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2023-08-31 Work SessionKodiak Island Borough Assembly Work Session Assembly Chambers Thursday, August 31, 2023, 6:30 p.m. ________________________________________________________________________________________ Work Sessions are informal meetings of the Assembly where Assembly members review the upcoming regular meeting agenda packet and seek or receive information from staff. Although additional items not listed on the work session agenda are discussed when introduced by the Mayor, Assembly, or staff, no formal action is taken at work sessions and items that require formal Assembly action are placed on regular Assembly meeting agenda. Page 1. CITIZENS' COMMENTS 1-907-486-3231 or Toll Free 1-855-492-9202 (Limited To Three Minutes Per Speaker) 2. AGENDA ITEMS a. Discuss Department Of Motor Vehicles Taxes b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions Process Agenda Item Report - Pdf 3 - 12 c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Grant Funds To The Alaska Municipal League's Alaska Public Lands Fellowship Agenda Item Report - Pdf 13 - 34 3. PACKET REVIEW a. AWARDS AND PRESENTATIONS • Proclamation Declaring September 18-22, 2023, Adult Education And Family Literacy Week PUBLIC HEARING • Ordinance FY2023-19 Amending Kodiak Island Borough Code Section 17.175.050, Off Street Parking-Location CONTRACTS • Contract No. FY2022-26C, Change Order No. 3, Authorization For The North Star Siding And Windows Project With Wolverine Supply • Contract No. FY2023-47A, Change Order No. 1, Authorizing The Peterson Elementary Roof Replacement Project With Friend Contractors, LLC • Contract No. FY2024-08, Professional Services Agreement With Water Technology, Inc. For Kodiak High Page 1 of 46 School Pool Statement Of Work and Proposal Package Preparation based on the Prepared Evaluation • Contract No. FY2024-12, Authorize Purchase Of MicroC From Environmental Operating Solutions, Inc. RESOLUTIONS • Resolution No. FY2024-05 A Resolution Of The Kodiak Island Borough Assembly Appointing A Member To The Joint Seat On The Kodiak Fisheries Development Association’s Board Of Directors 4. MANAGER’S COMMENTS a. Borough Manager's Report 2023-08-31- Borough Manager's Report 35 - 46 5. CLERK'S COMMENTS 6. ASSEMBLY MEMBERS’ COMMENTS 7. MAYOR'S COMMENTS 8. OFFICIAL TRAVEL CALENDAR • December 6-8, AML Annual Conference, Anchorage _________________________________________________________________________ This meeting is open to the public and will be broadcast on the Borough's YouTube Channel. Meeting packets are available online. Please subscribe to get meeting notifications when meeting packets are published. For public comments, please call (907) 486-3231 or (855) 492-9202. Page 2 of 46 KODIAK ISLAND BOROUGH STAFF REPORT AUGUST 31, 2023 ASSEMBLY WORK SESSION Kodiak Island Borough SUBJECT: Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions Process ORIGINATOR: Seema Garoutte, Assessor/Interim CDD Director RECOMMENDATION: Assembly to discuss changes to KIBC 3.35.030. DISCUSSION: KIBC 3.35.030(D). In the event that a claimant fails to apply for a senior exemption as provided by AS 29.45.030(e) by January 15th of the assessment year for which the exemption is sought, the borough assembly for good cause shown may waive the claimant’s failure to make timely application for the exemption for that year and if the assembly finds good cause for the failure to make a timely filing the borough assessor shall accept the application, as if timely filed, subject to the provisions contained in AS 29.45.030(e). 1. A waiver may only be granted for the year in which an application is filed. A delay in filing an application shall be presumed to lack good cause for the delay and may be denied unless the assembly finds good cause for the delay as defined in subsection (D)(2) of this section. 2. “Good cause” shall mean extraordinary circumstances beyond the control of the applicant, including but not limited to a medical condition or disability, impaired mental capacity, family emergency, death in the family, or similar serious condition or event that substantially impaired the applicant’s ability to file a timely application. “Good cause” shall not mean late filing due to the applicant’s inadvertence, oversight, or lack of knowledge regarding the filing requirements or deadline, financial hardship, or failure to pick up or read mail or to make arrangements for an appropriate and responsible person to pick up or read mail. ALTERNATIVES: FISCAL IMPACT: OTHER INFORMATION: AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 3 of 46 .Circletheadoptedpoweryourrequest falls under. Mandatory Powers of the Assembly:o Solid Collecti on andDisposal(non-areawide/on _road 0 Education __,,0 Park s a n d Recre ation (non-areawide/outsidecities) o d Finance ,0 Econ omic Deve lo ment(non-areawide/outsidecities a Tax Assessment and Collection p) __0 Anim al C on tr ol (non- areawide/ outside cities) 0 Planning and Zoning 0 Fire andFirstResponderEmergency °Adopted Powers Of the Assembw:Medi cal Ser vic es (serviceareas) °Eme"9e“°Y Sewices P'a"‘“i“9 0 Road andConstruction(serviceareas) 0 Community Health (restricted ,Stree t L i g h ti n g (Serviceareas)areawide) T Y Assembly Member:DateSubmitted: Meeti ng Type:()W)RM It is recommended that you turn in request at least a mont h tothemeetingdaterequested.TheMayorretains discretion when to place items on theagendaperKIBC2.60.060B. Agenda Date Requested: IslandBoroughAssemblyAgendaItemReguestForm Below Are Adop ted PowersOfTheKodiakIslandBorough For Staff Use: Received date:Distributedto:MayorDPOanager Discussed at the age nda setti ng on: Approved and sched uled on:WSDate:RMDate Notes: Descript ion oftheitemyouarerequestingtohaveplacedontheagenda.Pleasesubmitoneform for each it e andsubmitanyapplicabledocumentswiththisform. ,205 0/L14Z 7/'/5f‘/LED7775/V 7’/17-/ C: \ User s \iare|| ano \ App Data \ Loca| \ Micr osoft \ Wind ows\| NetC ache \ Cont ent. Out| ook \ DTJ FKJ ZT \ Asse mb|y AgendaItem Requ est For m Rev.docx P L E FILLOUTANDRETURNTOTHECLERK Requested oftheAssembly: 5 .6 72 \;\! I AGENDA ITEM #2.b.Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P...Page 4 of 46 3.35.030 Real and personal property exempted from taxation. A. The following described properties shall be exempt from any and all taxation otherwise imposed under the foregoing sections: 1. All real and personal property belonging to the United States of America, the state of Alaska, the borough, the city of Kodiak, or any other incorporated city lying and being within the boundaries of the borough, and except for property acquired through foreclosure or by deed in lieu of foreclosure. However, a private leasehold interest in otherwise exempt properties that is created by lease, loan, contract, preferential use agreement or otherwise, and is made available to and used by a private person or private enterprise, shall be taxable to the extent of that interest pursuant to AS 29.45.030(a)(1)(A) and KIBC 3.35.020. 2. Real property or an interest in real property that is exempt from taxation under 43 U.S.C. 1620(d) (ANCSA). 3. All property used exclusively for nonprofit religious, charitable, cemetery, hospital, or educational purposes is exempt from taxation for the calendar year in which application is timely filed if the assessor determines that the application demonstrates the property qualifies for exemption as provided by AS 29.45.030. Property used exclusively for religious purposes means that property described in AS 29.45.030(b). Property described in this section from which income is derived is exempt only if that income is solely from the use of the property by nonprofit religious, charitable, hospital, or educational groups. If used by nonprofit educational groups, the property is exempt only if used exclusively for classroom space. Unimproved or vacant real property of any such organization which is not currently used for religious, hospital, educational, cemetery, or charitable purposes shall be deemed to be property held or used for profit, unless by deed restriction or otherwise the real property has been effectually dedicated to future use for religious, educational, or charitable purposes only and cannot be sold or used for any other purposes. Any vacant land which initially qualifies for an exemption under this section, and for which an application is filed, but is not placed in use within two years of January 1st of the first tax year, shall be subject to taxation in each tax year, retroactive to the first tax year for which the exemption was granted. a. To qualify for an exemption under this subsection (A)(3), the applicant organization shall provide the following information to the assessor or designee to support a determination of exempt status: i. The articles of incorporation. ii. Documentation to support the organization’s not-for-profit status (e.g., IRS Section 501(c)(3) determination letter, or equivalent). iii. A description of the property’s use, demonstrating its consistency with the requested exemption. iv. Contracts of any type that describe or memorialize the use of the property by a person or entity other than the applicant organization. Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 1 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 5 of 46 v. A description of any remuneration received by the applicant organization including: (A) Any property, or portion of property, from which rentals or income are derived. (B) Actual operating expenses, excluding debt service or depreciation. (C) Where property is leased by the organization to other entities, financial statements for the past tax year, including income and expense reports, and a description of any debt service or depreciation reported in the financial statements for the property. vi. For property used for an educational purpose, a description of course curriculum and classroom space. vii. For property used as a religious residence, a description of the resident’s ordination, commission, or license (according to the standards of the religious organization), and proof of the resident’s employment by the religious organization as its spiritual leader. b. The borough assessor may request additional information prior to making a determination, as reasonably necessary, to determine the exempt status of a property in accordance with borough code and regulations and state law. 4. Any vacant land which initially qualifies for an exemption under this section, but which is not placed in use within two years from January 1st of the first tax year, for which an application is filed, shall be subject to taxation in each tax year, retroactive to the first tax year for which the exemption was granted. a. No single organization shall receive more than two exempt vacant parcels, and the exemption for any one parcel shall not exceed the average assessed value of a single, similarly zoned property, as determined by the assessor on an annual basis. 