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HomeMy WebLinkAbout2026-03-11 Planning & Zoning PacketKenai Planning & Zoning Commission - Regular Meeting Page 1 of 2 March 11, 2026 Kenai Planning & Zoning Commission - Regular Meeting March 11, 2026 ꟷ 7:00 PM Kenai City Council Chambers 210 Fidalgo Avenue, Kenai, Alaska www.kenai.city **Telephonic/Virtual Information on Page 2** Agenda A. CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. Approval of the Agenda and Consent Agenda (Public comments on Consent Agenda Items limited to three (3) minutes per speaker; thirty (30) minutes aggregated) *All items listed with an asterisk (*) are considered to be routine and non-controversial by the Commission and will be approved by one motion. There will be no separate discussion of these items unless a Commission 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. B. APPROVAL OF MINUTES 1. *Regular Meeting of February 25, 2026 C. SCHEDULED PUBLIC COMMENT (Public comment limited to ten (10) minutes per speaker) D. UNSCHEDULED PUBLIC COMMENT (Public comment limited to three (3) minutes per speaker; thirty (30) minutes aggregated) E. CONSIDERATION OF PLATS F. PUBLIC HEARINGS 1. Resolution PZ2026-05 - Granting a Conditional use Permit for a Retail Marijuana Store on the Proeprty Described as Lot 12, Block B, Beaver Creek Alaska Subdivision, Located at 6384 Kenai Spur Hwy in the General Commercial Zoning District. G. UNFINISHED BUSINESS H. NEW BUSINESS 1. DISCUSSION - Rescheduling April Planning & Zoning Commission Meetings I. REPORTS Page 1 Kenai Planning & Zoning Commission - Regular Meeting Page 2 of 2 March 11, 2026 1. Planning Director 2. Commission Chair 3. Kenai Peninsula Borough Planning 4. City Council Liaison J. ADDITIONAL PUBLIC COMMENT (Public comment limited to five (5) minutes per speaker) K. NEXT MEETING ATTENDANCE NOTIFICATION 1. Next Meeting: March 25, 2026 L. COMMISSION COMMENTS AND QUESTIONS M. PENDING ITEMS N. ADJOURNMENT O. INFORMATIONAL ITEMS **COMMISSIONERS, PLEASE CONTACT US IF YOU WILL NOT BE ABLE TO ATTEND THE MEETING** The agenda and supporting documents are posted on the City’s website at www.kenai.city. Copies of resolutions and ordinances are available at the City Clerk’s Office or outside the Council Chamber prior to the meeting. For additional information, please contact the City Planner at 907-283-8237. Registration is required to join the meeting remotely through Zoom. Please use the following link to register: https://us02web.zoom.us/meeting/register/L7yMgrDoRGe6xf6aVr6UqQ Page 2 KENAI PLANNING & ZONING COMMISSION – REGULAR MEETING FEBRUARY 25, 2026 – 7:00 P.M. KENAI CITY COUNCIL CHAMBERS 210 FIDALGO AVE., KENAI, AK 99611 CHAIR KEATON, PRESIDING Planning & Zoning Commission Page 1 of 5 February 25, 2026 MINUTES A. CALL TO ORDER A Regular Meeting of the Kenai Planning & Zoning Commission was held on February 25, 2026, in City Hall Council Chambers, Kenai, AK. Chair Keaton called the meeting to order at approximately 7:00 p.m. 1. Pledge of Allegiance Chair Keaton led those assembled in the Pledge of Allegiance. 2. Roll Call There were present: Sonja Earsley (remote attendance) Gwen Woodard Alex Douthit, Vice Chair Jeanne Keaton Stacie Krause Marty Askin A quorum was present. Absent: Diane Fikes Also in attendance were: Kevin Buettner, Planning Director Phil Daniel, City Council Liaison Logan Parks, Deputy City Clerk 3. Agenda and Consent Agenda Approval Chair Keaton noted the following additions to the Packet: Add to item B.1. Meeting Minutes • P&Z Commission January 14, 2026 Add to item F.2. Rezone Contour & Drainage Map • Added to PZ2026-03 Add to item O.1. CUP Closure Memorandum • Closure of PZ2021-41 MOTION: Commissioner Douthit MOVED to approve the agenda and consent agenda with the requested revisions. Commissioner Krause SECONDED the motion. The items on the Consent Agenda were read into the record. Chair Keaton opened the floor for public comment on consent agenda items; there being no one wishing to be heard, the public comment period was closed. UNANIMOUS CONSENT was requested. Page 3 Planning & Zoning Commission Page 2 of 5 February 25, 2026 VOTE: There being no objection; SO ORDERED. *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 Commissioner 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. B. APPROVAL OF MINUTES 1. *Regular Meeting of January 28, 2026. 2. *Regular Meeting of January 14, 2026. C. SCHEDULED PUBLIC COMMENTS - None. D. UNSCHEDULED PUBLIC COMMENTS - None. E. CONSIDERATION OF PLATS - None. F. PUBLIC HEARINGS 1. Granting a Conditional Use Permit to Allow for Assemblies at the Coral Seymour Memorial Ballpark in the Recreation Zoning District [Clerk’s Note: Commissioner Earsley abstained from discussion and participation in accordance with KMC 14.05.025(e)] MOTION: Commissioner Douthit MOVED to approve granting the Conditional Use Permit. Commissioner Krause SECONDED the motion. Chair Keaton opened the floor for public comment. There being no one wishing to be heard, the public comment period was closed. Clarification was provided that this was a new conditional use permit; the intent was to host fundraising events during the summer; and the Oilers are responsible for field maintenance under their lease agreement. VOTE: YEA: Askin, Keaton, Douthit, Krause, Woodard NAY: None ABSENT: Fikes ABSTENTION: Earsley MOTION PASSED. Chair Keaton noted the 15-day appeal period. 