2016-01-21 Special Work Session Kodiak Island Borough
ASSEMBLY SPECIAL WORK
SESSION
Thursday, January 21, 2016, Immediately Following the Regular
Meeting
Assembly Chambers
Work Sessions are Informal meetings of the Assembly where Assembly members review the upcoming regular meeling
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.Citizen's comments at work sessions
are NOT considered part of the official record.Citizen's comments intended for the"official record"should be made at a
regular Assembly meeting.
Page
1. CITIZENS' COMMENTS (Limited to Three Minutes per Speaker)
2. AGENDA ITEMS
2 - 84 a. FY2017 Budget Discussion
1 - - 1949
t 2017 Second
1 m1® 1 r n _
85 - 88 h. Manager Application Form
- 1- 1 DRAFT of letter and applicationfor second t f
the al2RIication process
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.. .. Page 1 of 88
AGENDA ! .
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Kodiak IslandBorough
MEMORANDUM
TO: Honorable Mayor and Assembly Members
of the Kodiak Island Borough
THROUGH: Bud Cassidy, Borough Manager
FROM: Karleton Short, Finance Director
SUBJECT: FY2017 budget
DATE: January 11,2016
At the December work session,the Assembly had several questions on the FY2017 budget.
With this memo l would like to go over these questions,provide some answers,and make some
suggestions.
Please note that we have attached a detailed FY2017 budget for the General Fund,School
District Support,and Debt Service. Behind this report, in the same order as the detailed budget
report, is a report showing the same budget with Borough Staff notes. We include Staff notes
because they may answer some Assembly Member's questions.
We have Also attached a schedule showing what percentage employees are allocated amongst
different funds/departments and a list of recommended park and playground work.
These are our responses to Assembly member questions:
I. Dept. 100, Legislative Dept. There was a question on what items make up the Legislative
Budget and I believe this question has been answered by the attached detail budget.
2. Dept. 105,Manager's Dept. There was a question on whether or not the two vacant
positions in the Manager's Department were included in this budget. They were,but we
have since removed them. The Allocation to Projects budget number was reversed(we
had it in as a positive number,it should have been negative).
3. Dept. 125, Information Technology. There was a question on why the salaries and
benefits were so high. We have reviewed these number and they have been reduced.
4. Dept. 135,Engineering/Facilities. The salary and benefit amounts have been updated.
Please see attached detail.
5. Dept. 140,Community Development. Both budgeted vacant positons have been recently
filled in the Community Development Dept. Please see attached detail.
6. Dept. 160, Economic Development. The attached detail budget shows how contracted
services fall within professional services category.
7. Dept. 172, Parks and Recreation. This budget has been updated to show the fringe
benefits of staff who charge their time to this budget when they are working on parks.
Later in this memo is a discussion of work recommend for various parks.
Page 2 of 88
FY2017 Budget Discussion
rr . .
8. Dept. 195,Transfers out. For FY2017,we are not showing a transfer out to the school
district. PIease see attached detail report.
9. Additional requested information has been added to the Titles and Pay Range page.
Please see attached detail report.
10. We have included a memo from Bob Tucker,Engineering/Facilities Director regarding
parks and recreation expenditures.
Property Taxes
There are 4 funds that are financed with area wide taxes. These are:
1. The General Fund
2. The School District Support Fund
3. The Debt Service Fund
4. The Renewal and Replacement Fund
The current mill rate is 10.75 mills. Without receiving revenues from an outside source or fund
balance the Debt Service Fund requires a mill rate increase of.18 mills to 1.88 mills.
The R& R(Renewal and Replacement) fund requires a mill rate of.20 mills to make payments
on their interfund loan from the Hospital Fund.
Without raising the mill rate the Borough has 8.67 mills they can allocate between the General
Fund and the School District Support Fund.
Using the Borough Assessor's estimate for property values for FY2017(which is a 4%increase
from FY2016)one mill will result in tax revenues of$1,250,992.
Recommendation for Parks and Recreation Department reductions
If we were to reduce the funding to this department, EF Department recommends the following:
I. Remove$100,000 from contracted services and not do the upgrades to the parks
listed below.
• Replace wooden play structures at®tmeloi Park
• Replace play structure at Harlequin Park.
• Replace wooden steps from roadway to the park.
• Replace play structures at Island Lake Park.
2. Remove$10,000 from Maintenance and repairs and leave$15,000 to make necessary
repairs and any liabilities that may arise.
We have attached a detailed list of all other work needed to be done in all the parks.
2
Page 3 of 88
FY2017 Budget Discussion
ITEM .