5. The property of any organization which is not organized for business purposes and whose membership is composed entirely of veterans of any wars of the United States, as recognized and chartered by the Congress of the United States, and the property of the auxiliary of any such organization. Property of any such veteran’s organization or auxiliary from which the organization derives any rentals or profits shall not be exempt. 6. As described in AS 29.45.030(e), the first $150,000 of assessed value of the real property owned and occupied as the primary residence and permanent place of abode by: a. A resident 65 years of age or older; b. A disabled veteran; or c. A resident at least 60 years old who is the widow or widower of a person who has previously qualified for an exemption for the same residence under subsection (A)(6)(a) or (b) of this section, and who jointly owned or occupied the residence with the requestor. 7. Definitions. For purposes of subsection (A)(6) of this section only, the following words are defined as: Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 2 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 6 of 46 “Disabled veteran” shall mean a disabled person separated from the military service of the United States under a condition that is not dishonorable who is a resident of the state, whose disability was incurred or aggravated in the line of duty in the military service of the United States, and whose disability has been rated as 50 percent or more by the branch of service in which that person served or by the United States Department of Veterans Affairs. “Primary residence and permanent place of abode” shall mean a dwelling which is owned by and in which the person resides at least 185 days in the year prior to the exemption year and, when absent, the dwelling is not leased or rented to another. “Resident” shall mean a person who has a fixed habitation in the Kodiak Island Borough for at least 185 days per calendar year, and when absent, intends to return to the borough and does not claim residency outside the borough or claim a resident exemption in another state or country, or other borough of Alaska or take action or is absent under circumstances inconsistent with the intent to remain and make a home indefinitely in the borough. “Widow or widower” shall mean the surviving un-remarried spouse. B. To be eligible for any exemption set forth in AS 29.45.030(e), the individual applying for the exemption must also meet at least one of the two following requirements: 1. The individual shall be eligible for a permanent fund dividend under AS 43.23.005 for the year for which an exemption is requested; or 2. If the individual has not applied or does not apply for the permanent fund dividend, the individual would have been eligible for the permanent fund dividend for that same year had the individual applied. To meet this requirement, the applicant must provide adequate documentation to the assessor that they meet this qualification based on the requirements of AS 43.23.005. C. Only one exemption may be granted for the same property. If two or more persons are eligible for an exemption under this subsection in regard to the same property, then the parties shall decide between or among themselves who is to receive the benefit of the exemption. D. In the event that a claimant fails to apply for a senior exemption as provided by AS 29.45.030(e) by January 15th of the assessment year for which the exemption is sought, the borough assembly for good cause shown may waive the claimant’s failure to make timely application for the exemption for that year and if the assembly finds good cause for the failure to make a timely filing the borough assessor shall accept the application, as if timely filed, subject to the provisions contained in AS 29.45.030(e). 1. A waiver may only be granted for the year in which an application is filed. A delay in filing an application shall be presumed to lack good cause for the delay and may be denied unless the assembly finds good cause for the delay as defined in subsection (D)(2) of this section. 2. “Good cause” shall mean extraordinary circumstances beyond the control of the applicant, including but not limited to a medical condition or disability, impaired mental capacity, family emergency, death in the Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 3 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 7 of 46 family, or similar serious condition or event that substantially impaired the applicant’s ability to file a timely application. “Good cause” shall not mean late filing due to the applicant’s inadvertence, oversight, or lack of knowledge regarding the filing requirements or deadline, financial hardship, or failure to pick up or read mail or to make arrangements for an appropriate and responsible person to pick up or read mail. E. Applications for Exemptions. The borough assessor shall grant or deny all applications for exemptions, except for community purpose exemptions, which must be granted by the borough assembly. 1. Strict Enforcement of Deadlines to File an Exemption Application and Annual Certification. a. Properties qualifying for an exemption under this section must be owned and in use on January 1st of the applicable tax year. There shall be no proration of taxes under this section. b. Written application for real property exemptions under this section, including any required supporting documentation, must be received by the assessor no later than January 15th of the tax year in which the exemption is requested. c. Once an exemption based upon the use of the property has been approved, the assessor will review the subject property’s exempt status annually, and may require the exempt party to provide annual certification that the exempt use of the property remains consistent with the use described and approved in the original application. Senior and disabled veteran exemptions must be reapplied for on or before January 15th and reviewed by the assessor annually. d. Reapplication for the exemption shall be required upon any change in the ownership or use of the property, and shall meet the deadlines prescribed under this chapter. e. The deadline for filing an application for exemption, filing a reapplication if necessary, requesting an administrative review from the assessor, and filing an appeal to court shall be strictly enforced and shall not be waived except as provided by subsection D of this section. f. If the assessor determines that a property is not eligible for an exemption, all taxes, penalty, and interest due for all tax years, beginning with the first year that the property should have been subject to taxation, shall become due and owing. g. No exemption shall be available under this section if, by the determination of the assessor, the subject property has been conveyed to the applicant for the primary purpose of obtaining the exemption. F. The private interests, other than fee simple record ownership, in real property of an individual residing in the property if the property has been developed, improved, or acquired with federal funds for the provision of low- income housing, and is owned or managed as low-income housing by either the Alaska State Housing Authority pursuant to AS 18.55.100 through 18.55.960 or a regional housing authority formed under AS 18.55.996. This section does not prohibit the borough from continuing to receive payments in lieu of taxes authorized under federal law. This section applies only to those low-income housing units in existence prior to January 1, 1989, Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 4 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 8 of 46 hence, any new projects, real property acquisitions, and additions to the existing properties after January 1, 1989, shall require an ordinance of the assembly prior to the granting of an exemption under this section. G. Administrative Review for All Exemptions Except Community Purpose. 1. If the assessor, after review of the application for exemption, determines that the property does not qualify for the exemption, the assessor will notify the applicant in writing denying the exemption and providing the reasons for the assessor’s decision. 2. The owner of record may request a formal review meeting with the assessor within 30 days of the date of the assessor’s letter denying the exemption. a. The assessor will notify the owner of record with the date of the meeting. b. The owner of record may present additional documentation and other evidence supporting their claim of exemption at the review meeting for consideration by the assessor. c. The assessor, within 30 days of the meeting, will issue a letter with their final determination. d. The assessor’s final determination after a review meeting is a final administrative decision on the exemption and can be appealed as provided in subsection H of this section. 3. Community purpose exemptions are reviewed in accordance with subsection (I)(7) of this section. H. Judicial Review of the Assessor’s Denial of an Exemption under AS 29.45.030. 1. Having exhausted the administrative review, only the owner of record may appeal a decision by the assessor to deny an exemption under this section, and must be made to the Superior Court, Third Judicial District, State of Alaska, in accordance with Alaska Rule of Appellate Procedure 602 and AS 29.45.200(c). 2. An appeal of the assessor’s denial of an application for exemption under this code must be filed within 30 days of the assessor’s denial. 3. For purposes of computing time, the date that the assessor’s written denial was mailed shall be deemed the date of the denial. I. The property of an organization not organized for business or profit-making purposes, which is used exclusively for community purpose activities, may be exempted from taxation by the borough assembly under this section as allowed under AS 29.45.050(a)(1)(A). In order to qualify for a community purpose exemption: 1. The property must be dedicated for use by the general public, must provide a benefit to the community as a whole, and any income derived from rental of the property must not exceed the actual cost to the owner of the use by the renter. 2. Any entity requesting a community purpose property tax exemption pursuant to this chapter must include with its initial application certified copies of its most recent Return of Organization Exempt from Income Tax Return (Form 990) and Federal Unrelated Business Income Tax Return (Form 990T, or any other Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 5 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 9 of 46 equivalent forms that may be adopted by the federal government). If a tax exemption is granted to the applicant organization, it must thereafter submit to the borough, within 30 days of the required filing date with the Internal Revenue Service, exact copies of its Return of Organization Exempt from Income Tax Return (Form 990) and Federal Unrelated Business Income Tax Return (Form 990T). 