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HomeMy WebLinkAbout1974-01-30 Council Minutes - Special MeetingA G H N 11 A SPECIAL I11- E T 1. NG KENA I CITY COUNCIL JANUARY 50, 1.974, 8:00 P.M. KENAI LIBRARY PLEDGE OF ALLEGIANCE PAGE A: ROLL CALL B: PUBLIC HEARING$ 1: Final Assessment Roll on the following Special 1-6 Assessment Districts: Water Districts: Sewer Districts: District #8 73-SI 73-WI 73-53 73-W2 73-54 73-W3 73-W4 73-WS 4 F: OLD BUSINESS 1. 2. 3. 4. S. G: NEW BUSINESS I- Capital Project Budget Report distributed 2. at'this meeting. 3. 4 6-7 S. I. PERSONS PRESENT NOT SCHEDULED TO BE HEARD: 1. Leo Oberts 7-8 2. 3. 4. MINUTES KENAI CITY COUNCIL SPECIAL MEETING JANUARY 30, 1974 8:00 P.M. KENAI LIBRARY The Council gave the Pledge of Allegiance. ROLL CALL: Members present - A. L. Hudson, Tru McCrady, Robert Norene, H . J . Steiner and Mayor John Steinbeck. Members absent - C. E. Johnson (excused) and James Doyle. B: PUBLIC HEARINGS B - 1: Final Assessment Rolls on the following Special Assessment Districts: Water Districts: Sewer Districts; District #8 73-S1 73-W1 73-S3 73-W2 73-S4 73-W3 73-W4 ' 73-W 5 There was no objections to having the public hearings on all the districts at one time. Mayor Steinbeck recessed the meeting and opened it up for a public hearing. He asked each to state their name and the district he is concerned with. ' Billy McCann stated a private contractor came in and built a sewer line for five persons to connect with the City's line. Bruce Massey told us it would cost us 1%. Mayor Steinbeck stated he talked with Bruce on this on the phone and he would put this in writing. They were to be charged 1%of the normal assessment. Mr. Glad asked if the hook-up fee is going to be contracted at a later date and is it going to be amortized over a ten year period. The City Manager stated the hook-up fee will be offered for all the districts. The Council can authorize it to be amortized over 10 years but it is not set up that way now. MINUTES, KENAI CITY COUNCIL MEETING, JANUARY 30, 1974 Page two Public Hearing - continued Bill Tschoepl stated the water was put in back in 1968 and he feels the price was cheaper then and don't see how they can charge any more. Tru McCrady stated as a citizen and not a Councilman he objects to the amount. He has a letter sent to him by the City Administration along with a cost estimate and a figure of $982 for assessments. Mr. Navarre stated we are working in the past. Basically all the projects are completed. The project should have been taken care of then and there. $.0675 is a reasonable cost today. Some work was done on force account. Some hidden costs are not allocated. Bob Jackson stated at the rate you are assessing here it is exceeding the value of the property. Mr. Kipp stated he failed to see how he was concerned in this particular project. He asked if people in Woodland are paying assessments. Mr. Navarre reported there are three or four subdivisionsin the City that have some type of agreement not to assess if the improvement was put in by the subdivider and then turned over to the City. Mr. Nickel told of the advantages and disadvantages and stated the dis- advantages far out weigh the advantages. Scotty McRae stated he lives in Kaknu S/D. He says the assessments are high and so is everything else. He would like to get hooked up to water and get the street fixed. Mr. Howell stated he objects to the assessment as it is in excess of 25% of his property value. The City Manager stated an appraiser would use the improvement cost to come up with an appraisal. The values of the lines are in excess of what It is being assessed at. Bob Jackson stated we do need water and sewer and goes for the assessment, but feels it is too steep. Steve Cline, representing his mother, Mary Leffel, objected to the high cost of the assessment. Because of the shape of her lot it is impractical to subdivide. MINUTES, KENAI CITY COUNCIL MEETING, JANUARY 30, 1974 Page three Public Hearing - continued Mr. Glad asked for a point of clarification. Does the Ordinance state assessed value or fair market value. The City Manager stated it is fair market value. Dan Williams asked why the Linwood Extention couldn't be in its own assessment district. He got figures on how much the line cost and feels the amount accessed is double the cost. Mr. Navarre stated there is no reason why it couldn't be a separate district. The assessment could be greater than $.0675. Some of this was force account and would have to allow for that and engineering and administrative costs. Also an allocated portion of the transmission line and the well. Mr. Graham asked why the water and sewer were assessed at the same amount. He felt the sewer should be less. Mr. Navarre told him the water cost is $88,573 and we are only assessing for $35, 000. The sewer cost is $74, 373 and we are only assessing for $35,000. Hopefully we can get State and Federal grants to make up some of the difference. Mr. Graham asked if you are picking an arbitrary