2016-06-09 Work SessionPage
Kodiak Island Borough
Assembly Work Session
Thursday, June 9, 2016, 6:30 p.m.
Borouah Conference Room
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. 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.
CITIZENS' COMMENTS (Limited to Three Minutes per Speaker)
f�_Te3�i•1�7_\���di69
4 - 7 a. Review $10M Bonded Project Timeline and Status
Review $10M Bonded Project Timeline and Status Report -Tucker
8-10 b. Utilize Kodiak Community Foundation To Administer Kodiak
Island Borough FY2017 Non Profit Funding
Kodiak Community Foundation Information
3. PACKET REVIEW
PUBLIC HEARING
Ordinance No. FY2016-01A Amending Ordinance No. FY2016-01, Fiscal Year 2016
Budget, By Amending Budgets To Account For Various Revenues That Are Over
Budget, Providing For Additional Expenditures And Moving Funds Between Projects.
UNFINISHED BUSINESS
Resolution No. FY2017-02 Reestablishing The Fees For The Kodiak
Island Borough.
NEW BUSINESS
CONTRACTS
Contract No. FY2017-01 Kodiak Island Borough And City of Kodiak
Animal Control Services Agreement.
Contract No. FY2017-03 Discover Kodiak Destination Marketing And
Tourism Development Services For FY2017.
ORDINANCES FOR INTRODUCTION
Ordinance No. FY2016-23 Amending The 2008 Comprehensive Plan
By Changing The Future Land Use Designation Of An ±18.24 Acre
Portion Of Lot 2, U.S. Survey 1673 From Commercial/Business To
Industrial/Light Industrial (P7Z Case No. 16-017).
Visit our website at www.facebook.com/Kodiakislandborough @KodiakBorough
w
ww.kodiakak.us Page 1 of 10
Ordinance No. FY2016-25 Rezoning an ± 18.24 Acre Portion of Lot 2,
U.S. Survey 1673 From B -Business District to I -Industrial District.
Ordinance No. FY2016-24 Amending The 2008 Comprehensive Plan
By Changing The Future Land Use Designation Of Lots 1A Through 22A
Seaview Subdivision, U.S. Survey 2539 Old Shipyard-Womans Bay
Parcels A And B, And Lash Dock Tideland Lease From Conservation To
Industrial/Light Industrial.
Ordinance No. FY2016-26 Rezoning Lots 10 thru 13, Block 31, East Addition
Subdivision FROM R2 -Two Family Residential To R3 -Multifamily Residential (P&Z
Case No. 16-012).
ti!!tL /_10TTATel:11C7FYK6lITA Ii!IQIK
5. CLERK'S COMMENTS
6. MAYOR'S COMMENTS
t�GFY*3:1181 W&TJil:1tI, :WO163IIiLTA l:11i11169
FUTURE DISCUSSION ITEMS
KIBSD Budget
Review $10M bonded project timeline and status
SD Mental Health Services Provided by the Counseling Center
Borough Budget
Non Profit Funding Process Discussion
Town Hall Meeting to Discuss Priorities
Review Capital Planning (R&R) priority list & funding source
Borough Administration Oversight
Contracting and Procurement Process/Procurement Process Presentation
Review of the Salary Schedule and Overview of the Hiring Process
KIB Vacant Positions
Action Plans — Strategic Plan
Assembly Operations
Teleconferencing Ordinance
Role of Elected Officials During an Incident Command System
Boards, Committees, and Commission Structures/efficacy
Village Presentations at Regular Meetings
Consolidation
Consolidation of Fire Departments
Contracts Upcoming
Hospital (4/2017)
Solid Waste (4/2017)
Attorney (7/01/2016) (up to three additional one year renewals)
Visit our website at www.facebook.com/Kodiakislandborouqh
www.kodiakak.us 91 0
@KodiakBorough
Page 2 of 10
Budget Deadlines
KIBSD Budget
Assembly Approval (by 6/10/16)
Code Revisions
Amend Title 17.205.055 (B) Review
Visit our website at www.facebook.com/Kodiakislandborough@KodiakBorough
@KodiakBorough
www.kodiekak.us 91
Page 3 of 10
AGENDA ITEM #2.a.