2. Recommending the Kenai City Council Approve the Rezone from Conservation (C) to Suburban Residential (RS) Zoning District for 81-Acre Lot Located at 10060 Kenai Spur Highway. MOTION: Commissioner Douthit MOVED to approve granting a Conditional Use Permit. Commissioner Woodard SECONDED the motion. Chair Keaton opened the floor for public comment. Vaughn Vroman addressed the Commission with concern with rezoning the 81-acre parcel from conservation to residential use. Page 4 Planning & Zoning Commission Page 3 of 5 February 25, 2026 Rose Seavey addressed the Commission with concern regarding potential impacts of utility extensions on properties currently served by wells and septic systems. Benjamin Meyer addressed the Commission in support of protecting the wetland and ravine areas, noting their ecological importance as headwaters to a tributary of the Kenai River and salmon habitat, the lowland acreage would remain conservation. Jessica Wilshusen addressed the Commission with concerns regarding potential traffic increases, road conditions, and possible extension of Magic Avenue. There was discussion regarding the proposed rezone, with clarification provided that it would primarily impact approximately 10-15 acres of upland near existing utilities, eliminate the Conditional Use Permit requirement while still requiring subdivision, platting, and developer-funded infrastructure improvements, and that wetlands would not be developed; lowland areas could be rezoned following subdivision; Suburban Residential designation versus Rural Residential, with staff explaining Rural Residential was recommended due to access to utilities and flexibility in lot sizes and density, with configuration determination through the platting process subject to City review, wetland protections, and applicable conditions; adjacent zoning is Rural Residential, and existing Rural Residential properties may subdivide within those standards. It was noted that conditions, public use designations, and floodplain regulations could be applied to protect sensitive areas; properties more than 200 feet from a newly extended water or sewer main are not be required to connect; there are no current plans to extend Magic Avenue, any future improvements would depend on traffic volumes, Council appropriations, and potential developer participation. MOTION TO AMEND: Commissioner Douthit MOVED to amend the recommended rezone as follows: “Recommending the Kenai City Council Approve the Rezone from Conservation (C) to [Suburban Residential (RS)] Rural Residential (RR) Zoning District for 81-acre Lot Located at 10060 Kenai Spur Highway.” Commissioner Askin SECONDED the motion. VOTE ON MOTION TO AMEND: YEA: Keaton, Douthit, Earsley, Woodard, Askin NAY: Krause ABSENT: Fikes MOTION TO AMEND PASSED. VOTE ON MAIN MOTION AS AMENDED: YEA: Douthit, Earsley, Woodard, Askin, Keaton NAY: Krause ABSENT: Fikes MAIN MOTION AS AMENDED PASSED. G. UNFINISHED BUSINESS - None. H. NEW BUSINESS 1. Transfer of Conditional Use Permit, PZ1999-05 and PZ1997-53 for the use of Lodging, Cabin Rentals, and Boat Parking. MOTION: Commissioner Douthit MOVED to approve the transfer of Conditional Use Permit PZ1999-05 and PZ 1997-53. Commissioner Woodard SECONDED the motion. Page 5 Planning & Zoning Commission Page 4 of 5 February 25, 2026 Clarification was provided that there was no history of code enforcement. UNANIMOUS CONSENT was requested on the motion. VOTE: There being no objection; SO ORDERED. 2. Transfer of Conditional Use Permit, PZ2017-33 for the use of Retail Marijuana and Product Storage. MOTION: Commissioner Douthit MOVED to transfer Conditional Use Permit PZ2017-33. Commissioner Woodard SECONDED the motion. Clarification was provided that there was no history of code enforcement. UNANIMOUS CONSENT was requested on the motion. VOTE: There being no objection; SO ORDERED. I. REPORTS 1. Planning Director Planning Director Buettner reported on the following: • Staff have begun reviewing Conditional Use Permit files and closed those associated with businesses that have closed, sold, or retired in order to maintain accurate records. 2. Commission Chair - No report. 3. Kenai Peninsula Borough Planning - No report. 4. City Council Liaison Council Member Daniel reported on recent actions of the City Council. J. ADDITIONAL PUBLIC COMMENTS Benjamin Meyer addressed the Commission with concerns regarding the rezone of Conservation land. K. NEXT MEETING ATTENDANCE NOTIFICATION 1. Next Meeting: March 11, 2026 L. COMMISSION COMMENTS AND QUESTIONS Commissioner Askin expressed support for the proposed rezone. Commissioner Woodard thanked the public for attending. Commissioner Krause thanked the public for attending and encouraged continued participation at future meetings. Commissioner Douthit thanked all participants for their involvement. M. PENDING ITEMS - None. N. ADJOURNMENT O. INFORMATIONAL ITEMS - None. There being no further business before the Planning & Zoning Commission, the meeting was adjourned at approximately 8:10 p.m. Page 6 Planning & Zoning Commission Page 5 of 5 February 25, 2026 I certify the above represents accurate minutes of the Kenai City Council meeting of February 25, 2026. ___________________________________ Logan Parks, Deputy City Clerk Page 7 _____________________________________________________________________________________ CITY OF KENAI PLANNING AND ZONING COMMISSION RESOLUTION NO. PZ2026-05 A RESOLUTION GRANTING A CONDITIONAL USE PERMIT TO ALLOW FOR A RETAIL MARIJUANA STORE. APPLICANT: David Parker PROPERTY ADDRESS: 6384 Kenai Spur Highway LEGAL DESCRIPTION: Lot 12, Block B, Beaver Creek Alaska Subdivision Amended KENAI PENINSULA BOROUGH PARCEL NUMBER: 04106212 WHEREAS, a complete application meeting