figure. Mr. Navarre stated the figures are taken from the City's books. They are not audited figures. If we used the total costs the assessment could be as high as $.14 but that would be out of line with the 25% value. Mavis Pearson stated she has a letter from the Borough and her land has an assessed value of $2, 500. She stated her assessment is more than 25% of her assessed value. Mr. Navarre stated we can't estimate the value of land. You have the right to say we are wrong. You can get an appralsor and challenge the assessment. If it is found lower, the City would get an appraisor and if too much a third appraisal would be asked for. Bob Jackson stated he feels you have alot of problems and are doing a good job. He understands no federal grants are available for water but has the grant been applied for on the sewer portion? Mr. Navarre stated it has been applied for and will be used to help make up the difference between the cost of the project and the assessed amount. 0 MINUTES, KENAI CITY COUNCIL MEETING, JANUARY 30, 1974 Page four Public Hearing - continued Dan Williams stated in the past the City had bad water. This was the main reason the well was put in. Mr. Navarre stated it did provide means of getting good water and also to Increase the supply for other areas that wanted water. There being no further public participation the public hearing was closed and brought back to Council table. Councilman Norene asked if we do approve these do they have the right to go to an equalization board. Mr. Navarre stated if there are errors or miscalculations these can be corrected. Mayor Steinbeck felt this needed more investigation and to continue until the next meeting. The City Manager stated there is a time table problem and can't give the proper notice of sixty days. Councilman McGrady stated he realizes it is important to expedite. We are the victims of circumstance. Some areas were petitioned for. Some areas the improvements have been there for a few years without being assessed. We are setting in a hot seat. Mr. Navarre stated $25, 000 to $35, 000 has been spent in order to develop what we have today. He doesn't believe there will be any savings if it is delayed. ` Councilman McGrady stated we can take action as they are. The citizens have a recourse. If they feel It is unfair, they can go through the courts. Councilman Norene stated this is not the first public hearing we have had. There were many. We have wrestled with this long enough. Councilman Steiner stated maybe in certain districts there are over charges. We need to take action and let the adjustments come. Councilman Hudson stated that once we pass the resolutions, the only recourse is court. Mr. Navarre stated errors and miscalculations, we can correct. The Inequities, who is to judge. iu rd� MINUTES, KENAI CITY COUNCIL MEETING JANUARY 30, 1974 Page five Public Hearing - continued Councilman Hudson stated there should have been alot of individual districts. Mayor Steinbeck opened it up, again, to the public. Bill Tschoepl said he is a senior citizen on social security and can't afford to hire an attorney. Dan Williams stated we could have put it in cheaper. Lee Glad stated he was at the publ is hearings when the figures of $.10 and $.11 were tossed around. He bought four - 21 acres lots. We will not get it for $.0675 again. The public hearing was closed and brought back to the Council table. Steiner moved and Norene seconded to adopt Resolution 74-4 - Final Assessment Roll Water Improvement District No. 8. The motion carried by roll call vote with Steinbeck dissenting. Steiner moved and Norene seconded to adopt Resolution 74-5 - Final Assessment Roll Water Improvement District 73-W1. The motion carried by roll call vote with Steinbeck dissenting. Steiner moved and Norene seconded to adopt Resolution 74-6 - Final Assessment Roll Water Improvement District 73-W2. The motion carried by roll call vote with McCrady and Steinbeck dissenting. Steiner moved and Norene seconded to adopt Resolution 74-7 - Final Assessment Roll Water Improvement District 73-W3. The motion failed by roll call vote with Hudson, McGrady and Steinbeck dissenting. Steiner moved and Norene seconded to adopt Resolution 74-8 - Final Assessment Roll Water Improvement District 73-W4. The motion failed by roll call vote with Hudson, McGrady and Steinbeck dissenting. Steiner moved and Norene seconded to adopt Resolution 74-9 - Final Assessment Roll Water Improvement District 73-W5. The motion carried by roll call vote with McGrady and Steinbeck dissenting. Steiner moved and Norene seconded to adopt Resolution 74-10 - Final Assessment Roll Sewer Improvement District 73-51. The motion carried by roll call vote with McGrady and Steinbeck dissenting. L. - I MINUTES, KENAI CITY COUNCIL MEETING JANUARY 30, 1974 Page six Public Hearing - continued Steiner moved and Norene seconded to adopt Resolution 74-11 - Final Assessment Roll Sewer Improvement District 73-S3. The motion carried by roll call vote with McCrady