3. The borough assembly may by ordinance grant tax exemptions for community purpose property if the application meets state law requirements (AS 29.45.050(b)(1)(A)) and the assembly determines that there is a direct and substantial benefit to the borough from the applicant’s property use. The assembly, in determining whether to grant an exemption and the amount of exemption to be granted, may consider various factors including, but not limited to, whether: a. The property is open to public use regardless of sex, race, creed, color, or national origin; b. The applicant organization is qualified as an exempt organization under Section 501(c)(3) of the Internal Revenue Code, as amended from time to time; c. No part of the net earnings of the applicant inures to the benefit of any private entity or individual; d. There is no evidence of a dominant financial motive such as excessive charges, excessive employee compensation, or income that exceeds operating expenses and any rental income does not exceed the actual cost to the owner of the use by the renter; e. There is no evidence that the property is being used to financially benefit any officer, trustee, director, shareholder, member, or contributor of the applicant; f. The property is used for the actual operation of the community activity and does not exceed an amount of property reasonably necessary for the accomplishment of the community activity; g. The fees and charges for the use of such property and facilities thereon do not effectively deny to a significant portion of the borough the privileges and benefits provided by such property; h. The applicant organization is governed by a volunteer board of directors; i. Whether and to what extent a tax exemption is necessary to provide the community benefit; j. The organization’s property is used exclusively for community purposes; k. The existence of substantially similar community benefits through other public or private entities; and l. The degree to which the organization’s use of the property impacts the quality of life of borough residents. 4. The assessor shall act as the administrator for community purpose exemption applications gathering the necessary information and making recommendations to the assembly. Also, the assessor may periodically require such information as is reasonably necessary to determine the character of the organization and the Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 6 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 10 of 46 nature of uses made for the continuation of the exemption provided in this section. This includes, but is not limited to: a. The applicant organization’s certificate of incorporation. b. Documentation to support the organization’s not-for-profit status (i.e., IRS Section 501(c)(3) determination letter, or equivalent). c. A description of the use of the property and consistency with the requested exemption. d. Contracts of any type that describe or memorialize use of the property by a person or entity other than the applicant organization. e. A description of any remuneration received by the applicant organization including: i. Any property, or portion of property, from which rentals or income are derived. ii. Actual operating expenses, excluding only debt service or depreciation. iii. Financial statements for the past tax year including a copy of Form 990 as filed with the IRS, income and expense reports, and description of any debt service or depreciation included in the financial statements for the property. 5. Under this subsection, there shall be no proration of taxes for exemptions. Properties qualifying for an exemption shall be in use under the exempt purpose as of January 1st of the year for which the exemption is granted. 6. The borough assessor may request additional information prior to the determination, as reasonably necessary, to determine the exempt status of a property in accordance with borough code and regulations and Alaska law. 7. Administrative Review of Denial for Continuation of a Community Purpose Exemption by the Assessor. a. If the assessor denies an application for the continuance of an exemption under this section, the assessor shall state the reason for the denial in a written notice to the owner of record. b. A denial by the assessor under this section may be appealed to the borough assembly by means of a written request from the owner of record, which must be received by the borough clerk no later than 30 days after the date of denial. c. Only an owner of record may request the administrative review of the assessor’s decision to deny the continuance of an exemption. d. For the purposes of computing time for the purposes of an appeal under this section, the date that the assessor’s written notice of denial was mailed shall be deemed the date of the denial. The date of receipt by the borough clerk shall be the date of the request for administrative review. Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 7 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 11 of 46 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. Disclaimer: The borough clerk’s office has the official version of the Kodiak Island Borough Code. Users should contact the borough clerk’s office for ordinances passed subsequent to the ordinance cited above. Borough Website: www.kodiakak.us Borough Telephone: (907) 486-9300 Hosted by Code Publishing Company, A General Code Company. e. As this is an optional exemption pursuant to AS 29.45.050, the borough assembly shall have the final determination of granting a continuance of the exemption. 8. Pursuant to the process in subsection (I)(3) of this section, the property owned by the following organizations shall be exempt from real and personal property taxation under this section: a. The Kodiak Island Sportsman’s Association; b. The Kodiak Senior Center; c. The Kodiak Rodeo and State Fair Association; d. The Kodiak Chamber of Commerce; and e. The Kodiak Island Convention and Visitors Bureau. [Ord. FY2022-12 §2, 2022; Ord. FY2022-06 §2, 2021; Ord. FY2020-04 §2, 2019; Ord. FY2014-10 §4, 2014; Ord. 77-38-O §1, 1977; Ord. 72-27-O §1, 1973; Ord. 69-36-O, 1969; prior code Ch. 3 subch. 1 §3. Formerly §3.20.030]. Ch. 3.35 Real Property Tax | Kodiak Island Borough Code Page 8 of 8 The Kodiak Island Borough Code is current through Ordinance FY2024-02, and legislation passed through June 15, 2023. AGENDA ITEM #2.b. Discuss Changes To The Senior Tax And Disabled Veterans Tax Exemptions P... Page 12 of 46 KODIAK ISLAND BOROUGH STAFF REPORT AUGUST 31, 2023 ASSEMBLY WORK SESSION Kodiak Island Borough SUBJECT: Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Grant Funds To The Alaska Municipal League's Alaska Public Lands Fellowship ORIGINATOR: Nova M. Javier, MMC, Borough Clerk RECOMMENDATION: Assembly to discuss this grant request. DISCUSSION: Please see attached memo from the Alaska Municipal League regarding their request. ALTERNATIVES: FISCAL IMPACT: OTHER INFORMATION: AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 13 of 46 Invoice 12:1 6/1/2023 05313935 BillTo Kodiak Island Borough 710 Mill Bay Road Kodiak,AK 99615 AML Annual Member Dues FY24 11,030.44 11,030.44 Public Lands Resource Center -$47,871.73 (Special Assessment:See letter for further details) Invoice total including PLRC =$58,902.17 $1 l ,030.44 Alaska M u ni ci p al League One Seal aska Plaz a, Suite302 AK 9980 1- 1296 AGENDA ITEM #2.c.Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran...Page 14 of 46 FY24 AML Membership Notice and Member Update Thank you so much for being a member of the Alaska Municipal League.We know that we are stronger together,and that your membership means not just benefits that you have available but a more united front to advocate for benefits to local governments. That advocacy this past few years has been critical,and together we have seen improvements to the State budget and been able to advance beneficial legislation.We don't win ‘em all,but AML is an effective voice for cities and boroughs in Alaska.Your membership and participation makes that happen. Beyond that advocacy,though,AML has grown in significant ways.Our board remains committed to an organization that is delivering services to members,and to making the most of federal investment that's available for Alaska communities. We're doing so much right now that is directly benefiting our members,and improving conditions in Alaska.That includes increased outreach and communication,providing technical assistance for grant opportunities,and adding grant writing to our services.AML is currently participating in or will contribute to State planning efforts that include: 0 State Energy Security Task Force State and Local Cybersecurity Plan Digital Equity Plan Broadband Deployment Plan Sustainable energy planning Best practice scoring Watch for new activities in FY24—we'll be: 0 more active in supporting members with their water and sewer projects; 0 working with state agencies on energy development and planning;and 0 expanding our broadband support and cybersecurity program. A lot of these programs are funded through contracts and grants,which means that we're able to do more while keeping your dues stable. This year's dues haven't experienced much change,apart from any population increases ordecreasesyou've had.They do have a little different look,rolling participation in our nationalpartnersatNLCandNACointothebase,and splitting out ACoM (mayors)and AMMA(managers or administrators)membership so that it's more clear that these are optional.AMMA and ACoM are important partners,similar to our other Affiliates,but membership duesarecollectedaspartofAML's annual process.Your membership ensures that you are able totakeanactiveroleineachbody,including and especially to vote on decisions they make.If you o .A L AS K A ONESEALASKAPLAZA,SUITE302JUNEAU,ALASKA99801 O N|PALTEL(907)586-1325FAX(907)463-5480WWW.AKML.ORG. Me mb er oftheNationalLeagueofCitiesandtheNationalAssociationofCounties AGENDA ITEM #2.c.Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran...Page 15 of 46 do wish to participate and pay your memberships to either (or both),th e n ple ase indicateso below,complete the separate registration form,and add this to the inv oic e tota l andamount remitted: El $200.00 -Alaska Municipal Managers Association El $100.00 -Alaska Conference of Mayors (ACoM) AML services remain active,and we're glad that so many members are inour investment pool at AMLIP,have joined the online sales tax program wh ere weexpecttocollect more than $20 million for members this year,and our health trust is sta ble andbenefiti ngcurrentparticipants.We're also providing finance and administrative su pp or t toanumberof members through our Alaska Municipal Financial Solutions program.As keepinmind that your membership is a requirement of participation in AMUIA,too.globalfactorsare driving property insurance rates higher,we know how hard the team th er e isworki ng to stabilize things for members. Sometimes the biggest benefit of membership is us just being a phone oremailaway,and being able to talk through issues with our strong team,here to serve yo u. T h at teamhasgrown recently to include a stakeholder engagement manager and communicat ion man ager. Thank you for your support of and membership in the Alaska Municipal We continuously strive to be at the forefront of issues impacting Alaska's ci ti es andborough s, while serving as a resource,counsel,and voice on topics that matter to you. With best regards, Nils Exec utive Direc tor AGENDA ITEM #2.c.Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran...Page 16 of 46 Our partners at the National Association of Counties (NACo)—which all Alaska boroughs are members of-have launched a public lands resource center that will improve our collective ability to work through federal land management issues.Counties across the U.S.are contributing a portion of their Local Assistance and Tribal Consistency Funds (LATCF),an additional ARPA provision that distributed funding to public lands counties. The AML board of directors approved a special assessment with the same intent,and encourage borough members to consider contributing to this important activity.This special assessment is allowed within AM L's bylaws,as part of AML’sdues process. For boroughs that received LATCF,we have indicated below the recommended (based on NACo’srequest)amount that we hope you'll contribute.These funds will go into endowment managed by NACo,which will ensure that their benefits are felt for years to come.Please indicate the amount that you will contribute to this effort. You can -and we have invited all AML members to —choose (instead,or at the same time)to make this contribution directly to AML so that we can be a better partner on public lands issues more broadly.Funding to AML with this designation will be put aside to fund research fellows and analysis that is specific to Alaska.This will enable us,too,to work more closely with NACo to articulate Alaska's unique issues. Public lands are so incredibly important to Alaska.We know that Alaska is unique.AML’sboard is committed to identifying needs and solutions that help to navigate this challenging issue. Additional,base levels of funding at AML and NACo will help make this easier. Please complete the following: We commit the entire 1%of our LATCFfunds,to be disbursed in a (circle one)lump sum or divided over the next two fiscal years. We commit (alternative %of$amount)of these or other funds,to be disbursed in a (circle one)lump sum or over the next two fiscal years. We did not receive LATCFbut will contribute ($amount)of other funds, including potentially ARPA funds,to this effort,to be disbursed in a (circle one)lump sum,or annually over the next __years. Additionally,indicate:I would like 100%of my funds to go to NACo Public Lands Resource Center.I would like 100%of my funds to go to AML’sAlaska Public Lands Fellowship.I would like to split my contribution between AML and NACo.*No funds will be used for lobbying purposes. O '.A L A S ONESEALASKAPLAZA,SUITE302JUNEAU,ALASKA99301.M |C]PALTEL(907)586-1325FAX(907)463-5480WWW.AKML.ORG.‘ L E Me mbe r oftheNationalLeagueofCitiesandtheNationalAssociationofCounties AGENDA ITEM #2.c.Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran...Page 17 of 46 Ordinance No. FY2024-01B Page 1 of 2 KODIAK ISLAND BOROUGH 1 ORDINANCE NO. FY2024-01B 2 3 AN ORDINANCE OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH AMENDING 4 ORDINANCE NO. FY2024-01, FISCAL YEAR 2024 BUDGET, BY AMENDING BUDGETS TO 5 APPROPRIATE LOCAL ASSISTANCE AND TRIBAL CONSISTENCY FUNDS (LATCF) 6 GRANT FUNDS IN THE AMOUNT OF $47,871.73 TO THE ALASKA MUNICIPAL LEAGUE’S 7 ALASKA PUBLIC LANDS FELLOWSHIP 8 9 WHEREAS, the Kodiak Island Borough has been deemed eligible by the US Department of the 10 Treasury for American Rescue Plan Act – Local Assistance and Tribal Consistency Fund (LATCF) 11 Funds in the amount of $4,787,173.04; and 12 13 WHEREAS, the purpose of the LATCF program is to serve as 14 a general revenue enhancement program and is designed, in part, to supplement existing 15 federal programs that augment and stabilize revenues for these communities; and 16 17 WHEREAS, Kodiak Island Borough Code 3.25.040(A) calls for grants received which are not 18 identifiable to a specific fund or group of accounts to be deposited in the general fund; and 19 20 WHEREAS, the funds accepted under the LATCF grant will require a subsequent ordinance 21 appropriating the funds before they may be expended; and 22 23 WHEREAS, the Kodiak Island Borough wishes to partner with the Alaska Municipal League 24 (AML) to address public lands issues through the AML’s Alaska Public Lands Fellowship by 25 committing 1% of the LATCF funds, to be disbursed in a [lump sum] or [divided over the next 26 low fiscal years]. 27 28 NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KODIAK ISLAND 29 BOROUGH that: 30 31 Section 1: This ordinance is not of a general and permanent nature and shall not become a part 32 of the Kodiak Island Borough Code of Ordinances. 33 34 Section 2: The following budget amendments are made and supplemental appropriations are 35 approved. 36 37 Transfer Appropriations 38 Fund – Department Transferring Out Fund – Department/Project Transferring in Transfer Amount $47,871.73 39 40 AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 18 of 46 Ordinance No. FY2024-01B Page 2 of 2 Effective Date: This ordinance takes effect upon adoption. 41 42 ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH 43 THIS _____ DAY OF_________________, 2023 44 45 KODIAK ISLAND BOROUGH 46 47 ATTEST: 48 ___________________________ 49 Scott Arndt, Borough Mayor ______________________________ 50 Nova M. Javier, MMC, Borough Clerk 51 52 Introduced by: Mayor and Assembly 53 First reading: 54 Second reading/public hearing: 55 56 VOTES: 57 Ayes: 58 Noes: 59 60 61 62 AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 19 of 46 KODIAK ISLAND BOROUGH STAFF REPORT DECEMBER 1, 2022 ASSEMBLY REGULAR MEETING Kodiak Island Borough SUBJECT: Resolution No. FY2023-17 Authorizing The Manager To Apply For And Accept The Local Assistance And Tribal Consistency Fund (LATCF) Grant, A Part Of The American Rescue Plan Act (ARPA), For The Benefit Of The Residents Of The Kodiak Island Borough And To Deposit The Funds In The General Fund For Future Appropriation ORIGINATOR: Dora Cross, Finance Director RECOMMENDATION: Move to adopt Resolution No. FY2023-17. DISCUSSION: Section 605(b) of the Social Security Act, as added by Section 9901 of the American Rescue Plan Act (ARPA) established the Local Assistance and Tribal Consistency Fund (LATCF). This fund provides a total of $2 billion for Treasury to make payments to eligible revenue sharing counties and eligible Tribal governments. Of that $2 billion, eligible counties are allotted $1.5 billion to be paid out over two years and Tribal governments are allotted $500 million to be paid out over two years. The Borough is eligible to receive $4,787,173 of the Local Assistance and Tribal Consistency Fund (LATCF) which will be paid in two equal, annual tranches of $2,393,586. The deadline to apply for the funding is January 31, 2023. The purpose of the LATCF program is to serve as a general revenue enhancement program and is designed, in part, to supplement existing federal programs that augment and stabilize revenues for these communities. The payment formula is based on federal acreage within each unit of local government, as defined by the Payments in Lieu of Tax (PILT) program and the Refuge Revenue Sharing program under the U.S. Fish and Wildlife Service. Other factors in the formula include population, historic poverty levels, household income, land values and unemployment rates, as well as other economic indicators, over a 20-year period. This program allows a broad use of funds and recipients may use these funds on any governmental purpose other than lobbying activities. A non-exhaustive list of example activities that fulfill a governmental purpose include, but are not limited to: •Provision of health services; •Capital expenditures on core facilities and equipment; •Infrastructure investments; •Long-term economic development; •General government operations; •Meeting another federal program's non-federal match or cost-sharing requirement. Funds are available to recipients until expended or returned to Treasury. ALTERNATIVES: Not apply for the $4,787,173 LATCF grant. AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 20 of 46 KODIAK ISLAND BOROUGH STAFF REPORT DECEMBER 1, 2022 ASSEMBLY REGULAR MEETING Kodiak Island Borough FISCAL IMPACT: None. OTHER INFORMATION: 3.25.040 ACCEPTANCE AND APPROPRIATION OF GRANT FUNDS A. The assembly is authorized to accept grants from the federal government, state government, or other source. All such grants shall become part of a specific fund or group of accounts if readily identifiable to such specific fund or group of accounts. All other such funds shall be deemed initially part of the general fund or unappropriated fund balance of the borough. C. Grant funds which are unlimited as to use, or subject only to general limitations, shall be appropriated by ordinance, which shall include an appropriate budget amendment. AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 21 of 46 Kodiak Island Borough, Alaska Resolution No. FY2023-17 Page 1 of 2 Introduced by: Borough Manager 1 Drafted by: Finance Director 2 Introduced on: 12/01/2022 3 Adopted on: 12/01/2022 4 5 KODIAK ISLAND BOROUGH 6 RESOLUTION NO. FY2023-17 7 8 A RESOLUTION OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH AUTHORIZING 9 THE MANAGER TO APPLY FOR AND ACCEPT THE LOCAL ASSISTANCE AND TRIBAL 10 CONSISTENCY FUND (LATCF) GRANT, A PART OF THE AMERICAN RESCUE PLAN 11 (ARPA), FOR THE BENEFIT OF THE RESIDENTS OF THE BOROUGH AND TO DEPOSIT 12 THE FUNDS IN THE GENERAL FUND FOR FUTURE APROPRIATION 13 14 WHEREAS, the Kodiak Island Borough has been deemed eligible by the US Department of the 15 Treasury for American Rescue Plan Act – Local Assistance and Tribal Consistency Fund (LATCF) 16 Funds in the amount of $4,787,173.04 to be paid in two tranches over two years; and 17 18 WHEREAS, the purpose of the LATCF program is to serve as 19 a general revenue enhancement program and is designed, in part, to supplement existing 20 federal programs that augment and stabilize revenues for these communities; and 21 22 WHEREAS, Kodiak Island Borough Code 3.25.040(A) calls for grants received which are not 23 identifiable to a specific fund or group of accounts to be deposited in the general fund; and 24 25 WHEREAS, the Assembly finds that the LATCF grant funds which are subject to general 26 limitations, and that Kodiak Island Borough Code 3.25.040(C) provides that grants funds received 27 which are subject to only general limitations must be appropriated by ordinance with an 28 appropriate budget amendment; and 29 30 WHEREAS, the funds accepted under the LATCF grant will require a subsequent ordinance 31 appropriating the funds before they may be expended. 