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Home My WebLink About2003-12-11 Airport Commission Packet KENAI AIRPORT COMMISSION DECEMBER 11~ 2003 KENAI CITY COUNCIL CHAMBERS 7:00 P.M. AGENDA ITEM 1' CALL TO ORDER AND ROLL CALL ITEM 2' AGENDA APPROVAL ITEM 3' APPROVAL OF MEETING SUMMARY a, October 9, 2003 meeting of Airport Commission 11/13/03 Airport Commission/City Council Work Session Notes ITEM 4: PERSONS SCHEDULED TO BE HEARD ITEM 5: OLD BUSINESS a. Discussion--KPB Flat Tax of Aircraft ITEM 6: NEW BUSINESS a, Discussion--Proposed Airport Improvements ITEM 7: REPORT ao Commission Chair Airport Manager City Council Liaison ITEM 8: COMMISSIONER COMMENTS AND q}UESTIONS ITEM 9: PERSONS NOT SCHEDULED TO BE HEARD ITEM 10' 'INFORMATION ITEMS a, bo Kenai City Council Meeting Action Agendas for November 5 and 19, 2003 and December 3, 2003. Monthly Passenger Enplanement Activity Report Ordinance 2028-2003 passed by City Council 12/3 / 03. Request to Council for Approval of Design Build--Approved by Council 12/3/03. ITEM 11' ADJOURNMENT KENAI AIRPORT COMMISSION OCTOBER 9, 2003 KENAI CITY COUNCIL CHAMBERS 7:00 P.M. AGENDA ITEM 1' ITEM 2: ITEM 3: ITEM 4: ITEM 5: ITEM 6: C. ITEM 7: ITEM 8: ITEM 9: ITEM 10: b. ITEM 11' CALL TO ORDER AND ROLL CALL AGENDA APPROVAL APPROVAL OF MEETING SUMMARY -- August 14, 2003 PERSONS SCHEDULED TO BE HEARD Cary R. Graves, City Attorney-- Commission and Committee Powers OLD BUSINESS Discussion -- Off-airport Car Rental Fees Discussion -- Airport Noise/Web Page Discussion -- Airport Marketing/Airport Business Plan NEW BUSINESS Recommendation -- Hertz Rental Car Concession Recommendation -- Lease Application/Division of Forestry, Lot 4, F.B.O. Subdivision No. 7. Recommendation-- Lease Application/John C. & Marie L. Parker d/b/a 20/20 International, Inc., Lots $ & 6, Block 1, F.B.O. Subdivision REPORT Commission Chair Airport Manager City Council Liaison COMMISSIONER COMMENTS AND OUESTIONS PERSONS NOT SCHEDULED TO BE HEARD INFORMATION ITEMS Kenai City Council Meeting Action Agendas for September 17 and October 1, 2003. 9/03 Kenai Municipal Airport Monthly Enplanements and Float Plane Basin Activity Reports ADJOURNMENT KENAI AIRPORT COMMISSION OCTOBER 9, 2003 KENAI CITY COUNCIL CHAMBERS 7:00 P.M. CHAIRMAN HENRY KNACKSTEDT, PRESIDING MEETING SUMMARY ITEM 1' CALL TO ORDER AND ROLL CALL The meeting was called to order by Chairman Knackstedt at approximately 7'00 p.m. Roll was confirmed as follows: Commissioners present' Absent was' Others present: Bielefeld, Knackstedt, Haralson, Watkins and Zirul (arriving late). Versaw Council Member Joe Moore, City Attorney Cary Graves and Airport Manager Rebecca Cronkhite. ITEM 2: AGENDA APPROVAL A clarification from the Division of Forestry was noted and distributed to the Commission. MOTION: Commissioner Watkins MOVED to approve the agenda with the addition of the Division of Forestry letter and Commissioner Bielefeld SECONDED the motion. There were no objections. SO ORDERED. ITEM 3: APPROVAL OF MEETING SUMMARY -- August 14, 2003 MOTION: Commissioner Haralson MOVED for approval of the minutes as presented and Commissioner Wa~s SECONDED the motion. There were no objections. $O ORDERED. ITEM 4: PERSONS SCHEDULED TO BE HEARD -ao Cary R. Graves~ City Attorney-- Commission and Committee Powers Attorney Graves referred to a memorandum included in the packet relating to commission and committee powers and reviewed the information included. He noted, the council really values the Commission and although they dOn't always agree, the Commission's hard work is really appreciated. When asked if there was a problem with the Airport Commission, Graves answered no, he was visiting with all the commissions to discuss the information. ITEM 5: OLD BUSINESS Discussion -- Off-airport Car Rental Fees The Commission reviewed a memorandum included in the packet by Cronkhite. A general discussion took place in which the consensus of the Commission was to go forward with the proposed ordinance as it is currently written. Discussion -- Airport Noise/Web Page The Commission reviewed the information included in the packet, noting a suggestion had been received to include a process on the airport website for the public to file complaints. This was accomplished. A general discussion took place in which it was suggested another field be added to administration's tracking database to include the resolution of the complaint. Discussion also took place on whether traffic patterns can be adjusted. A representative from the air traffic tower was in the audience and offered an explanation of the traffic patterns and how air traffic is managed. Additional traffic pattern information was requested. -Co Discussion -- Airport Marketing/Airport Business Plan Cronkhite reviewed the memorandum and information included in the packet relating to airport business plans. A general discussion of business plans and airport development followed. The Commission requested a work session be held on November 13 at 7'00 p.m. in the council chambers to discuss further the development of an airport business plan. The Commission also requested the council be invited to attend as well. ITEM 6: NEW