the requirements of Kenai Municipal Code 14.20.150 was submitted to the City on February 26, 2026; and, WHEREAS, the applicant has demonstrated that the prerequisites of a Conditional Use Permit have been met pursuant to Kenai Municipal Code 14.20.150; and, WHEREAS, the City of Kenai Planning and Zoning Commission conducted a duly advertised public hearing on February 27, 2026, following requirements outlined in Kenai Municipal Code 14.20.280 for public hearings and notifications. WHEREAS, the Planning and Zoning Commission finds: 1. KMC 14.20.150(d)(1) The use is consistent with the purpose of this chapter and the purposes and intent of the zoning district; Findings: The General Commercial Zone, as outlined in KMC 14.20.120, is established to provide for areas where a broad range of retail, wholesale, and service establishments is desirable. Uses are regulated to concentrate commercial development to the greatest extent possible and to prevent any uses which would have an adverse effect upon nearby properties. As proposed, the Commercial Marijuana Establishment (CME) would consist of an approximately 257 square-foot Retail Marijuana Store, located within an approximate 3,680 square-foot building. 333 square-feet will be used for product storage, and the remaining square footage will be divided into leasable retail spaces. Primary access to the subject CME would be from the Kenai Spur Highway, which is classified by the State of Alaska Department of Transportation and Public Facilities as a Principal Arterial. A Principal Arterial road serves activity centers of statewide significance including airports, seaports, colleges, medical complexes, military bases, recreational Page 8 Resolution No. PZ2026-05 Page 2 of 5 areas, and industrial and commerce centers; carry a high proportion of urban travel on minimal mileage; and accommodate trips entering and leaving urban areas and movements through the urban areas. Designated parking, following the regulations set forth in KMC 14.20.250 will be located on-site. Staff finds it reasonable the proposed retail marijuana store would be consistent with the purpose of KMC 14.20.150 and the intent of the General Commercial Zoning District given the compliance of all federal, state, and local regulations. 2. KMC 14.20.150(d)(2) The economic and noneconomic value of the adjoining property and neighborhood will not be significantly impaired; Findings: The proposed development must comply with the requirements of KMC 14.20.330 – Standards for Commercial Marijuana Establishments. In addition, the proposed development must also comply with Alaska Statute 17.38, an Act to Tax and Regulate the production, Sale, and Use of Marijuana, as well as Alaska Administrative Code, Title 3, Marijuana Control Board, Omnibus licensure requirements and procedures for marijuana establishments. Pursuant to KMC 14.20.010 – Land Use Table, a retail marijuana store may be established in the General Commercial Zone with a Conditional Use Permit. In addition, KMC 14.20.330 – Standards for Commercial Marijuana establishments, provisions have been put in place to help mitigate impacts to the value of adjoining property and surrounding neighborhoods. Provided that all conditions required by the State of Alaska and the City of Kenai are followed, Staff does not find that the value of the adjoining properties and neighborhoods will be significantly impaired. 3. KMC 14.20.150(d)(3) The proposed use is in harmony with the Comprehensive Plan; Findings: The subject parcel is defined in the 2016 Comprehensive Plan as General Commercial. The plan defines CG as: General Commercial is intended for retail, service, and office businesses that serve the Kenai and the larger region. General Commercial is appropriate for locations along the arterial road system. General Commercial-type development requires larger parcels of land and access to a major road system. It is also intended to support smaller-scale businesses. The surrounded lots are currently all vacant with the northern lots being zoned as Rural Residential, and the lots to the east, west, and south, zoned as Limited Commercial. Staff finds that the proposed use meets is in harmony with the Comprehensive Plan both as currently zoned. The proposed reinvigoration of the property is consistent and in harmony with several goals in the 2016 Comprehensive Plan. Page 9 Resolution No. PZ2026-05 Page 3 of 5 In Imagine Kenai 2030 Comprehensive Plan, Chapter 6, “Goals, Objectives, and Implementation”, several goals and objectives are met from the proposed use. Goal 2 – Economic Development: Provide economic development to support the fiscal health of Kenai. Objective ED-1 Promote projects that create workforce development opportunities. Objective ED-2 Implement business-friendly regulations, taxation, and incentives to create a stable, positive climate for private investment. Objective ED-5 Promote adaptive reuse of vacant commercial buildings in the city center and along the Kenai Spur Highway. Goal 3 – Land Use is to develop land use strategies to implement a forward-looking approach to community growth and development. Objective LU-5 Support development at emerging community “centers” that lie outside the major employment centers but provide a mix of retail, service, and residential uses. 4. KMC 14.20.150(d)(4) Public services and facilities are adequate to serve the proposed use; Findings: The subject property is accessed via a paved, State of Alaska maintained arterial road. The lot is currently serviced by City water and has private on-site septic. Additional there is access to natural gas, electricity, and telephone services. 