KODIAK ISLAND BOROUGH
ENGINEERING/FACILITIES DEPARTMENT
DATE: .lune 6, 2016
FROM: Robert Tucker, Director®
TO: Michael Powers, Borough Manager
Staff Report
RE: Review $10M Bonded Project Timeline and Status
Background
In October 2014 the voters passed a $10 million bond package to Finance renewal and
replacement projects for school facilities. There were 28 total projects included in the bond
package, for items such as roof replacements, mechanical upgrades, and underground storage
tank replacements. The project list was vetted by the Assembly, School Board, School Facilities
Review Board and Borough Staff.
After the bond package was approved the projects were placed into nine groups and ranked by
the School Facilities Review Committee and Borough Staff. The revised list was presented to the
Assembly at the work session on August 13, 2015. The original and grouped lists are shown
below:
Rank
Voter Approved Project Title
Grouped Project Title
1
Kodiak Middle School Bus Ramp Roof Replacement
Roofing Replacement —
East and KMS
East Elementary School Cafeteria Roof Replacement
2
East Elementary School Flooring Replacement
East Elementary
Renovations
East Elementary School Partial Interior Renovation
East Elementary School Replacement of Plumbing
Fixtures
3
Peterson Elementary School Flooring Replacement
Flooring Replacement —
Main and Peterson
Main Elementary School Gym Floor Replacement
Page 4 of 10
Review $10M Bonded Project Timeline and Status
AGENDA ITEM #2.a.
4
Peterson Elementary School Replacement of Boilers
Peterson Boilers and
Controls
Peterson Elementary School New HVAC (Heating)
Controls
5
Kodiak Middle School New Elevator Controls
KMS Fire Alarm,
HVAC, Elevator
Controls
Kodiak Middle School New HVAC (Heating) Controls
Kodiak Middle School Fire Alarm Replacement
6
Ouzinkie School Old Wing Flooring Replacement
Flooring Replacement —
Akhiok, Karluk,
Ouzinkie
Ouzinkie School New Wing Flooring Replacement
Akhiok School Flooring Replacement
Karluk School Flooring Replacement
7
Kodiak Middle School Rear Parking Lot Paving
Peterson and KMS
Paving, KMS UST
Rcplacemenl
Kodiak Middle School Underground Storage Tank
Replacement
Peterson Elementary School Parking Lot Paving
8
Old Harbor School Playground Equipment Replacement
Playground
Replacements
Ouzinkie School Playground Equipment Replacement
Port Lions School Playground Equipment Replacement
Chiniak School Playground Equipment Replacement
Karluk School Playground Equipment Replacement
Akhiok School Playground Equipment Replacement
9
Port Lions School Underground Storage Tank
UST Replacement —
Replacement
Main, Old Harbor, Port
Lions
Main Elementary School Underground Storage Tank
Replacement
Old Harbor School Underground Storage Tank
Replacement
After this meeting, with direction from the Assembly, the project applications were written and
submitted to the Alaska Department of Education and Early Development (DEED) for approval.
The applications were approved by DEED on September 25, 2015.
Once the bundled projects were approved by DEED, the School Facilities Review Committee
and Borough staff met to work out the scheduling, and it was determined that the projects would
be spread over a three year period.
On January 7, 2016, the Assembly approved the First bond sale so that design and construction
could get underway for the first year of projects. Not all of the bonds have been sold to date.
Page 5 of 10
Review $10M Bonded Project Timeline and Status
AGENDA ITEM #2.a.
Analysis
The Assembly has expressed an interest in completing the list of bond projects in two years,
rather than three. There are several items to consider during this discussion:
Schedule
The first year of projects is already underway, with the following currently under
construction: Roofing Replacement — East and KMS, Flooring Replacement — Main and
Peterson, and Peterson Boilers and Controls Replacement. The Playground Replacements
project is currently under design, with construction scheduled for summer 2017.
