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HomeMy WebLinkAbout1978-10-18 Council MinutesAOF,N1)A yt REOVIAlt hIVI'1'INO • K1iNA1 CITY COUNCIL OCTO11111t is, 11178 - 7, 00 P.M. KY.NAi I'VOL1C SAFETY RUiLUING PLEIHIY OF ALLYOIANCK A. ROLL CALL rt I AGENDA APPROVAL B. HEARiNGS 1. Ordinnnoo 43148, controlling vehiaulsr traffic on benohon within the City limits 2. Ordinnnco 438-78. Increnninp! (mlimoted revenues/nppreprintlona in the arnount of $2,780 in the Water and Sower Speefal Revenue Fund S. Ordinance 430-78, increasing estinrnted revenues/approprintiona in the Aft -port Runway Paving 1h'eJeot by $068,000 and in the Airport Land System by $28,022 4. Ordinance 440-76, Amending, personnel rogulationa to provido positions for operation of a dotontlon faoRity S. Ordinance 442-78, F•stabliahing, special revenue fund "Stnte Jail Contract" C. PERSONS PRESENT SCIIEI)UI.P.0 TO BE 11YAR1) I. Dr. John Wilsey, Kenai Community College _ 2. Mr. R. h. Roper, lease of City lands 3. Mr. Clary Eitol, modification requests to Airport Terminal lease 4. Mr. Larry Vavro.Union Oil Company D. MINUTES 1. minutes of the regular mooting of October 4, 1078 2. Minutes of the special meeting of October 12, 1078 E. CORItESPONDENCY, 1. Kenai Art Guild F. OLD BUSiNESS 1. CI'rartgo Order i2 - Rockford Corporation i 0. NEW BUSINESS I, Sills to bo paid - bills to be ratified 2. Requisitions eucooding f500 3. Ordinance 443-78, Establishing a reserve for Sower Treatment Plant improvements 4. Ordinance 444-70, Increasing estimated revenues/approprtations by $28,030 for Title It, Anti -Recession Revenue Sharing Funds 5. Resolution 78-100, Supporting application for certification of Polar Airlines G. Resolution 78-170, Accepting the C112%1 Hill Prapessl "Kenai Waste Water Facilities Plan" 7, Resolution 78-17I. Transfer of funds - Streets Budget - $2,070 S. Resolution 78-172. Awarding a contract for receipt of gravel 0. Resolution 78-173. Contract with C112%1 Bill - Repair of runway and related facilities - = 10. Resolution 78-174, Ctmtract between City and Mince-Certhell ` 11. Resolution 78-175. Contract between City and Ted Forsi ry Associates 12, Resolution 78-170. Transfer of monies within Redoubt Vlay Paving Project 13, Resolution 78-177. Aviard of contract far purchaso of grader 14, Lease of Airport Lando - Carr-Gottstoln Properties, Inc, 1S. Pay estimates -••- various projects - Brown Conotruction Company, Inc. 16, Payment to Carmen Ointoli for architectural services - - - 17. Discussion - Lease of hangar for worm storage 10, Resolution 78-178, Supporting the location of ALPYTCO at {7ildwood N. REPORTS 1. City binnager's Raport 2. City Attorney's Report lisyor's Report 4. City ClorP.'s Report 5, yinsnce Director's Report 0, Planning At Zoning Commission's Report I. Kenai Peninsula Borough Assembly's Report 1, PERSONS PRESENT NOT SCHEDULED TO DE BEARD i ADIOURNA1ENT j a r j E� [ C1 • i i f� KENAI CITY COUNCIL. - REGULAR MEETING 1 OCTOBER 18, 1978 - 7:00 P.M. KENAI PUBLIC SAFETY BUILDING MAYOR VINCENT O'REILLY PRESIDING PLEDGE OF ALLEGIANCE A. ROLL CALL Presents Ronald Malston, Vince O'Reilly, Michael Seaman, Phillip Aber, and Edward Ambarian Absent: Dan Whelan and Betty Glick AGENDA APPROVAL Council approved the deletion of item 0-9 and the addiiiciil of G-18, Resolution 78-178, Supporting the location of the proposed ALPETCO facility B. HEARINGS B-Is Ordinance 431-78, Beach Ordinance Mayor O'Reilly road Ordinance 431-79 by title only as copies were available for the public. "Amending Title 13, Penalties and Offenses of the Kenai Code, as amended, in order to add a provision controlling vehicular traffic on beaches within the City Limits and other designated areas." Mayor O'Reilly opened the hearing to the public. Carmen Gintoli: Requested that the entrance road to the beach off of the road that curves in front of the Sewer Treatment Plant be changed to another location. Mr. Wise responded that Administration felt that access from this point would result in loss damage to the road. Phillip Bryson., Suggested that the line of designation be the westerly ROW line of Forest Drive. There being no further response, the matter was returned to the Council table. MOTION: Councilman Ambarian moved, seconded by Councilman Aber, for adoption of Ordinance 431-78, Beach Ordinance. MOTION - AMENDMENT Councilman Aber moved, seconded by Councilman Ambarian, to amend the motion to include the following revision under section 13. 35.080, fourth line down ........ straight line extension west of the property line........ and third line from the bottom delete "natural end of Spruce Street" and add "designated area". Motion passed unanimously by wall call vote. I I a � • 10118/78. Page 2 MAIN, AS AMENDED: Motion passed unanimously by roll call vote. B-2: Ordinance 438-76, Water and Sower Special Revenue Fund Mayor O'Reilly road Ordinance 438-78 by title only. "An ordinance increasing estimated revenues and appropriations in the amount of $2, 789 in the Water and Sewer Special Revenue Fund 1078-79 Budget." Mayor O'Reilly opened the hearing to the public. There was no comment. MOTION: Councilman Ambarian moved, seconded by Councilman Seaman, for adoption of Ordinance 438-78 increasing revenues and appropriations by $2, 789 in the Water a Sewer Spacial Revenue Fund. Motion passed unanimously by roll call vote. B-3., Ordinance 439-78, Airport Runway Project Mayor O'Reilly read Ordinance 438-78 by title only. "An ordinance of the Council of the City of Kenai rescinding Ord. 422-78 and increasing estimated revenues and appropriations by $068,000 in the Capital Project Fund entitled "Airport Runway Paving ADAP Project #06-02-0142-04" and by $28,022 in the Airport Land System 197849 Budget." Mayor O'Reilly opened the meeting to the public. There was no comment. MOTION: Councilman Malston moved, seconded by Councilman Ambarian, for adoption of Ordinance 439-78, rescinding Ord. 422-78, and increasing revenues/appropriations by r $968,000 in the Airport Runway Paving Project. ' Motion passed unanimously by roll call vote. B-4: Ordinance 440-78, Amending Personnel Regulations Mayor O'Reilly read Ordinance 440-78 by title only. "Amending the Personnel Regulations and in particular Title 22, Chapter 80, Classification Plan". i City Manager Wise advised that thAs ordinance would provide for personnel for operation of the detention facility. i Mayor O'Reilly opened the hearing to the public. There was no comment. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, for adoption of Ordinance "0-78, amending the Personnel Regulations and in particular Title 22, Chapter 30, Classification Plan. Motion passed unanimously by roll call vote. r� A 0 10/18/78, Page 3 B-5: Ordinance 442-78, State Jail Contract Mayor O'Reilly read Ordinance 442-78 by title only. "An ordinance establishing a Special Revenue Fund entitled "State Jail Contract" by increasing estimated revenues and appropriations in the amount of $153,000." Mr. Wino advised that this ordinance would provide funding for a miscellaneous expense account for certain non -determined expenses and State reimbursable expenses. Mayor O'Reilly opened the hearing to the public. There was no comment. MOTION: Councilman Malston moved, seconded by Councilman Seaman, for adoption of Ordinance 442-78, State Jail Contract fund. Motion passed unanimously by roll call vote. C. PERSONS PRESENT SCHEDULED TO BE HEARD C-I.Dr. John Wilsey, Kenai Community College Not present -J C-2: R. L. Roper Not Present C-3: Gary Eitel Mr. Eitel came before Council to request an amendment to his lease to change the hours of operation and, in addition, Mr. Eitei proposed to make structural changes to his establishment to eliminate the fast food service and provide a dining room facility. Mr. Eitel advised Council that he would make one entrance into both the lounge and dining room from that area which is now the entrance to the lounge. Mr. Eitel also requested that his hours of operation be changed to 10 a.m. to 10 p.m. to correlate with the new service. Councilman Malston inquired as to the service provided to the early morning travelers and Mr. Eitel suggested that one of the local vending machine operators be contacted for the possibility of putting a coffee and sandwich/donut machine in the Terminal. Councilman Ambarian stated that he would basically agree with the concept of Mr. Eitel's request, however, was concerned with the early morning travelers who would not be able to obtain a cup of coffee or whatever. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, that Mr. Eitel meet with the City Attorney and Administration to prepare an amendment to his lease with the change of hours and type of food service and further that a sketch of the proposed changes be submitted to the Fire Chief for approval and, in addition, the City Manager address the problems relative to parking for patrons of the Airport Lounge and Restaurant. ' e 1 { t 10/18/78, Page 4 Mr. Eitel stated that he did not have the patience to wait on the Council for the process of approval of the amended lease and felt that his request was simple and would ask that a decision be made immediately. Mayor O'Reilly stated that it was not the intent of the City to have unhappy tenants and he had heard many favorable comments relative to the facility in the Terminal, however, Mayor O'Reilly stated that as this was the first time he had hoard of the matter, he would request time to consider the requests of Mr. Eitol and the language to be contained within the amendment to the lease. Mayor O'Reilly stated that certain considerations must be given and he would vote for the motion as it now is stated but would not be prepared to favor the request as submitted at this