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HomeMy WebLinkAbout1987-04-02 Harbor Commission SummaryKENAI HARBOR COMMISSION April 2, 1987 - 7'00 PM Kenai City Hall Leon Quesnel, Chairman AGENDA 1. ROLL CALL Swearing in of new member, Joe Nord 2. APPROVAL OF AGENDA 3. PERSONS PRESENT SCHEDULED TO BE HEARD 4. APPROVAL OF MINUTES of February 5, 1987 5. OLD BUSINESS a. Operational Criteria for New Facility b. Council Resolution Setting Kenai Boating Facility Gasic Goals and Objectives - Harbor Approval to Council 6. NEW BUSINESS a. Discussion' Kenai Code Title II - Harbor b. Discussion- Alaska Port Policy Organization c. Discussion- Fish Tax Credit - Salamatof Seafoods 7. CORRESPONDENCE a. Letter from Alaska DOT/PF dated March 25, 1987 - State Policy Statement 8. COMMITTEE COMMENTS & QUESTIONS 9. ADJOURNMENT KENAI HARBOR COMMISsION Minutes, Regular Meeting Held, Kenai City Hall Council Thursday, April 2, 1987, 7:00 Chambers p.m., AST Presiding: Leon Quesnel, Chairman 1. ROLL CALL Present ,, Marvin Dragseth Leon Quesnel Tom Thompson Barry Eldridge Joe Nord Absent Allen Houtz (excused) Wally Keppel Page (arrived later) In attendance: Keith Kornelis, Public Works Chairman Quesnel called for the Mr. Joe Nord repeated the Oath of Commissioner. swearing in Office and Director of Mr. Joe Nord. sworn in as a Harbor 2. APPROVAL OF AGENDA The agenda was approved as presented. 3. PERSONS PRESENT SCHEDULED TO BE HEARD ~ , , · None present. 4. APPROVAL .OF MINUTES - February 5, 1987 A correction was needed and corrected should have read "Commission Eldridge cleats in the plans for the dock." on page 2, line 3. It asked about the use of MOTION Chairman Quesnel corrected. The Eldridge. moved that motion was the minutes be approved as seconded by Commissioner · OLD BUSINESS , a. Operational Criteria for new facility. Commission Thompson indicated that the operational criteria was not finished to date due to the vast amount of materials, hopefully, by the next meeting. KENAI HARBOR COMMISSION April 2, 1987 page -2- Chairman Quesnel asked Director Kornelis about secretarial services provided for the various rules and regulations gathered from the various harbors around the Peninsula, which entails a the tremendous amount of typing that will be necessary. Director Kornelis indicated it would be done with the staff upstairs. The information would be gathered and red lined from documents that were passed out in Homer, Seward and Kodiak applies to this particular operation. Commissioner Eldridge asked about the time table for both construction and paperwork. Chairman Quesnel indicated that by mid April they should have something close to a rough draft ready. Director Kornelis indicated the first step should be item 6. (a) on the agenda, which is Kenai Code Title II, and was introduced at the Council meeting last night (April 1). This involves the salaries and positions. That would be the first deadline. The second dead line will be April 15th to adopt those positions. The~ salaries were based on the comments presented here at the Harbor Commission meetings. Director Kornelis has been asked to get job descriptions for the positions and will be working on that and get it to the commissioners. The next dead line, as far as financing, would be to introduce a budget for June by the May 6th meeting. Basically, this has already been done, it's just a matter of the finance department putting what's been done in the ordinance. On May 20th the budget would be adopted. Also, on May 20th a resolution will be needed on the dock rates and what will be charged. Director Kornelis indicated they should try to get the rates and the manual by the May 20th Council meeting. Which means they would have to be approved here at the next meeting or the following meeting. Commissioners discussed the possibility of moving the meeting date of the Harbor Commission. Chairman Quesnel asked Director Kornelis what the feeling is of the Council whether this project should be put out to bid or be run by the City. Director Kornelis commented he wrote a memo to the Council and explained everything that had been done. The memo was KENAI HARBOR COMMISSION April 2, 1987 page -3- in the Councils' packet at last nights meeting (April 1), however it was not discussed. Director Kornelis did comment on this to the Council during his report and explained to them of the meeting tonight and invited the Council to come and work with the commission anytime. There was general discussion by the commissioners. Director Kornelis indicated the main thing that needs to be decided is the contract for the two stations that will be leased out. The processors will be looking to what they want to do and would want some kind of commitment. Chairman Quesnel asked Director Kornelis if he has heard from the processors. Director Kornelis said he had received letters of interest from Paul Dale, Dragnet Fisheries, Seward Fisheries and a phone call from Whittney Foods in Anchorage of their interest. Director Kornelis needs to get a set of specification together and needs some guidance as to what the commissioners have in mind. Director Kornelis can put it together and