BUSINESS Recommendation -- Hertz Rental Car Concession Cronkhite referred to and reviewed with the Commission her memorandum noting Hertz Rental Car being the only company who had expressed an interest in leasing the vacant car rental concession space at the airport. MOTION: Commissioner Haralson MOVED to recommend council approve of the Hertz lease and Commissioner Watkins SECONDED the motion. There were no objections. SO ORDERED. AIRPORT COMMISSION MEETING OCTOBER 9, 2003 PAGE 2 Recommendation -- Lease Application/Division of Forestry, Lot 4, F.B.O. Subdivision No. 7. The Commission reviewed a memorandum from Klm Howard which was included in the packet along with a lease application filed by the Division of Forestry for Lot 4, FBO Subdivision No. 7. The memorandum explained the lease would be for a ten-year period and the properW would be used for support of wildlife fire operations from the Kenai Municipal Airport, specifically for fire retardant storage and as a re-load base to air tankers. Knackstedt distributed a copy of the Airport Master Plan and the Commission determined the use was consistent with the Plan. MOTION: Commissioner Haralson MOVED to recommend approval of the lease and Commissioner Bielefeld SECONDED the motion. There were no objections. SO ORDERED. Recommendation -- Lease Application/John C. & Marie L. Parker d/b/a 20/20 International, Inc., Lots 5 & 6, Block 1, F.B.O. Subdivision A memorandum from Klm Howard was included in the packet in addition to the lease application filed by John C. & Marie L. Parker, d/b/a 20/20 International, Inc. It was noted, the lease would be for Lots 5 and 6 of Block 1, FBO Subdivision and for 35 years each. The lots would be used for sites for aircraft hangars to be constructed. John Parker, who was in the audience, noted they planned to begin construction of the first part of the project in April. Cronkhite noted the proposed development would be in an area the Master Plan designates as cargo/FBO. Allowing hangars for small general aviation and helicopter operations to be built in this area would be contrary to the current Master Plan. MOTION: Commissioner Watkins MOVED to recommend approval of Parkers' lease even with the knowledge of the Master Plan designation for cargo and Commissioner Zirul SECONDED the motion. There were no objections. SO ORDERED. ITEM 7: REPORT Commission Chair -- Knackstedt welcomed Zirul to the Commission. Airport Manager-- No report. City Council Liaison -- Council Member Moore reported the following: An ordinance mending the no-hunting areas in the city had been tabled AIRPORT COMMISSION MEETING OCTOBER 9, 2003 PAGE 3 in order for administration to clarify where hunting is not allowed around the airport. The map accompanying the ordinance will be amended as well. · The Arctic Winter Games Host Society will be reviewing a proposed lease for them to lease the upstairs of the Fire Training Facility for their office area. ITEM 8: COMMISSIONER COMMENTS AND QUESTIONS -- None. ITEM 9: PERSONS NOT SCHEDULED TO BE HEARD-- None. ITEM 10: INFORMATION ITEMS 10-a. Kenai City Council Meeting Action Agendas for September 17 and October 1, 2003. 10-b. 9/03 Kenai Municipal Airport Monthly Enplanements and Float Plane Basin Activity Reports ITEM 11: ADJOURNMENT MOTION: Commissioner Bielefeld MOVED to adjourn and Commissioner Haralson SECONDED the motion. There were no objections. SO ORDERED. The meeting adjourned at approximately 9'50 p.m. Meeting Summary prepared by: Carol L. Freas, City Clerk AIRPORT COMMISSION MEETING OCTOBER 9, 2003 PAGE 4 AIRPORT COMMISSION/KENAI CITY COUNCIL JOINT WORK SESSION NOVEMBER 13, 2003 KENAI CITY COUNCIL CHAMBERS 7:00 P.M. INTRODUCTION Henry Knackstedt, Airport Commission Chair John J. Williams, Mayor BRAINSTORMING Casey Reynolds, Facilitator COMMISSION! COUNCIL FINAL COMMENTS ADJOURNMENT AIRPORT COMMISSION/KENAI CITY COUNCIL JOINT WORK SESSION NOVEMBER 13, 2003 KENAI CITY COUNCIL CHAMBERS 7:00 P.M. CHAIR HENRY KNACKSTEDT, PRESIDING NOTES Commission members present: Knackstedt, Zirul, Bielefeld, and Versaw Council members present: Williams, Bookey, Moore and Swarner Staff present: Freas, Graves, Snow, La Shot, Kebschull, Cronckite, and Reynolds Knackstedt opened the work session and gave an overview of the purpose of developing a business plan for the airport. Williams made some opening remarks as well. Cronkhite gave an update relating to the extension of the mnway/taxiway, noting FAA review of the project for relocation was not justified. Reviewing her memorandum included in the packet, Cronkhite noted the FAA requested a Supplemental Planning Analysis (SPA) to justify the need for a runway extension, float plane waterway expansion and other facilities projects. The SPA will be eligible for FAA AIP grant funding, contingent on FAA approval of the scope of work. After the evening's brainstorming, she and City Planner Kebschull and will meet with the FAA Planning Department to negotiate which products are grant fundable. Ineligible items could be pursued as additive alternates or additional phases in an RFP. Referring to the information and forms included in their packets, council offered the following