HomeMy WebLinkAbout1976-05-26 Council Minutes - Special MeetingAGENDA
SPECIAL MEETING - KENAI CITY COUNCIL
MAY 26, 1976 - 8:00 P.M.
NATIONAL GUARD ARMORY
PLEDGE OF ALLEGIANCE
A. ROLL CALL
AGENDA APPROVAL
B. PUBLIC HEARINGS
1. Ordinance No. 297-76 - Adopting 1976-77 Fiscal Budget
C. ADJOURNMENT
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SPECIAL MEETING - KENAI CITY COUNCIL
MAY 20, 1976 - 8: 00 P.M.
NATIONAL GUARD ARMORY
MAYOR JAMES A. ELSON PRESIDING
PLEDGE OF ALLEGIANCE
A. ROLL CALL
Present: Dan Whelan, Fdward Ambarian, Thomas Aekerly, Al Hudson,
Richard Morgan and James Elson
Absent: _ Walter Sweet
AGENDA APPROVAL
There were no additions or deletions to the agenda.
B . PUBLIC HEARING
B-1: Ordinance No. 297-76 - Adopting 1976-77 Fiscal Budget
Mayor Elson stated that Ordinance No. 297-70, "An ordinance of the Council of
the City of Kenai adopting the annual budget for fiscal year commencing July 1,
1976, and ending June 30, 1977 and setting the tax levy for said fiscal year" had
been introduced at the regular Council meeting of May 5, 1976. Mayor Elson
further advised that the proper procedure to be followed in the adoption of this
ordinance would be a motion by Council for adoption, followed by the amendment
which will bring the document into presentation as it has been distributed this
evening. Following this procedure, the meeting will be opened to the public
for their comments.
MOTION:
Councilman Ambarian moved, seconded by Councilman Aekerly, for adoption
of Ordinance No. 297-76, adopting the annual budget for fiscal year commencing
July 1, 1076 and ending June 30, 1977 and setting the tax levy for said fiscal year.
MOTION:
Councilman Morgan moved, seconded by Councilman Whelan, to amend Ordinance
No. 297-76 as introduced at the regular meeting of May 5, 1076, as follows:
1) By amending Section l of said Ordinance to decrease the mill levy
from 16.75 mills to 16.00 mills.
2) By amending Section 3 to change the appropriation for the General
Fund from $1,815,190 to $2,155,208 comprised of the following:
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BPECIAL MEETING, KENAI CITY COUNCIL, MAY 26, 1976 page 2
014 $1, 819, 237 - Operating Budget
$300,000 - Restricted Reserve -prior Year nefieit
$35, 971 - Restricted Reserve -Contingency
and to change the appropriation for the Water and Sewer Fund from
$240,600to $266,357;
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and to change the appropriation for the Airport Terminal Fund from
$110,927 to $118,173;
and to change the appropriation for the Airport 0&M Fund from $90,000
to $112,209;
and to change the appropriation for the Airport Land Fund from $49,539
to $72,868;
and to delete the item Restricted Sales Tax Revenue to Retire the General
Fund Deficit entirely.
3) By withdrawing the budget document as it was presented at the May 5, 1976,
meeting and substituting, therefore, the document presented by the
Administration at this meeting entitled "City of Kenai 1076-77 Annual
Budget".
These changes would amend Ordinance 297-76 to conform to Ordinance No. 297-76
as amended which was distributed to the Council and to the public this evening.
At this time, Mayor F,lson asked for comments from City Administration and
Mr. Phillip Aber, Acting City Manager, made the following statement:
"Honorable Mayor and Members of the Kenai City Council. I hereby submit the Kenai
Municipal Budget for the fiscal year 1976-77 as required by A.S. 20.49.190 and KCC
Section 3-2 (3) . The fiscal year 1976-77 budget as presented requires a tax rate
of 16.0 mills and a three percent sales tax to balance the budget. It has been
impossible to substantially reduce taxes because of inflation, past deficits, increase
in population, rcdaced revenues and increased demand for services. This budget
does not provide for a higher level of service, but does provide for continuation of
basically the same level of service as in the fiscal year of 1075-76. The fiscal year
1070-77 budget, as presented, provides for an employees' wage increase of 11%
for the first six months of the year and an additional 4% for the remaining six months
of the year. Two new programs have been added this year which will provide Animal
Control and Parks and Recreation to the community. The major capital improvements
scheduled for this year are completion of the Kenai Community Library and the
construction of the new water well and water storage reservoir, which will preserve
the City's 5 fire rating and improve the reliability of the City's water system, The
only capital expenditures for equipment for the fiscal year of 1976-77 is one police
car, which will r$place an existing car that has become unusable."
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SPECIAL MEETING, KENAI CITY COUNCIL, MAY 26, 1070
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There being no further comments from Administration, Mayor Elson opened the
hearing to the public.
Mr. Robert Britt - Peninsula Avenue - Kenai, Alaska
Mr. Britt spoke in behalf of the Kenai Cemetery which is owned by the City of Kenai
but not maintained by the City. Mr. Britt advised that various Civic groups had
tried to care for the cemetery but sporadic maintenance was not sufficient. Mr. Britt
requested consideration in that the cemetery could be included under the Parks a
Recreation budget when thle Ci:1 Maintenance Crews were mowing grass on other
facilities -- perhaps the cemetery grass could be out and the brush cleared away
at the same time. Mayor Elson suggested Mr. Britt got together with Administration
and develop a maintenance plan and return to Council with cost estimates, etc. for
approval.