time. Councilman Aber inquired if Mr. Eitel had contacted the Administration relative to the requests and was advised by Mr. Wise that he had not been aware of Mr. Eitel's request until this evening. Councilman Ambarian suggested that Mr. Eitel, Administration and City Attorney meet in the City's offices on Thursday to prepare the proper language for the amendment to the lease and the Council would then hold a special meeting Saturday morning at 8: 00 a.m. QUESTION: Motion passed unanimously by roll call vote . MOTION: Councilman Malston moved, seconded by Councilman Seaman, that the Council authorize the change in operating hours (10 a.m. to 10 p.m.) as requested by Mr. Eitel as a temporary measure until such time the amendment to the lease has been reviewed and approved by Council. Motion passed by roll call vote with Couneilmembers Ambarian and O'Reilly voting no. C-4: Larry Vavra - Union Oil Mr. Vavra stated that Union Oil requested a lease of land from the City (SEl/4, SEl/4, BE 1/4 of Section 7, TON, RUW) . Mr. Vavra also stated that Union would request (1) free access to the leasehold with consideration of proper restrictions; (2) rent of $1,606.07 per year; (3) option to purchase said leasehold at the end of the first year and give City notice of availability to repurchase with first right of refusal; and (4) and terms of lease shall be for one year with right to extend on an annual basis. Mr. Vavra stated that his firm had merely made estimates relative to the cost factor and would spree to further discussions with the City on land values, etc. City Manager Wise advised that the City would need a plat of the land in order to record the lease document and inquired if Union would bear the costs of such platting and survey work? Mr. Vavra stated that the work was already underway and the City would be provided with proper documentation. MOTION: Councilman Ambarian moved, seconded by Councilman Aber, that the Council authorize preparation of the lease between the City and Union Oil and notification of hearings of such proceedings will be extended to all adjacent property owners in the area of the lease land in question. Motion passed unanimously by roll call vote. if_ -- - _ - I - - ---- --- -- --- -_ - -_ r'1 a 10/18/78, Page 5 { D. MINUTES D-1: Minutes of the regular meeting of October 4, 1978 Approved as distributed. D-2: Minutes of the special meeting of October 12, 1978 Approved as distributed 0 E. CORRESPONDENCE E-l: Kenai Art Guild Mayor O'Reilly acknowledged receipt of correspondence from the Kenai Art Guild outlining their plans and goals for the upcoming year. President of the Guild, Patricia Dahl, advised in the letter that the main objective of the gallery to to have a place where load artists can exhibit their works and the revenue from the sales will go to maintain its function and excess funds will be placed in a scholarship fund for high school art students. Long range plans include: elementary children's classes; generate enough income to aid with utilities for the Center; workshops for working artists; and establish a place to be known as a cultural center in the community. Councilman Ambartan suggested that the annual lease be amended to reflect the objectives of the Kenai Art Guild. Council so concurred. F. OLD BUSINESS F-1: Change Order lit - Rook ford Corporation City Manager Wise advised that the engineer had ascertained that all items were correct and recommended approval. MOTION: Councilman Ambarian moved, seconded by Councilman Aber, for approval of Change Order No.2, Rockford Corporation, in the amount of $9,554.99. Councilman Ambarian inquired if the Council should address the question contained in the letter from Rockford Corporation attached to the Change Order in which Rockford inquired as to whether or not notice to proceed on Change Orders 2, 4, and 5 would be forthcoming without further delay and, in addition, Rockford stated in their letter as, in essence, they have completed the work on the project other than for the change orders and that the retained amount of $13, 007. 36 be immediately paid. Public Works Director Keith Kornelis advised that the change orders had been prepared said the documents sent to EDA and DEC for approval. Councilman Ambarian Inquired if there would be a problem with eliminating the retainage and was advised by the City Attorney that perhaps the retainage should not be eliminated until the project is completed (including change orders) in full. Councilman Aber stated that the contractor had com- pleted his portion of the original contract with the City of Kenai and the change orders are merely amendments to the contract. 