2009-04-30 Work SessionKodiak Island Borough
Assembly Work Session
Thursday, April 30, 2009, 7:30 p.m., Borough 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)
AGENDA ITEMS:
1. Review of FY2010 Draft Budget
2. Letter to the State of Alaska Requesting the Painting of the Near Island Bridge
PACKET REVIEW
PUBLIC HEARING
Ordinance No. FY2009 -19 Amending the *State of Alaska Alcoholic Beverage
Kodiak Island Borough Code of Ordinances Control Board Application for Restaurant
Title 7 Elections. Designation Permit for the Olds River Inn,
CONTRACTS 32233 Pasagshak Road, Kodiak, AK 99615
Contract No. FY2009 -17 with Wolverine (Licensee: Circle B, LLC).
Construction for the East Elementary *Declaring a Seat Vacant on the
Heating and Ventilation Upgrades and Monashka Bay Road Service Area Board.
Window Replacement. *Declaring a Seat Vacant on the
*Contract No. FY2009 -18 with Control Planning and Zoning Commission.
Contractors, Inc. as a Sole Source Confirmation of the Assembly
Provider /Installer of Barber - Colman HVAC Appointment to the Service Area No. 1
Controls for the KHS HVAC Upgrades. Board.
Contract No. FY2006 -39C Amending *Declaring a Seat Vacant on the
Contract No. FY2006 -39 Solid Waste Womens Bay Service Area Board.
Collection with Alaska Pacific Environmental Assembly Approval of the Vacation in
Services of Anchorage, LLC, dba Alaska Accordance With KIBC 16.60.060 of the
Waste. North 10 Foot Portion of a 20 Foot Utility
RESOLUTIONS Easement on Lot 21, Block 11, Woodland
*Resolution No. FY2009 -30 Approving Acres 7th Addition.
the Proposed Additions for Inclusion in the Assembly Approval of a Vacation in
Existing Payment in Lieu of Tax Agreement Accordance With KIBC 16.60.060 to Allow a
with the Kodiak Island Housing Authority for Reduction in Width for an Existing 50 foot
Certain Properties. "Easement for Salmon Stream" as Depicted
ORDINANCES FOR INTRODUCTION on Plat 2006 -13, Essentially Creating a 50
Ordinance No. FY2009 -20 Rezoning Lot 7, foot Buffer Area Along Both Sides of
Block 11, Ouzinkie Townsite Subdivision Panamaroff Creek, to be Reduced in Width
From R1- Single Family Residential To B- to 20 -feet on Both Sides of Panamaroff
Business (P &Z Case 09 -014). Creek, a Reduction of 30 Feet on Both
OTHER ITEMS Sides of the Creek (Lots 1, 2, and 3 of
Panamaroff Creek Estates).
MANAGER'S COMMENTS
CLERK'S COMMENTS
MAYOR'S COMMENTS
ASSEMBLY MEMBERS COMMENTS
Dave Killeen
11166 Lake Orbin Drive
Kodiak, Alaska 99615
April 21, 2009
Rick Gifford
Manager
Kodiak Island Borough
710 Mill Bay Road
Kodiak, AK 99615
Dear Mr. Gifford,
Please find attached a proposal and support request from the Kodiak Rodeo and State Fair
Board and Kodiak Island Racing Association. Our request is in regard to the clean up of
decades worth of accumulated materials and scrap located on these public use facilities.
If you have any further questions or concerns please do not hesitate to contact me.
Thank you in advance for your support.
Sincerely,
Dave Killeen, President
Kodiak Rodeo and State Fair Inc.
Enclosure
Spring cleanup proposal for Kodiak Rodeo and State Fairgrounds (KRFS)
And Kodiak Racing Association. (KRA)
4 -21 -09
Over the course of 30 or so years the Fairgrounds and Raceway area have accumulated a
substantial amount of scrap steel, a few junk vehicles and junk equipment. The Board
members of these two organizations desire to commit volunteers to clean up the
Fairgrounds and Raceway area and beautify these public use facilities. One impediment
to a cleanup is the lack of funding available for land fill and scrap yard fee's.
