HomeMy WebLinkAbout1967-08-09 Council Minutes - Special MeetingAGENDA
SPECIAL ME-TING, KENAI CITY COUNCIL
August 9, 1967, 8:00 P.M.
Tabulate Bids of Special Gas Franchise Election.
Receive Tabulation of Bids for Sale or General
Obligation Bonds.
*'3o Meet with Mr. Clyde Gordon of the Alcohol Beverage
Board.
miNUTEs Or. sPEcn`--AK1iNAI CITY CUWCIL NEUTING
9 AUCAWO 1967
Roll call: Members present - Bob Bielefeld, Cliester Cone, Hilly McCann and Mayor
James G. Aye; members absent - John Hulien, Florine McCollum and Carl Seaman.
Also present: City Manager James W. Harrison; Ronald A. Meyer of Marshall
Meyer and Bar Owners.
With consent of Council, the order of business was reversed.
3. Mr. Gordon of the Alcoholic Beverage Controal Board addressed Council and the
audience saying there were three major factors he would like to stress: 1. the
liquor business is a legitimate business, 2. the industry has to police itself,
30 tine community doesn't have any more enforcement that they want.
He believes in protecting the licensee; they pay $1,000 for a license and
this money pays for enforcement; he works with all agencies that have anything
to do with liquor; has had found there is no liaiscun, no cooperation and no co-
ordination when it comes to enforcement; there are many problems: underage
drinkers, native drinking, bar -tenders drinking, prostitution, etc. the ABC Bd.
wants to create a team with police, magistrates and any ot(}errs who are involved
or are interested.
There are 4 sources of liquor for under -age drinkers: at home, from winos,
people between 21 and 26 selling it to juveniles and stealing, the' this last is
not frequent.
Speakers from the floor were: Corporal Art English of State Police, Mr.
and Mrs. Jack Peck, Bill O'Rourke, Dave Boyer, Lola liarbarger, Bettywynn Benson,
Larry Lancashire, Ernest Knackstedt, and unknown woman.
Questions asked brought forth some answers: Bar owners must make an honest
attempt to see that identification cards are valid. The form was displayed that
bar owners should fill out and mail to ABC Bd. once a month --they send this to
F. B. I. nod check if they think there is a discrepancy.
A minor cannot drink liquor even if accompanied by parent or guardian;
The population factor will be adhered to the' ABC Bd, may have to over-
rule City Councils; they rely on the Boroughs for population figures; the City
of Kenai used utility count and figured 3.4 people to every connect. there was
considerable discussion regarding population versus number of licenses.
Is it advisable to put a drunk out on the Hwys. or should a bar owner let
him sleep it off? This is debatable; Gordon says all laws have to be administ-
ered with justice and common sense, but the law should be enforced.
The question of City bars closing at mid-nite or 3 a.m. while just out-
side City Limits they stay open until 5 a.m. is one that needs State Law changes;
it cannot be resolved by the ABC Bd., the Boroughs or Cities.
Minors playing in bands cannot play in Bars unless they are working with
parent or guardian; the latter just being on the premises does not count - they
must be working together.
Club license doesn't jump to $10000. That remains at $400*0 but the place
must really be a Club; when a member -leaves, his guest must leave.
Eating places that serve liquor need approval of police, City Council and
ABC Bdfor permit as restaurant.
Re soldiers: " no one under 21 can have a drink."
There may be too many licenses in Kenai: the best way is to police your-
self; people never felt that would bet any backin, but this Board will back you
up; old Alaska customs will have to be overcome.
The ABC lid. can overrule Council decisions; licenses can be moved any
place in the sane legislative district if population factors, etc. are right.
The Mayor thinks there should be more restrictions on places you knave are
not abiding by the law, though it can't be proven in court.
Gordon says everything they are doing is practically new; if there are
too many problems a license can be revoked; this has never been tested in Court;
a City Council can refuse a license an this ground; if there is an appeal, the
Board would hold hearings - the liceesee would be protected - the Board would
try to help the licensee to comply with what the City Council wants.
Special Council . .utes 9 Aug b7 Page two
Gordon says a bar owner is not likely to jeopardize his license to
sell a minor a 95a drink. "Harrassment" is a much over -worked term; there would
be no harrassment if bar owner and ABC Bd. can work together and cooperate there
is no need for "harrassment". Had legal advice can cause trouble.
The bar owners wil form a committee to come up with points they think can
be made more workable and that will help to make the town they live in a better
place.
The Mayor hopes this hearing will help us to come out with better laws
and conditions for the people and for the bar owners; he expecially cautioned
bar owners to be on the alert for anyone providing liquor to young people - to
try to be extra -special careful.
17ianks were extended to Mr. Gordon for coming to talk with us.
2. The City Manager presented a summary of the bids from Marshall h Meyer,
Seattle, and Foster 4 Marshall, Inc., Seattle, on the City's 1967 $1,4000000
Bonding Program as fiven in the Memo of Bid Opening at 10 a.m. this day, said
Memo being included in these minutes. These are 30 year bonds; Mr. Meyer has
assisted the Ciy in bringing these issues to public sale and also is the low
bidder. Moody Investors has given the City the same rating as Anchorage, i.e. BAA.