10/19/78, Page 0 MOTION - AMENDMENT Councilman Aber moved, seconded by Councilman Malston, for approval of payment in the amount of $13,007.36 subject to receipt of appropriate pay estimates as well as $9,554.09 for Change Order No. 2. City Attorney Sehloreth stated he would feel more secure if the City would hold onto the 2% retainage. Councilman Aber inquired if there was a problem with the original project and was advised by Mr. Sehleroth that no problems were apparent. Councilman Ambarian stated that the original project had been increased with change orders. City Manager Wise commented that he could understand City Attorney Sehlereth's hesitation, however, there was a certain inequity at stake and'Rockford.has.eompletod'the orjgin94,projcct. MOTION - AMENDMENT Councilman Ambarian moved, seconded by Councilman Malston, to amend the motion for approval of payment in the amount of $9,554.90 (Change Order No. 2) only. Councilman Ambarian stated he would request that if the above motion passed, that Administration and the City Attorney contact Rockford to discuss the retainage situation. QUESTION - Passed by roll call vote with Councilman Aber voting no. QUESTION - Passed by roll call vote with Councilman Aber voting no. MAIN, AS AMENDED - Passed by roil call vote with Councilman Aber voting no. 0. NEW BUSINESS 0-1: Rills to be paid - bills to be ratified MOTION: Councilman Malston moved, seconded by Councilman Seaman, for approval of items listed for payment and those items listed for ratification as submitted this date. Motion passed unanimously by roll call vote. Ii-2: Requisitions exceeding $500 Mr. Wise requested Council consideration for the inclusion of $500 for a light of the Terminal Building in the parking area at the Airport and $850 to mount a light pole and conduit in the library parking lot. Mr. Wise advised that the money would come from the Anti -Recession Revenue Sharing Funds and the appropriating ordinance would have to be amended accordingly. MOTION: Councilman Ambarian moved, seconded by Councilman Seaman, for approval of requisitions exceeding $500 with the inclusion of $500 for a light in the north Terminal area and $050 library parking area of which approval will be contingent upon passage of Ordinance 444-78. Motion passed unanimously by roll call vote, I i i i 10/18/78. Page 7 nG-3: Ordinance 443-78, Sewer Treatment Plant Improvements Mayor O'Reilly, read Ordinance 443-78 by title only. "An ordinance establishing a reserve for the Sewer Treatment Plant improvements in the Water and 'lower Special Revenue Fund to be funded from the General Fund Reserve for Capital Improvements and the Water and Sewer Fund Reserve for future plant expansion." MOTION: Councilman Malston moved, seconded by Councilman Ambarian, for introduction of Ordinance 443-78, establishing a reserve for Sewer Treatment Plant Improvements. Motion passed unanimously by roll call vote. G-4: Ordinance 444-78, Anti -Recession Revenue Sharing Funds Mayor O'Reilly read Ordinance 444-78 by title only. "An ordinance increasing estimated revenues and appropriations in the amount of $28, 530 for Title II , Anti -Recession Revenue Sharing Funds." MOTION: Councilman Ambarian moved, seconded by Councilman Malston, for introduction of Ordinance 444-79 with the following amendments change $28, 530 to $29, 400; change $22,500 to $26,420 and in the General Fund revenues also to $26,420 and the total ® under appropriations to $26,420 and adding Library - Light for $850. Motion passed unanimously by roll call vote. G-5: Resolution 78-169, Polar Airlines Mayor O'Reilly read Resolution 78-109 by title only. "A resolution supporting the application for certification of Polar Airlines to serve the City of Kenai." Mayor O'Reilly opened the meeting to the public. Mr. Doug Haynes, President of Alaska Aeronautical Airlines, spoke in opposition of the resolution in that his airlines was the only service available into Kenai at this time but competition will not increase the service. Mr. Haynes stated he felt there would be a decrease in frequency of flights and ar. increase in costs. Mayor O'Reilly Inquired if AAI had plans for improved service to the area and Mr. Haynes reported that more prompt service to now available due to the addition of a fuel truck in Anchorage, AAI has added a computer and is in the process of drafting a weekend one-half fare. Mr. Haynes also advised that just last week they installed a new interior in one of the aircraft. Carmen Gintoli stated that for a period of three months he commuted back and forth from Anchorage on AAI and felt that competition would increase service. Ruby Coyle - suggested that the aircraft be prepared for cold weather flying as there is a great deal of draft in the planes which causes considerable discomfort to the passengers. i i a n n C• 9 yd I Is 171 10/18/78, Pap 8 There being no further comments, Mayor O'Reilly returned the matter to the Council table. MOTION: Councilman Malston moved, seconded by Councilman Ambarian, for adoption of Resolution 78-189, supporting application of Polar