Debt Service
The attached 2017 Projected Debt Service Mill Rate Calculation page includes not only the bond
payments expected in FY2017 for the bonds being sold next month,but it also includes a
projected estimate if the remaining bonds were to be sold in FY2016. The real and personal
property taxable values have also been revised according to the borough assessor's estimate for
FY2017 values.
At this time we are estimating a 1.88 mill rate for FY2017.
We are also including a Bond Sale Activity page which summarizes the bond sales for the High
School Renovation project and the Renewal and Replacement projects we are currently selling
bonds for.
3
Page 4 of 88
FY2017 Budget Discussion
AGENDA ITEM #2.a.
2015-2016 CALENDAR FOR DEVELOPING FY17 BUDGET
July 1' "KIS Fiscal Year begins "
July 1 State fiscal year begins
July 15 KIBSD budget to DoEED
late July State budget process begins
August 25 August 17,2015 1st half property tax pmt due
September KIBSD Needs Assessment
September 30 Quarter'end for severance tax and bed tax
late Sept-early Oct State Fall revenue forecast
1st Tuesday Oct October 6,2015 Local Elections
October KIBSD strategic planning
Mid-October October 19 New Assembly members seated
by 4th Friday of Oct KIBSD 20 day count of students to DEED
October 15 October 15,2015 Single payment property taxes due
Review State Legislative Priority/CIP List w lobbyist(this has previously been
October October 29 done in Sept,ok to do in later this year,per Hickey)
November' KIBSD budget handbook`distributed
early November Further discuss the State CIP/Legislative Priority List
Mid November November 5,2015 Finalize State Legislative Priorlty/CIP list
November 15 November 16,2015 2nd half property tax pmt due
Mid November Nov 18-20 AML annual conference
mid January November 28,2016 KIB Budget Message to Dept Directors from the Manager
late January November 28,2016 Finance Director distributes budget worksheets
by December 15 December 15,2016 Governor releases operating and capital budget
mid February mid December Departmental budget requests due to the Finance Department
December December 15 WS Introduce Debt Service and General Fund budgets
December 31 Quarterend for severance tax and bed tax
January KIBSD preliminary budget to School Board
Review Special Revenue funds:Airport Fire District,Woodland Acres Street
January Lighting,Trinity Islands Street Lightin&Misslon Lake Tide Gate,Fern Fuller
Trust
January Review Enterprise Funds:Hospital,911
January Preliminary"Big Picture"of the Budget
by January 15 Doll Publishes Revenue Sharing Population Determinations
January 15 Personal Property Tax Returns due
January 15 Application for real property(tax)exemptions due
Late Oct-Early Nov January 16,2016 KIS Strategic Planning
mid January Assessor's property tax projection to Finance
3rd Tues January State legislative session begins
late January State subcommittees review Governor's Budget Request
late January Mayor's Conference
late January Initiate KIBSD funding discussions
by end of December Jan/Feb staff submits action plans based on Strategic Plan
February Adopt a Federal CIP List
Page 5 of 88
i=Y2017 Budget Discussion
AGENDA ITEM #2.a.
FebruaryKIBSD budget hearings
February 15 Shared Fisheries Business Tax application due
late February KIB revenue forecast to Assembly
February 28 KIB Personal Property Tax Return due
February 28/29 Assessment Rall complete/notices mailed
late Feb-early March SWAMC annual economic summit
late Feb-early March Legislative Reception in Juneau
March 1 Distribute non-proflt funding applications
March Review Special Revenue funds:Land Sales,Building&Grounds,Local
Emergency Planning,Tourism Development
March Review Solid Waste Fund
March KIBSD budget revisions
mid March data due for PILT application
March 31 Service Area budget requests due to Finance
March 31 Quarter end for severance tax and bed tax
late March-early April State Spring Revenue Forecast
April KIBSD budget approval
April 15 Tax Assessment appeals due
mid April State legislative session ends
late April KIB Non profit requests due
by April 30 Manager's proposed budget to Assembly
by April 30 KIBSD budget to KIB by April 30th
1st Monday of May Board of Equalization meets(for assessed value appeals)
May Review Kodiak Fisheries Research Center Fund
early May KIB work session on School district minimum funding
mid May Assessment Roll is certified
mid May KIB resolution Identifying the minimum funding to KIBSD
mid May KIB Budget Ordinance introduced
mid May KIB publish public notice
June 1 State`Revenue Sharing application due
by June 10th 5/19/2015 proposed KI8 public hearing and adoption of budget
mid lune Budget process debrief
June 30 Quarter end for severance tax and bed tax
June 30 Revenue sharing determinations
Page 6 of 88
FY2017 Budget Discussion
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17 Budget DiSCussion
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7 Budget Discussion
AGENDA ! .