5. KMC 14.150(d)(5) The proposed use will not be harmful to the public safety, health or welfare; Findings: The proposed use is to establish and operate a Commercial Marijuana Establishment consistent of a retail marijuana store and on-site marijuana storage. CME’s are required to strictly adhere to a variety of federal laws, state statutes, and city municipal codes in regard to sales, odor emissions, health, and safety. Additionally, CME’s require the approval and issuance of a Retail Marijuana Store license from the State of Alaska Marijuana Control Board. With regard to buffer distances discussed in KMC 14.20.330(f)(1), the proposed CME would not be located within 1,000 feet of any primary or secondary school (Kindergarten – 12th grade) or within 500 feet of any vocational program, post-secondary school, including but not limited to trade, technical, or vocational schools, colleges, or universities. In addition, it would not be within 500 feet of any recreation or youth centers, correctional facilities, churches, and state licensed substance abuse treatment facilities providing substance abuse treatment. Given the multiple-agency regulations and requirements, Staff does not find that the proposed use would have a harmful impact to the public safety, health, or welfare. Page 10 Resolution No. PZ2026-05 Page 4 of 5 6. KMC 14.150(d)(6) Any and all specific conditions deemed necessary by the Commission to fulfill the above-mentioned conditions should be met by the applicant. These may include, but are not limited to, measures relative to access, screening, site development, building design, operation of the use and other similar aspects related to the proposed use. Findings: No additional or specific conditions are deemed necessary to fulfill the above- mentioned criteria. NOW, THEREFORE, BE IT RESOLVED BY THE PLANNING AND ZONING COMMISSION OF THE CITY OF KENAI, ALASKA: Section 1. That a conditional use permit is granted to allow for a Retail Marijuana Store on Lot 12, Block B, of Beaver Creek Alaska Subdivision Amended, with a street address of 6384 Kenai Spur Highway. Section 2. That the conditional use permit is subject to the following conditions: 1. Any development or use of the property shall comply with all applicable Federal, State of Alaska, and City regulations regardless of whether or not the requirements are listed as conditions for the approval of the Conditional Use Permit. 2. Prior to beginning construction, a building permit must be issued by the Building Official for the City of Kenai. 3. Prior to starting operations, a landscape/site plan must be reviewed and approved by the Planning Director. 4. Prior to operation, the applicant shall submit a copy of the approved and fully executed license from the Alaska Alcohol & Marijuana Control Board. The applicant shall comply with all regulations as stipulated by the Control Board. 5. All standards for Commercial Marijuana Establishments found in KMC 14.20.330 must be maintained. 6. Pursuant to Kenai Municipal Code Section 14.20.150(f) the applicant shall submit an annual report to the City of Kenai, due no later than December 31 of each year. 7. The applicant will meet with City Staff for on-site inspections when requested. 8. If there is a change of use for the above described property, a new Conditional Use Permit must be obtained, as stated in KMC 14.20.150(l)(5) 9. Failure to provide documentation to the City of adhere to the conditions required shall be grounds for the suspension or revocation of the Conditional Use Permit. Page 11 Resolution No. PZ2026-05 Page 5 of 5 PASSED BY THE PLANNING AND ZONING COMMISSION OF THE CITY OF KENAI, ALASKA, THIS 11TH DAY OF MARCH, 2026. Jeanne Keaton, Chair ATTEST: ______________________________________ Logan Parks, Deputy City Clerk Page 12 STAFF REPORT PLANNING & ZONING DEPARTMENT TO: Planning and Zoning Commission FROM: Kevin Buettner, Planning Director THROUGH: Jessica See, Planning Technician DATE: February 27, 2026 SUBJECT: Resolution PZ2026-05 – Conditional Use Permit to Allow a Retail Marijuana Establishment. Request The applicant is requesting a Conditional Use Permit to Operate a Retail Marijuana Store. Staff Recommendation Adopt Resolution PZ2026-05 Approving a Conditional Use Permit for the Operation of a Retail Marijuana Store. Applicant David Parker Property Owners David Parker Legal Description Lot 12, Block B, Beaver Creek Alaska Subdivision Amended Building Address 6384 Kenai Spur Highway KPB Parcel ID 04106212 Lot Size (acreage) 41,382 square-feet (0.95 Acres) Zoning General Commercial (CG) Current Property Use Vacant Current Building Use Vacant Land Use Plan General Commercial (CG) Page 13 Resolution PZ2026-05 Conditional Use Permit Retail Marijuana Store Page 2 of 5 SUMMARY This is an application for the operation of a Commercial Marijuana Establishment (CME). The proposed retail marijuana store would contain an approximately 257 square-foot retail space and an approximately 333 square-foot product storage area with the remaining square-footage of the remodeled/expanded current structure being divided into spaces to be used for commercial lease. The subject CME would be located within an existing structure that is being remodeled and expanded, located on an approximately 0.95-acre lot. ANALYSIS Pursuant to KMC 14.20.150(a), the intent of a conditional use permit is to allow some uses that may be compatible with the designated principal uses in specific zoning districts provided certain