information' · hangars, etc. Mission Statement' Real estate development/infrastructure, i.e. aviation related buildings, Support aviation real estate development Develop commerce Gateway to the west Inlet Develop cargo hub Develop Forecasts of Aviation and business Growth' Business jet facilities Regularly scheduled regional jet airlines Servicing of new jet types SWOT Analysis' · High speed ferry system · Competition from other airfields, i.e. Nikiski, Salamatof Lake Float Plane Access, lake operators, Sterling strips · Land availability * 24-hour fuel water and land · Tower AIRPORT COMMISSION/CITY COUNCIL JOINT WORK SESSION NOVEMBER 13, 2003 PAGE 2 · · aircraft) Emergency facilities. We are the 800 lb. Gorilla (can adapt to accommodate float and wheeled All-weather airport (instrument approaches) Back-up transportation supports for the city. Terminal building Well-maintained runways PRISM Facility/EOC opportunity in relation to location of airport Environmental pressures Highway system redevelopment (Cooper Landing) Baggage cheCking security/federalization of baggage screening system Airport noise (significant problem) in relation to airport growth Don't have a code share Business Plan: Financial planning · Marketing plan · What non-aviation commerce can be integrated into airport Marketing Plan' Local and long-distance (out of state, out of city) marketing of airport (signage in other airports/external) · Kiosk in Anchorage by car rental agencies Survey-- where do people come from, other carriers, Kenai/ Kodiak/ Seattle run, etc. What is the Kenai market? Get transportation demographics Population growth/passenger traffic to Seattle Airport Land Use Plan: · Ask for evaluation of all airport lands; what direction marking should take; what potential are there? What business should the property be marketed to (incorporate Millennium Square, Dust Bowl, etc.); what airport property should be retailed and what property should be held for future use? · Should airport land adjacent to the runways ever be sold/land location · Is it cheaper to buy land or lease and should lowering the lease rate be discussed? Does it meet the Master Plan and zoning requirements? Lease rate viability Designation changes Re-evaluation of wetlands AIRPORT COMMISSION/CITY COUNCIL JOINT WORK SESSION NOVEMBER 13, 2003 PAGE 3 Rates and Charges Analysis' Land lease rates and charges by re-evaluating or other options for supporting the six percent lease rate. How much profit a business could generate from a piece of property. · Variable use value · Other airport fee study · Taxes Air Service Development Plan' Competition need federalization · Growth = Cost involvement for airport maintenance, security, etc. · smaller lake air services · Taxes · Air service to the west side of the Inlet -- are we providing the amenities to become the gateway? · Maintenance facilities · FBO's Update Minimum Standards and Rules and Regulations: Include it Other' Extend landing channel, widen and dredge Return lane at Float Plane basin Direct service to Seattle Ferry service Update noise contours based on forecast data Cronkhite noted her intentions were to set up a meeting with FAA as soon as possible and forward the information received. She requested the Commissioners and Council Members to call with any additional ideas they may have. The work session ended at approximately 8:40 p.m. Notes prepared by: Carol L. Freas nal Municipal Airport Memo To' From' Date' Subject: Airport Commission Rebecca Cronkhite, Airport Manager:~.g~~-.- December 4, 2003 KPB Flat Tax of Aircraft Attached is a copy of Kenai Peninsula Borough (KPB) proposed Ordinance 2003- 45 amending KPB Chapter 5.12 to provide for a flat tax of aircraft. The Airport Commission has discussed the taxation of aircraft on several occasions and concluded that a borough wide flat tax would provide a level playing field for all airports on the Kenai Peninsula. This proposed ordinance does provide a flat tax; however, it does not alleviate the existing tax within the City of Kenai. If passed, this ordinance will impose additional tax on aircraft in the City of Kenai. Public hearings on the ordinance are scheduled for December 16, 2003 and January 6, 2004. If adopted as written, this ordinance is retroactive to January 1, 2004. www.ci.kenai.ak, us. Introduced by: Date: Heating: Action: Vote: Moss 11/11t/03 122/16/03 &; 01/06/04 I~NAI PENINSULA BOROUGH ORDINANCE 2003-45 AN ORDINANCE AMEND~G I~B CHAPTER 5.12 TO PROVIDE FOR A FLAT TAX OF AIRCRAFT WHEREAS, KPB 5.12.120 currently.provides that all personal property within the corporate limits of the. borough is subject to aa annual ad valorem tax, and KPB 5.12.125 exempts the first $100,000 of assessed valuation of perso _n~l_. _p_ro_perty_.