actions Little League used to do. Father Targonsky has appeared before P&Z many times. _ They have received other grants but they were not +! enough. Councilman Wise asked that Administration make a resolution transferring from contingency. Also, that it be for materials, not labor. The labor should be volunteer. We could have that as a companion with the ordinance and decide at the next meeting. Councilwoman Glick said Father '. Targonsky had said most of the work would be ^� volunteer. VOTE: (failed) Yes - Glick, Wise No - O'Reilly, Measles, Wagoner Mayor O'Reilly asked that a resolution be prepared for the next meeting. (July 2, 1982) City Manager Brighton asked if Council intended any restrictions, should all the work be inside? Councilwoman Glick said it should be painted and repaired outside also. Mr. Brighton noted they could spend it all inside and not do what she intended. Councilwoman Glick said they will. Councilman Wagoner said you should get more finite. You will not know what they are I KENAI CITY COUNCIL h. JUNE 16, 1982 Page 11 doing unless you are there. G-6 Ordinance 785-82 - Repeal KMC - Appt. of Acting City Clerk MOTION: Councilman Wagoner moved, seconded by Councilman Measles, to introduce the ordinance. i Motion passed by unanimous consent. G-7 Addendum to Lease - Great Northern Investment Corp. MOTION: Councilwoman Glick moved, seconded by Councilman Wagoner, to grant the amendment to the lease. Atty. Delahay said this is an older lease. The use was changed years ago but the lease was not changed. Motion passed by unanimous consent. G-8 Consent to Assignment - Baldwin & Arness to Kenai :" L Professional Ltd. MOTION: - Councilwoman Glick moved, seconded by Councilman Measles, to approve the assignment. Motion passed by unanimous consent. G-9 Assignment of Lease - Colette Yamamoto to Ron Yamamota - Little Ski-Mo =± = MOTION: Councilwoman Glick moved, seconded by Councilman Measles, to approve the assignment. Motion passed by unanimous consent. �.� G-10 Discussion - Paving of Strawberry Rd. - Borough Project Atty. Andy Sarisky. The reason the Borough is in- volved with paving of City roads, rather than the City is because of revenue windfall. If we had �- improvement districts, we would have a different -- outcome. Whether we like it or not, they will cram ` the road down our throats. A subdivision was created a Just outside the City limits that uses Strawberry Rd. Now they are in favor of paving the road. The Planning Commission should have insisted he build ; his own access road. It would also have been a better traffic pattern. He had asked P&Z to look f�. ' at this at the 1st hearing.Residents of is this area have no benefits from living in the City except pay- ing taxes. They should be looking at differential tax treatments�of dis-annexation (sic). Mayor O'Reilly 0 r asked Atty. Sarisky what happened at the Borough meet- ing last night? Atty. Sarisky replied, they asked it if was legal to use the money. He noted that brings up the question as to whether they should do it out- ?,;. X1 side of Borough lands, in the City. Legislatively they approved it. This will require the attention of 2 Administrative bodies and 2 P&Z Commissions for F KENAI CITY COUNCIL JUNE 16, 1982 Page 12 utilities, road work, etc. Within the last year, the phone company has improved its facilities and extended its lines. It seem ridiculous that we will have to tear these out for a road project. We should get together with utilities to straighten this out. The City should get involved with this. City Manager. Brighton said he had received a call from Bill Conyers of the Borough. He asked if the City was opposed to this. Mr. Brighton told him the memo was for information only. The Assembly said to go ahead with the project, the money has been appropriated, engineering would go ahead unless the City had an objection. He had told Mr. Conyers he did not know of any City objection. Councilman Wise asked Atty. Sarisky, does the Borough under 2nd Class have the ability to dictate utility corridors? Atty. Sarisky replied, he thought it is an inherent power for municipalities. Regulation of streets is a different question. The Bcrough can only do it through planning action. City Manager Brighton noted the decision was made last night (6-15-82), the question is moot. Council- woman Glick added the majority of the people agreed i to the paving, and the State maintains the road. MOTION: Councilwoman Glick moved to recommend to the Borough that they proceed to develop Strawberry Rd. per the current road system. Motion failed for lack of a second. MOTION: Councilman Wise moved the Borough put in both roads. Motion failed for lack of a second. Councilman Wagoner said it is a moot point, mainten- ance has been settled, it is a State problem. Whether they pave or gravel, it does not solve the problem. The only solution for the City is to build another road. No action was taken by Council. G-11 P&Z Resolution to Amend KMC to Exempt Subdivisions Prepared by City and to Allow Subdividers to Post Security Other than Surety or Check Atty. Delahay explained this was prepared to smooth out conduct for completion of plats. It has been to P&Z. Their recommendation is to approve the amendment. MOTION: Councilwoman Glick moved, seconded by Councilman Wagoner, to prepare an ordinance based on the P&Z resolution. Councilman Wise said, regarding securities. CD's and other securities should be used. The City should not require $20,000 deposit and invest it to make money. An individual should be entitled to make money. Atty. Delahay explained other security could be used, according to the resolution. r- V KENAI CITY COUNCIL JUNE 16, 1982 Page 13 Motion passed by unanimous consent. — e. x * -\-u L. t a s e, s !