conditions are met. Prior to granting a conditional use permit or amendment, the Commission shall determine that the identified criteria as outlined in KMC 14.20.150(e) Conditional Use Permits Review Criteria are met. Criteria 1: The use is consistent with the purpose of this chapter and the purposes and intent of the zoning district. Findings: The subject parcel is zoned General Commercial (CG). Pursuant to Ordinance 2870-2016 approved by City Council on January 20, 2016 with an effective date of February 19, 2016, a Retail Marijuana Store may be established and operated under a Conditional Use Permit within the CG zone. The CG Zone is established to provide for areas where a broad range of retail, wholesale, and service establishments is desirable. Uses are regulated to concentrate commercial development to the greatest extent possible and to prevent any uses which would have an adverse effect upon nearby properties. As proposed, the Commercial Marijuana Establishment (CME) would consist of an approximately 257 square-foot Retail Marijuana Store, located within an approximate 3,680 square-foot building. 333 square-feet will be used for product storage, and the remaining square footage will be divided into leasable retail spaces. Primary access to the subject CME would be from the Kenai Spur Highway, which is classified by the State of Alaska Department of Transportation and Public Facilities as a Principal Arterial. A Principal Arterial road serves activity centers of statewide significance including airports, seaports, colleges, medical complexes, military bases, recreational areas, and industrial and commerce centers; carry a high proportion of urban travel on minimal mileage; and accommodate trips entering and leaving urban areas and movements through the urban areas. Designated parking, following the regulations set forth in KMC 14.20.250 will be located on-site. Staff finds it reasonable the proposed retail marijuana store would be consistent with the purpose of KMC 14.20.150 and the intent of the General Commercial Zoning District given the compliance of all federal, state, and local regulations. Page 14 Resolution PZ2026-05 Conditional Use Permit Retail Marijuana Store Page 3 of 5 Criteria 2: The economic and noneconomic value of the adjoining property and neighborhood will not be significantly impaired. Findings: The proposed development must comply with the requirements of KMC 14.20.330 – Standards for Commercial Marijuana Establishments. In addition, the proposed development must also comply with Alaska Statute 17.38, an Act to Tax and Regulate the Production, Sale, and Use of Marijuana, as well as Alaska Administrative Code, Title 3, Marijuana Control Board, Omnibus licensure requirements and procedures for marijuana establishments. Pursuant to KMC 14.20.010 – Land Use Table, a retail marijuana store may be established in the General Commercial Zone with a Conditional Use Permit. In addition, KMC 14.20.330 – Standards for Commercial Marijuana establishments, provisions have been put in place to help mitigate impacts to the value of adjoining property and surrounding neighborhoods. Provided that all conditions required by the State of Alaska and the City of Kenai are followed, Staff does not find that the value of the adjoining properties and neighborhoods will be significantly impaired. Criteria 3: The proposed use is in harmony with the Comprehensive Plan. Findings: The subject parcel is defined in the 2016 Comprehensive Plan as General Commercial. The plan defines CG as: General Commercial is intended for retail, service, and office businesses that serve the Kenai and the larger region. General Commercial is appropriate for locations along the arterial road system. General Commercial-type development requires larger parcels of land and access to a major road system. It is also intended to support smaller-scale businesses. RELEVENT GOALS In Imagine Kenai 2030 Comprehensive Plan, Chapter 6, “Goals, Objectives, and Implementation”, several goals and objectives are met from the proposed use. Goal 2 – Economic Development: Provide economic development to support the fiscal health of Kenai. Objective ED-1 Promote projects that create workforce development opportunities. Objective ED-2 Implement business-friendly regulations, taxation, and incentives to create a stable, positive climate for private investment. Objective ED-5 Promote adaptive reuse of vacant commercial buildings in the city center and along the Kenai Spur Highway. Page 15 Resolution PZ2026-05 Conditional Use Permit Retail Marijuana Store Page 4 of 5 Goal 3 – Land Use is to develop land use strategies to implement a forward-looking approach to community growth and development. Objective LU-5 Support development at emerging community “centers” that lie outside the major employment centers but provide a mix of retail, service, and residential uses. Criteria 4: Public services and facilities are adequate to serve the proposed use. Findings: The subject property is accessed via a paved, State of Alaska maintained arterial road. The lot is currently serviced by City water and has private on-site septic. Additional there is access to natural gas, electricity, and telephone services. Criteria 5: The proposed use will not be harmful to the public safety, health or welfare. Findings: The proposed use is to establish and operate a Commercial Marijuana Establishment consistent of a retail marijuana store and on-site marijuana storage. CME’s are required to strictly adhere to a variety of federal laws, state statutes, and city