32 33 NOW, THEREFORE, BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND 34 BOROUGH that: 35 36 Section 1: The Interim Borough Manager is authorized to execute the application for the LATCF 37 grant, to accept the funds if awarded, and deposit them in the general fund for future 38 appropriation. 39 40 ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH 41 THIS FIRST DAY OF DECEMBER 2022. 42 43 44 45 46 AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 22 of 46 Kodiak Island Borough, Alaska Resolution No. FY2023-17 Page 2 of 2 47 VOTES: 48 Ayes: Griffin, LeDoux, Smiley, Smith, Turner 49 Noes: None 50 Absent: Arndt Delgado 51 52 AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 23 of 46 State Recipient Name FY22 Allocation FY23 Allocation Alabama Montgomery County $50,000.00 $50,000.00 Alabama Morgan County $50,000.00 $50,000.00 Alabama Perry County $130,842.51 $130,842.51 Alabama Pickens County $50,000.00 $50,000.00 Alabama Randolph County $50,000.00 $50,000.00 Alabama Russell County $50,000.00 $50,000.00 Alabama Shelby County $50,000.00 $50,000.00 Alabama St. Clair County $50,000.00 $50,000.00 Alabama Sumter County $50,000.00 $50,000.00 Alabama Talladega County $148,371.84 $148,371.84 Alabama Tallapoosa County $50,000.00 $50,000.00 Alabama Tuscaloosa County $50,000.00 $50,000.00 Alabama Washington County $50,000.00 $50,000.00 Alabama Wilcox County $50,000.00 $50,000.00 Alabama Winston County $359,974.77 $359,974.77 Alaska Aleutians East Borough $1,019,400.00 $1,019,400.00 Alaska Bristol Bay Borough $100,924.22 $100,924.22 Alaska Denali Borough $477,900.00 $477,900.00 Alaska Fairbanks North Star Borough $133,243.91 $133,243.91 Alaska Haines Borough $621,300.00 $621,300.00 Alaska Kenai Peninsula Borough $6,000,000.00 $6,000,000.00 Alaska Ketchikan Gateway Borough $4,126,200.00 $4,126,200.00 Alaska Kodiak Island Borough $2,393,586.52 $2,393,586.52 Alaska Lake and Peninsula Borough $424,800.00 $424,800.00 Alaska Matanuska-Susitna Borough $4,775,813.21 $4,775,813.21 Alaska North Slope Borough $3,291,600.00 $3,291,600.00 Alaska Northwest Arctic Borough $2,268,000.00 $2,268,000.00 Alaska Petersburg Borough $1,006,800.00 $1,006,800.00 Alaska Skagway Municipality $153,937.59 $153,937.59 Alaska Yakutat City and Borough $211,200.00 $211,200.00 Arizona Apache County $2,768,994.92 $2,768,994.92 Arizona Cochise County $2,899,348.66 $2,899,348.66 Arizona Coconino County $6,000,000.00 $6,000,000.00 Arizona Gila County $6,000,000.00 $6,000,000.00 Arizona Graham County $3,516,331.15 $3,516,331.15 AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 24 of 46 1 GUIDANCE FOR THE LOCAL ASSISTANCE AND TRIBAL CONSISTENCY FUND U.S. Department of the Treasury July 2022 INTRODUCTION The U.S. Department of the Treasury (Treasury) is issuing this guidance regarding the Local Assistance and Tribal Consistency Fund (LATCF), established by Section 605 of the Social Security Act, as added by Section 9901 of the American Rescue Plan Act of 2021 (American Rescue Plan). This guidance provides a summary of the structure and terms of the program, including information about eligible uses of funds, program administration, and other requirements under the LATCF program. This guidance may be updated, revised, or modified, and Treasury may waive these standards to the extent permitted by law. The American Rescue Plan appropriated $2 billion to Treasury across fiscal years 2022 and 2023 to provide payments to eligible revenue sharing counties and eligible Tribal governments for use on any governmental purpose except for a lobbying activity. Eligible recipients must submit a request for funding in the Treasury Submission Portal to receive their payments, and further instructions can be found on the Treasury website. There is no pre-approval process for projects funded by the program. Recipients must submit periodic reports to Treasury on their expenditures. The purpose of the LATCF program is to serve as a general revenue enhancement program. Many eligible revenue sharing counties and eligible Tribal governments have historically experienced fluctuations in their revenues, and this program is designed, in part, to supplement existing federal programs that augment and stabilize revenues for these communities. In providing support to these communities, allocations under this program consider the economic conditions of recipients. Under this program, recipients have broad discretion on uses of funds, similar to the ways in which they may use funds generated from their own local revenue sources. Specifically, recipients may use these funds on any governmental purpose other than a lobbying activity. Recipients may maintain or expand public services – such as health, educational, housing, and public safety services – to their communities with these funds. Recipients may also invest in infrastructure – from roads and bridges to water infrastructure – to facilitate economic development, improve health outcomes, or transition their communities to clean energy. Recipients may also invest in restoring and bolstering government capacity, such as increasing the size of their government workforce or investing in improvements in service delivery, like technology infrastructure and data analysis resources, that will improve delivery of services to their communities for years to come. AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 25 of 46 2 I. PROGRAMMATIC TERMS OF THE ASSISTANCE This section describes the programmatic terms of the program, including key information on eligible applicants, allocations, eligible and ineligible uses of funds, eligible and ineligible costs, and the availability of funds. Recipients are subject to the terms of the award agreement that they must enter into in order to receive funding. A. ELIGIBLE APPLICANTS The American Rescue Plan identifies eligible revenue sharing counties and eligible Tribal governments as the governments eligible to request payment of their allocation of the program and defines eligibility as follows: • An eligible revenue sharing county is a county, parish, or borough that is independent of any other unit of local government; and that, as determined by the Secretary of the Treasury, is the principal provider of government services for the area within its jurisdiction; and for which, as determined by the Secretary, there is a negative revenue impact due to implementation of a Federal program or changes to such program. In addition, the District of Columbia, the Commonwealth of Puerto Rico, Guam, and the United States Virgin Islands are eligible revenue sharing counties. • An eligible Tribal government is the recognized governing body of any Indian or Alaska Native tribe, band, nation, pueblo, village, community, component band, or component reservation, individually identified (including parenthetically) in the list published most recently as of the date of enactment of the American Rescue Plan pursuant to section 104 of the Federally Recognized Indian Tribe List Act of 1994 (25 U.S.C. 1531). B. ALLOCATIONS Section 605(b) provides for a total of $2 billion for Treasury to make payments to eligible revenue sharing counties and eligible Tribal governments over fiscal years 2022 and 2023. The provision directs the Secretary to reserve $750 million to allocate and pay to eligible revenue sharing counties for each of fiscal years 2022 and 2023, taking into account economic conditions of each eligible revenue sharing county, using measurements of poverty rates, household income, land values, and unemployment rates, as well as other economic indicators, over the 20-year period ending with September 30, 2021. Separately, the provision directs the Secretary to reserve $250 million to allocate and pay to eligible Tribal governments for each of fiscal years 2022 and 2023, taking into account economic conditions of each eligible Tribe. Eligible Tribal governments may log in to the Treasury Submission Portal to review their specific allocations under the program. Eligible revenue sharing counties may review their allocations on the Treasury website once the $1.5 billion Local Assistance Fund for eligible revenue sharing counties has been launched. AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 26 of 46 3 C. ELIGIBLE AND INELIGIBLE USES OF FUNDS a) Eligible Uses Section 605(c) provides flexible support for eligible revenue sharing counties and eligible Tribal governments to meet their jurisdictions’ needs. Specifically, the statute directs that recipients may use funds for any governmental purpose other than a lobbying activity. As a general matter, recipients may treat these funds in a similar manner to how they treat funds generated from their own local revenue. Programs, services, and capital expenditures that are traditionally undertaken by a government are considered to fulfill a “governmental purpose.” For Tribal governments, investing in activities undertaken by Tribal enterprises, such as operating or capital expenditures for businesses that are owned or controlled by a Tribal government, are considered a governmental purpose. However, the LATCF funds may not be used for lobbying activities. A non-exhaustive list of example activities that fulfill a governmental purpose include, but are not limited to: • Provision of health services, educational services, court services, police, fire, emergency medical, and other public safety services, utilities or sanitation services, and direct assistance to households (including cash assistance); • Capital expenditures on core facilities and equipment, including in housing and community development (e.g., schools, hospitals, childcare facilities, and parks and recreation facilities), public safety facilities and equipment (e.g., police vehicles), and government administration buildings; • Infrastructure investments, including roads, bridges, water and sewer systems, utility systems, airports, public transit, and technology infrastructure; • Long-term economic development activities, including affordable housing development, workforce development and other programs to strengthen local communities undergoing economic transitions; • General government operations, such as general government administration, personnel costs, administrative facilities, record keeping, tax assessments, or election administration; and • Meeting another federal program’s non-federal match or cost-sharing requirements, unless barred by statute or other applicable law (as detailed further in this guidance). Federal Davis-Bacon Act