Airlines. Councilman Malston stated that as AAI has boon serving Kenai since 1971, they have provided very good service to the area. Councilman Malston stated that some problems do exist, however, they still provide a service even when flights are not full, Councilman Aber stated that he agreed with Councilman Malston and folt that competition would involve an increase in cost and decrease in service, Councilman Aber stated he would rather see flights scheduled throughout the day rather than just at peak periods. Councilman Seaman stated he agreed with the comments but, in addition, would like to have AAI address the problem of the deteriorated interiors of the aircraft. Councilman Malston stated that he would hope that Mr. Haynes would consider the comments as constructive criticism. QUESTION: Motion failed unanimously by roll call veto. 0-8s Resolution 78-170, Kenai Waste Water Facilities Plan Mayor O'Reilly read Resolution 78-170 by title only. "Accepting the CH2M Bill proposal "Kenai Waste Water Facilities Plan" authorized by Resolution 77-37. Mayor O'Reilly opened the meeting to the public. There was no comment. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, for adoption of Resolution 78-170, Kenai Waste Water Facilities Plan, Motion passed unanimously by roll call vote. 0-7: Resolution 78-171, Transfer of funds Mayor O'Reilly read Resolution 78-171, transferring funds within the 1978-79 General Fund Budget in the amount of $2,079 to correctly account for the erection of the fence on the bluff as an improvement." Mayor O'Reilly opened the meeting to the public. There was no comment. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, for adoption of Resolution 78-171, transfer of funds in the amount of $2,070 for bluff face. Motion passed unanimously by roll call vote. 10/18/78, Page 0 0-8: Resolution 78-172, Awarding contract for gravel Mayor O'Reilly road Resolution 78-172, awarding a contract for receipt of gravel on either of the following two proposals: Bettor Concrete Products for 1,200 cubic yards at $5/yard and R. L. Borgen k Son for 1,200 cubic yards at $5/yard (only valid if awarded on/or before October 10) . Mayor O'Reilly opened the meeting to the public. There was no comment. MOTION: Councilman Malston moved, seconded by Councilman Aber, for adoption of Resolution 78-172, awarding gravel bid to R. L. Borgen a Son for 1200 cubic yards at $0/yd. Councilman Ambarian suggested that the Council either reject both bids and re -bid or split the quantities in half so that each vendor would participate. Public Works Director Kornalis stated that as it is getting so Into in the year it may not be feasible to rebid, QUESTION: Motion failed by roll call vote with Councilmombers Malston, O'Reilly and Ambarian voting no and Councilmembors Seaman and Aber voting yes. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, that Administration be directed to go out to rebid on 1200 cubic yards of gravel, Motion passed unanimously by roll call vote. 0-9: Deleted from agenda 0-10s Resolution 78-174, Contract Mayor O'Reilly read Resolution 79-174 by title only. "A resolution authorizing a contract for engineering between the City of Kenai and Wince-Cortbell, Bryson and Fro" for the willow -Airport Way sewer lines - not to exceed $13, 000." Mayor O'Reilly opened the meeting to the public. There was no comment. MOTION: Councilman Ambarian moved, seconded by Councilman Seaman, for adoption of Resolution 78-174, awarding contract for engineering to Wince-Corthell for Willow - Airport Way sewer linos - not to exceed $13, 000, Councilman Ambarian advised that the Committee from Council had met last Thursday evening to review the engineering proposals and after deliberation, it is the recommendation of the committee to award the Willow -Airport Way sewer line project to Wince-Corthell; and to Ted Forst a Associates (1) Spur Highway water and sewer - $21,102, (2) Main Street water and sewer - $15,710, (3) East Kenai water and sewer - $17,270 and (4) Inlet View/Central Heights water - $7,860. 0 10/16/78, Page 10 QUESTION: Motion passed unanimously by roll cell vote. 0-11: Resolution 78-175 , Contract Mayor O'Reilly read Resolution 78-175 by title only. "A resolution authorizing a contract for engineering between the City and Ted Forst and Associates". Mayor O'Reilly opened the meeting to the public. There was no comment. Councilman Malaton advised that Mr. Forst had contacted his office and had conversations which indicated that if the City wished to consider another engineering firm on a portion of the project that perhaps such considerations should be made as Mr. Forst stated that perhaps his firm was too low on the Spur Highway water and sewer project. Mr. Bruce Robeson with Forst a Associates advised that his firm would soon have an office in Soldotna and would be able to proceed with all phases of