~m ~e ad .................. · "-Valorem tax~' diad- .............................. WHEREAS, motor vehicles and watercraft are currently taxed according to fiat tax schedules, which have proven to be more simple to administer than an ad valorem tax; and WHEREAS, the Municipality of Anchorage currently imposes a fiat tax on aircraft, which- provides a more favorable tax sims for more valuable aircraft than does the borough; and WHEREAS, imposing a flat tax on aircra~ situated within the borough is authorized by Alaska Statute 29.45.055; NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KENAI PEN131SULA BOROUGH: SECTION 1. That KPB 5.12.120 is hereby amended to read as follows: 5.12.120. Personal property tax--Levied--Amount--Statutory authority. All personal property within the corporate limits of the borough which is not exempt from taxation by law or ordinance, is subject and liable to an annual tax for school and borough purposes, of not more than 8 mills on the assessed valuation of such property, unless the people of the borough by referendum, authorize a tax levy at a higher rate and except as authorized by Section 5.12.250 and the owner thereof shall be liable for payment of the tax This'sh~l not apply .to property subject to a fiat t~ ~d exempted from the ad valorem tax in this chapter. The borough shall Collect such tax as is levied on the property within a city by the city council pursuant to law and Charter. · SECTION 2. That KPB 5.12.155 is hereby enacted to read as follows: 5.12.155. Personal property tax---Assessments---Aircraft----AppeaL Kcnai Peninsula Borough, AI~ Text qnderli~d; [D~-~ ~ BllA~] 313 Ordnance 2003-45 Page 1 of 3 A; For purposes of taxation, aircraft that have been issued an N number by the Federal Aviation Administration ("FAA") by January 1 of the tax year. shall be totally exempted from ad valorem taxes and shall be taxed at the rate of $75 ' per year per aircraft per manufacturer's number of aircraft engines designed for that aircraft. B. Aircraft that have been dismantled, destroyed or crashed and the FAA N number has been retained by the aircrat~'s owner of record may submit'to the assessor on an approved form "Aircraft Statement of Condition" that would allow for ad valorem taxation of that aircraft if approved. Aircraft for which such registration or licensing has lapsed or that has not passed the annual inspection required by the FAA shall not qualify on this basis alone for ad valorem taxation unless it has been dismantled, destroyed or crashed. C. Commercial aircraft Operated by a scheduled airline shall be exempt from the flat tax and shall be taxed on an ad valorem basis in accordance with the KPB-land-lh'//"'~Cti~Cl-Ul~' f6rrfiU]a.--'Th~ ~KPB Ign~[~ ~h'~l~e' Y6m~lil-a"'~-/:6vidcs for the prorated calculation of scheduled aircra/t by dividing the total hours per year into the total time aircra~ operated by a scheduled carder are in the KPB, and multiplying the result by the assessed value of each aircraft. D. D¢firdtions. For purposes of this section: "Aircraft" means any engine powered contrivance invented, used, or designed to navigate, or fly in, the air and that is capable of being manned and is required by the FAA to be registered and certified in order to. be manned. "Aircraft engine" means an engine used, or intended to be .used, to propel an aircrat~ except the tail rotor of a helicopter. "Commercial aircraft" means any aircraft transporting passengers and/or cargo for some payment or other consideration, including money or services rendered.. "Crashed" means aircraft for which only parts remain that, due to their condition, can no longer be assembled to creme any contrivable aircra/~. This · shall be evidenced by a FAA accident report and/or copy of an ins~c¢ claim that determines the aircrat~ to be a total loss. "Destroyed" means aircrai~ that have been damaged by age, weather, .neglect and/or external influences outside the owner's control, and only unusable parts remain that, due to their condition can no longer be assembled to create any contrivable aircraft. This shall be evidenced by photographs and a physical inspection by the KPB Assessing staff appraiser if deemed nedessary by the · borough assessor. · "Dismantled" means aircraft that have been voluntarily disassembled and only parts remain, that can no longer be assembled to create any' contrivable aircraft. Evidence such as photographs and a physical inspection by the KPB Assessing staff appraiser shall be .provided or allowed if deemed necessary by the borough assessor. . "Scheduled airline. A "scheduled airline" is any individual, partnership, corporation or association: (1) Engaged in air transportation under regular schedules to, over, away from, or within the U.S.; and Ordinance 2003-45 Page 2 of 3 New Text Underlined; [D~ ~ BRA~] 314 Kenai Peninsula Borough, Alaska (2) Ho.lAing a Foreign Air Carder Permit or a Certificate of Public Convenience and Necessity, issued by the Department of Transportation pursuant to 14 CFR Parts 201 and 213. E. · An aircraft owner may appeal the determination of the borough assessor under this section using the procedures set out in KPB 5.12.050 - .060. SECTION 3. This ordinance be retroactively effective as of January 1, 2004. ENACTED BY THE ASSEMBLY OF THE KENAI PENINSl/LA BOROUGH THIS * DAY OF * 2004. ~ete Spragu~,'Assembly President ' A-rrgSi · ~inda S. Murphy, Borough Clerl~ Kenai P~nfinsula Borough, Alaska Ne~ re~t Underlined; [DEIZI~ TEXT BRAC~I~D] 315 Ordinan~ 2003-45 Page 3 of 3 ..... KENAI PENINSULA. BOROUGH -,~'~' 14~'N. BINKL. EY · SOLDOTNA, ALASKA° 