Eng/Fac Department Park/Playground Recommendations 1/13/16
New park signs for aA Parks
Island Lake
Grade parking lot
r Dumpster fence—position of
r Paint swing set
i- Paint slide
Replacement equipment/new equipment
.- Another picnic table?
r Kiddie swing set?
Harlequin
r 66's on remaining sides&around tables/benches
r Replant bushes/pull others
Small play structure—to replace dome and possibly slide
i Basketball backboard&net
Power wash court&paint lines
- Wooden steps up from road
Otmeloi/ onashka
v Extensive brush removal
r Power wash court&paint lines
r Two new basketball stanchions/backboards/hoops
i- Replace wooden play structures with similar
Remove hunk of concrete
➢ Remove picnic table from swampy area
r Porch swing for concrete pad?
Sargent Creek
New picnic tables/benches
r Paint swing set,slide,etc.
Fix grade
r New tether ball
r Remove additional brush
Page 10 of 88
FY2017 Budget Discussion
AGENDA
I . .
Panamaroff
➢ Additional drainage
r Complete parking barrier
r Walkway
r 64's around picnic tables(2), pathway with chips
D Gate
r Dig out slide
r Expand picnic table area by swings
r Place topsoil&chips
Mill Bay
➢ Repair/upgrade steps
Parking barrier repair/replacement
All Parks/Playgrounds
r Replace/install BBQ's
Trash cans
Page 11 of 88
FY2017 Budget Discussion
AGENDA ITEM #2.a.
Eddie&Lalo
Island Lake
✓ Treat rust
✓ Paint swing set&slide
✓ Replace chains,shackles&swing seats
Sargent Creek
✓ Treatrust
✓ Paint swing set&slide
✓ Replace chains,shackles&swing seats
✓ Replace boards—picnic table
Harlequin
✓ Paint swing set&slide
✓ Replace chains,shackles&swing seats
Page 12 of 88
FY2017 Budget Discussion
AGENDA ITEM #2.a.
2017 Projected Debt Service Mill to Calculation
Payoff Gross Rate OF state Net
Ban d nateriinterest Bond Firms Reimbursement Reimbursements Bond Pmts
_
2008 2028 370,000 254,960 624,960 60% 374,976 249,984
2011 2031 320,000 302,550 622,550 70% 435,785 186,765
2012A 2025 455,000 200,300 655,300 blended 450,956 204,344
2012B 2025 550,000 244,550 794,550 60% 476,730 317,820
2013 2033 790,0W 899,740 1,669,740 70% 1,182,818 506,922
2014 2034 810,000 967,113 1,777,113 70% 1,243,979 533,134
2015A 2026 145,0W 77,150 222,150 70% 155,505 66,645
20158 2036 19516M 296,363 491,363 70% 343,954 147,409
Proj 2016A 2025 225,000 248,701 473,701 70% 331,591 142,110
Proi 20168 2036 30.000 81,373 111,373 70% 77,961 33,412
Est 2017 2026 183,102 101,250 284,352 70% 199,046 85,306
Est 2017 2036 31,876 45,000 76,876 70% 53,813 23,063
ADEC Loan 2020 6,222 382 6,604 0% 0 6,604
7.030,631 5,327,115 2,503,517
Less Facility Fund Interest Contribution 150%of 85%) 150,000
Less interest income 2,000
Adjusted net bond payments 2,351,517
Projected Real Property Taxable Value 1,110,922,000
Projected Personal Property Taxable Value 140.070,000
Total Projected Taxable Property Value 1,250,992,01)(1
Mill Divisor 1,000
Mill Value 1,250,992.00
Debt Portion of Projected Mill Rate!adjusted net pmts/adj mill value) 1.88
Proi 2016A are sold and payments begin in August 2016
Praii 20168 are sold and payments begin in August 2016
Estimated Unsold bonds available for sale;S 3,GWUW for 20 years and$2,0W,0W for 10 years
Estimated Unsold bonds are presumed sold and payments begin January 1,2017 at an interest rate of 4.5%
State reimbursement percentage for new bonds said is 70%
State reimbursement percentage for prior bond sold remain at current rate!
Facility Fund interest income does not fall below 1%
Taxable real and personal property values increase by 1,5%annually
2008A Acquisition and construction of school capital improvements including a new school pool,
2011 High school renovation and renewal project.
2012A Refunded 2004C Bond for the planning,design and construction of capital improvements to
the Larsen Bay School,Kodiak Middle School and Kodiak High School,
20126 Refunded 2004B Bond for the planning,design and construction of capital improvements in
the Borough,including a new school pool and Kodiak High School Voc/Ed classroom.