prevailing wage rate requirements do not apply to projects funded solely by the LATCF except for LATCF-funded construction projects undertaken by the District of Columbia.1 Further, generally, receipt of LATCF funding does not trigger the National 1 Neither the Davis-Bacon Act nor Davis-Bacon Act related provisions requirements apply to projects funded solely with award funds from the LATCF, except for LATCF-funded construction projects undertaken by the District of Columbia. The Davis-Bacon Act specifically applies to the District of Columbia when it uses federal funds to enter into contracts over $2,000 for the construction, alteration, or repair (including painting and decorating) of public buildings or public works. Recipients may be subject to the requirements of the Davis-Bacon Act, when LATCF funds are used on a construction project in conjunction with funds from another federal program that requires enforcement of AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 27 of 46 4 Environmental Policy Act (NEPA),2 although recipients must ensure compliance with all applicable federal environmental laws. b) Ineligible Uses Recipients may not use federal funds to directly or indirectly pay for any personal service, advertisement, telegram, telephone, letter, printed or written matter, or other device, intended or designed to influence in any manner a Member of Congress, a jurisdiction, or an official of any government, to favor, adopt, or oppose, by vote or otherwise, any legislation, law, ratification, policy, or appropriation, whether before or after the introduction of any bill, measure, or resolution proposing such legislation, law, ratification, policy, or appropriation. Amounts that are used in violation of the lobbying restriction set forth in this guidance may be subject to recoupment. c) Compliance with financial management, procurement, and conflicts of interest standards Recipients must expend and account for the LATCF funds in accordance with the financial management, procurement, and conflicts of interest standards, laws, policies, and procedures applicable to their expenditure of and accounting for their own funds. Treasury will monitor violations of this requirement through reporting and other sources. Recipients should also review the Buy America domestic content procurement preference requirements, below. D. ELIGIBLE AND INELIGIBLE COSTS As a general matter, recipients may use funds to cover costs incurred on any eligible use, including costs incurred from March 15, 2021. Recipients may use funds to cover costs of administering the LATCF program, including costs of consultants to support effective management and oversight as well as compliance with legal, regulatory, and other requirements. E. TRANSFERS Recipients may transfer to and pool LATCF funds with other entities for projects, provided that recipients are able to track use of the funds in line with the reporting and compliance requirements of the LATCF. As an example, neighboring counties may pool funds in order to invest in a regional infrastructure project. Further, recipients may fund a project with both LATCF funds and other sources of funding, provided that the project is an eligible use under each source program and recipients are compliant with all other related statutory and regulatory requirements and policies. Transfers under this program do not give rise to subrecipient relationships given the purpose of the award. As a result, recipients do not need to comply with subrecipient monitoring or oversight requirements outlined in the Uniform Guidance at 2 C.F.R. § 200.331 through § 200.332. Further, no subrecipient reporting under 2 C.F.R. Part 170 will be required for this program, although the Davis-Bacon Act. Additionally, corollary state prevailing-wage-in-construction laws (commonly known as “baby Davis-Bacon Acts”) may apply to projects. 2 Projects supported with payments from LATCF may still be subject to NEPA review if they are also funded by or otherwise involve actions from other federal programs or agencies. AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 28 of 46 5 recipients meeting the applicable thresholds will still be required to report on executive compensation pursuant to 2 C.F.R. Part 170. F. NON-FEDERAL MATCH OR COST-SHARE REQUIREMENTS As a general principle, federal funds that constitute revenue sharing to state and local governments may generally be used to meet the non-federal match or cost-share requirements of another program.3 Given the LATCF’s purpose as a general revenue enhancement program and the broad eligible uses of LATCF funds, Treasury has determined that funds available under the LATCF program constitute revenue sharing. Therefore, funds under the program may be used to meet the non- federal cost-share or matching requirements of other federal programs. Pursuant to 2 C.F.R. § 200.306(b), if funds are legally available to meet the match or cost-share requirements of an agency’s federal program, such awarding agency is required to accept such funds for the purpose of that program’s match or cost-share requirements except in the circumstances enumerated in that section. If a recipient seeks to use LATCF funds to satisfy match or cost-share requirements for a federal grant program, it should first confirm with the relevant awarding agency that no waiver has been granted for that program, that no other circumstances enumerated under 2 C.F.R. § 200.306(b) would limit the use of LATCF funds to meet the match or cost-share requirement, and that there is no other statutory or regulatory impediment to using the LATCF funds for the match or cost-share requirement. Additional guidance specific to Medicaid and CHIP is forthcoming. Recipients using LATCF funds to meet non-federal match or cost-share requirements of another federal program must ensure that the costs are eligible costs under the other federal program and are compliant with the statutory, regulatory, and program requirements of the LATCF and the other federal program. G. AVAILABILITY OF FUNDS All funds are available to recipients until expended or returned to Treasury. 3 See U.S. Government Accountability Office, Principles of Federal Appropriations Law, Third Edition, Volume II, p. 10-99, GAO-06-382SP (February 2006), https://www.gao.gov/assets/gao-06-382sp.pdf AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 29 of 46 6 II. OPERATIONAL TERMS OF THE ASSISTANCE This section provides a summary of operational terms of the program, including payments, reporting, and compliance. Treasury expects to release reporting and compliance guidance for the LATCF program at a later date. A. PAYMENTS Recipients may request payment of their allocation through the Treasury Submission Portal by following the instructions on Treasury’s website. Eligible applicants will be required to complete payment information and sign an award agreement. Tribal governments will be required to complete a certification regarding economic conditions. B. REPORTING All recipients will be responsible for submitting an annual Project and Expenditure report to Treasury, which is expected to require data on obligations and expenditures by category of use and certification that funds have not been used to fund lobbying activities. Treasury will release detailed reporting guidance soon. Information provided through annual reporting will be used to facilitate Treasury’s compliance review for uses of funds that do not comply with program requirements, as well as to reduce the risk of waste, fraud, and abuse. Any eligible revenue sharing county that is determined to have failed to submit a report may be required to repay to Treasury an amount up to 5 percent of its total allocation, as authorized by Sections 605(d) and (e). C. OVERSIGHT Recipients will be subject to audit or review by the Treasury Inspector General and Government Accountability Office. Recipients are subject to the Single Audit Act and its implementing regulations at 2 C.F.R. Part 200 Subpart F. D. COMPLIANCE a) General Treasury may recoup funds from any recipient in cases of misuse of LATCF funds. Separately, in case of a failure to report, Section 605(c) provides specifically that Treasury may also recoup funds from an eligible revenue sharing county of an amount that the Secretary determines appropriate but that does not exceed 5 percent of the recipient’s total allocation. Any amounts that Treasury has determined to recoup would be subject to generally applicable federal debt collection laws and procedures, including the provisions set forth in Chapter 37 of title 31 of the United States Code and the Federal Claims Collection Standards at 31 C.F.R. Parts 900 through 904. Treasury expects to work with recipients to support the use of LATCF funds and the timely filing of annual reports to Treasury. Treasury may, for example, request additional information and work AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 30 of 46 7 with recipients to remedy the failure to timely file a report before initiating the recoupment process. Treasury may pursue additional remedies for noncompliance with applicable law or program requirements in conjunction with, or as an alternative to, recoupment, including imposing conditions on the receipt of additional LATCF funds by the recipient and/or terminating further payments from the LATCF. b) Recoupment Process Treasury will monitor recipients’ compliance with legislative and program requirements through evaluation of information submitted by recipients through annual reporting as well as other sources. If Treasury identifies an instance of potential non-compliance, Treasury expects to provide the recipient with a notice of the proposed non-compliance. Treasury expects the notice of proposed non-compliance to set forth a process consistent with the award terms and conditions and applicable law. Recipients that receive a final determination of non-compliance from Treasury will be required to repay any amounts in accordance with the process set forth in the final determination of non-compliance. Treasury retains the discretion to provide additional guidance on the process set forth above in accordance with and as permitted by Chapter 37 of title 31 of the United States Code and the Federal Claims Collection Standards at 31 C.F.R. Part 900. E. APPLICATION OF FEDERAL FINANCIAL ASSISTANCE REQUIREMENTS The LATCF is considered federal financial assistance and recipients are generally subject to laws and regulations applicable to federal financial assistance. a) Financial Assistance Award Management Requirements LATCF recipients are subject to the following provisions of 2 C.F.R. Part 200 (the Uniform Guidance): • 2 C.F.R. Subpart A (Acronyms); • 2 C.F.R. 200.100-110 (certain General Provisions); • 2 C.F.R. 200.203 (public notice of Federal financial assistance programs); • 2 C.F.R. 200.303 (internal controls); and • Single Audit Act and its