bring it before the commissioners to modify at the next meeting, as it needs to go out to bid right away, because of the thirty day bid period. Commissioner Dragseth asked what the completion date was for the project. Director Kornelis stated thirty days. Commissioner Dragseth asked about penalties. Director Kornelis indicated it did have penalties. Also, the date they have is June 15 for the basic bid and July 30 for some of the alternates. Commissioner Dragseth asked for the penalty amount. Director Kornelis indicated around $500. per day; not sure of amount, would have to check on the figure. KENAI HARBOR COMMISSION April 2, 1987 page -4- Change orders were discussed and explained by Director Kornelis. Commissioner Eldridge asked about the capacity of the crane on the dock and the size of the grid for the repair work. Chairman Quesnel asked the commissioners to discuss the lease of the open areas. Commissioner Thompson suggested putting this out for open bid instead of a flat amount of dollars. Put this in the form of a sealed bid to the City of Kenai. Director Kornelis indicated this was discussed at one of the work sessions. The amounts discussed were for station 2, at 1200 square feet, and having a minimum bid of $12,000.; and station 3, at 1344 square feet, having a minimum bid of $17,000., this would be for the whole season. Also discussed at the work session was setting a minimum bid and also having a price for pounds of fish. However, it was decided the minimum bid would work better. General discussion was held regarding a flat rate versus a minimum bid, tally of fish and fish tickets of some kind, and crane time, whether it be by meter or time clock. Fuel was brought into the discussion. Director Kornelis stated there were two fuel hoses, one for diesel and one for gas. Commissioner Dragseth stated that was not enough, at least five for gas and six for diesel were needed. This was discussed by the commissioners further. Director Kornelis will check with the engineers about adding more hoses to increase capacity. Chairman Quesnel asked the commissioners to address stations 2 and 3 at this time and what direction should be given to the.City engineer. Weight limitations were discussed. Director Kornelis said he could find the weight limitations. Commissioner Dragseth was asked for his opinion on the loading and unloading of totes of fish. He suggested the smaller fork lift is what's needed. KENAI HARBOR COMMISSION April 2, 1987 page -5- Discussion was held regarding crane pads at each station, water wash down and power supply source. Commissioner Thompson commented about power metering and if electricity would be included. Director Kornelis said the power, fresh water and dock would be furnished. Director Kornelis asked for the feelings of the commission providing a spot on the land somewhere for a van or truck. Perhaps a designated spot assigned and posted. This was discussed and the general consensus was to provide a spot and include this. Director Kornelis asked if minimum bids seemed reasonable. The commissioners indicated they were. ~Director Kornelis stated a time frame was needed. There was general discussion. The general feeling was to set the starting date for June 25 and end of season as October 1, and add the stipulation it could be open before then if completed ahead of schedule, pending developments. Director Kornelis read from the specifications, the basic bid date for completion was June 15th and the date for completion of alternates was July 30th. The liquidation damages was set at $750.00 per day. Chairman Quesnel recognized Mr. Dale who wanted to make a comment from the floor. Mr. Dale said that he would appreciate an opportunity to bid earlier than later and he thought May would be quite late. He thought as soon as possible. In his opinion, processors make plans based on facilities that become available, and he thought that June 1st would be too late for him. He indicated he would have missed an opportunity to make commitments for product in the Kenai River, not knowing whether he had a place to operate or not. He also thought, from the City of Kenai point of view, Kenai would receive more bids and the bidding environment would be better earlier than later. "The third possibility, you may pick a minimum bid which may exceed the three or four processors that are interested in doing business, it may exceed their KENAI HARBOR COMMISSION April 2, 1987 page -6- idea of what the facility is worth and if that's the case, you'd rather find that out in April or May than in June when the dye is cast." He indicated it would be better to find out early if the interest isn't there, you have some time to do something different to at least partly offset the operation cos ts. Mr. Dale also commented on lease rates. He compared Homer's lease rates and added the difference being Homer docks included about $7,000. worth of cash usable services and by that he meant, so many hours worth of crane time at $20.00 per hour, one hundred tons of ice valued at $55.00 a ton, it included some electricity, and other things he could not remember, but it included more than the right to move