the project. MOTION: Councilman Ambarian moved, seconded by Councilman Seaman, for adoption of Resolution 78-175, authorizing City to enter into contracts with Ted Forst and Associates for engineering projects as itemized in Res. 78-175. Motion passed by roll call vote with Councilman Malston voting no. 0-12: Resolution 78-176, Transfer of Funds Mayor O'Reilly read Resolution 78-176, transferring funds in the amount of $2,750 in LPW project 07-51-26955 to fund for overruns on the construction phase of the project. Mayor O'Reilly opened the meeting to the public. There was no comment. MOTION: Councilman Ambarian moved, seconded by Councilman Malston, for adoption of Resolution 78-176, transfer of funds within LPW Project 07-51-26955 in the amount of $2,750. Motion passed unanimously by roll call vote. 0-13: Resolution 78-177, Purchase of grader Mayor O'Reilly read Resolution 78-177 by title only. "A resolution authorizing the purchase of a road grader in sceordance with proposals received October 13, 1978." Mayor O'Reilly opened the meeting to the public. There was no comment at this time. MOTION: Councilman Ambarian mowed, seconded by Councilman. Malston, for adoption of Resolution 78-177, award of bid for purchase of a Caterpillar 140 Motor Grader for a total price of $123,477 from NC Machinery Company. ' � I N 10/18/76, Page u Public Works Director Keith Kornelis presented Council with an itemized analysis of all bids received from each of three firms and listed areas in which each item did not meet speoi_fications. Mr. Kornelis advised that after discussions with his Shop Foreman and Street Foreman, the Public Works Department concluded that the best purchase would be the Caterpillar 140 Grader from NC Machinery. Councilman Aber concurred with the statements of the Public Works Director and added that the Caterpillar Grader was an excellent piece of equipment plus would have greater trade-in or resale value later on. Councilman Ambarian reminded Council that the grader would be used for more than just snow removal and consideration should be given as to the equipment's construction. QUESTION. Motion passed unanimously by roll call vote. 0-14: Lease of Airport Lands - Carr-Gottstein City Manager Wise reported that the lease with Carr-Gottstein now was in final form and recommended approval. Councilman Ambarian stated that the original lease application approved by the Planning Commission stated a specific use of the land for construction of a Prairie Market s retail liquor store. Councilman Ambarian stated that lease now states that "purpose" is for a retail grocery store and liquor store. Councilman Ambarian stated that this might present a conflict with the adjacent grocery store and inquired if an amendment might not be in order? City Manager Wise advised that the parking on this particular lot would be inadequate for any type of grocery store other than a Prairie Market -type store. Councilman Malston stated that he felt the City should not hold up finalization of the lease any longer as the lease had been under consideration for such a long period of time. MOTION: Councilman Malston moved, seconded by Councilman Ambarian, for approval of lease of lot 4, block 1, First Addition Etolin Subdivision to Carr-Gottstein I Properties, Inc. for a period of 30 years at the annual rental. of $3,487.80. Motion passed unanimously by roll call vote. G-18: Periodic Pay Estimates - Brown Construction City Manager Wise stated that the three pay estimates were showing a "0" retainage figure and would recommend that a minimal amount be held at this time. MOTION: Councilman Malston moved, seconded by Councilman Seaman for approval of three pay estimates with a 2% retainage with total payable to Brown Construction as $20,309.94. Councilman Ambarian stated that the contractor is very dissatisfied with the fact that A the City is holding back some of his money when, in essence, the projects are complete. QUESTION: Motion passed by roll call vote with Councilman Ambarian voting no. 10/18/79, Page 12 0-16: Payment to Carmen Ointoli MOTION: Councilman Malston moved, seconded by Councilman Ambarian, for approval of payment in the amount of $2,000 to architect Carmen Ointoli for winterization and renovation of the Kenai Airport Terminal project. Motion passed unanimously by roll call vote. 0-17: Discussion - Lease of hangar for warm storage City Manager Wise reported to Counoil that he had had discussions with the owner of the hangar located at the south end of the airport and the owner, James Carter, had agreed to lease it to the City at $2,200/month for six months. Mr. Viso stated that the building would be used to house the snow removal equipment for the airport - and contains approximately 0,000 sq. ft. Mr. Wise reported that the funds for the lease of the building would be anti -recessionary funds. MOTION: Councilman Ambarian moved, seconded by Councilman Seaman that the Administration be directed to prepare a lease agreement for the rental of the hangar located at the south end of the airport at $2, 200/month for six months. Councilman Aber stated that he wished the contract to be drawn up as a lease -purchase !