implementing regulations at 2 C.F.R. Part 200 Subpart F. Per 2 C.F.R. § 200.101(b), the program is not subject to other Uniform Guidance provisions beyond those detailed above, such as the provisions regarding program income, interest advances, equipment and real property management, procurement requirements, or subrecipient monitoring and reporting requirements. Therefore, capital assets acquired using LATCF funds are not subject to the Uniform Guidance’s use and disposition instructions, and program income is income to the recipient government and not subject to program restrictions. No subrecipient reporting under 2 C.F.R. Part 170 (implementing the Federal Funding Accountability and Transparency Act of 2006) will be required for this program, although recipients meeting the applicable thresholds will still be required to report on executive AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 31 of 46 8 compensation pursuant to 2 C.F.R. Part 170. Treasury’s regulations at 31 C.F.R. Part 19 (implementing OMB’s Guidelines to Agencies on Governmentwide Debarment and Suspension at 2 C.F.R. Part 180) are applicable to the program. Recipients are required to comply with the System for Award Management (SAM) requirements in 2 C.F.R. Part 25.4 There are no matching, level of effort, or earmarking compliance responsibilities associated with the LATCF program. b) Buy America Domestic Content Procurement Preference The Build America, Buy America Act establishes domestic content procurement preference requirements for federal financial assistance programs for infrastructure.5 These requirements apply to the LATCF. As such, expenditures for iron, steel, manufactured products, and construction materials used in an infrastructure project funded using a LATCF award generally must be produced in the United States. These requirements do not apply to non-infrastructure projects or to infrastructure projects undertaken in response to the COVID-19 public health emergency. Recipients should review the details of these domestic content procurement requirements as provided in the terms and conditions of the LATCF award, which follow the guidance provided by the Office of Management and Budget (OMB).6 The definition of infrastructure as provided by the Build America, Buy America Act and OMB guidance is broad and includes the structures, facilities, and equipment for roads, highways, and bridges; public transportation; dams, ports, harbors, and other maritime facilities; intercity passenger and freight railroads; freight and intermodal facilities; airports; water systems, including drinking water and wastewater systems; electrical transmission facilities and systems; utilities; broadband infrastructure; and buildings and real property. An infrastructure project includes the construction, alteration, maintenance, or repair of infrastructure. Treasury plans to propose a waiver from the Build America, Buy America Act requirements for awards made under the LATCF program. Treasury will post the proposed waiver and its terms, including its duration, on the Treasury website, and will also provide an update after the public comment period has closed. Should a waiver be issued, infrastructure projects undertaken under awards issued after the waiver is effective will not be subject to Build America, Buy America Act requirements. An eligible Tribal government may request funding and receive an award before a waiver is issued and becomes effective. However, typically, only awards issued after the waiver is issued and becomes effective are excluded from the requirements of the Buy America, Build America Act. If 4 2 C.F.R. Part 25, Subpart C, is inapplicable to this program as transfers under this program do not give rise to subrecipient relationships. 5 See section 70914(a) of the Infrastructure Investment and Jobs Act, Pub. L. No. 117-58 (IIJA). The Buy America, Build America Act was included as sections 70901-27 of the IIJA. 6 OMB’s guidance is provided in OMB Memorandum M-22-11, “Initial Implementation Guidance on Application of Buy America Preference in Federal Financial Assistance Programs for Infrastructure” (April 18, 2022), available at https://www.whitehouse.gov/wp-content/uploads/2022/04/M-22-11.pdf. AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 32 of 46 9 a Tribal government receives an award prior to the date any waiver becomes effective, then the award may still be subject to the requirements of the Buy America, Build America Act. Treasury will provide more details on the waiver’s effective date on its website. The Buy America, Build America Act requirements do not apply to expenditures using LATCF funds for infrastructure projects undertaken in response to the COVID-19 public health emergency or in response to or anticipation of other major disasters or emergencies declared by the President under the Stafford Act.7 Treasury recognizes that the public health emergency is impacting recipients in different ways and that recipients are impacted by a broad range of other types of major disasters and emergencies declared under the Stafford Act. Accordingly, recipients should make their own determinations as to what infrastructure projects they need to undertake to respond to the COVID-19 public health emergency or other Stafford Act disaster or emergency. F. COMPLIANCE WITH OTHER APPLICABLE LAWS Recipients are responsible for complying with all other applicable laws in the course of using the funds from their award, including all applicable environmental laws and all laws applicable to federal financial assistance (unless stated otherwise in this guidance or the award agreement). Applicable laws include but are not limited to those listed in the award agreement. Pursuant to Executive Order 13043, 62 FR 19217 (Apr. 8, 1997) re: Increasing Seat Belt Use, Treasury encourages recipients to adopt and enforce on-the-job seat belt policies and programs for their employees when operating company-owned, rented or personally owned vehicles. Recipients should also encourage their contractors to adopt and enforce such policies. Pursuant to Executive Order 13513, 74 FR 51225 (Oct. 1, 2009), re: Reducing Text Messaging While Driving, Treasury encourages recipients to encourage their employees and contractors to adopt and enforce policies that ban text messaging while driving, and recipient should establish workplace safety policies to decrease accidents caused by distracted drivers. 7 More specifically, as provided in OMB’s guidance, the requirements of the Buy America, Build America Act do not apply to expenditures made in anticipation of or in response to an event or events that qualify as an “emergency” or “major disaster” within the meaning of the Stafford Act, 42 U.S.C. § 5122(1), (2). See OMB Memorandum M-22-11 at 3-4. AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 33 of 46 10 III. CONTACT INFORMATION E-mail correspondence is preferred. Correspondence by mail may be subject to significant delays. LATCF@treasury.gov U.S. Department of the Treasury Attn: Local Assistance and Tribal Consistency Fund 1500 Pennsylvania Ave NW Washington, DC 20220 treasury.gov/LATCF AGENDA ITEM #2.c. Discussion Of Local Assistance and Tribal Consistency Funds (LATCF) Gran... Page 34 of 46 1 Kodiak Island Borough OFFICE of the MANAGER 710 Mill Bay Road Kodiak, Alaska 99615 Phone (907) 486-9301 TO: Kodiak Island Borough Assembly FROM: Aimee Williams RE: Managers Report, August 31, 2023 Manager’s Department Resident Comment Form – As requested, I worked with Nova to find the comment form that KIB used in the past. It has been updated to take out the ability to fax in comments. PKIMC – Karl Hertz met with Dave and I this morning about an emergent need for a sterilizer and steam generator. The price of the sterilizer is approximately $76,000 and the new steam generator is approximately $15,000. The overall price is expected to total near $100,000.00. A sterilizer was rebuilt five-years ago and given a projected two-year lifespan. The COVID pandemic likely extended its lifespan. If sterilization fails at PKIMC, they will not be able to do elective surgeries, orthopedic surgeries, etc. A contract will be added to the agenda for the September 7th meeting for this purchase. E911 System – Chief Putney invited Meagan and I to attend the product demonstrations for the three new systems that the City of Kodiak is considering. We were able to learn the behind-the-scenes information about the system and how technology is changing the process. State Lobbyist – The visit from Mark Hickey is tentatively scheduled for the work session on October 26, 2023. The focus will be the CIP list. Mark plans on flying into Kodiak on the 26th but will also be here on the 27th to meet with interested parties. IT Director – The vacancy announcement went out today to start recruiting for a director for the IT department. Solid Waste Contract – Reviewed proposed changes to the contract and provided input for the second amendment. AGENDA ITEM #4.a. Borough Manager's Report Page 35 of 46 2 Pacific Spaceport Complex – Dave and Seema went out to the open house at the space port and while they were there, they invited Mr. Greene to an Assembly meeting. I also saw Mr. Greene at the Kodiak Chamber of Commerce meeting and told him that we would love to have him speak to the Assembly. I followed up with them today, via email, and have yet to hear back. We will continue to request an update. The public comment period for the land management plan was extended until October. Landfill Discussion Request – KIB found out this week that there is a plan to bring contaminated materials from off island to the KIB landfill. I am requesting that this topic be discussed at an upcoming work session. Superintendent Meeting – Met with KIBSD Superintendent today to discuss remote school maintenance issues, what is happening with the school in Karluk, and how KIB can better support KIBSD when it comes to grants / requests. Strategic Plan – Fell off of this agenda, will request to have it added to an upcoming agenda. GSA Inspection – Attended the walkthrough inspection for the NOAA lease at KFRC. This was Alma’s first physically being in the building in Kodiak. Her previous tours had been virtual. E&F staff did a great job showing her the building inside of her compressed timeline. Biennial Motor Vehicle Tax – Please see the monthly calculations from FY2016 – FY2023 through August 15th and two ordinances that deal with the motor vehicle tax – a) FY2019-16 that deals with allocation of the monies collected and b) FY2021-16 that includes the increase to the tax. Permanent Registration for Vehicles (over eight years old) and Trailers – Received a request via Mayor Branson to bring the subject of permanent registration / plates to the Assembly. Please see the attached information from Alaska DMV. Engineering and Facilities Solid Waste Contract – Staff is waiting for two