Both organizations operate on very tight margins and in many years operate at a loss.
Both organizations are non -profit without any regular public funding. Both organizations
occasionally receive donations of equipment used to operate the facilities. This
equipment typically comes from private entities who have deemed it unfit for full time
service in their business but recognize that there are a few more years of use available in
a less rigorous application.
KRSF & KRA propose to provide volunteer labor and equipment to load and transport
excess materials from the area. KRSF & KRA request the Borough sponsor the cleanup
by using funds budgeted for public cleanup purposes to pay the scrap yard fees and in
addition provide a weight allowance at the landfill for non -scrap yard items.
The Boards of KRFS and KRA intend to modify use rules to the facilities to limit future
accumulation of scrap material and equipment, and to plan for disposal of donated
equipment as part of the acceptance process at the time of acquisition.
List of large items for disposal.
Kodiak Fairgrounds
1. Tanker trailer. Approximate weight 60001bs.
2. Dump truck box Approximate weight 20001bs.
3. Miscellaneous scrap steel. Approximate weight 20001bs
TOTAL 10,0001bs.
Kodiak Race way
1. Rusty guardrail and miscellaneous steel, 20001bs.
2. Rolling compactor, approximate Weight 50001bs
3. Abandoned racecar, approximate Weight 30001bs.
4. Abandoned racecar, approximate Weight 15001bs.
5. Scrap road grader, approximate Weight 80001bs.
6. Old tank, approximate Weight 10001bs.
7. Abandoned pickup truck, approximate Weight 30001bs.
8. Tow truck, approximate Weight 60001bs.
9. Miscellaneous tires. Starting weight 80001bs.
10. Old flat bed truck, approximate Weight 40001bs.
11. 20 foot container, approximate Weight 20001bs.
12. flat bed trailer, approximate Weight 20001bs.
13. Large equipment tire w/ axel stubs. 20001bs.
Total estimated weight. 47,500 lbs.
Kodiak Fairgrounds disposal items list.
Item #1 Tanker trailer.
Item #2 Dump truck box.
Kodiak Race Association items list
ITEM #1. Old rusty sections of guardrail & miscellaneous steel will be disposed of.
Galvanized guardrail in good shape will be kept. We can add the old rusty steel to the
contents of another item (connex, dump body, tanker).
ITEM #2 Old rolling compactor to be disposed of. Weight is approximately 50001bs.
Drums need to be drained of water
ITEM #3 Old racecar needs to go.
ITEM #4 Old car carcass
ITEM #5. A very old grader.
ITEM #6 Old rectangular tank in center.
ITEM #7 Pickup truck w/ orange cab(right of tank).
ITEM #8 Tow truck
ITEM #9 Various tires. Some will be saved for track bumpers. Tires directly to landfill?
ITEM #8 close up.
Item #10 Old truck
Item #11 Old 20ft container. Contains a few dozen old steel chairs. Both go to deposal.
ITEM #11 inside view.
ITEM #12 Old trailer carcass /with steel boxes.
ITEM #13 The two tires with axels attached.
0
<oclia -< Raceway disposaL
ITEM 8
ITEM 7
ITEM 3
ITEM 6
ITEM 9
ITEM 11
ITEM 12
Road grader
ITEM 4
/
0
I
1
I
I
ITEM 5
GATE
ITEM 1
- nap
<ocia -< Race Association
Spring cleanup vay 2009
TO:
THROUGH:
FROM:
SUBJECT:
DATE:
Kodiak Island Borough
MEMORANDUM
Borough Mayor and Assembly
Rick Gifford, Borough Manager o //�� li
Karleton Short, Finance Director 164,
FY2009 Budget
April 21, 2008
Attached is the first draft of the FY2010 Borough Budget. There are several important points
that I would like to bring up here and then we will go through the budget on a fund by fund
approach. A calendar is attached.
