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HomeMy WebLinkAbout1973-02-28 SummaryAGENDA KENAI PLANNING & ZONING COMMISSION REGULAR MEETING - FEBRUARY 28, 1973 7:00 P.M. - KENAI PUBLIC SAFETY BUILDING AL HUDSON - CHAIRMAN ITEM 1: ROLL CALL ITEM 2: APPROVAL OF MINUTES, FEBRUARY 14, 1973 ITEM 3: OLD BUSINESS a. Subdivision Ordinance b. Alley Vacation Agreement, Kenai Korners c. Rezoning a portion of Old Townsite d. e. f. r ITEM 4: NEW BUSINESS a. Review of Assessment Policies b. c. d. e. f. ITEM 5: SECRETARY'S REPORT ITEM 6: ADJOURN } l MT~VUTES JOINT MEETING KENAI PLANNING & ZONING COMMISSION KENAI CITY COUNCIL FEBRUARY 28, 1973 PUBLIC SAFETY BUILDING ROLL CALL: Members present - Ruby Coyle, Al Cruver, Jim Elson, Fred Korpinen, Robert Norene, H. J. Steiner, and Mayor John Steinbeck. Also present - Phil Bryson, Allen Corthell, Nels Kjelstad, and City Manager Edwin H. Glotfelty. Members absent - Al Hudson, Ron Malston, Nick Poppin, James Doyle, James Hornaday, C.E. Johnson & Tru McCrady. Mayor Steinbeck opened the meeting and turned it over to the City Manager. Mr. Glotfelty reported Nels Kjelstad has been working for approximately one month reviewing the water, sewer and street projects of the past few years, the established assessment district and the proposed assessments districts. The City Manager asked Mr. Corthell to relate to the Commissioners and Council his recommendations concerning. Mommsen. Mr. Corthell explained that the entire area is plagued by water of a poor quality and inadequate supply not suitable for a fire rating. The immediate problem is providing good water to Mommsen & Bush Lanes. He further stated there are. three alternatives: 1. drill additional well or wells 2. connect with Wildwood 3. connect with City water system The Geological Survey-has studied this area for 4 years, taking samples and chemical analysis as did the Airforce through the Corp, of Engineers. The story i,s very bleak. The water is high in iron content and organic in nature. Mommsen S/D well is high in iron, salt and arsenic. It has a dark color because of the organic matter. There is not much prospect of finding good water by drilling another well or wells. The wells at Wildwood are high in iron and have organic residuals and the water is very expensive to treat. MINUTF.S1, JQZNT MEETING, KENAI CITY COUNCIL & PLANNING & ZQNING COMMISSION FEBRUA,RX 28, 1973 Page two Mr. Corthell stated he recommends a connection into the City's existing system. To do this there is a need for an additional line on 5th Ave. west of Birch or 2nd Ave. west of Birch. This line would allow better flow while serving Mommsen, Bush Lanes & Wildwood. Mr. Corthell was asked the difference in the 5th Ave. connector and the 2nd Ave. connector. He stated the 5th Ave connector was shorter but the 2nd Ave. connector would serve more people along the line. Hydrants would be provided throughout. The size of the water line in Redoubt Ave. was discussed and the question asked if it were to be used as the Industrial Water Line. Mr. Corthell stated that they were studying various sizes of line but that the purpose of their study was to provide water supply and fire protection to the Mommsen- Wildwood- Bush Lanes area only. He further stated that the proposed lines would be of benefit to transmit water through the area in aid of the future indistrial water line. Also in the future the additional circulation would provide fresher water & system reliabiltiy. A question also arose from Council as to why a connection through section 36 (State owned) would not be most economical now that government entities may be assessed. City Manager Glotfelty explained that a transmission line through the Urban Section. would be very costly from the right-of-way standpoint. Phil Bryson reported the insurance savings on a homeowner type policy for a 4 plex, owner-occupied, would save $575 to $600 per year and a non--owner occupied, close. to $700, if the fire rating was reduced from a class 9 to a 5. So even with paying their assessments, homeowners would come out ahead the first year. The Council and Commissioners were given a review and recommendations on the assessment policies of the City of Kenai prepared by Nels Kjelstad. Mr. Kjelstad stated the City has come to a point they need to form assessment districts to cover the jobs of the last four years. Alaska Statute Title 29 has revised assessment procedures. The Kenai Code, Section 16, does not follow State Title 29. There is a need for a new ordinance. Mr. Kjelstad prepared a draft for a new ordinances that outlines 2 methods of setting up assessments districts. One by the petition method and the other by Council resolution. 