� G-12 Pa#s nds-eanvegee 6}tom elessFe of Borough o-t- FNe.Unq SLAst-tm City Manager Brighton explained the individual wants to change the use by putting in a fuel tank for himself and the public. P&Z recommended approval. MOTION: Councilwoman Glick moved, seconded by Councilman Measles, to direct Administration to prepare an amendment to the lease to concur with P&Z recommendations. Motion passed by unanimous consent. G-13 Discussion - Lands Conveyed to City by Tax Fore- closure of Borough City Manager Brighton explained this is part of the process of getting a handle on lands in the City. We asked for P&Z recommendation, they felt the City did not have a use but they should go to Parks & Rec. to see if there was a use. If there is no use there, the City should proceed to sell under ordinance. In searching the archives, we found 4 were ordered sold in 1978 and were not sold. 2 have no taxes owing, but are in the City name. Administration is trying to find out the problem. The list will go to Parks & Rec. Council agreed to the action. H. REPORTS H-1 City Manager City Manager Brighton said Recreation Director McGillivray has talked to Mr. Harrison of Kenai Fitness Center regarding the exercise equipment. There are reports from others, he noted we will need a work session. H-2 City Attorney Atty. Delahay said the case between the City and the Borough regarding the sludge disposal hearing was this date (6-16-82). The matter was continued for argument tomorrow. H-3 Mayor Mayor O'Reilly spoke. 1. Governor candidate Steve Cowper will be in Kenai June 17. Council is invited to a no - host lunch. 2. Central Peninsula Hospital Board will have a meeting June 17 regarding the Service District taking on EMC functions. Without Council commitment he would like to attend with City Manager Brighton and Fire Chief Winston. It is open to the public. 3. He suggested Bob Roth for P&Z member. MOTION: Councilman Wagoner moved, seconded by Councilman Measles, to approve Bob Roth for Planning & Zoning Commissioner. I I" KENAI CITY COUNCIL JUNL 16, 1982 Page 14 Motion passed by unanimous consent. 4. P&Z has requested a joint wo .._,on with Council regarding Section 36 for June 30, 1982. H-4 City Clerk None H-5 Finance Director 1. Mayor O'Reilly presented a certificate of confor- mance from Municipal Finance Officers Assoc. to Finance Director Brown. 2. Finance Director Brown reported on delinquent leases, reported in the packet. He has tried to isolate the leases that have been canceled or have legal problems. The Finance Dept. is not a bill collector. We suggest those listed be turned over to a bill collector. It will not cost us anything. One local collector said 25%. Atty. Delahay said it is possible the City could get more if they collect. Some of those listed, he had been handling. He suggested writing them off as bad debts. MOTION: Councilman Wagoner moved to direct Finance Director Brown to write these off and direct Administration to proceed with collection in whatever method they agree. Motion failed for lack of a second. MOTION: Councilwoman Glick moved to go with the Attorney's suggestion, the first two to a collection agency, the rest as he outlined. Atty. Delahay said the recommendations in the memo were not his. Finance Director Brown said with only one, why bother with a collection agency at all? MOTION, Withdrawal: Councilwoman Glick withdrew her motion. Councilman Wagoner said surely the City has est-ablished a policy. Finance Director Brown explained, Council had passed a motion to go ahead with this action. It is not being done with current procedures. He thought• this would be another route. Atty. Delahay said he would want the collection agency to hire their own attorney so it will not come out of our proceeds. MOTION: Councilman Measles moved, seconded by Councilwoman Glick, that the canceled leases be turned over to a collection agency, any lease that is one year or over, steps be taken to cancel. Motion passed unanimously by roll call vote. 3. Regarding insurance. Normally Council has not been involved with insurance. This year Muni- cipal League has had self-insurance and Council t I. l s 6 Y KENAI CITY COUNCIL JUNE 16, 1982 Page 15 directed Administration look into this further. He hoped tu in a week. He has some companies that are offering packages, Municipal League is simply another source of. insurance. The City will not be dealing with Municipal League. If this were handled in a normal year, the City Manager and Finance Director would be selecting the insurance, In this case we have Municipal League. He is ask- ing for Council direction. MOTIONS Councilman Wagoner