99669-7599 BUSINESS (907) 262-4441 FAX (907)262-1892 TO: Pete SPrague, Assembly President Members, Kenai Peninsula Borough Assembly FROM: Chris Moss, Assembly Member ~A~" DALE BAGLEY MAYOR SUBJECT: /__ Ordinauce 2003- ~Tt~, amending KPB Chapter 5.12 to proVide for flat taxation of aircraft The existing Property tax scheme for the borough provides that all personal property excepting watercraft and motor vehicles is subject to au ad valorem tax. The first $100,000 in assessed value of personal property subject to an ad valorem tax is exempt from taxation. Watercraft and motor vehicles are both subject to a flat tax. This has no value-based exemption as the tax is not related to the value: Air'craf~ are similarly motor powered vehicles used for transportation, and it seems equitable to impose a flat tax upon aircraft rather than an ad valorem tax. Anchorage currently imposes a similar "registration tax" on aircraft situated in the Municipality of Anchorage. If enacted, this ordinance would impose a flat tax on each aircraft in the borough of $75 per akcraft engine on each aircraft. It applies to all aircraft that have been issued a Federal Aviation Administration N mtmber. ARcrat~ owned by scheduled carders are excluded from this ordinance as theY are taxed on an ad valorem' basis, but only for the percentage of time spent in the borough. Imposing a flat tax would potentially result in either double taxation or a complete loss of tax revenue as flat taxes are not, by their nature, generally apportioned between . jurisdictions. ' ' Attached is a table'prepared by the assessor showing a reduction of approximately $179,770 in tax revenues that would result from this change. 316 . .~,,---,,.. 3/03 By Shane Financial Impacts 2_003 Certified ,N, umbers,. & Values Asses.sor Estima.te. d 20~.3 Nu .mbers if Flat Tax Coun..._..~t Main & Supp Roll 227 Val .u..e $33,656,971 x 6.5 Mills $218,770 Estimate 500 Aircraft Total Est 480 Single Engine X $ 75 = Est 20 Twin Engine X $150 =' $36,000 $3.000 $39,000 'R17 nal Municipal Airport Memo To: From' Date' Subject: Airport Commission Rebecca Cronkhite, Airport Manage~,~.~ December 4, 2003 Proposed Airport Improvements Attached are three maps depicting the general aviation apron and lots 6 and 7, Block 5. The current leaseholder, Ronald J. Swanson, is requesting City Council approval for a sublease to Federal Express Corporation. Federal Express Corporation plans to run their main air cargo office on the peninsula from this location. When taxiway H was constructed the airport failed to provide reasonable aircraft access to these lots. I propose the airport construct access across the drainage ditch to enable FedEx to park their aircraft on the lease lot. I also believe it would be prudent to explore the cost of constructing an aircraft turnaround area at the north end of taxiway H. Does Commission wish to recommend Council approval for the design and construction of paved access and an aircraft turnaround on taxiway H? www.ci.kenai.ak, us. · . .. EXHIBIT 1 · ~ ~j~i~i ~-~.~~'~"E"~I ....... i~i~:~. i~,'~-~..:~-.~.- .......... ~. ~- '-~'. ..... -~.. '-~ .-~ --~: . .. ~~~~~ ~~. .... ~:~:~.~..... ~ ~ ~: .. ? ~ ~', ., . ~: . ,I /07 EXHIBIT 3 AGENDA KENAI CITY COUNCIL- REGULAR MEETING NOVEMBER 5, 2003 7:00 P.M. KENAI CITY COUNCIL CHAMBERS http://www.¢i.kcnai.ak.us ITEM A: CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. OATH OF OFFICE -- PAT PORTER 4. Agenda Approval 5. Consent Agenda *All items listed with an asterisk (*) are considered to be rout/ne and non- controversial by the council and will be approved by one motion. There w/ll be no separate discussion of these items unless a council member so requests, in which case the item will be removed from the consent agenda and considered in its normal sequence on the agenda as part of the General Orders. ITEM B: SCHEDULED PUBLIC COMMENTS (10 minutes) 1. Proclamation-- KCHS Football Team ITEM C: REPORTS OF KPB ASSEMBLY, LEGISLATORS AND COUNC~r.~_ ITEM D: PUBLIC HEARINGS //~~~ ~<~, (Final Hearing) -- Approving and 1. Ordinance No. 2009-2003 Public f/~£~. ~,,,,~,~,'~ Adopting the Comprehensive Plan for the City of Kenai and j,Z~~/ Recommending Adoption by the Kenai Peninsula Borough. Ordinance No. 2021-2003 -- Increasing Estimated Revenues and Appropriations by $7,800 in the General Fund for Library Grants. Ordinance No. 2022-2003 -- Adding KMC 7.15.055 to Allow for the Sohcitation and Award of Construction Contracts by Competitive Sealed Proposal. Ordinance No. 2023-2003 -- Increasing Estimated Revenues and Appropriations by $1,585.00 in the General Fund for the Planning Department to Attend Section 106 Training. · Resolution No. 2003-52 -- Awarding a Snow Removal Contract at the Kenai Municipal Airport Te _rm_inal Building to Tuff Construction for the 2003 / 2004 Winter Season. -1- o ITEM E: o 2. 3. 4. 5. 6. 