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Airport commission recommends code change on fuel fee and approves two special‑use permits
Summary
At its April 10 meeting the Kenai Airport Commission voted unanimously to recommend the City Council remove a fixed fuel flowage fee from Kenai Municipal Code and to approve two special‑use permits — one for a terminal gift shop and one for Alaska DNR Forestry apron use.
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The Kenai Airport Commission on April 10 recommended the Kenai City Council amend Kenai Municipal Code 21.050.085 to remove a fixed airport fuel flowage fee and instead refer to the city’s annually updated schedule of rates, charges and fees. The commission also approved two special‑use permits: one renewing a terminal gift shop lease with Fishing Grounds LLC and one granting the State of Alaska Division of Forestry use of 30,000 square feet of apron for loading and parking from May 1 through Aug. 30.
The change to Kenai Municipal Code 21.050.085 would remove a specific dollar amount written into the code and allow the fuel flowage charge to be set and updated in the city’s rates and fees schedule. Airport staff told the commission the code section “hadn’t been updated in a long time” and that aligning the code with the city’s annual fees schedule would keep the fee in sync with routine rate updates. The commission approved the recommendation for council by unanimous consent.
On the special‑use permit for a terminal gift shop, staff reported the operator, Fishing Grounds LLC (operator identified as Rebecca in the meeting record), has operated in the terminal for several years, proposed to continue paying 15 percent of monthly gross sales, and appeared to be a successful tenant. The commission moved and, with no objection, recommended the council approve a one‑year permit to Fishing Grounds LLC.
The commission also recommended a special‑use permit to the Alaska Department of Natural Resources, Division of Forestry, for 30,000 square feet of apron space for loading and parking, with the permit period reported as May 1 through Aug. 30. Staff noted the permit would support state firefighting operations; commissioners raised a single question about whether local construction on an adjacent lease parcel might interfere with DNR activities, and staff said the lessee still needs to submit a site plan and sign the lease.
All three items were approved by the commission by unanimous consent; the commission’s approvals are recommendations to the Kenai City Council, which must take final action on the code change and the special‑use permits.
Votes at a glance - Recommend council amend Kenai Municipal Code 21.050.085 (remove set fuel flowage fee; refer to annual rates schedule) — Commission action: recommend approve (unanimous consent). Motion moved and seconded; no roll‑call vote recorded in the transcript. Note: final council action pending. - Recommend council approve Special Use Permit — Fishing Grounds LLC (terminal gift shop), operator to continue paying 15% of monthly gross sales — Commission action: recommend approve (unanimous consent). Motion moved and seconded; no roll‑call vote recorded in the transcript. Note: permit recommended for one year. - Recommend council approve Special Use Permit — State of Alaska Division of Forestry (30,000 sq ft apron; May 1–Aug 30) — Commission action: recommend approve (unanimous consent). Motion moved and seconded; no roll‑call vote recorded in the transcript. Note: permit period and area as stated by staff.
Context: The three items were brief and approved with no recorded objections. The recommendation on the Municipal Code change is an administrative move to allow the city to manage the airport fuel charge through the annual rates schedule rather than a fixed code amount; final adoption requires City Council action.