municipal codes in regard to sales, odor emissions, health, and safety. Additionally, CME’s require the approval and issuance of a Retail Marijuana Store license from the State of Alaska Marijuana Control Board. With regard to buffer distances discussed in KMC 14.20.330(f)(1), the proposed CME would not be located within 1,000 feet of any primary or secondary school (Kindergarten – 12th grade) or within 500 feet of any vocational program, post-secondary school, including but not limited to trade, technical, or vocational schools, colleges, or universities. In addition, it would not be within 500 feet of any recreation or youth centers, correctional facilities, churches, and state licensed substance abuse treatment facilities providing substance abuse treatment. Given the multiple-agency regulations and requirements, Staff does not find that the proposed use would have a harmful impact to the public safety, health, or welfare. Criteria 6: Any and all specific conditions deemed necessary by the Commission to fulfill the above-mentioned conditions. These may include, but are not limited to, measures relative to access, screening, site development, building design, operation of the use and other similar aspects related to the proposed use. Findings: No additional or specific conditions are deemed necessary to fulfill the above- mentioned criteria. PUBLIC NOTICE Pursuant to Kenai Municipal Code 14.20.330(c) notices of the public hearing for the conditional use permit amendment to allow a retail marijuana store were mailed to property owners within a five hundred-foot (500’) periphery of the subject property or expanded until a minimum of 30 different property owners are available for notification. City staff published notice of the public hearing in the Peninsula Clarion at least seven (7) days prior to the date of the hearing. City staff submitted an Affidavit of Posting verifying a sign was placed on the parcel with information on the public hearing for the conditional use permit amendment request. Page 16 Resolution PZ2026-05 Conditional Use Permit Retail Marijuana Store Page 5 of 5 As of the date of this staff report, no public comments have been received. STAFF RECOMMENDATION Staff finds that the proposed use of a retail marijuana store on Lot 12, Block B, Beaver Creek Alaska Subdivision Amended, located at 6384 Kenai Spur Highway meets the criteria and conditions for issuance of a Conditional Use Permit as set forth in subsections (e)(1) through (e)(6) of Kenai Municipal Code (KMC) 14.20.150 and KMC 14.20.330 Standards for Commercial Marijuana Establishments, and hereby recommends that the Planning and Zoning Commission adopt Resolution PZ2026-05 approving the Conditional Use Permit, subject to the following conditions: 1. Further development of the property shall conform to all State and local regulations. 2. Prior to beginning construction, a building permit must be issued by the Building Official for the City of Kenai. 3. Prior to starting operations, a landscape/site plan must be reviewed and approved by the Planning Director. 4. Prior to operation, the applicant shall submit a copy of the approved and fully executed license from the Alaska Alcohol & Marijuana Control Board. The applicant shall comply with all regulations as stipulated by the Control Board. 5. All standards for Commercial Marijuana Establishments found in KMC 14.20.330 must be maintained. 6. Pursuant to Kenai Municipal Code Section 14.20.150(f) the applicant shall submit an annual report to the City of Kenai, due no later than December 31 of each year. 7. The applicant will meet with City Staff for on-site inspections when requested. 8. If there is a change of use for the above described property, a new Conditional Use Permit must be obtained, as stated in KMC 14.20.150(l)(5) 9. Failure to provide documentation to the City or adhere to the conditions required shall be grounds for the suspension or revocation of the Conditional Use Permit. ATTACHMENTS: Aerial Map Application Buffer Maps Page 17 Page 18 Page 19 Page 20 Page 21 Page 22 Page 23 Page 24 Page 25 Page 26 Page 27 Page 28 Page 29 1,000' Buffer Legend Transportation Mileposts Parcels and PLSS Tax Parcels 0 1000 2000 ft NOTE: Every reasonable effort has been made to ensure the accuracy of these data. However, by accepting this material, you agree that the Kenai Peninsula Borough assumes no liability of any kind arising from the use of this data. The data are provided without warranty of any kind, either expressed or implied, including but not limited to time, money or goodwill arising from the use, operation or modification of the data. In using these data, you further agree to indemnify, defend, and hold harmless Kenai Peninsula Borough for any and all liability of any nature arising from the lack of accuracy or correctness of the data, or use of the data. 3/4/2026 10:46:11 AM Page 30 MEMORANDUM TO: Planning & Zoning Commission Members THROUGH: Kevin Buettner, Planning Director FROM: Jessica See, Planning Technician DATE: March 4, 2026 SUBJECT: Discussion – Rescheduling April Planning & Zoning Commission Meetings The City Special Election is scheduled for April 14, 2026. Pursuant to KMC 6.40.020, the Canvass Board is required to meet seven days following the election to canvass the results. The April 15, 2026 regular Council meeting has been rescheduled to April 22, 2026 to allow for the Canvass Board to complete its work in accordance with City Code, and enable the Council to certify the election results the day following the canvass without delay. Rescheduling the