To complete the balance of these projects in the next year would require starting immediately
so we can complete the design process, perform Architcclural/Engineering Review Board
reviews, get DEED approval on the design and bid documents, issue bid documents, and
submit contracts for Assembly approval in time to start construction at the beginning of next
summer. Because there are paving and underground storage tank projects on the list, there
would also be additional geotechnical investigation and Alaska Department of Environmental
Conservation reviews. All of this would have to be accomplished while continuing to
effectively manage the projects currently underway.
Staff Resources
The Projects Office currently has three employees: Project Manager/Inspector, Construction
Inspector/Engineer, and Projects Assistant. Assuming approximately one more year to work
on these projects, there would be combined 6,000 staff hours between those employees.
Previous projects of a similar size and scope have required between 700 and 900 staff hours
to complete, meaning the six remaining projects would require between 4,200 and 5,400 staff
(tours. This does not take into account non -school projects currently underway or under
discussion, such as Baler Building Roof/Siding, Tsunami Sirens Replacement, Borough
Building Flooring Replacement, Chiniak Tsunami Shelter, and deferred improvements to the
Hospital.
In addition, the Engineering/Facilities Department is currently understaffed, which means
often Projects Office staff is required to assist in day-to-day operational issues. For example,
Projects Office staff has been instrumental in updating Borough Safety Data Sheets, assisting
with responding to the recent OSHA complaint, and assisting with operation of the Landfill
in the absence of a Solid Waste Manager.
Quite simply, the current staff members do not have enough time to properly manage
completion of the remaining projects in the next year. In the past we have attempted to hire
project managers on a temporary basis and have not received any applications or interest.
Page 6 of 10
Review $10M Bonded Project Timeline and Status
AGENDA ITEM #2.a.
Project Budgets
As noted above, there is not enough available staff to properly manage completion of these
projects in the next year. The project agreements with DEED included budgets for Direct
Administrative Overhead (in-house project management) and not Construction Management
by Consultant, meaning we cannot hire outside project managers. We may be able to get
these budget categories changed by going back to DEED but this would not change the
overall project budget. The current hourly rate, including burden, for an in-house project
manager is $60. To hire a consultant project manager would cost approximately $125 per
hour. The project budgets were not compiled with outside consultants in mind, and there is
concern that we may exceed those budgets if we are required to get outside project
management. Any funds spent outside of the set bond funding approval are the Boroughs
responsibility.
Local Contractors
The Assembly has repeatedly expressed a desire for staff to keep the size and scope of these
projects small enough that local contractors can bid on them. While the size and scope of
each individual project will not change, having them all bid and constructed at one time may
flood the market and limit the amount of local participation.
Underground Storage Tank and Paving Project Risks
When the projects were grouped and ranked, underground storage tank (UST) replacement
and paving projects were placed last. UST projects invariably involve unknown quantities of
contaminated soil, and there are serious concerns with the adequacy of the substrate behind
the Kodiak Middle School. Both of these issues have the potential to result in cost overruns
for those projects. Because of this they were placed last so we could be assured of
completing as many of the voter approved projects as possible. The DEED will allow
redirection of bond funds from other projects, but only once a project is complete and has
been accepted. If we complete the bulk of the projects within the approved budgets, we
would be able to redirect the excess funds to the UST and paving projects if necessary. If we
start the UST and paving projects before completing the other projects, there is no guarantee
DEED would allow redirection of funds, meaning Borough funds might be required to
complete the project. And if DEED did allow redirection of funds, it might mean one of the
voter -approved projects would not be completed.
Recommendation
Staff recommends that the schedule be kept to the original three year plan for completion of the
bonded projects for all the reasons stated above.
We work long and hard to make schedules and look at projects to be sure we can handle what is
needed for the Borough and try to keep in mind a long range plan to continue to produce quality
projects that will last long into the future. It is our opinion that trying to complete all the
remaining bond projects in the next year would not allow for that level of quality to be achieved.
Page 7 of 10
Review $10M Bonded Project Timeline and Status
AGENDA ITEM #2.b.
