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HomeMy WebLinkAbout1966-10-19 Council MinutesCITY OF KENAI AGENDA REGULAR MEETING OF THE CITY COUNCIL OCTOBER 19, 1966 - 8:00 P.M. A. ROLL CALL B. PERSONS PRESENT SCHEDULED TO BE HEARD: �10 MA Gravel, o Subdivision 42. C 3. MINUTES: 1. Regular meeting of October 5. 1966 D. CORRESPONDENCE: E. REPORTS: ' &r. City Manager �2. City Attorney • Mayor, City Clerk, City Commissions . Borough Assemblyman F. -UNFINISHED BUSINESS: ---•1. Discuss group insurance plan for City employees with represent,. atives of Oooidental Life Insurance Company. Discuss the Annual Audit of the Kenai Municipal Electric System (Kenai City Light) Discuss proposed electrical rate for agriculture users in Kenai. Discuss ....---� . proposed temporary hospital in Kenai Receive legal opinion of City Attorney on attendance requirements �6. of Council Members at City Council Meetings., Discuss City Insurance & o Annual renewal for all liquor licenses. G. NEW BUSINESS: 1, 2. 3r H. PERSONS PRESENT NOT SCHEDULED TO BE H•+' Dt 1. 2. 3• KENAI CITY COUNCIL pfINUTES 19 OCTOBER 1966 Roll call: Members present - Bob Bielefeld, Chester Cone, Bud Lofstedt, Roger Meeks, Gene Morin and Mayor James G. Dye; Members absent - Carl Seaman. Also presents Planning Commission Chairman Ruby Coyle. Bielefeld, addressing the Council, challenged the seat of Councilman Lofstedt, as the Charter states (Sec. 2-7) "if the mayor or any other councilman shall be absent from more than on -half of all meetings ---held within any period of three consecutive calen- dar months, he shall thereupon cease to hold office". Lofstedt's absences,•for bdeiness reasons, had constituted a forfeiture of his right to serve on the Council, according to the Charter. There was considerable discussion; Lofstedt thinks he can attend regu- larly from now on - at least until Spring. Council was of the opinion his absences were not wilful and his presence on Council would be of more value than a neophyte who would have to learn the background of the City's projects and programs. It was thought Lofstedt could be appointed to fill the vacancy until next election, as the Charter prescribes. A memo from the Atty, stated the seat was now vacant. Cone Moved, Morin seconded, to declare Councilman Lofstedt's seat vacant by reason of his absences, as per Charter, Sec. 2-7. *lotion passed unanimously by roll call vote-- Lofstedt not voting. Morin moved, Cone seconded, Lofstedt be appointed to fill the vacancy. Roll call vote passed the motion, with Bielefeld dissenting. Mike Gravel presented a revised preliminary plat of Redoubt Terrace Subdivision and plans for development. They hope to start construction in the Spring and are concerned about utilities. They are prepared to clear streets in the first phase of the S/D which will provide 63 lots with all services at about 6 or 7 thousand dollars. This will included o multiple dwelling site; they want all utilitt.lines underground; vault -type trans- formers, etc. The City would have to order materials immediately, and even then it is not certain they can be obtained in time. The minimum lot is 70 x 110 feet; bluff lots have an extra r.o.w* to allow for erosion. Gravel asked the City to pledge itself to bond for utilities in the event its application to EDA is not approved. The City's ap- plication is for $1,000,000 to take W&S both directions from the Old Townsits; EDA offi- cials say Kenai has top priority, but the Congressional appropriation has been cut so much, it is not sure what the City will not approved. Bielefeld moved, Morin seconded to put W&S extension to vote of the people if EDA application is not approved. Motion carried unanimously$ Lofstedt not voting. Mrs. Coyle said the Planning Commission had approved the preliminary plat, but the Ord. does not allow 50' streets shown thereon. These streets do not serve through-. traffic. She asked Council to change the Ord6 to allow a 50' width for minor streets --- classification to be at the descretion of the Planning Commission. Harrison will work on a change to the existing ordinance. Mayor Dye administered the oath to Lofstedt. Art Bunnell appealed to Council from a decision by Planning Commission to grant a variance on Lots 6,7,8,9, and 10, Block 109 Radar Subdivision, which would allow a boarding house, motel, cafe, bar and recreation facilities. Planning Commission had denied the variance thinking this was not the place for such an establishment which would be surrounded by Surburban Res_° .itial Zone. Mrs. Coyle said they would rather re -zone a strip to the City Limits than grant a variance. She also stated there would be no hard feelings if j Council chooses to over -ride their decision. Bunnell asked a temporary building permit until the Plat is finalized and accepted by Council. He said there would be no repercussions in the event the Plat was denied. He represents a group in Anchorage, Hayes, Dauherty and St. John. Cone moved, Morin seconded, to 1, authorize the issuance of building permit if it meets the Code, 2. Has no objection to calling hearing