moved, seconded by Councilman Measles, for Finance Director Brown and City Manager Brighton to proceed with selecting the insurance agent of their choice. Councilwoman Glick said Municipal League program does offer the City more advantages. The City would receive 15% decrease in premiums and an additional 15% decrease. There will be a return on our money, they will invest with the dividends. Councilman Wagoner said he has been involved with self-insurance programs, it can be good or bad depending on losses - it cannot be predicted. Councilman Measles noted this is part of the evaluation process. City Manager Brighton ex- plained Muncipal League will only talk about 3 partss a. Workman's comp. b. General liability c. Auto liability We will have to broker our other risks. Workman's Comp. is the most lucrative, we may find if we take these 3 out for Municipal League next year no one will make offers. We will find ourselves in a monopoly situation, it may not be the best way to go. VOTES Motion passed unanimou I.; by roll call vote. H-6 Planning & Zoning Councilwoman Glick spoke. 1. All items have been discussed except the land to Beaver Creek, this was referred to the Parks & Rec. Commission. 2. P&z had their final public hearing on return of zoning powers. H-7 Harbor Commission Councilman Wagoner said Council has not authorized Wince, Corthell & Bryson to start their work on the Boat Ramp Project. He and Harbor Commission Chair- man Williams will work together and submit a request. I I t t i .. M a KENAI CITY COUNCIL JU'NE 16, 1982 Page 16 H-1 City Manager (added) City !Manager Brighton noted the appraisal of the land in Woodland proposed for sale as a park was included in the packet. No action was taken by Council. H-7 Harbor Commission (contd) Councilman Wagoner said TAMS has started their engineer- inq work on the sedimentation study. A preliminary review said we do not have enough money. H-8 Recreation Commission Recreation Director McGillivray spoke. 1. The Commission has not had a meeting, they did not have a quorum. 2. He had a meeting with Mr. Harrison of Kenai Fitness Center. They are very much against the City having the exercise equipment in the Rec. Center. After one year's time the membership is above what they needed to make it, but they are against the City putting equipment in. The only way they would agree to it would be for use by those 18 years and under. He felt they had access to that at school for 9 months. Councilman Wagoner said the City should look at all activities. If you use that argument, we should cut vocational pro- grams also. It does not make sense to build equipment. and not use it. The Fitness Center has appeal to certain types of clientele, the City has a different type. Mayor O'Reilly asked if the equipment had been purchased. Mr. McGillivray replied no, the Commission had recommended going to Council and were told to check with the Harrisons. Councilwoman Glick said we have changed the use of the Rec Center. It started out as a youth center, we have added racquetball courts, saunas, hot tubs. The Fitness Center had no idea we would be putting these things in when they built the Center. We can provide at a lower rate. NOTIONS Councilman Wagoner moved to direct the Recreation Dept. to proceed with purchase of equipment as recommended by the Recreation Commission. Notion failed for lack of a second. No action was taken by Council. 3. There has been a substantial drop in the use of the racquetball courts because of baseball season. He would like to lower the rates to get more interest. a fika�'i1L`iu'�fii�ds�ifYi►.rr�rtir�..�--^""•�cc'wlreesebva�ac�s-r-_�.-. �__� ra.. -----e�.�-..�...a.-.-«». ._..,.� KENAI CITY COUNCIL JUNE 16, 1962 Page 1? !MOTION: Councilwoman Glick moved, seconded by Councilman Wise, to direct Administration to lower the rates for use of the racquetball courts for summer only, June 1, 1982 to Aug. 30, 1982. MOTION, Amendment: Councilman Measles moved, seconded by Councilman Wagoner, to leave the $10 rate for adults and make a $6 rate for age I8 and under. Councilman Measles suggested Administration set the hours for use by those 18 and under. VOTE, Amendment: Motion passed unanimously by roll call vote. VOTE, Main Motion as Amended: Motion passed unanimously by roll call vote. 1. PERSONS PRESENT NOT SCHEDULED TO BE HEARD 1. Councilman Wise asked if the City could start on Candlelight and Linwood again. Atty. Delahay said direction from Council was to reword the ordinance. He will work with Finance Director Brown. Councilman Wise said we made a commitment, he would prefer to not wait 90 days. If we go another 90 days, we face another winter. 2. Councilman Wise asked, do we have ersough money in the street light account to put in the poles the Police Chief recommended, in this year's budget? Finance Director Brown said apparently yes. MOTION: Councilman wise moved, seconded by Councilwoman Glick, to put in poles per the Chief's list to the limit of funding ability, and let the Police Chief do the trimming. As many as possible be done. VOTES (passed) Yess O'Reilly, Glick, Measles, Wise Not Wagoner ADJOURNMEN7:s Meeting adjourned at 11:50 PM. ` Janet Whelan City Clerk u