Fuwdation
Kodiak Community Foundation 11
F)u, aIle lw!Ug odt 6c as clad y ah
nnn)pfimroJTht.uata comma �.yFaa aa::en an role fol ate aatollttz ,
NEWS$EEvyn%TWEY BEEN DOING. GRANTS GIVE MEMBERS CONTACT
Kodiak Community
Foundation Grant
Cycle Opens
Theftodiak Corn unlry
Faudatronseel¢ynnt
appli.borsfrom
nonpofit orequivalentl
organin5ors that are in
or sysa the Kod,ak
Arthipelago. Awarded
pant proposals most be
completedvdthinone
year. Typical grant awards
,.No ft. $500 - $1.000.
Kodiak Cle Meets
Rasmuson Match
The Kodiak Community
Foundatmn has reached
the Ra:mmon match!. T1r
goalvnstoraise$25"
Kodiak Community Foundation
�,• miakisarbrantmmmunity an an eland inthe GUlfdAla:ka Km:akrcidentsarc
.� fiereely aoodeftheir community and continuoushcommit their time and resources
\ ints rojeets forthebetterment ofall.The Kodiak Community Fourdations mission is
Wenha ed walltyd Alam Itfathrough CDrt rod WeMnj.
Asa maritime community. Kodiak residents love strong ties to the ruLural elements f sany of us
depend on Kmialfs 1=1 fish am wildlife for subsist.,ind livelihoods Despite the ehanging
landsoped homing in the state d Alaska, Kodiak is aware of the importameof se!f
We have erne together to prad m local initiative forvision-oriented legacy planning and givmB
This is how the Kmtak Community Foumatmo began; vith a dream of providing the means for
imprc xmrnt in the pualiN of lifewithin our tovm
- N}trzedonerghesmtF.e Fvdmk Gmmunly Fvundvtlo. thq�iemn
6rFaeda (egary nmoartdtrt:o the firmmhe lrm!ak Fnmmurtry
Fourdac'cn is a permaum fund ford;e.Codtak regloa }burgljrs uYR 6e
par[cfa lc �-turn mdoxmmt, c!!cxingyou m Invtst!n crr mmmunLy4
funic: ar,d ronptburm m ... qudtry of(ffe. TkeFodak Commun.fry
F.nefoeeo em}shoof fa', ngad, d alum mmmvr.:V.p1eggentreonly,
gedringnlf-rr!lanm, andgmMgg support far renes rhor mvtm.
Your donation will:
Cornett donorsvn th rices th, cano .bout
Catalyse mnmnunity Planning between individuals, organinti. and governments
Support non-pofds through pants am edueational training
Page 8 of 10
Utilize Kodiak Community Foundation To Administer Kodiak Isl...
" - Kodiak Community Foundation
i A A(fifiofe ofThr Mase Cnmmanityfoandation
Kodiak Community
Foundation Grant
Cycle Opens
The Kodiak Community
Foundationseeksgrant
aoVlicatlonsfrom
nonprofit (or equivalent)
orvruaatiass that are in
or serve the Kodiak
ArdiipefaV.Awarded
gnntpngtgsalsrnmtbe
completedwithinone
year.Typiufgram awards
range from $500-$1000
Kodiak CF Meets
Rasmuson Match
The Kodiak Community
Foundation has reached
the Rasmuspn match! The
goal was to raise $25,000
AGENDA ITEM #2.b.
'Out community tetft 6e at, ntteay ah
M!T eox i01 w a odict.'
NEWS sa%%�nV_Y BEEN oo:Nc. GRANTS GIVE MEMBERS CONTACT
Advisory Board Members
Mark Anderson
GinmyA termuA Interim Chair S Sevetary
5teve Gray
Sarah Marrin&wn,Treasurer
Craig Johnson, Yce.Chair
Rita steK
Mike Wall
Page 9 of 10
Utilize Kodiak Community Foundation To Administer Kodiak Isl...
AGENDA ITEM #2.b.
Kodiak Community Foundation J qua anunwtug ont 66 ae btmlq t
ArtA((riiauofihe Alaska Community Foundation J auz caw fm me anedia.'
NEWS SEE WttATWEVE BEEN DOING, GRANTS GIVE MEMBERS CONTAC
=—mac --
Kodiak Community
Foundation Grant
Cycle Opens
The Kodiak Community
Foundation seeks grant
apPliotiatssfram
nonprofit (or equivalent)
organizationsthatare in
orservethe Kodiak
Archipelago.Avrarded
grant Proposals must be
mmPletedviitKnone
year. Typi nal gent avrards
range from $500 - $1,000.