Planning & Zoning Commission meetings in April would allow the Council to hold their meeting on the new scheduled date, thereby avoiding the conflict of overscheduling the Chambers. Page 31 February 23, 2026 – 7:30 PM Action Agenda Betty J. Glick Assembly Chambers George A. Navarre Kenai Peninsula Borough Administration Building Jeremy Brantley, Chair Sterling/Funny River Term Expires 2027 Pamela Gillham, Vice Chair Kalifornsky / Kasilof District Term Expires 2026 Virginia Morgan Cooper Landing / Hope Eastern Peninsula District Term Expires 2025 Diane Fikes City of Kenai Term Expires 2025 Paul Whitney City of Soldotna Term Expires 2027 Franco Venuti City of Homer Term Expires 2025 Vacant City of Seward Term Expires 2026 Jeffrey Epperheimer Nikiski District Term Expires 2026 Dawson Slaughter South Peninsula District Term Expires 2025 Remote participation will be available through Zoom, or other audio or video means, wherever technically feasible ZOOM MEETING DETAILS Zoom Meeting Link: https://us06web.zoom.us/j/9077142200 Zoom Toll Free Phone Numbers: 888-788-0099 or 877-853-5247 Zoom Meeting ID: 907 714 2200 A. CALL TO ORDER B. ROLL CALL C. APPROVAL OF AGENDA AND CONSENT AGENDA (Action items listed with an asterisk (*) are considered to be routine and non-controversial by the Planning Commission and will be approved by one motion. There will be no separate discussion of these items unless a Commissioner so requests, in which case the item will be removed from the Consent Agenda and considered in its normal sequence on the agenda.) ACTION ITEMS CURRENTLY ON CONSENT AGEN *7. Minutes a. February 9, 2026 Planning Commission Meeting Minutes Motion to approve the consent & regular agendas passed by unanimous vote (8-Yes) D. UNFINISHED BUSINESS – None E. NEW BUSINESS Public Hearing: Quasi-Judicial Matters - (Commission members may not receive or engage in ex-parte contact with the applicant, other parties interested in the application, or members of the public concerning the application or issues presented in the application) 1. Utility Easement Vacation; KPB File 2025-184V No Surveyor / Limacher Request: Vacates a 15' wide by approximately 640' long utility easement adjoining the south boundary of Lot 1-A and Lot 2-A, Lofty Estates Subdivision Unit 2 2014 Addition; Plat HM 2015-21 Diamond Ridge Area Motion to approve the vacation as petitioned pass by unanimous vote (8-Yes) Planning Commission Page 32 2. Conditional Use Permit; PC Resolution 2026-16 Applicant: Alaska Department of Transportation Request: Replacing a culvert & adding fill within the 50-Foot Habitat Protection District of an unnamed stream Location: MP 4 Kenai Spur Highway Ridgeway Area Motion granting approval of a conditional use permit pursuant to KPB 21.18 passed by unanimous vote (8-Yes) 3. Conditional Use Permit; PC Resolution 2026-15 Applicant: Kenai Peninsula Borough Request: Install ELP & fence for bank protection in the 50-Foot Habitat Protection District of the Kenai River Location: 514 Funny River Rd. / PIN 06034019 City of Soldotna Staff Responsible: Planner Morgan Aldridge Motion granting approval of a conditional use permit pursuant to KPB 21.18 passed by unanimous vote (8-Yes) Public Hearing: Legislative Matters 4. Ordinance 2026-07: Authorizing the Kenai Peninsula Borough to enter into a long-term lease agreement with the City of Seward for operation of a public outdoor shooting range. Staff Responsible: LMD Officer Aaron Hughes Motion to forward to the assembly a recommendation to adopt Ordinance 2026-07 passed by unanimous vote (8-Yes) 5. Ordinance 2026-06: Amending borough code section 17.10.100(F) regarding methods of disposition. Staff Responsible: LMD Officer Aaron Hughes Motion to forward to the assembly a recommendation to adopt Ordinance 2026-06 passed by unanimous vote (8-Yes) 6. Ordinance 2026-04: Amending KPB 2.56.030 to adopt the 2045 Homer Comprehensive Plan for that portion of the Borough within the boundaries of the City of Homer. Staff Responsible: Planning Director Robert Ruffner Motion to forward to the assembly a recommendation to adopt Ordinance 2026-04 passed by unanimous vote (8-Yes) F. PLAT COMMITTEE REPORT – The plat committee will review 4 plats. G. OTHER Page 33 H. PRESENTATIONS/PUBLIC COMMENTS ON ITEMS NOT APPEARING ON THE AGENDA (3 MINUTES PER SPEAKER) I. DIRECTOR’S COMMENTS J. COMMISSIONER COMMENTS K. ADJOURNMENT MISCELLANEOUS INFORMATIONAL ITEMS NEXT REGULARLY SCHEDULED PLANNING COMMISSION MEETING The next regularly scheduled Planning Commission meeting will be held Monday, March 16, 2026 in the Betty J. Glick Assembly Chambers of the Kenai Peninsula Borough George A. Navarre Administration Building, 144 North Binkley Street, Soldotna, Alaska at 7:30 p.m. CONTACT INFORMATION KENAI PENINSULA BOROUGH PLANNING DEPARTMENT Phone: 907-714-2215 / Toll free within the Borough 1-800-478-4441, extension 2215 e-mail address: planning@kpb.us website: http://www.kpb.us/planning-dept/planning-home A party of record may file an appeal of a decision of the Planning Commission in accordance with the requirements of the Kenai Peninsula Borough Code of Ordinances. An appeal must be filed with the Borough Clerk within 15 days of the notice of decision, using the proper forms, and be accompanied by the filing and records preparation fees. Vacations of rights-of-way, public areas, or public easements outside city limits cannot be made without the consent of the borough assembly. Vacations within city limits cannot be made without the consent of the city council. The assembly or city council shall have 30 