7. ITEM F: o ITEM G: ITEM H: ,,, ITEM I' ,,, , , . Resolution No. 2003-53 -- Awardm§ a Two Year Contract for the Operation and Mana§ement of the Kenai Recreation Center to the Boys & Girls Club of the Kenai Pemnsula, Kenai Unit, in the Amoun~ of $125,000 Per Annum, With an Option to Renew for Two Additional Years. COMMISSION/COMMITTEE REPORTS Council on Aging Airport Commission Harbor Commission Library Commission Parks & Recreation Commission Planning & Zoning Commission Miscellaneous Commissions and Committees a. Beautification Committee b. Kenai Convention & Visitors Bureau Board c. Alaska Municipal League Report d. Kenai Chamber of Commerce e. Arctic Winter Games MINUTES *Regular Meeting of October 15, 2003. CORRESPONDENCE OLD BUSINGS NEW BUSINESS Bills to be Paid, Bills to be Ratified Purchase Orders Exceeding $2,500 *Ordinance No. 2024-2003 -- Increasing Estimated Revenues and Appropriations by $2,500 in the General Fund Visitors Center Department for Advertising. *Ordinance No. 2025-2003 -- Increasing Estimated Revenues and Appropriations by $205,027 in the General Fund for an Alaska State Homeland Security Grant to Purchase a Digital Wireless Statewide Shared Public Safety Communications System. *Ordinance No. 2026-2003 -- Increasing Estimated Revenues and Appropriations by $350,000 in the Boat Launch Capital Project Fund for a State Grant. -2- o *Ordinate No. :2027-2003 -- Increasing Estimated Revenues and Appropriations by $~0,000 for a S~a~e Gran~ for Maintenance and Facility Improvemen~ a~ the Senior Cen~er. *Orainance No. 2025-2003 -- Adopting KMC :21.05.045 to Establish an Off-Airpor~ Gross Income Rental Car Fee for Off-Airpor~ Rental Car Companies Using the Kenai Mumcipal Airport for their Businesses. *Ordixmace No. 2029-2003 -- Amending the Fine Schedule a~ KMC 13.10.015. . *Ordinance No. 2030-2003 -- Amending KMC 1.90.010 to Allow the Kenai City Council to Establish Task Forces Regarding Millennium Square and/or Economic Development with a Membership of Greater Than Seven (7) and Sunsetfing the Ordinance in Three (3) Years. 10. 11. *Ordinance No. 2031-2003 -- Increasing Estimated Revenues and Appropriations by $7,000 in the General Fund for a Grant From the Rasmuson Foundation Art Acquisition Initiative. Approval-- Lease Application/Division of Foresr~-, Lot 4, FBO Subdivision No. 7. 12. Approval-- Lease Application~20~20 International, Inc. and John C. & Marie L. Parker, Individually, Lots 5 & 6, Block 1, FBO Subdivision. 13. Approval-- Te _r~__ination of Lease/U.S. Fish & Wildlife Service, Lot 2, Block 3, General Aviation Apron. 14. Approval -- Concession Agreement/Hertz Corporation. 15. Discussion -- Council Liaison Assign_meres ITEM J: REPORT OF THE MAYOR ITEM K: ADMINISTRATION REPORTS 1. City Manager 2. Attorney 3. City Clerk ITEM L: DISCUSSION 1. Citizens (five minutes) 2. Council EXECUTIVE SESSION- None Scheduled ITEM bi: ADJO~ -3- AGENDA KENAI CITY COUNCIL- REGULAR MEETING NOVEMBER 19, 2003 7:00 P.M. KENAI CITY COUNCIL CHAMBERS _http' / / ~vww. ci.kenaj, ak.us ITEM A! CALL TO ORDRI~ 1. Pledge of Allegiance 2. Roll Call 3. Agenda Approval 4. Consent Agenda *All items listed with an asterisk (*) are considered to be routine and non- controversial by the council and will be approved by one motion. There will be no separate discussion of these items unless a council member so requests, in which case the item will be removed from the consent agenda and considered in its normal sequence on the agenda as part of the General Orders. ITEM B: SCHEDULED PUBLIC COMMENTS (10 minutes) /~'~-~~ 1. Kay Shearer -- Request and Sign Naming Softball Complex in Honor of ~~..~,,~../~z~~.~teve Shearer. _ REPORTS OF KPB ASSEMBLY LEGISLATORS AND COUNCILS ITEM D_: PUBLIC H~GS , , . Ordinance No. 2024-2003 -- Increasing Estimated Revenues and Appropriations by $2,500 in the General Fund Visitors Center Department for Advertising. Ordinance No. 2025-2003 -- Increasing Estimated Revenues and Appropriations by $205,027 in the General Fund for an Alaska State Homeland Security Grant to Purchase a Digital Wireless Statewide Shared Public Safety Communications System. Ordinance No. 2026-2003 -- Increasing Estimated Revenues and Appropriations by $350,000 in the Boat Launch Capital Project Fund for a State Grant. Ordinance No. 2027-2003 -- Increasing Estimated Revenues and Appropriations by $40,000 for a State Grant for Maintenance and Facihty Improvement at the Senior Center. Ordinance Bio. 2029-2003 -- Amending the Fine Schedule at KMC 13.10.015. o . . , ITEM E: . 2. 3. 4. 5. 6. 7. ITEM F: le ITEM G: ITEM H: ITEM I: , Ordinance No. 2030-2003 -- Arnendm§ KMC 1.90.010 to Allow the Kenai City Council to Establish Task Forces Regarding Millenmum Square and/or Economic Development with a Membership of Greater Than Seven (7) and Sunsetting the Ordinance in Three (3) Years. Ordinance No. 2031-2003 -- Increasing Estimated Revenues and Appropriations by $7,000 in the General Fund for a Grant From the Rasmuson Foundation Art Acquisition Initiative. Resolution No. 2003-54-- Awarding a Sole Source Contract to Motorola in the Amount Not to Exceed $205,0:27 to Equip the Kenai Emergency Operations Center (KEOCI with an 80' Radio Tower, Antennas, Connectors and Grounding, and the Kenai Police and Fire Departments with Radios Supporting Both Conventional and 800MHZ Alaska Land Mobile Radio (ALMR} Digitally Trunked Operations. *Liquor License Renewal-- Kenai Country Liquor/Package Store. COMMISSION/COMMITTEE REPORTS Council on Aging Airport Commission Harbor Commission Library Commission Parks & Recreation Commission Planning & Zoning Commission Miscellaneous Commissions and Committees a. Beautification Committee b. Kenai Convention & Visitors Bureau Board c. Alaska Municipal League Report d. Kenai Chamber of Commerce e. Arctic Winter Games MINUTES *Regular Meeting of November 5, 2003. CORRF.