1"~INUTE~r J4ZNT N1,EETING, KENAI CITY COUNCIL & PLANNING & ZONING COMMISSION FEBRUARY 28, 1973 Fage three ` ~_ Mr. Kjelstad went over the existing assessment districts. A. No. 1 - Streets in SW~, Section 31 were assessed at .511 $ per sq ft. - a 3 year assessment. B. No. 1 - Sewer in O.T. and east addition at 4.684 - a l0 .year assessment. C. No. 1 - Sewer in O.T. and east addition at 4.544 per sq ft - a 10 year assessment. D. No. 3 - Water, sewer & streets in CIIAP - Water at .504 sq ft, sewer at .644 sq ft, and streets at 1.514 sq ft. This was a single assessment. E. No. 4 - Water 0271 project - at 6.344 sq ft - a 10 year assessment. F. No. 5 - Sewer 0271 project ~ at 4.124 sq ft - a 10 year assessment. G. No. 6 - Street (associated with water & sewer) - at 6.004 sq ft. ~ H. No. 7 - Street paving O.T. and east addition $15.02 lineal ft - a 10 year assessment. I. Alyeska water & sewer at 10.64 sq ft-a single assessment. J. Private development - Subdivisions - Woodland, Redoubt Terrace, Central Heights, Inlet View & Mommsen S/D. Mr. McKee stated that on "B" and "C", water & sewer in O.T, and east addition show delinquencies of $12,755 and some properties on the foreclosure list, though no fore- closure action. "E" and "F" - 0271 project delinquent $221,479. Mr. Kjelstad went over the proposed assessment districts. A. Water supply and transmission line, Beaver Creek Well. This line is in to the new Junior High School. The cost of this line is $288.700 and he proposed a 84 assessment on l lot deep or 150' deep and 330' on each side of the line a 24 assessment for fire protection and supply. B. Bush Lanes S/D - water - fire protection. He proposes a 2.964 sq ft. C. Third Avenue east of Birch - water. The cost is not } available at this time. MINUTES, JOINT MEETING, KENAI CITY COUNCIL & PLANNING & ZONING CQMI~ISSION FEBRUARY' 28, 1973 Page four D. Sewer interceptor lines - total cost $502,000. Mr. Kjelstad explained a proposed assessment scheme for collecting for lateral sewers and trunk or interceptor lines . E. Third Avenue, east of Birch - sewer - no cost at this time . F. Fourth Avenue, east of Birch - sewer - no cost at this time. G. Gusty S/D - 6.34 sq ft, computed by City. H. Bush Lanes - sewer lateral - $30,000 - 8.4G sq ft. I. Bush Lanes, street improvement - $52,800 - 14.34 sq ft. The overall assessment district was discussed. The City Manager reported there are 22 assessments districts that need to be formed. Under Alaska Statute the assessment may not exceed 25~ of property value. Each utility would have to be assessed separately. Mr. Kjelstad discussed the future projects: I A. Water line to Mommsen, Wildwood and Bush Lanes. B. Sewer interceptor - east addition. C. Sewer laterals - F.H.A, application - Kaknu, Davidson, McCollum Drive, etc. D. Industrial Water Line. Mr. Kjelstad reported on the methods of financing the projects. A. General Obligation Bonds B. Current Revenues C - Special Assessment Bonds - which is the preferred way. Mr. Kjelstad reviewed the bonds sold to date: 1964 issued 150,000 water & sewer 80,000 left to pay 13,000 debt service this year 1967 issued 1,400,000 water, sewer & streets 1,300,000 left to pay 96,240 debt service this year 1969 issued 60,000 water 50 ,000 left to pay 7,850 debt service this year MINUTEu, JOINT MEETING, KENAI CITY COUNCIL & PLANNING & ZONING CQMMISSION FEBRUARY 28, 1973 Page five 1970 issued 340,000 330 ,000 34,288 1971 issued 435,000 435,000 57,220 water & sewer left to pay debt service this year water, sewer & streets left to pay debt service this year 1972 issued 720,000 water & sewer 720,000 left to pay 44,132 debt service this year 1972 issued 963,731 water & streets debt service to start next year. Total debt service this year 1972-73 $25.3,480. Estimate for next year, debt service $332,000. The State & Federal contibutions can lower the cost of assessments. There may be some deferred payments on large parcels until they are developed. The City needs to get an idea of what was spent and not recovered in assessments. Mr. Kjelstad recommends the City revise the City Code to comply with State law and establish new City procedures. He has drafted an Ordinance that would revise Section 16 of the City Code. He feels the water & sewer rates should be revised to pay for the operation and maintenance of the system. Mr. McKee advised as of June 30, 1972 and from the onset, the City has dropped behind $47,000 and to January 31st of the current year, dropped behind $12,000. Mr. Kjelstad stated to revise the rates, you will need an Ordinance and go through the Alaska Public Utilities Commission. He would propose a 20~ increase. He also feel the need to revise the regulations that need not be in the Ordinance. He feels the need for another meeting fairly soon. MEETING ADJOURNED 10:45 P.M.