� agreement. Mr. Wise advised that such an agreement could not be prepared as the monies for the rental were very restrictive. Councilman Aber further commented that he could not see anything happening in the foreseeable future for providing warm storage and would recommend that 9 monies were available, the City should strongly consider purchasing a permanent facility to provide warm storage for the airport equipment. Councilman Ambarian stated he agreed with Councilman Aber and stated that perhaps in the next six months Council could determine if the area south of the airport could be developed to be used as the City Shop Yard location and the Council also must take into consideration that the hangar may no longer be available for the City's purchase. QUESTION: Notion passed unanimously by roll call vote. 0-18: Resolution 78-178, Supporting location of ALPETCO Mayor O'Reilly read Resolution 78-178 by title only. "A resolution of the City of Kenai supporting the .location of ALPETCO at Wildwood." _ Mayor O'Reilly opened the meeting to the public. There was no comment. — MOTION: Councilman Malston moved, seconded by Councilman Ambarian, for adoption of Resolution 78-178, supporting the location of ALPETCO at Wildwood . - 10/i8/78, Page 13 Councilman Ambarian suggested that Mayor O'Reilly report on the meeting with ALPETCO representatives at the Borough. Mayor O'Reilly advised that at the meeting ALPETCO reported that they had narrowed the site selection down to Kenai and Valdez. Mayor O'Reilly stated that they also would not be in favor of the City annexing Wildwood and would not care to locato in the area if annexing was probable. Mayor O'Reilly stated that subsequent meetings were hold with various business people in the area , members of the Assembly and Council and as a result resolution 78-178 was prepared stating that the City of Kenai would support the ALPETCO facility at Wildwood and will offer all assistance to the extent legally possible and economically feasible; and also that the City finds there are no conditions, such as annexation to the City, that are necessary for the City support of the project. QUESTION: Motion passed unanimously by roll call vote. Mayor O'Reilly informed the Council that a delegation from the Borough Assembly would be travelling to Houston on Friday to meet with representatives of ALPETCO and discuss what the area could provide in order to assist ALPETCO and would recommend the official representative to the Assembly from Council also be in attendance. Vice Mayor Whelan assumed the Chair. MOTION: Mayor O'Reilly moved, seconded by Councilman Malston, that the Council authorize Councilman Ambarien,the Council representative to the Borough Assembly, to attend the meetings in Houston on Friday with other Borough officials and such trip to be financed out of the Legislative travel monies. Motion passed by roll call vote with Councilman Ambarian abstaining. H. REPORTS H-I.City Manager's Report City Manager Wise reported that in discussions with ALPETCO and Pacific Alaska it was suggested that the City Charter be reviewed by a bond attorney to see if the City had abilities to aid in financing. Council unanimously concurred that the City Manager and City Attorney would contact a bond attorney and report back to Council of anticipated costs, cte. City Manager Wise also reported that it would be necessary for the City to provide proper documentation to proceed or, the Step II, Facilities Plan project. MOTION: Councilman Malston moved, seconded by Councilman Seaman. for authorization for Administration to have CH2M Hill proceed with the application for the Step 11 Facilities Plan study with proper commitment of funding by the City. Motion passed unanimously by roll call vote. 1 t 0 10/18/78, Page 14 1I-2: City Attorney's Report City Attorney Schleroth reported that John Ingram contacted his office and requested Council consideration relative to the agreement signed by Mr. Ingram in that he would pay the City a specific amount each month for destroying a light pole. Mr. Ingram has been unable to obtain steady employment because of an injury from an accident and has been making payments to the City each month. However, Mr. Ingram is not able to pay the specified amount in the agreement and would like to make payments In a lesser amount until such time he is able to work on a regular basis. Council so concurred. City Attorney Schlereth reported that no bids were received for the Lockheed Constellation and stated he felt that the next step would be to work with Administration