General Fund
The General Fund is balanced with a "use of fund balance" of $1,427,033. The fund balance at
June 30, 2008 was $3,230,482 and we budgeted to use $749,169 in FY2009. This leaves
$2,481,313 of available fund balance for FY2010.
This budget includes a .25 mill rate increase. One mill equals $1,030,000 and .25 mills equals
$257,500. This is the second year the Borough has had to pay debt service on the 2008A bond
issue. The Borough's portion of the debt service comes to .24 mills.
We have budgeted $105,000 in interest earnings. In FY2008 the Borough made $544,926 on our
investments but as of March 14, 2009 only $236,407 has been earned and rates are not expected
to be higher in the next year or two.
The Borough should be receiving additional funding from the State in FY2010. This is a pass
though from the federal economic stimulus funding. Governor Palin has not yet signed the bill
but per Bill Rolfzen it should amount to $220,371.
In FY2009 we moved the draftsman technician position from the Community Development
Department to the MIS department and changed the job title to GIS technician. The cost of this
new position is budgeted at $100,510, salary of $56,210 and fringe benefits of $44,240. We
have increased the maintenance line item by $29,095. Most of this increase is due to the new
assessing program.
The contracted services line item in the Community Development Department has been
increased by $115,000. This money will be used to update title 16 (subdivision) and title
17(zoning) of the Borough Code and to develop a trails master plan.
An enforcement officer's position was also added to the Community Development Department.
• A Parks and Recreation department has been added to the General Fund and is budgeted at
$36,000.
C Building Inspections expenditures are budgeted at $153,778 while revenues are budgeted at
$51,200.
The School District Support department is budgeted $560,399 more than last year. Most of this
increase is due to debt service. In FY2009 the Facilities Fund transferred $932,000 to debt
service but only $595,000 is budgeted for FY2010.
The Borough is budgeting $11,429,605 for school district expenditures. This does not include
capital project costs. This includes expenditures in the General Fund, Building and Grounds
Fund, and the Debt Service Fund. This is equivalent to 11 mills.
This budget does not include an increase in the appropriation to the School district. The School
District's budget calls for an appropriation of $9,663,593 whereas this budget only includes an
appropriation of $9,300,000. This requested $363,593 increase equates to a .35 mill rate
increase.
This budget does not include an increase for emergency preparedness. Because of fears of the
new flu virus we may consider an increase before the budget is submitted on May 21.
Special Revenue Funds
In FY2009 the Assembly added a resource manager's position to the Land Sales budget. This
increases the budget by $108,000 over prior years. We have budgeted $20,000 for surveys in the
Land Sales fund in anticipation of the sale of Borough Land.
The Building and Grounds fund is budgeting to use $271,010 in fund balance. Their current
fund balance is $254,525 with $109,075 budgeted to be used in FY2009. This will result in a
negative fund balance. We are planning to do a study on our rental rates again this year.
We have added two new departments to the Building and Grounds fund: School Buildings Major
Repairs and Various Borough Buildings Repair.
The Womens Bay road service district is requesting a mill rate increase of one -half mill to 2.5
mills. This increase has been made to begin a multi -year program to focus on topping the gravel
road surfaces with a new wear layer.
We have not budgeted for a director of the Kodiak Arts Council.
We have budgeted a $480,000 (32%) decrease in Facilities Fund interest earnings. In FY2007
and FY2008 we made over $2,000,000 but we are only projecting earnings of $1,000,000 for
FY2010. We are predicting a rate of 2.5% on our investments.
We are projecting $100,000 in bed tax revenues for FY2010 but the economy, pirates, and the flu
may have a very negative effect on tourism. At this time only the KICVB has made a request;
their request was for $55,000. On April 30, 2009 the tourism development fund has $56,414 in
cash.
2
c
C
Debt Service
Debt Service expenditures are budgeted at $4,076,799. We are budgeting state debt
reimbursement at $2,152,530 leaving $1,924,269 to come from local sources. This is basically
two mills.