Kodiak CF Meets
Rasmuson Match
The Kodiak Community
Foundation has reached
the ftasmuson match! The
goal vaisto raise $25,000
Contact Us
eachusbyustngtheoantactform bel w,emailirrykodiak@alaskact.orgmmMacting
member ofourndvisory Board directly.
Send us mail
Kodiak Community Foundation
PO Boz400
Kodiak Alaska 99615
Fart Urt
Emaa• Pha.
Page 10 of 10
Utilize Kodiak Community Foundation To Administer Kodiak Isl...
KODIAK ISLAND BOROUGH
ENGINEERING/FACILITIES DEPARTMENT
DATE: June 6, 2016
FROM: Robert Tucker, Director
TO: Michael Powers, Borough Manager
Staff Report
RE: Review $10M Bonded Project Timeline and Status
Background
In October 2014 the voters passed a $10 million bond package to finance renewal and
replacement projects for school facilities. There were 28 total projects included in the bond
package, for items such as roof replacements, mechanical upgrades, and underground storage
tank replacements. The project list was vetted by the Assembly, School Board, School Facilities
Review Board and Borough Staff.
After the bond package was approved the projects were placed into nine groups and ranked by
the School Facilities Review Committee and Borough Staff. The revised list was presented to the
Assembly at the work session on August 13, 2015. The original and grouped lists are shown
below:
Rank
Voter Approved Project Title
Grouped Project Title
1
Kodiak Middle School Bus Ramp Roof Replacement
Roofing Replacement —
East and KMS
East Elementary School Cafeteria Roof Replacement
2
East Elementary School Flooring Replacement
East Elementary
Renovations
East Elementary School Partial Interior Renovation
East Elementary School Replacement of Plumbing
Fixtures
3
Peterson Elementary School Flooring Replacement
Flooring Replacement —
Main and Peterson
Main Elementary School Gym Floor Replacement
4
Peterson Elementary School Replacement of Boilers
Peterson Boilers and
Controls
Peterson Elementary School New HVAC (Heating)
Controls
5
Kodiak Middle School New Elevator Controls
KMS Fire Alarm,
HVAC, Elevator
Controls
Kodiak Middle School New HVAC (Heating) Controls
Kodiak Middle School Fire Alarm Replacement
6
Ouzinkie School Old Wing Flooring Replacement
Flooring Replacement —
Akhiok, Karluk,
Ouzinkie
Ouzinkie School New Wing Flooring Replacement
Akhiok School Flooring Replacement
Karluk School Flooring Replacement
7
Kodiak Middle School Rear Parking Lot Paving
Peterson and KMS
Paving, KMS UST
Replacement
Kodiak Middle School Underground Storage Tank
Replacement
Peterson Elementary School Parking Lot Paving
8
Old Harbor School Playground Equipment Replacement
Playground
Replacements
Ouzinkie School Playground Equipment Replacement
Port Lions School Playground Equipment Replacement
Chiniak School Playground Equipment Replacement
Karluk School Playground Equipment Replacement
Akhiok School Playground Equipment Replacement
9
Port Lions School Underground Storage Tank
UST Replacement —
Replacement
Main, Old Harbor, Port
Lions
Main Elementary School Underground Storage Tank
Replacement
Old Harbor School Underground Storage Tank
Replacement
After this meeting, with direction from the Assembly, the project applications were written and
submitted to the Alaska Department of Education and Early Development (DEED) for approval.
The applications were approved by DEED on September 25, 2015.
Once the bundled projects were approved by DEED, the School Facilities Review Committee
and Borough staff met to work out the scheduling, and it was determined that the projects would
be spread over a three year period.
On January 7, 2016, the Assembly approved the first bond sale so that design and construction
could get underway for the first year of projects. Not all of the bonds have been sold to date.
Analysis
The Assembly has expressed an interest in completing the list of bond projects in two years,
rather than three. There are several items to consider during this discussion:
Schedule
The first year of projects is already underway, with the following currently under
construction: Roofing Replacement — East and KMS, Flooring Replacement — Main and
Peterson, and Peterson Boilers and Controls Replacement. The Playground Replacements
project is currently under design, with construction scheduled for summer 2017.
