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FY2013-28 Adopting a Federal CIP List for FY2014 1 Introduced by: Borough Manager 2 Requested by: Borough Assembly 3 Drafted by: Special Projects Support Introduced on: 03/07/2013 4 Adopted on: 03/07/2013 5 6 KODIAK ISLAND BOROUGH 7 RESOLUTION NO. FY2013 -28 8 9 A RESOLUTION OF THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH 10 ADOPTING A FEDERAL CAPITAL IMPROVEMENT PROGRAM AND IDENTIFYING 11 FEDERAL PROGRAM PRIORITIES FOR FEDERAL FISCAL YEAR 2014 12 13 WHEREAS, a capital improvement program has been adopted by the Kodiak Island 14 Borough Assembly that identifies the needs of the community over the next five years; and 15 16 WHEREAS, the Kodiak Island Borough has identified one main capital improvement 17 project to submit to the Alaska Congressional Delegation for funding consideration; and 18 19 WHEREAS, the Alaska Congressional Delegation has requested the views of the Kodiak 20 Island Borough on which federal programs should be considered priorities for rural Alaskan 21 communities and their residents. 22 23 NOW, THEREFORE BE IT RESOLVED BY THE ASSEMBLY OF THE KODIAK ISLAND 24 BOROUGH THAT: 25 26 Section 1: The Kodiak Island Borough's top federal capital improvement project priority for 27 federal fiscal year 2014 is as follows: 28 29 1. Landfill Wastewater Treatment 30 Total Estimated Cost of the Project: $29,000,000 31 Funding Sources: Kodiak Island Borough revenue bonds, $24,000,000 32 State of Alaska 33 Federal Funding Request: $5,000,000 34 35 The Kodiak Island Borough's landfill is estimated to reach the limits of its permitted 36 capacity within two years. To address this problem a lateral expansion project 37 constructing new cells adjacent to the existing landfill is underway. Current Alaska 38 Department of Environmental Conservation regulations implementing the federal Clean 39 Water Act require the new cells to be fully lined to capture all leachate or fluids 40 produced by the waste. The captured leachate will be processed in a newly 41 constructed treatment facility on -site. This treatment represents an unfunded federal 42 mandate. Federal assistance to communities to comply with this federal mandate has 43 been available in the past through EPA's State and Tribal Assistance Grant Program 44 (the "STAG" Program). The Kodiak Island Borough is seeking the Alaska Delegation's 45 assistance to restore funding for the STAG program so that the KIB can compete for 46 federal matching funds for this project. 47 Kodiak Island Borough, Alaska Resolution No. FY2013 -28 Page 1 of 3 48 Section 2: The Kodiak Island Borough's views and recommendations on priority federal 49 programs are as follows: 50 51 1. Payment -In- Lieu -of- Taxes: There are over 2.8 million acres removed by the Federal 52 Government from taxation within the boundaries of the Kodiak Island Borough. This is 53 and that would otherwise be available to the private sector to develop, creating jobs for 54 the residents of Kodiak and the rural Kodiak Island communities. This in turn would 55 create tax revenues for the Kodiak Island Borough. PILT was enacted by Congress to 56 help offset the loss of revenues to municipal entities caused by federal land 57 withdrawals within local government boundaries. The KIB uses these funds to provide 58 basic social services, including medical care, emergency fire and rescue services, 59 roads, and schools. The final PILT payment to boroughs and counties will be in 2013 60 without reauthorization of the program. The Kodiak Island Borough is seeking the 61 Delegation's assistance in extending the PILT Program for another five years. 62 63 2. Refuge Revenue Sharing: The National Wildlife Refuge Fund is a critical source of 64 replacement revenue to communities like ours who have the presence of a large 65 Federal wildlife refuge within their boundaries. That presence removes substantial 66 amounts of property from the local property tax base. The share we receive from the 67 Fund is based on a formula that partially compensates us for our tax losses due to the 68 existence of the Kodiak National Wildlife Refuge. The Refuge is over 1.9 million acres 69 in size and therefore has permanently removed from private ownership, development 70 and taxation over half the property on the island. The current Administration 71 recommended no funding for this important program. The Kodiak Island Borough is 72 seeking the Alaska Delegation's assistance in providing level funding for this program. 