Mayor Dye asked for any comment from the audience. There was none.
After brief dis,-ussion, McCann moved, Bielefeld seconded to accept the
bid of Marshall & Meyer on 1967 General Purpose General Obligation Bonds for
$1,400,000. Motion carried unanimouslyby roll call vote.
The City. Manager presented a proposal from Marshall.& Meyer re -iterating an offer
to negotiateFsale:of electric revenue.bonds for 1/2% above lowest bid on G. 0.
Bonds or 5.96. Council and Mayor agreed this is a good offer for revenue bonds
as they demand more interest that G.O.'s and the market is not good.
Mr. Meyer said this sale hes identical qualifications as the existing power
bonds and conforms with what the present indenture is now; the paying agent will
be National Bank of Alaska.
The Mayor asked for any questions from the audience - there were none.
McCann moved, Cone seconded, to accept the bid of 5.9% on KCL bonds,
$300,000 revenue. Motion passed unanimously by roll call vote.
1. The Clerk presented the ballots and certified election returns of the Judges
and Clerks along with absentee ballots. Mayor We read the returns which are
included in these minutes and opened the absentee ballots. There were two votes
for the Gas Franchise and one against, making a total of:
For the Franchise 142 IYG
Against the Franchise 22
Spoiled Ballots 0
Total Ballots Cast T69
Council's certificate is included in these minutes.
Bielefeld moved, McCann seconded, to accept the returns of the Election
Judges and to declare the canvass of ballots to be: 142 for the franchise and
22 against. Motion passed unanimously.
Before the vote the Mayor asked if there were any protests as to election
procedures; there being none from the floor and none written, the voting proceeded.
Meeting adjourned at 10:00 p.m.
Respectfully submitted,
canoes Torkilsen
City Clerk
CUMPICATE
19E, 1116 JUDGES AND CLERKS OF THi SPECAIL IILELTIM OF 8 AUMSTs, -H070 UO
HHRB1;Y CHffIFY TIE FOLLOUNG TO BE A TRUE AND CORRE-CT ACCMNTING OF BAL-
L07S CAST:
IN FAVOR OF GRANTING VIE GAS FRANCOLISL
AGAINST GRANTING 11111 FRANCGUSH
SPOI IED BALLOTS
TOTAL BALLOTS CAST
8 Aw. 1967 K[:NAI AIASKA
wlb r4l� d
z
r ' Juum
imum UMMUN, Jun
ATTEST:
000,FRAMS
CERTIFICATH
WE* TIIC AMF,RS OF MM LE 11 CITY CQNXIL DO HHRM- Y CERTIFY
WE RESULTS OF A CANVASS OF 111L BALLOTS FOR THE SPECIAL ELECTION OF
8 AUGUST, 1967, ARE AS FOLUXIS:
IN FAVOR OF GRANTING 711E GAS FRANCIIISL 1 * 6
AGAINST CRAMPING Tiff: FRANCHISE
SPOILED BALWPS l�
TOPAZ. BALLOTS CAST
KEIW s ALASKA
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W=r-iq:mo�
�olpaw�
t#�IIIIZ
ATTEST:
L
FRA'YCd:b �
—e.
BID OPW4ING - 1907 uuNERAL PURPOSE GUNE'RAL 03LIGAPION BONUS 9 AUGUST, 1967 10 A.M.
Those present: Mayor .lames G. IJye, City Manager .James W. Harrison, Don Meyer of
I Marshall $ Mayor, Settle, and Tom Dowd of Foster & Marshall, Inc., Seattle.
The City Manager announced two bids had been received and a check at the Post Office
showed no more mail for the City. Rota bids were received according to time and
the manner of presentation.
The City Manager opened the bids and the Mayor presented them thusly:
1. Marshall & Meyer, 1705 Norton Building, Seattle, Washington
Check enclosed, good faith deposit, for $42,000.00.
Offers $100 for each $100 par value of bonds, plus a total premium of $44.00
on $1,400.000.00.
Interest rates
? 1968to101@60
1982 to 1987 @ 5.4%
1988 to 1997 @ 5.3%
Plus accrued interest from date of issue to date of delivery.
Total Interest cost to the City is $1,440,150 less premium of $44.00 or net
interest cost of $1,440.006.¢0, with an effective interest rate of 5.4098%
2. Foster 4 marshall, Inc.
Check enclosed for good faith deposit in amount of $420000.00.
Offers $100.00 for each $100 par value of bonds for a total of $104009000.00.
Interest rates:
1968 to 1989 @ 6%
1990 to 1997 @ 5.5%
' Plus accrued interest to date of delivery.
Total interest Coat to Maturity, $1,5180975 with an effective interest rate
of 5.7061%
Harrison asked for any comment from the bidders. There was none, except that Mr.
Dowd offerred to sign a receipt for return of the $42,000 check. The Clerk was in-
structed to see that this was done.
' These bids will be presented at the Special City Council meeting this evening.
Harrison thanked both representatives for their bid; their interest and consid-
eration is very much appreciated.
Meeting adjourned at 1Ot20 a.m.
_..._...__ Respectfully submitted,
Prances Torkilsen
City Clerk
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