To complete the balance of these projects in the next year would require starting immediately
so we can complete the design process, perform Architectural/Engineering Review Board
reviews, get DEED approval on the design and bid documents, issue bid documents, and
submit contracts for Assembly approval in time to start construction at the beginning of next
summer. Because there are paving and underground storage tank projects on the list, there
would also be additional geotechnical investigation and Alaska Department of Environmental
Conservation reviews. All of this would have to be accomplished while continuing to
effectively manage the projects currently underway.
Staff Resources
The Projects Office currently has three employees: Project Manager/Inspector, Construction
Inspector/Engineer, and Projects Assistant. Assuming approximately one more year to work
on these projects, there would be combined 6,000 staff hours between those employees.
Previous projects of a similar size and scope have required between 700 and 900 staff hours
to complete, meaning the six remaining projects would require between 4,200 and 5,400 staff
hours. This does not take into account non -school projects currently underway or under
discussion, such as Baler Building Roof/Siding, Tsunami Sirens Replacement, Borough
Building Flooring Replacement, Chiniak Tsunami Shelter, and deferred improvements to the
Hospital.
In addition, the Engineering/Facilities Department is currently understaffed, which means
often Projects Office staff is required to assist in day-to-day operational issues. For example,
Projects Office staff has been instrumental in updating Borough Safety Data Sheets, assisting
with responding to the recent OSHA complaint, and assisting with operation of the Landfill
in the absence of a Solid Waste Manager.
Quite simply, the current staff members do not have enough time to properly manage
completion of the remaining projects in the next year. In the past we have attempted to hire
project managers on a temporary basis and have not received any applications or interest.
Project Budgets
As noted above, there is not enough available staff to properly manage completion of these
projects in the next year. The project agreements with DEED included budgets for Direct
Administrative Overhead (in-house project management) and not Construction Management
by Consultant, meaning we cannot hire outside project managers. We may be able to get
these budget categories changed by going back to DEED but this would not change the
overall project budget. The current hourly rate, including burden, for an in-house project
manager is $60. To hire a consultant project manager would cost approximately $125 per
hour. The project budgets were not compiled with outside consultants in mind, and there is
concern that we may exceed those budgets if we are required to get outside project
management. Any funds spent outside of the set bond funding approval are the Boroughs
responsibility.
Local Contractors
The Assembly has repeatedly expressed a desire for staff to keep the size and scope of these
projects small enough that local contractors can bid on them. While the size and scope of
each individual project will not change, having them all bid and constructed at one time may
flood the market and limit the amount of local participation.
Underground Storage Tank and Paving Project Risks
When the projects were grouped and ranked, underground storage tank (UST) replacement
and paving projects were placed last. UST projects invariably involve unknown quantities of
contaminated soil, and there are serious concerns with the adequacy of the substrate behind
the Kodiak Middle School. Both of these issues have the potential to result in cost overruns
for those projects. Because of this they were placed last so we could be assured of
completing as many of the voter approved projects as possible. The DEED will allow
redirection of bond funds from other projects, but only once a project is complete and has
been accepted. If we complete the bulk of the projects within the approved budgets, we
would be able to redirect the excess funds to the UST and paving projects if necessary. If we
start the UST and paving projects before completing the other projects, there is no guarantee
DEED would allow redirection of funds, meaning Borough funds might be required to
complete the project. And if DEED did allow redirection of funds, it might mean one of the
voter -approved projects would not be completed.
Recommendation
Staff recommends that the schedule be kept to the original three year plan for completion of the
bonded projects for all the reasons stated above.
We work long and hard to make schedules and look at projects to be sure we can handle what is
needed for the Borough and try to keep in mind a long range plan to continue to produce quality
projects that will last long into the future. It is our opinion that trying to complete all the
remaining bond projects in the next year would not allow for that level of quality to be achieved.
KODIAK ISLAND BOROUGH
WORK SESSION
Work Session of:
Please PRINT your name
Please PRINT your name
- /
Gu �Z,q�v
fit'
,� T,�-w All