and Steinbeck dissenting. Steiner moved and Norene seconded to adopt Resolution 74-12 - Final Assessment Roil Sewer Improvement District 73-54. The motion failed by roll call vote with Hudson, McCrady and Steinbeck dissenting. McCrady moved for reconsideration of Resolutions 74-4, 74-5, 74-7, 74-8, and 74-12, at the next meeting. Steiner moved for reconsideration of Resolution 74-11 at the next meeting. The City Manager stated the Resolutions will be outdated then. By law we have to allow sixty days. The bills will have to be mailed tomorrow. They would have to be pulled and started over again. McCrady withdrew his motion for reconsideration. Councilman Norene asked if there is a way to set up a board of equalization. Mr. Navarre stated there is no provision. If there is an error or mis- calculations these can be corrected. Councilman Hudson stated if we are going to change anything, it needs changing now. Councilman Norene repeated this is not the first public hearing we have held. Steiner withdrew his motion for reconsideration. Mayor Steinbeck called for a recess and reconvened the meeting at 10:55 P.M. NEW BUSINESS Capital Project Budget & Report distributed at this meeting There was no objection to going over the Capital Project Budget and Report at this meeting. Mr. Navarre explained the report, going over it page by page. The Public Safety Building shows $254,395 over spent plus $140,000 uncollected State grant. MINUTES, KENAI CITY COUNCIL MEETING JANUARY 30, 1974 Page seven Capital Project Budget 8 Report - continued The Civic Center has $606,948 available balance, of which $259,948 is proposed to be used as a library building and $400,000 as an auditorium building. The City has an option to purchase the Court House for $163,000. This could be used for the library. The Borough intends to build a pool at the high school. Ted Smith and his assistant were in Kenai going through all the parks projects. We are getting them in order, so we can receive grants. There Is $52.943 available balance. There is $270,133 available balance in the street capital projects. We have proposed a five mile street construction this year; clearing, grubbing and gravel and clean up other streets. Hopefully we can get help from the Local Roads E Trails program. There is $22,456 left in the Small Boat Harbor capital project. Some of it will be spent to build an access road to the dock. The Airport Improvement has been completed and the Airport Fencing is supposed to be financed by the Federal 62.5% and the State 37.5%. There is $365,713 available for the Airport Public Parking lot. All the water S sewer capital projects are Itemized by project and there is $251,894 available balance. Mr. Navarre stated he would like a work session on street projects to get priorities. Councilman Steiner asked the Mayor's Committee on Budget E Finance what they thought of the report. Dick Stetler said it was nice to see a beginning. Art Evans stated the committee recommends not starting any new projects. He would like to see f_ a summary or a one sheet re -cap and a further break down detail on some projects. He commended Mr. Chen on what information he has given. Mr. Chen stated the summary was a good idea and was no problem. -1: Emily DeForest asked if the Civic Center/Library would be with City Hall. Mr. Navarre stated the intent is to provide a library. It is a big building and City Hall could fit in there. We have a free option for sixty days. Mr. Chen stated we are negotiating and have a sixty day option and by that time will know the cash position and bring this to Council. Mr. Navarre stated the space at the Terminal Building could be leased to air related businesses. PERSONS PRESENT NOT SCHEDULED TO BE HEARD: Leo Oberts Mr. Oberts stated the City has a bill of $14,136.37 that is long over due. Some from July 1st and the 1972/73 workmen's comp. MINUTES, KENAI CITY COUNCIL MEETING JANUARY 30, 1974 Page eight 1 - 1 - Leo Oberts - continued Mr. Chen stated he received the bill on October 10 and reviewed the policy and had some questions concerning some omissions. 1 dy. Mr. Oberts stated he wrote the policy as ordered on July st. The 90 day cancellation clause has been put into the policy. Mr. Navarre stated the payment is to be on the next agenda, however, you may authorize payment now. Norene moved and Hudson seconded to approve the City Manager's recommendation and pay the bill as submitted. The motion carried unanimously by roll call vote. w Mr. Oberts stated there are quite a few lots available in the Cook Inlet Industrial Air Park and other areas on the Airport, the City could sell. He felt March or April would be the prime time to sell. Mr. Navarre stated we are evaluating the sales and recommends sale or lease In late spring. The parcels have to be subdivided. -� Mr. Oberts stated that he and Mr. Glad could be of some help in this. Mr. Navarre stated he would welcome their input. MEETING ADJOURNED 11:55 P.M. Respectfully submitted, Sharon Loosil, City Clerk