fish. Mr. Dale continued to say what the commissioners are talking about is a space on the dock, but on 2 and 3 your talking about the processor pretty much providing the rest of the costs of operating and providing some electricity. The other lease considerations that the City of Homer spent a lot of time on that may be of interest, was for preference for anyone that was processing locally (in Homer). He indicated that they literally reserved almost half of the slots available on the docks to do business, on a negotiated bid arrangement with local area processors. The other thing they did on competitive bid slots, they only opened those to processors who had paid their bills to City of Homer in the past. He stated he like the idea of the commission providing hydraulic cranes, he thought they were a lot safer and quieter. Mr. Dale went on to comment on the starting dates, that the trestle and dock is going to be substantially completed on the 15th, he would appreciate an opportunity, if it didn't interfere with the contractor, to work on the 15th. Although the main inlet isn't open, there is product available on the west side of the inlet earlier and if there is no objection to working earlier on June 15th, it would be a good date to use. KENAI HARBOR COMMISSION April 2, 1987 page -7- Mr. Dale also commented on the commissioners plans for management and indicated this was the key. He was glad to hear of their plans, because of his feelings, that the docks that worked well are those that are managed properly. Chairman Quesnel thanked Mr. Dale for his observations and comments. Director Kornelis asked the commissioners to regarding the schedule, bid specification and the contractor's schedule should be and the completion. be very clear exactly what dead line for Chairman Quesnel wanted to address the rules and regulations and titles and regulations as to what the commission wants to do. Chairman Quesnel indicated he would help Commissioner Thompson work on these and get them red lined, on the various items that they think need to be done and get it ready to go to the secretary. Commissioner Eldridge wanted more discussion on the minimum bid amounts. The was discussed in general by the commissioners and let stand on the amounts decided. b. Council Resolutions Setting, Kenai Boating Facility Basic Goals and Objectives - Harbor approval to Council. Commissioner Eldridge had the goals and suggested: some comments on the wording of Goal 1, second sentence to read: To provide enough income to cover expenses and acquire reserve funds for future operations, repairs and maintenance. Goal 2 to read: To stimulate the local economy by first providing a service for the present users of the harbor, and secondly expanding services to attract others to this area. Goal 3 to read: To retain a good portion of this facility for use by the public. KENAI HARBOR COMMISSION April 2, 1987 page -8- Commissioner Page suggested, in Goal upgrading. Ail agreed. It would read: 1, to leave the word Goal 1, second sentence: To provide enough income to cover expenses and acquire reserve funds for future operations, repairs, maintenance and upgrading. Objectives were decided to add: discussed by the commissioners. It was Objectives, 2.(n) Parking and Staging Area Director Kornelis asked the commissioners what their feelings were regarding an RV Park. The commissioners discussed this as a good idea, however, they indicated money was not available and the area was not sufficient at this time. Chairman Quesnel asked for comments regarding the rest room facilities for tourists and cannery workers. There was general discussion. Commissioner Dragseth suggested money meters and suggested getting in touch with Seward, as their system with money meters has worked well for them. Director Kornelis will get in contact with the Seward Harbor Master. · NEW BUSINESS a. Kenai Code Title II- Harbor. Commissioner Dragseth objected to the wage of $20.00 per hour for Dock Manager. Director Kornelis explained the responsibilities and how and why this figure was decided for the Dock Manager position. This was discussed extensively amongst the commissioners. The discussion ended with the general consensus to recommend the wage of approximately $15.00 per hour, Range 13 for the Dock Manager. b. Alaska Port Policy Organization. the commissioners as a subject to meeting. The was discussed by bring up at a later KENAI HARBOR COMMISSION Apr il 2, 1987 page -9- MOTION Commissioner Dragseth moved to address Policy Organization at the next meeting. the Alaska Port The motion was seconded by Commissioner Eldridge. c. Fish Tax Credit. Director Kornelis explained this to be a complicated issued and advised the commissioners to go over it carefully. The commissioners will go over this material and felt it dealt more with State owned docks rather than City owned docks. 7 . CORRESPONDENCE a. DOT/PF letter dated March 25, 1987. The commissioners addressed this letter as a matter of information. 8 . ADJOURNMENT The meeting was adjourned at 9:20 p.m. held April 16, 1987. The next meeting will be Niva A. Aburto dba/Niva's Clerical Services for the City of Kenai