to physically remove the aircraft from the site or ask for Court intervention to determine who is now the actual owner of the aircraft. H-3: Mayor's Report Requested that Council submit nominees for membership on the Harbor Committee, Mayor O'Reilly stated that the names of George Navarre and Marvin Dragseth had been submitted to consideration at this time. Mayor O'Reilly advised that a representative from Kidder, Peabody & Co. will be in Anchorage next week and would like to discuss being a financial advisor for the City. Mayor O'Reilly suggested that consideration be given as to whether or not the Council wished to meet with the gentleman. H-4: City Clerk's Report Clerk Sue Peter advised that the annual meeting of the Alaska Municipal League will be held November 8 - Ilth in Anchorage and those interested in attending should contact her for reservation scheduling, etc. H-5: Finance Director's Report Finance Director Charles Brown reported that the City had received $123,000 in State Revenue Sharing funds. Mr. Brown also requested Council guidance relative to selecting a site to move the office of the Department of Revenue. Mr. Brown reported that he was quoted $.59/sq. ft. for two adjoining rooms in the Professional Building, $.75/sq. ft. in the Decor Building, $.70/sq. ft. in the B&C Building and $.80/sq. ft. in the Arness Building. Councilman Ambarian stated it was at his suggestion that the B&C Building be investigated and would like consideration for moving either a part of the City offices or all to another location, preferably close to the Public Safety Building. Councilman Aber stated that he felt the City offices are not adequate at present and should be moved to more suitable facilities. Councilman Malston suggested that it may be well worth -while to consider building a new City Hall. ' :j S o i i 10/18/78, Page 15 �H-8s Planning a Zoning Commission No meeting hold H-7: Borough Assembly Report Councilman Ambarian reported that the new Assembly members were seated and Jo Ann Elson was reelected as president of the Assembly. Councilman Ambartan advised that he had boon appointed to the Port and Harbor Committee and Legal Affairs Committee. Item of discussion was that of the Borough population which has been set at 25,281 which would not include a break down by city. 1. PERSONS PRESENT NOT SCHEDULED TO BE HEARD 1-1: Keith Kornelis, Public Works Director Mr. Kornelis reported that contractor Don Brown would like to meet with the committee from Council. Councilman Ambarian stated he would arrange for the committee members to meet with Mr. Brown next week. Relative to the fence at the bluff that was torn down by vandals, Mr. Kornelis r, staled he asked Peninsula Pence Company to provide a quote on repair of the fence and they feel that as the damage was extensive, it may cost more than $850. Mr. Kornelis inquired if Council wished his Department to proceed with repairs? MOTION: Councilman Aber moved, seconded by Councilman Ambarian, that the fence at the bluff be removed entirely and an alternative barrier for replacement be investigated by the Public Works Director. Motion passed unanimously by roll call vote. , Water Tank - Mr. Kornelis reported that vandals are causing some damage to the new Water Storage Tank as it has been impossible to keep the gates looked up and prevent entry to the area. Councilman Ambarian suggested that all the operators who have been extended keys to the airport gate will be contacted that the City will close off the Float Plane Basin area for the winter. f f Animal Control Facility and Shop Addition - Councilman Ambarian requested that drawings be presented to Council at the next meeting for review, _-- 1-2: Ernest Schlereth, City Attorney -- Mr. Schlereth inquired W there would be any objections to his giving legal advice —' on his own time when asked by the Community Care Center. Mr. Schloreth stated he would not get involved in any legal proceedings that would require - 1 his time in Court, eta. Council so concurred, aif. '+f_Yf�7�N�jd . ' - p ; u, , 1. , v�.• I' ,.....__ - 4 0 - r ' U . r , r ' , 10/19/78, Page 16 I-3: Councilman Ambarian Requested that Administration proceed with the cancellation of the Walter Church and Robert Love leases. I-4: Councilman Malston Councilman Malston noted the letter received from Dave Hutchings raising objections to the bids on the recent City vehicles. Councilman Malston stated that though there may have not been any problems, the City should be cautious in the future that all bids are submitted on a timely basis so that bidders are able to obtain prices accordingly. Councilman Ambarian stated he felt that the letter was an --- - indication of an unhappy bidder who was not selected. ADJOURNMENT There being no further business, the meeting adjourned at 12:15 a.m. Respectfully submitted, S C . Peter, City Clerk • I I J �