to rezone. Motion passed unani- mously by roll call vote. Council Minutes, Kenai Alaska 19 October 1966 Page two Items F-1, F-3 and F-k were deleted from the Agenda as the persons concerned were not present. With consent of Council Item F-7 was considered next as there were people in the audience waiting for this. The City had received a request from the Alcoholic Beverage Control Board to act on applications for renewal for Liquor Licenses for 1967. A list was enclosed and is included in there minutes. ill Inlet Bar was left to the last as it seemed to be more complicated than the others. All other licenses on the list were considered one by one. The Trooper, repro - seating the City Police, was in the audience and his written report showed no negative recommendations. The Clerk stated there were no obligations outstanding against any license holden Harrison said there were no bad health conditions. Cone moved, Morin seconded, to approve the applications for renewal off' Liquor ly Licenses as listed, with the exception of the Inlet Bar License. Motion passed unanimous* There was considerable discussion on the License for the Inlet Bar in the name of Virginia Wilson and Jeanne Peavley, as this has not been operative since the premises burned in June of 1965. An opinion from'the Attorney says this is not an active license ecause they have not been in business for over a year. There was some discussion as to he meaning of a "calendar year". Cone moved Bielefeld seconded, the Council has no objection to renewing the appli- cation for renewal of Liquor License for the Inlet Bar. Motion passed unanimously. Council instructed a letter be sent to the ABC Board that this license has not been used for over a year. Harrison,melptioned .a.,notice..thAt had been posted on the City bulletin board requesting approval for transfer of location of the Inlet Bar Liquor License to the Kenai Billrs Club. No one had requested the City's action on this. Jay Lietzke, representing the Bill's Club, was in the audience, and said they would appreciate getting action tonight. It maw the•,intent of the Bill's Club to lease space to Inlet Bar License holder, but the license would not be used. They would continue to operate on th@-ir own license. This license allows sale of drinks to Club Members and guests, but not to the public. The City Manager pointed out a license is a commodity which should serve the pub- lic; Lietzke said this arrangement had been made to protect the license. Trooper English said he had called the ABC Board in Juneau and had talked with r Mr: Strong regarding this sort of transfer and was told the Board would not authorize it if the City Council says "no". There are buyers for licenses in town, but the price is too high for them. A price of $301,000 was mentioned. Morin moved, Lofstedt seconded,to recommend to the lloquor Board the transfer of location of the Inlet Bar Liquor License to Bill's Club be denied. Roll call votes Affirm- ative - Cone, Lofstedt, Meeks, Morin; Negative - Bielefeld. Minutes of 5 October meeting were discussed and approved. Referring to the minutes concerning the Ace Cab, English, will file a complaint with the Magistrate and let the law be duly processed. The City Manager reported: 1. With consent of Council 30 chairs will be ordered for the Terminal Bldge at a cost of $758.22--plus freight. This is book cost, less 20%. These are plastic fabric chairs and can be cleaned. The type chair in Anch6 terminal would cost about $100 each. Council says okay ---the money comes from the Airport Mtce. and Operations Fund --Bond money cannot be used. 2. Harrison expressed his appreciation for the great help and advice the City has had from Oberts Insurance man, Bob Nestle, and says it might be possible to have the Fire Rating Bureau place a rate surveyor in the State. Harrison will bring this before the State City Manager's meeting in Fairbanks during the AM Convention. This would allow more frequent ratings for Cities. Council Minutes, Kenai, Alaska 19 October 1966 Page three 3. The City had budgeted $1500 for Bond Counsel fees on the Terminal Bonding; the statement has been received, and was only $1,232,29, Harrison will thank Thorgrimson for his consideration as there was a great amount of work involved in this• 4. Notice has been received from the PSC of a service area for water and wewer near Hope. The City will voice no objection. 5. FAA personnel have been in the City working with Harrison on flight patterns. With Consent of Council a public hearing will be called with pilots to discuss this. 6. Marathon wants to use the City's road to conduct seismic tests up North. This is all right if they will keep it maintained to our standards, or reimburse us if we main- tain it. 7. The C ity's application for gas in Cook Inlet Industrial Air Park has been turned down by EDA thus far; Associated Divers has offered to get the pipe and lend the City the money to get it in this Fall. Permission has been received from the Safety Division of the Dept. of Labor to lay this line on the ground temporarily. This line could serve Hudson, Lofstedt and the Terminal Building. It would cost about $9,000 to put in a re- ducer, deodorizer and building. The two former could later be used across the River as they would not be adequate for the Gate in this vicinity in the future. Council says go ahead and work with Assoc. Divers on this. ..,� 8. A letter from Cosby Steen of the Dept. of Hwyso says they will install culverts now, do as much grading as possible on the Beaver Loop Realignment and will finish up in the Spring. 