~PO~ENCE OLD BUSINESS NEW BUSINESS ,, Bills to be Paid, Bills to be Ratified Purchase Orders Exceeding $2,500 *Ordinance No. 2028-2003 -- Adopting KMC 21.05.045 to Establish an Off-Airport Gross Income Rental Car Fee for Off-Airport Rental Car Companies Using the Kenai Municipal Airport for their Businesses. ' I_TEM J: REPORT OF THE MAYOR ITEM K: ADMINISTRATION REPORTS 1. City Manager 2. Attorney 3. City Clerk ITEM L: DISCUSSION 1. Citizens (five minutes) 2. Council EXECUT~ SESSION- None Scheduled ITEM M: ADJOURNMENT AGENDA KENAI CITY COUNCIL- REGULAR MEETING DECEMBER 3, 2003 7:00 P.M. KENAI CITY COUNCIL CHAMBERS http: / / ~,ww.ci. kenai.ak, us 6:00 P.M. COUNCIL WORK SESSION WITH AREA LEGISLATORS ITEM A: CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. Agenda Approval 4. Consent Agenda 'AII items listed with an asterisk (~) are considered to be rout/ne and non-controversial by the council and will be approved by one motion. There will be no separate discussion of these items unless a council member so requests, in which case the item will be removed from the consent agenda and considered in its normal sequence on the agenda as part of the General Orders. ITEM B: SCHEDULED PUBLIC COMMENT8 (10 minutes} Bill Coghtll, Mikunda Cottrell/t~ Co. -- Audit Report ITEM C: REPORTS OF KPB ASSEMBLY, LEGISLATORS AND COUNCrL~ ITEM D: .p,,UBLIC HEARINGS . . Ordinance No. 2028-2003 -- Adopt. m§ KMC 21.05.045 to Establish an Off- Airport Gross Income Rental Car Fee for Off-Airport Rental Car Companies usm§ the Kenai Mumcipal Airport for Their Businesses. Ordinance No. 2030-2003 .... Amending KMC 1.90.010 to Allow the Kenai City Council to Establish Task Forces Regarding Millennium Square and/or Economic Development with a Membership of Greater Than Seven (7) and' Sunsetting the Ordinance in Three (3) Years. a. Motion to remove from table. b. Consideration of ordinance. Resolution No. 2003-50 -- Transferring $55,500 in the General Fund for a Library Computer System. a. Motion to remove from table. b. Consideration of resolution. , . *2003 Liquor License Continuance *- American Legion Post #20 *2003 Liquor License Continuance .- Uptown Motel/Louie's and Uptown Motel/Back Door Lounge -1- ITEM E: COMMISSION/COMMITTEE REPORTS o 2. 3. 4. 5. 6. 7. Council on Aging Airport Commission Harbor Commission Library. Commission. Parks & Recreation Commission Planning & Zoning Commission Miscellaneous Commissions and Committees a. Beautification Committee b. Kenai Convention & Visitors Bureau Board c. Alaska Municipal League Report d. Kenai Chamber of Commerce e. Arctic Winter Games ITEM F: ~'-~W~EM G: ITEM H: ,, *Notes of November 13, 2003 Airport Commission/Council Work Session. *Regular Meeting of November 19, 2003. CORRESPONDENCE OLD BUSINESS ITEM I: ITEM J: ITEM K: NEW BUSINESS Bills to be Paid, Bills to be Ratified Purchase Orders Exceeding $2,500 Approval-- Design/Build Project-- Airport Security Camera System ,REPORT OF THE MAYOR _ ADMINISTRATION REPORT8 1. City Manager 2. Attorney 3. City Clerk ITEM L: DISCUSSION 1. Citizens (five minutes} 2. Council EXF~UTIVE SE88ION- None Scheduled ITEM M: ADJOURNMENT -2- Information Items o Monthly Passenger Enplanement Activity Report Ordinance 2028-2003 passed by City Council 12 / 3 / 03. Request to Council for Approval of Design Build--Approved by Council 12/3/03. MONTHLY PASSENGER ENPLANEMENT ACTIVITY 14,500 13,500 12,500 11,500 10,500 9,500 8,50O 7,500 6,500 5,5O0 4,500 3,5OO 2,500 1,500 500, Jan !r,~ooo! ~,~* ' 2001 ~ 8,300 .B. 2003 6,454 . Feb Mar 6,99418,901 7,81517,657 7,137 I 8,216 7,046 i 7,371 5,602 5,280 Apr May 61862 i - 7,3-----~-- 6,409 ! 7,531 7,058 ~ ;8,143 6,90216,880 5,375 ! 5,848 Jun ! Jul Aug j Sept ! Oct 9'~.091 I 11,93_4_ . 10,882 ! 8,301 ! 8,267 9,086 i 12,736 11,049 ~ 8,994 i 8,464 9,044 i 12,093 i 10,807,; 6,334 ' 7,682 Nov ! Dec 8,237 i 7,832:~: 7,61217,9681 7,34517,494! 6,02316,249! $,820 i na, Municipal Airport 5 yr. Change Average Change from 1998- from 5 yr. Month 2003 2002 2002 2002 Average Jan 6,454 7,829 -1;375 8,055 -1,601 Feb 5,602 7,046 -1,444 7,302 -1,700 , , Mar 5,280 7,371 -2,091, 8,!54 -2,874 Apr 5,367 6,902 -1,535 7,032 -1,665 May 5,848 , 6,880 -1,032 7,702 -1,854 Jun $,988 6,740 -752 8,815 -2,827 Jul 9,445 9,979 -534 1,1,962 -2,517 Aug 7,674 8,~14 r970 10,432 -2,758 Sep 6,435 6,684 -249 7,697 -1,262 Oct 6,120 6,309 -189 7,701 -1,581 , , , Nov 5,820 6,023 -203 7,407 -1,587 Dec 6~249 7,457 Totals 70,033 86,656 -10,374 99,716 -22,226 i i i i i iiii Suggested by: Airport Commission/ Administration CITY OF KENAI ORDINANCE NO. 2028-2003 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, ADOPTING KMC 21.05.045 TO ESTABLISH AN OFF-AIRPORT GROSS INCOME RENTAL CAR FEE FOR OFF-AIRPORT RENTAL CAR COMPANIES USING THE KENAI MUNICIPAL AIRPORT FOR THEIR BUSINESSES. WHEREAS, the