2013., High school renovation and renewal project.
2014 High school renovation and renewal project.
2015A Renewal and replacement for various school buildings-
70156 i High school renovation and renewal project.
2016A Renewal and replacement for various school buildings.
20168 High School renovation and renewal project.
Page 13 of 88
FY2017 Budget Discussion
AGENDA ITEM
. .
Bond sale Activity
As of 1/12/1
High School Misc School
Reno R&R
Authorized 80,000,000 10,250,000
Issued:
2011 8,000,000
2013 25,000,000
2014 25,000,000
2015A 2,000,000
20159 7,000,000
Proj 2016A 6,000,000
Proj 20168 2,000,000
Est 2017 2,250,000
Est 2017 1,000,000
Issued Total 68,000,000 10,250,000
Grants and other funding 10,000,000 0
Not Needed 2,000,000 0
Available for Sale 0 0
Page 14 of 88
FY2017 Budget Discussion
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AGENDA ITEM
#2.b.
OFF
tit .
of the Af"AGER
710 N1W Bay Road
Kodiak-,Alaska 9961
r Phone (907)486-9301 Fax(907)486®9374
January 22,2015
Dear Applicant: Nk
You have been selected to enter the second stage o ^ apAcation procc�n ar the position of
Kodiak Island Borough Manager. At this point a the` proc ss, we are rc ,a formal
Application ror- Employment and have attnchecf here �r you to comp and return.
Additionally, we wool like you to respond to the` - �° qu ons. The urpose of this
questionnaire is to obtain further information about your q cations and management style`.
inn
n.1 You
y provide youry responses p� ISp[� �°to(Eli�YttCS tIiS$n
rrt Mask��rneurn ctur res tree via e`a� ttthan p ttr 2� 2tt16 ,,�'„0
p.
52, a —,
Please respond to the col ; KPscions;
I. Please provil cornpl ''employment tory and explain any gap,°°and indicate if
you were fired or vAc ire tic i-es ;'hi the apidication form.
2. Effect A 153 „° rat to the success of this position. Blease`
de arson ana eme experience to Include your knowledge and
erience` 0 re`lat ��,- and collective bargaining/contract negotiations. provide`
„ pies elf how l !calt% aI len Ing personnel matters and give examples of ho%v
A, gilt effective t
1 Plert.,, Vide rive Pf ,real reference`s.....thi"s is included on tyre rririrficalionfcriwi, it's
sitirrtlar r ak for lu bril l can change this In firm(an the application fcii m).
4. Please de��' brie` why you are interested in moving to Kodiak and what you feel
will be your ,challenge or adjustment in making the transition from your present
situation. Why ' you reel that you will be successful here as Borough Manager?
Ir you have any questions about this process or need feather inrormation,please contact me`.
Sincerely,
Kadiak Island Borough
Lauri Whid onm PFilte Fi - P
FIR Officer
Page 55 of 88
Manager Application For
AGENDA ITEM #2.b.
�"0.
KIB MANAGER APPLICATION FOR EMPLOYMENT
PERSONAL
LL FIRST MIDDLE SOCIAL SECURITY NUMBER
NAME
MAIUNG SMEET CITY STATEZIP
ADDRESS
;9'1DENCE STREET CITY STATE ZIP
tADDRESS
s honeir�Phone Erraall
LINFOR ATE
O
PLEASE ANSFOLLOWING QUESTIONS(If hired verification will berequired):
® 1 arra legally eligible for employment In the United States ;I YES I N
1 am over 1E years of age I YES I N
1 have been emploW by the Kodiak island Borough [I Y [I N
If yes,please enter dates:
® Have you ever been discharged fro any employment or asked to resign?[I YES[)NO
If yes,Please explain:
EDUCATION
TYPE P ME ADDRESS F SCHOOL M �CIRCLE UA E
SCHOOL
EAR ATTENDED
HIGH S L 9101112 1 YES[IN
COLLEGE 1?34 [IYES[}NO
COLLEGE 1234 YES NO
GRADUATE 1234 [' A1NO
SCHOOL
BUSINESS.
DE OTHER 1234 1YES[1N
LIST TWO REFERENCES THAT ARE NOT RELATIVES OR,FORMER SUPERVISORS
AME ADDRESS 13NE N R RELATIONSHIP K N
z
KI®Managgr Aophcatlon for Employnwnt
page 1 or 3
Page 86 of 88
Manager lig ti
AGENDA ITEM #2.b.