calendar days from the date of approval in which to veto the planning commission decision. If no veto is received within the specified period, it shall be considered that consent was given. A denial of a vacation is a final act for which the Kenai Peninsula Borough shall give no further consideration. Upon denial, no reapplication or petition concerning the same vacation may be filed within one calendar year of the date of the final denial action except in the case where new evidence or circumstances exist that were not available or present when the original petition was filed. Page 34 Kenai City Council - Regular Meeting Page 1 of 3 March 04, 2026 Kenai City Council - Regular Meeting March 04, 2026 ꟷ 6:00 PM Kenai City Council Chambers 210 Fidalgo Avenue, Kenai, Alaska www.kenai.city **Telephonic/Virtual Information on Page 3** Action Agenda A. CALL TO ORDER 1. Pledge of Allegiance 2. Roll Call 3. Approval of the Agenda and Consent Agenda (Public comments on Consent Agenda Items limited to three (3) minutes per speaker; thirty (30) minutes aggregated) *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. B. SCHEDULED ADMINISTRATIVE REPORTS 1. Street Condition Assessment, Tyler Rossow, PE and Daniel Dahms, PE with TR Consulting Services. C. SCHEDULED PUBLIC COMMENTS (Public comments limited to ten (10) minutes per speaker; twenty (20) minutes aggregated) D. UNSCHEDULED PUBLIC COMMENTS (Public comments limited to three (3) minutes per speaker; thirty (30) minutes aggregated) E. PUBLIC HEARINGS 1. ENACTED UNANIMOUSLY. Ordinance No. 3505-2026 - Increasing Estimated Revenues and Appropriations in the General Fund – Buildings Department Computer Software, for the Purchase of Permitting Software. (Administration) 2. ENACTED UNANIMOUSLY. Ordinance No. 3506-2026 - Accepting and Appropriating a Grant from the American Library Association for the Kenai Community Library’s Participation in the Digital Pathways: Online Health Literacy Programming for Adults Initiative. (Administration) [KMC 1.15.070(d)] 1. Motion for Introduction 2. Motion for Second Reading (Requires a Unanimous Vote) 3. Motion for Enactment (Requires Five Affirmative Votes) 3. ENACTED UNANIMOUSLY. Ordinance No. 3507-2026 - Increasing Estimated Revenues and Appropriations for Consulting Services to Evaluate Natural Gas Storage Opportunities on Kenai Municipal Airport Lands. (Administration) [KMC 1.15.070(d)] 1. Motion for Introduction 2. Motion for Second Reading (Requires a Unanimous Vote) Page 35 Kenai City Council - Regular Meeting Page 2 of 3 March 04, 2026 3. Motion for Enactment (Requires Five Affirmative Votes) 4. ADOPTED UNANIMOUSLY. Resolution No. 2026-14 - Amending the City's Schedule of Rates, Charges and Fees to Allow for Reduced or Eliminated Plan Review Fees for Successive Identical Structures. (Administration) F. MINUTES 1. *Regular Meeting of February 18, 2026. (City Clerk) G. UNFINISHED BUSINESS H. NEW BUSINESS 1. *Action/Approval - Bills to be Ratified. (Administration) 2. *Action/Approval - Special Use Permit to Rainbow River Lodge Aviation, LLC for Aviation Related Activities at Kenai Municipal Airport. (Administration) 3. *Action/Approval - Approving the Grant of a Temporary Easement to the State of Alaska for the Bridge Access Road Pavement Preservation Project. (Administration) 4. *Action/Approval - Confirmation of Mayor Nomination for a Partial Term Appointment of Caroline Karpik as Student Representative to the Council on Aging Commission. (Knackstedt) 5. *Action/Approval - Non-Objection to the Transfer of Ownership of a Retail Marijuana Store from Transferor Cook Inlet Cannabis Co, LLC, to Transferee Straight Street Investments, LLC DBA East RIP - License No. 13382. 6. *Ordinance No. 3508-2026 - Accepting and Appropriating Donations to the Kenai Community Library for Library Materials, Equipment, and Programming. (Administration) 7. APPROVED UNANIMOUSLY. Action/Approval - Workplan 2026 Airport Commission. (Airport Commission) 8. APPROVED UNANIMOUSLY. Discussion/Action - Alaska Children’s Institute for the Performing Arts dba Triumvirate Theater Parking and Landscaping Matching Grant Request. (Administration) 9. APPROVED UNANIMOUSLY. Discussion/Action - Inviting Council Participation in External Auditor Evaluation Committee. (Administration) 10. RESCHEDULED FOR APRIL 22, 2026. Discussion/Action - Rescheduling the April 15, 2026 City Council Meeting. (Knackstedt) 11. SPECIAL MEETING SCHEDULED FOR MARCH 25, 2026 AT 5PM AND APRIL 8, 2026 AT 5PM. Discussion - Scheduling Council Employee Evaluations. (Knackstedt) I. COMMISSION REPORTS 1. Council on Aging Commission 2. Airport Commission 3. Parks and Recreation Commission 4. Planning and Zoning Commission 5. Beautification Commission J. REPORT OF THE MAYOR Page 36 Kenai City Council - Regular Meeting Page 3 of 3 March 04, 2026 K. ADMINISTRATION REPORTS 1. City Manager 2. City Attorney 3. City Clerk L. ADDITIONAL PUBLIC COMMENTS 1. Citizens Comments (Public comments limited to five (5) minutes per speaker) 2. Council Comments M. EXECUTIVE SESSION N. PENDING ITEMS O. ADJOURNMENT P. INFORMATION ITEMS The agenda and supporting documents are posted on the City’s website at www.kenai.city. Copies of resolutions and ordinances are available at the City Clerk’s Office or outside the Council Chamber prior to the meeting. For additional information, please contact the City Clerk at 907-283-8231. Registration is required to join the meeting remotely through Zoom. Please use the following link to register: https://us02web.zoom.us/meeting/register/l5RufdWkTKyhK2lHCamKiw Page 37