City of Kenai is the owner and operator of the Kenai Municipal Airport; and, WHEREAS, the Kenai Municipal Airport is financed and managed under policies and practices designed to ensure that it is and will always be self-supporting and will not require expenditure of genera/fund money to support it; and, WHEREAS, these policies and practices require that the costs and expenses of the Kenai Municipal Airport be paid by the users of the facilities who enjoy the commercial opportunities that such facilities create; and, WHEREAS, there are presently three {3) on-airport rental vehicle companies operating under concession agreements at the airport, each of which pays rent plus ten (10%) of their gross revenue for the privilege of operating on the airport; and, WHEREAS, off-airport rental car companies are benefiting from the traffic generated by airport facilities but are not participating in the costs and expenses of operating the airport; and, WHEREAS, since off-airport rental car companies do not pay a gross revenue fee for use of the airport, they have an incentive to remain an off-airport operator rather than become an on-airport concessionaire and pay a ten (10%) percent gross revenue fee; and, WHEREAS, the rental car companies operating in the terminal desire an even playing field for competitive pricing; and, WHEREAS, many airports throughout the nation require off-airport vehicle companies to pay a percentage of gross revenue fees for the right to conduct airport operations; and, WHEREAS, it is necessary, reasonable and appropriate to establish an off-airport vehicle rental fee. Ordinance No. 2028-2003 Page 2 of 2 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA that KMC 21.05.045 is adopted as set out in Attachment A. ATTEST: Sh Padilla, Acting City Clerk PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this third day of December, 2003. ,..." ..... / __-" ,.,, I .~ /~. ~'"///JOHN ~I~t~~ MXYoR Introduced: Adopted: Effective: November 19, 2003 December 3, 2003 January 3, 2004 (10129/03 sp) nal Municipal Airport Memo To: Linda L. Snow, City Manager From: Rebecca Cmnkhite, Airport Manager Thru: Jack La Shot, Public Works Manager Date: November 25, 2003 Subject: Request to Council for Approval of Design Build This memo is a request for Council approval to utilize design build competitive sealed proposals as allowed by Ordinance 2022-2003 for FAA grant project number 3-02-0142- 02902 to acquire a security camera system. As we reported earlier, the FAA has given conceptual approval for use of design build for this project. In addition, Wince-Corth¢ll- Bryson, our comulting firm for the project, and their electrical sub-consultant both agree that this is the most cost-effective way of approaching this project. Thc Airport Security Camera Project offers a good trial usc of this ordinance because of rapidly moving technology and changing costs associated with security equipment. The best expertise for assembling the design build package actually lies with the equipment supplier-installers. The City should get the latest technology available at the time for the least cost. Ora' team has put together detailed parameters for project requirements and quality expected. The sel~ted bidder will configure the actual system, provide, and install thc equipment after approval. Our team will monitor system installation and wimess final testing. The contractor will also be required to provide system training. We arc optimistic that the design build competitive proposal concept will prove cost- effective due to less total people involved in the project. Costs normally expended in a detailed design process are shifted to the contractor to u~e for equipment and installation. Council approval will allow us to proceext with development of the final RFP documents. www.ci.kenai.ak.us. RON'S RENT-IT CENTER, INC. 145 N. Willow St. P.O. Box 2522 Kenai, AK 99611 Phone: (907)283-4232 Fax: (907)283-9560 rswanson~acsalaska.net , December 1, 2003 Becky Cronkhite Kenai Airport Manager Kenai, AK 99611 To Whom It May Concern: I am writing this letter in regards to the sub-lease of the property now occupied by Ron's Rent- It Center, Inc. referred to in the supporting documents. FedEx would like to sub-lease this property and will require paved access to the taxiway Ron's Rent- It Center, Inc. will pave all portions of the lease lots adjacem to the taxiway. The Airport Manager has advised us that parking aircra~ on the taxiway is unrealistic and limits access to the north and therefore requested a parking ramp be provided on the lease lots. It is our intention to meet this safety requirement and request the City of Kenai provide the appropriate access from the taxiway to the lease lots. We believe this sub- lease will ensure a valuable tenant remains on the airport and providing this access would be a great enhancement to the airport as well as a benefit to the City of Kenai. We trust that the Airport Commission can see the benefit of providing access to lease lots adjacent to taxiways and respectfully request your support of a construction project to enable aircraft access to these lots · Sincerely, Ronald Swanson rs, js