73 74 3. Groundfish Surveys: The North Pacific Fishery Management Council has raised 75 concerns with the National Oceanic and Atmospheric Administration about what 76 appears to be slippage in the winter and summer groundfish surveys for the Gulf of 77 Alaska. The diminution in these surveys will eventually come back to haunt Kodiak 78 fishermen and processors should the North Pacific Council turn precautionary in the 79 establishment of annual groundfish quotas due to insufficient stock assessment data. 80 A reduction in federal groundfish quotas for pollock, cod, and rockfish would result in 81 lost economic opportunities for Kodiak residents and lower raw fish tax receipts over 82 time. The Kodiak Island Borough recommends that the Alaska Delegation add the 83 groundfish surveys to the list of programs to be protected in the FY2013 budget 84 process. 85 86 4. Karluk Lake Enrichment Project: The Karluk Lake system on the west side of Kodiak 87 Island is the largest producer of sockeye salmon in the Kodiak area and supports a 88 large portion of the area's commercial and subsistence sockeye fisheries. Since 2007, 89 returns of adult sockeye to the Karluk system have been extremely poor, most likely 90 due to over escapement of spawning adults in earlier years. Continuing low returns will 91 not only deprive local fisheries, low spawning escapements will also reduce the supply 92 of marine derived nutrients to the lake system. Thus, the system may remain in a low 93 state of productivity indefinitely into the future. 94 Kodiak Island Borough, Alaska Resolution No. FY2013 -28 Page 2 of 3 93 In order to bring the Karluk Lake ecosystem back to its earlier, higher level of 94 production, the Kodiak Regional Aquaculture Association (KRAA) proposes to apply 95 nutrients over the course of up to five years. This lake enrichment project follows 96 established protocols for rehabilitating sockeye salmon rearing environments. 97 However, because Kariuk Lake is within the Kodiak National Wildlife Refuge and a pre - 98 statehood withdrawal, it appears that approval is required from the U.S. Fish and 99 Wildlife Service. Refuge compatibility reviews and environmental assessments by the 100 USFWS have been protracted and are not yet complete. 101 It is vitally important that the USFWS approve this lake enrichment project without 102 delay. It would additionally helpful if the local federal refuge staff were to act as a 103 cooperating agency in the project, provide logistic support, and help monitor the 104 results. The Kodiak Island Borough supports local facilitation and approval of this 105 important project that has a direct impact to the community's economic base. 106 107 5. Bypass Mail Program: The Congress is currently working on legislation to reform the 108 U.S. Postal System in an effort to stem the financial losses currently being incurred by 109 the U.S. Postal Service. A number of Members of Congress have used this legislative 110 initiative to advocate for the curtailment or elimination of the postal rate subsidies for 111 rural Alaska. Postal service is a fundamental right guaranteed to all Americans under 112 the U.S. Constitution. Universal service is a cornerstone of our current Postal System. 113 The existing Bypass Mail Program is the mechanism used by the U.S. Postal Service 114 to guarantee the benefits of universal service to Americans living in the rural areas of 115 Alaska. The elimination of Bypass Mail will discriminate against Alaskans by depriving 116 them of the uniform postal rates available to all other Americans. The KIB recommends 117 that the Alaska Delegation vigorously oppose any efforts to terminate or undermine the 118 Bypass Mail Program. 119 120 BE IT FURTHER RESOLVED that the Kodiak Island Borough administration is hereby 121 instructed to advise Congress and the appropriate agencies of the United States Federal 122 Government of the Capital Improvement Program and priorities adopted by the Kodiak 123 Island Borough Assembly. 124 125 ADOPTED BY THE ASSEMBLY OF THE KODIAK ISLAND BOROUGH 126 THIS SEVENTH DAY OF MARCH, 2013 127 128 KODIAK ISLAND BOROUGH 129 130 It b.?, V 131 ATTEST: Jerome M. Selby, Bo gtr or 132 133 134 PI 135 Nova M. Javier, MMC, :orough Clerk 136 Kodiak Island Borough, Alaska Resolution No. FY2013 -28 Page 3 of 3