Y
SEG NjM-_—'ibUh NOtt FtEUR EFSP'i'dV EW Q'CbWNUE WITR ALL PAST ElVhirB°fMWTWZRdNA{'-4FIEET IF
f�ESSs�Ft
NAME OF COMPANY Name SLlkle of Immediate Supervisor PHONE
ADDRESS-CITY,STATE,ZIP FROM..,.., � � TING SALARY
Month/Year Montltl"Year ENDING SALARY .....w .,,,,,,..
POSITION ..... ........ ........
DIMES:
EXPLAIN ANY PERIOD
REASON FOR LEAVINGe EEN IIS:
—L—I
NAME OF COMPANY Name STIfle of Immediate Supervisor PNONE
AIII)RCITY,STATE,ZIP
MonWYear MonthfYear ENDING SALARY
POSITION TITLE:...,. ....... ...... ....n,r����������...
DIME a„
EXPLAIN ANY PERIOD
REASON FOR LEAVING: BETWEEN SS:
ME OF COMPANY Name S Mde of Immediate Supervisor PHONE
ADDRESS-CITY,STATE,ZIP FROM..._
FENDING
Al�resAtAEY. ........ .....m,mm.,m,m,,,.
MonthfYear Month/Year SALARY ..................
POSITION TITLE:
DW IES;
EXPLAIN ANY PERIOD
REASON FOR LEAVING: BETWEEN :
NAME OF COMPANY Name&nue or
, .. . ., Irlate supervisor PHONE
ADDRESS- ®STATE,ZIP FROM„,.� � ..,,,,TO ... ilAG SA
INSFono ear Mo r E RY
Y
POSITIONTITCE:,,,,,,,,,,,,,,,,,, ........... ,. ......................
DUTIES:
REASON FOR LEAVING,
BETWEEN 30
KIR ManagerApplication ler Employntent
Page 2nr3
Page 7 of 88
Manager Application
AGENDA ITFAd #2A
" I 'IrION AND AGREEMENT
Pia F READ AND SIGN THE FOLLOWING AGREEMENT
II CERTIFY THAT At.[.ANSWERS IV EN BY 94E ARE'TRUE,ACCURATE AND COMPLETE.I UNDERSTAND THAT THE
FALSIFICATION, MISREPRESENTATION OR OMISSION OF FACT ON THIS APPU 77ON (OR ANY OTHER
ACCOMPANYING R REQUIRED DOCUIMENTSI WILL BE CAUSE FOR VENIAL OF EMPLOYMENT OR IMMEDIATE
IIATE
TERMINATION OF EMPLOYMENT,NT,IRIE ARDLIMS OF WHEN OR HOW DISCOVERED.
'The appilcakion vAl be given every counsidgmilion,but uts rec6ptt does not Gmnply that the applicant will be employed,
It Is the polucy of the Kodiak IsWnd Borough to allord equal opporturittty to all ulnsalAed employees and applicants for
employment mvAhouutt regard to age„race,re0ug0on,color,seas,national orlgM,ffnarlkal status,expunged juavenGOe records,or
pregnancy„ and to afford equal opporlaari ttles to disabled veterans, wetteram of the Vietnam era, and Individuals with a
disaUldy,any and other characteristics pnrottecRed by Federal,Stake or LocaI Raw.
I authorise the investigation or all statements and information contained In this appllcattinn, I ueiease from all liability
anyaane spuppllying such information and I also release the employer from all lial0tty that might result tram making an
invesfigahon,
ff hieed, i agree to alalde by all of the rules and regulations or the Kodiak Wand Borough. I fiuprllaer aandersttand that no
re*presenU:allon, whether oral or written by any representative or agent at the Kodiak Island Borough, at any lime, can
consbtuutte a contract or employment. in the event of my employment by the Kodiak Island Borough, I understand that
false or r>rwlslending inlorrnaattlon given in sway epplicaltaan or interview(s)may resu0tt In my dismissal.I understand also¢Pratt I
may be required to sign a conflict of lupRerestt agreement and/or confidenllalitty agreement.
I acknowledge that I have read and understand the alcove slaleruenCs and hereby grant permission to confirm the
inrormattion supplied by me on this appficat6orn.
KIB Manager Apoficaban Mr E'rVllp;myrrarriil
frwpe 3 cal 3
Page 88 of 88
KODIAK ISLAND BOROUGH
Regular Meeting
Regular Meeting of: -I spect&k Work sm)ot
Please PRINT your,name —Please PRINT your name
/7 1
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