9. The Terminal Bldg. will not be completed until about 15 Dec. due to delay in delivery of bldge material --window walls, etc. The dedication will still be 5 Nov. 10. The survey has been made for the Centennial Bldg., Bob Oehler's crew will do the work. They are furnishing the forme, donating some labor, materials, etc. --all in all, the cost for footings will be less than $2500. 11. With consent of Council Harrison will write a letter of thanks to the Alaska State Bank for the publicity on Kenai. These newspaper articles are being sent to various parties; Mayor Dye suggested Marshall & Meyer get a copy. 12, Considerable damage has been done by the recent high tides= either the earth is still settlings after the earthquake, or the lowering of the land has caused the water line to heighten; at any rate, with the high winds, plus the high tides, areas never before touched by water were recently inundated --Columbia Ward Fisheries, for instance. Some of the Bluff has been greatly eroded, the dock area has suffered$ and 150' of the road to the Sewage disposal plant was washed out. The City has formally notified the Civil Defense and the Corps of engineers, and has requested a study be made. 13. The C.D. alerted the City to a Tidal Action last week -end, but Harrison did not call Council as danger to this area seemed very remote. The City still maintains its line to C.D. and contiauss to work with them in cases such as this. The Mayor reporteds There will be a meeting 7 Nov. with SBA, Union Oil, Matanuska Bank, CUL, etc* and the City. Leon Spencer will also be present as he will be in this area at this time re power to Columbia Ward Fisheries. He also asked if the City streets were being readied for winter. Harrison says i we are doing as much as we can possibly handle --he also said the St. Depto has accom- plished a great deal this season. Item F-2s The KCL Audit shows a healthy financial status with 1.84 coverage on debt service. The auditor called attention to a laxity in inventory, but Harrison says in- ventory has been kept in three yards --this is being reduced to one; also the card in- ventory was posted to 30 June, and will be brought up to date as soon as the summer work ' slacks up. There isn't enuf personnel to take care of everything, and the physical work comes first. There was some discussion on the audit. Morin moved, Cone seconded$ the annual audit for Kenai City Light for 1965-66 be approved. Motion passed unanimously. The City will publish an annual report as soon as the staff can get it drafted. A meeting with Council will be held first to get approval on the release. Council Minutes, Kenai, Alaska 19 October 1966 Page four Roger Meeks was excused at this point. Item f-6s Bob Nestle talked insurance with Council: There's no coverage for false ar- rest- cost of this would be between $225 and $500 a yr. Harrison says he has never car- ried insurance against fals3arrest in all his experience as City Mgt. Nestle says the City A& covered as to liquor liability for the Term. Bldg. the Want also is covered :"� He 8este-the ty should require Certificates of Insurance, with 10 day notice of , from all lessees in Ter. Bldg. Harrison thinks this, along with a lease -waiver clause, could be done by an addend- wn to the present leases. Nestle says there should be a fire -extinguishing system by the cooking range, and he needs to know what HUD considers as insurable property. They also say everything should be 100% insured --the City' policy allows a $200 dedictible. Harrison thinks HUD will accept this, if the City assure it will pick up the $200 tab. Nestle says any contractor working with the City should show evidence of insurance. Also cleaning materials at Airport have too high a requirement --Harrison will get this reduced. Exposure damage should be handled for damage in the event excavations uncover the City's water, sewer, gas lines, etc. Nestle suggests this be taken care of with a "Contractor's Ordinance". Harrison will get with the Atty* on this. Nestle says the contractor should also post a bond on his work. There was some discussion as to insurance on buildings and plant equipment being on a cash value as opposed to a replacement value. Harrison said his experience in Seward after the earthquake did not point out any advantages of the replacement value method, as they had paid a premium on the latter, but the insurance co, paid off on a cash value basis. Nestle says the best way to assure complete payment is to have an appraiser's verification as to value. 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