Mrs. Florence Walker - Thompson Park - Kenai, Alaska
Mrs. Walker came before Council to inquire if the petition as presented at a previous
meeting of the Council had been considered in the development of the proposed
budget for a "differentia! tax zone" for the residential areas in the outlying areas of
the City? As Mayor Elson was not in attendance at the work session in which this
matter was discussed, he requested comment from Vice Mayor, Richard Morgan.
Councilman Morgan advised Mrs. Walker that Administration had conducted a study
in which they made a contrast between Woodland S/D and Thompson Park S/D . The
residents of Woodland pay for the water/sewer, paved streets, etc. and paved
streets require much less maintenance than those areas without the paved streets.
Also, the water/sewer department carries its own weight. Comparatively, Woodland
Subdivision to receiving for less street service than Thompson Park but the residents
pay more tax per real estate taxed unit.
Mrs. Ruby Coyle - Barabara Drive - Kenai, Alaska
Mrs. Coyle stated in her opinion the outiyis:a _yeas were not given a fair and equitable
evaluation of the situation with regard to the Differential Tax Study. Mrs. Coyle
further stated that as many residents in the outlying areas had been homesteaders
prior to the City taking them into the City proper, it was not fair to tax them
accordingly.
Mrs. Florence Walker
Mrs. Walker inquired if future plans for development in the City included water and
sewer to be provided to the outlying areas? Mayor Elson advised that this will depend
on capital available for expansion of the system. At the present time, the City to
hard-pressed to complete the present Water Project and are unable to plan beyond
this project at this point in time.
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SPECIAL MEETING, KKNAI CITY COUNCIL, MAY 20, 1070
Mr. 11. J. Steiner - Redoubt Subdivision - Kenai, Alaska
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Mr, Steiner stated that development of water and sower in Thompson Park would be
dependent upon the residents of that area petitioning the City with a request for w/s.
Mayor Elson reiterated that in order for water to be provided to any area, the City
requires a petition from residents concerned for development of an assessment district.
Costs, for development, otc. must be acceptable to these petitioning citizens before
proceeding with construction.
Councilman Ambarian advised that the location of the now well will enable water to
be provided in the areas such as Thompson Park, etc. in the future.
Mr. John O'Connor, Komi, Alaska
Mr. O'Connor questioned the comparison of salaries in that an employee in the Finance
Department (accounting position) will be receiving $22, 000/year and the Chief of
Police will only be receiving $24,000/year, Mr. O'Connor stated he felt, as a taxpayer,
this was not justified.
Mayor Elson advised that some of the positions in the Finance Department had boon up-
graded because of education, etc.
Mrs. Lillian llakkinen. Komi, Alaska
Mrs. Nakkinen stated that as the mill rate had been increased so drastically last year
and now the Council was proposing a decrease, exactly what services in the City would d
be out? Mayor Elson advised that the City had experienced a loss of revenues and among
the differences in the budget this year is that there are no capital expenditures.
Mrs. liakkinen further stated that a out in taxes this year may mean a considerable
increase next year to provide further services, ete. Councilman Whelan advised that
even with a out in mill rate, the total revenues have increased with the increase in
assessed evaluation, etc. Mrs. Makkinen stated that she opposed the decrease of
the present mill rate.
Mayor Elson stated that the only item Council has agreed upon at this time is the printing of
the document before the public tonight.
Mrs. Deborah Daisy- Daisy Drive/Weller Way - Kenai, Alaska
Mrs, Daisy spoke to the Council and requested that in considering the budget before
them to keep in mind those residents living outside any assessment district and who
receive no City services to their rosidences. Mrs. Daisy further stated that as these
residents, such as herself, only benefit from such services as Animal Control and
Street Maintenance in the urban sections, Mrs. Daisy urged the Council to strongly
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SPECIAL MEETING, KENAI CITY COUNCIL, MAY 26, 1976 page 5
consider not decreasing the mill rate and use these monies to better provide these
services that benefit all. Mrs. Daisy concluded that the proposed decrease in mill
rate would mean only a savings of $50/year to her and she would rather this $50 be used
to provide services in the City.
Mrs. Ruby Coyle
Mrs. Coyle expressed her gratitude to Council for the many hours they have put into
the budget and also complimented the Council on trying to reduce the mill rate. Mrs.
Coyle stated that this reduction in mill rate would be an indication to people all over
Alaska that Kenai is trying to alleviate the difficult situation in which the City has been
involved.
Mr. H . J . Steiner
Mr. Steiner stated that during his term on Council, every session tried to get
all assessment districts established. This Council should have less financial pressures, etc,
and Mr. Steiner urged the Council to proceed with establishment of assessment districts,
making it a top priority project.
There being no further comment from public, Mayor Elson returned the matter to the
Council table.
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QUESTION - AMENDMENT
Motion passed unani.-nously by roll call vote.
QUESTION - ORDINANCE NO. 207-76, AS AMENDED
Motion passed unanimously by roll call vote.
ADJOURNMENT
There being no further business, Mayor Elson adjourned the meeting at 8: 55 p.m.
Respectfully submitted,
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Bud C . Peter, City Clerk
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COUNCIL MEETING OF MAY 26, 1976 - PUBLIC HEARING j
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