reviewers to comment prior to the final meeting to prepare the changes for presentation to the assembly. Staff will froward and discuss the proposed changes with the attorney for review before going to Alaska Waste for review. Landfill – • Volvo excavator has been taken offline due to computer error codes. Sensors have been replaced and CMI mechanic is in town today for further diagnosis. • KIB has rented a replacement unit form Brechan to keep production and operations continuous. AGENDA ITEM #4.a. Borough Manager's Report Page 36 of 46 3 • New excavator purchase has been started. • ADEC on-site inspection is scheduled for September 12, 2023. KFRC Discharge Permit – Mixing Zone information has been provided to the ADEC for review, comment, and inclusion for the issuance of the required APDES Permit. KIB is striving to avoid an assignment of penalty as the final steps are completed to be compliant. KFRC – • Government Services Administration (GSA) inspection has taken place. One deficiency associated with a small portion of old carpet in a doorway was cited. This item has been repaired. Several items associated with the current lease were discussed. Future meetings are anticipated to alter lease agreement associated with added costs and increased utility expenses. • Received a proposal for $6599.50 for the evaluation of the KFRC BAS troubleshooting and identification of deficiencies at KFRC. Proposal includes training for the current staff. • Awaiting completion of a base plate from a local vendor. Sewer lift station will be rebuilt when all materials are on site and assembled. Swimming Pool – Vendor is interested in defining the scope and joint development of an acceptable contract with the KIB. Further discussions are pending. Vendor has been on leave and staff has been involved in the Medical Facilities Workshop. Anticipate further discussions with Assembly Member Sharratt upon his return to Kodiak in September. KIBSD – • Peterson Elementary – E/F Staff will propose a new substantial completion and final completion date for 2024 late summer. • North Star Windows & Siding Phase 2 – Interior work has been completed. All tools and stored materials and equipment have been removed from the school. Work is allowed on the siding accessible form the roof or on the exterior first floor walls after 3:00pm and on weekends. • East Roof Proposal Package – Awaiting start by architect. • North Star Roof Replacement and Skylight Replacement – MOA has been approved and signed. Architect has been notified to begin this design project. Awaiting revised cost proposal. • Karluk and Larsen Bay – Larsen Bay trip cancelled for today due to weather. It has been rescheduled for September 6th. Karluk is scheduled for September 7th. Leachate Treatment Plant – Work on the addition continues. Painting is nearing completion. Process piping will begin in earnest next week. Revised schedule has been AGENDA ITEM #4.a. Borough Manager's Report Page 37 of 46 4 issued and is being reviewed. Cover for expansion joint has been designed and awaiting proposed cost. Stage 3 Closure – Awaiting final quantities and required documentation. Final survey will be reviewed. Bayside Fire Department – Dry sprinkler system temporary emergency repairs are completed. Awaiting update from vendor. Final repairs may include replacement of all dry system heads based on a sample test of four random heads per NFPA codes. A revised estimate will be generated after inspection and temporary repairs are completed. Health and Facilities Advisory Board – Meeting scheduled for August 21, 2023. Anticipating a 35% cost for SPD (Sterile Processing Department) PKIMC – Identifying and prioritizing repairs required to the facility. Borough Building – Project is continuing. Four-day electrical outage is planned to begin Friday, September 1st. Awaiting a revised schedule to extend the due date. KFRC Touch Tank – Facility has been opened Thursdays and Fridays from 11:00 to 4:30 pm weekly for the summer months. Accommodating cruise ships that are making previous arrangements. Finance Department/ IT - FY2023 Final Audit – Staff is preparing for the auditor arrival and the completion of the FY2023 audit. IT – • Preparing for the upcoming 4-day power outage • Finishing the physical election maps and publishing an online election precinct finder map • Fixing the online Zoning Map • Resolving electrical issues with IT equipment at the landfill • Prepping surplus equipment for disposal • Upgraded network file server, increasing resiliency, redundancy and to bring into alignment with industry best practices. Assessing Department – Exemptions – Assessing staff continues to work on the requests for business / non- profit tax exemptions. There is a backlog on these requests. Tax Roll – There are as many as forty exemptions from either seniors or disabled veterans that might still be granted. Assessing processed 32 supplements for SC/DV AGENDA ITEM #4.a. Borough Manager's Report Page 38 of 46 5 eligibility as of August 30, 2023. There are 5 outstanding applications that we are awaiting information on. Field work – Assessing continues FY2024 field work in Service District 1. Postcards are working well! Additional field work was done in the Saltery Cove trail area. Up Next - Commercial modeling class is scheduled for November so that we can complete the update. Mobile home depreciation tables, and land-valuation will be reviewed this year. Community Development – Planning and Zoning – Planning and Zoning Commission has a work session on September 13, 2023. There are two cases, and the CIP list scheduled for this meeting. Parks and Recreation – The August 22 meeting was not held due to lack of quorum. The next meeting is scheduled for September 6, 2023, at 11 AM; election of officers and bylaws will be discussed. CIP Lists- Ouzinkie and Port Lions submitted CIP information. New Director - Chris French, the new Director for the Community Development Department started on August 21, 2023. AGENDA ITEM #4.a. Borough Manager's Report Page 39 of 46 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 321 33 34 35 36 Introduced by: Borough Manager Drafted by: Finance Director Introduced on: November 5, 2020 Public Hearing Date: December 3, 2020 Adopted on: December 3, 2020 KODIAK ISLAND BOROUGH ORDINANCE NO. FY2021-16 AN ORDINANCE OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH AMENDING KIBC TITLE 3 REVENUE AND FINANCE, CHAPTER 3.60 MOTOR VEHICLE REGISTRATION TAX, SECTION .030 FEE IMPOSED & SECTION .040 ANNUAL FEE IMPOSED ON COMMERCIAL PLATES. WHEREAS, in Ordinance 79-42-0, coverage was elected under the biennial motor vehicle registration tax in lieu of ad valorem property tax as established in AS 28.10.431; and WHEREAS, the borough may change the tax under this section no more than once every two years per AS 28.10.4310); and WHEREAS, any changes in rates adopted by the Borough must be provided to the State before January 1 of the year before the change is to become effective; and NOW, THEREFORE, BE IT ORDAINED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH that: Section 1: This ordinance is of permanent nature and shall become a part of the Kodiak Island Borough Code of Ordinances. Section 2: That Section 3.60.030 Fee Imposed of the Kodiak Island Borough Code of Ordinances is amended to read as follows: 3.60.030 Fee imposed. There is levied a motor vehicle registration tax within the Borough Pursuant o the provisions of AS 28.10.431 as such statue may hereafter be amended, revised, or replaced. The rate imposed is based upon the age of the vehicles as determined by model year is as reflected on the following table: YPars Old 4 2 3 4 5 6 7 8 9 2007 2006 2006 2004 2003 2002 2004 2000 19994 A. RsqF, MI4, R $440 449 $4-20 409 80 60 59 49 W B. .,Antn.n.•rle o n1.............. T..,11,.. 28 20 4g 46 44 4-2 49 4-9 49 460 440 430 440 90 70 60 60 40 200 200 4W 4459 449 420 490 76 W lbs 4W 459 449 zQ 330 200 259 230 240 Kodiak Island Borough, Alaska Ordinance No. FY2021-16 Page 1 of 3 AGENDA ITEM #4.a. Borough Manager's Report Page 40 of 46 37 91.1 Years ow 4 2 3 4 6 6 7 a 9 Rreposea.-•^o«for Zoo,"'^7 2007 2006 2005 2004 2003 2992 2004 2000 1999e 550 660 500 460 490 350 300 250 229 p^IP. 409 4a0 490 4e0 409 400 400 4W 409 Biennial Tax According to Age of Vehicle Since Model Year: Vehicle Type 1" 2nd 3rd 4`h 5'h 61h 7'h 8th or over 1. Motorcycle 40 40 40 40 40 40 40 40 2. Vehicle specified in AS28.10.421(b)(1)(A): Non- commercial passenger vehicles, 300 300 240 240 200 200 180 140 pickup trucks, trucks under10,000 pounds unladen weight, and low speed vehicles 3. Vehicles specified in 300 300 260 260 240 240 200 180 AS28.10.421(h)(1)(B): Taxicabs 4. Vehicles specified in AS28.10.421(c)(1)-(4): commercial vehicles for hire based on unladen weight of a. 5,000 pounds or less 300 300 260 260 240 240 200 180 b. 5,001-12,000 pounds 400 400 400 400 360 320 280 240 c.12,001-18,000 pounds 600 600 560 560 480 480 440 400 d.18,0001 pounds and over 700 700 650 650 600 550 500 500 5. Vehicles specified in AS28.10.421(b)(43)(B): Motor buses with a seating capacity for 20 or 300 300 260 260 240 240 200 180 more persons and used exclusively for commercial purposes in the transporting of visitors or tourists 6. Vehicles specified in AS28.10.4210): Noncommercial 40 40 40 40 40 40 40 40 trailers, including rental trailers 7. Vehicles specified in AS28.10.421(d)(8): Amateur mobile 150 150 140 130 120 110 100 90 radio station vehicles 8. Vehicles specified in AS28.10.421(b)(2): non-commercial 300 300 240 240 200 200 180 180 motorhomes not registered in the name of a company or business 9. Vehicles eligible for dealer plates 300 under AS28.10.421(d)(9) Kodiak Island Borough, Alaska Ordinance No. FY2021-16 Page 2 of 3 AGENDA ITEM #4.a. Borough Manager's Report Page 41 of 46 39 40 41 42 43 44 45 46 47 48 49 50 51 52 53 54 55 56 57 58 59 60 61 Section 3: That Section 3.60.040 Annual Fee Imposed On Commercial Plates of the Kodiak Island Borough Code of Ordinances is amended to read as follows: 3.60.040 Annual fee imposed on commercial plates. Commercial rates may be paid annually by paying one-half of the amount shown above and adding $20.00 $30.00 to the amount reflected above. Effective Date: This ordinance shall take effect December 31, 2020 with the changes in rates set forth in sections 2 and 3 being collected beginning January 1, 2022. ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH THIS THIRD DAY OF DECEMBER, 2020. KODIAK Roberts, Mayor Ov Borough Clerk VOTES: N- 1Vr/ Ayes: Smith, Symmons, Turner, Williams,Whpp vorak, and Kavanaugh. Noes: Kodiak Island Borough, Alaska Ordinance No. FY2021-16 Page 3 of 3 AGENDA ITEM #4.a. Borough Manager's Report Page 42 of 46 AGENDA ITEM #4.a.Borough Manager's ReportPage 43 of 46 AGENDA ITEM #4.a.Borough Manager's ReportPage 44 of 46 AGENDA ITEM #4.a.Borough Manager's ReportPage 45 of 46 AGENDA ITEM #4.a. Borough Manager's Report Page 46 of 46