Capital Projects
The Borough has $57,270,591 in ongoing capital projects.
The Borough will receive $3,236,143 in reimbursement from the State for our Kodiak Schools
Seismic Mitigation Project. This will fund the $2,601,122 in maintenance projects added to the
capital budget this year. This also leaves $1,242,868 in undesignated capital projects for future
projects.
We still have a problem. The borough is considerably behind in the repairs and maintenance of
some of our facilities. Our total project list is right at $24,000,000, when we deduct the projects
budgeted for FY2010 it still leaves $21,000,000.
The only way to pay for these repair and maintenance costs is to raise revenues, which for us
means a mill rate increase. There are two ways to go about the financing though. We can:
➢ Raise the mill levy and go on a pay as you receive tax revenue plan.
➢ Sell a bond issue, do the repairs and maintenance projects now, and pay off the bonds.
A bond issue for the $21,000,000 will cost the Borough about $1,550,000 per year. The State
will reimburse us 70% of the costs for school projects. After this deduction I came up with a
quick estimate of the Borough paying $1,000,000 per year or 1 mill
Enterprise Funds
The Solid Waste fund currently has $6,331,105 in cash and investments. There is a note payable
of $1,810,176 and closure /post- closure costs of $4,041,730. At the end of FY2008 the Solid
Waste Disposal Fund had retained earnings of $445,484. The FY2009 budget was balanced with
a "use of fund balance" of $204,785 and this budget was balanced with a "use of fund balance"
of $69,272.
This budget is also balanced upon several rate increases. These increases are:
1. Increase sludge from $75 per ton to $100 per ton. This will bring in an additional
$50,000 in revenue.
2. Increase Construction/demolition waste from $100 per ton to $110 per ton. This will
amount to $20,000.
3. Increase asbestos from $135 per cubic yard to $200 per cubic yard. This will increase
revenues by $3,640.
4. Increase the Coast Guard disposal fees from $115 per tone to $135 per ton. This will
increase revenues by $23,040.
The K.F.R.C. currently has one receptionist. This budget would add another receptionist who
would spend 50% of their time at the K.F.R.C. Their remaining time would be spent in the
Engineering/Facilities Department and other Borough departments and projects.
Summary
3
. I have skipped over many of our funds and just discussed the ones that I thought had material
changes or that people wanted to discuss. We will go over all of the different funds during the
budget process.
4
FY 2010 Budget Worksession Calendar
April 30, 2009 Worksession General Fund
Engineering /Facilities
May 14, 2009 Worksession
May 21, 2009 Regular
May 26, 2009
June 4, 2009 Regular Adopt Budget
Special Revenue Funds
Land Sales
Facilities Fund
Projected earnings
Available earnings
Fund debt service of General Fund or Hospital
Road, Fire and misc.
Debt Service Fund
Enterprise Funds
Solid Waste
Hospital
KFRC
E -911
Capital Projects
General Fund
Revenues
Fee Resolution
Mill Rate
Departments
Assembly
Manager
Clerk
Legal
Finance
MIS
Assessing
Community Development
Building Inspection
Economic Development
General Administration
School District Support
KIBSD Contribution
Funding for debt service
Introduce Budget - Power Point
Pass KIBSD funding resolution
Pass Fee Resolution
Work Session if needed
Nova Javier
From: jnifulp @gci.net on behalf of Judy Fulp [jnifulp @gci.net]
Sent: Wednesday, April 22, 2009 8:31 AM
To: Rick Gifford; Nova Javier
Subject: Possible Agenda Item
I will be gone for the next meeting on the 30th but I was wondering if you could bring up a
possible item for the agenda setting meeting: a letter to the State of Alaska from the Mayor
and Assembly requesting
that the State of Alaska paint the Near Island Bridge, for
beautification and essential maintenance purposes. Thanks very much!
Judy
Sent from my iPhone
DATE: April 30, 2009
TO: Borough Mayor and Assembly
THRU: Rick Gifford, Manager
Woody Koning, E/F Director
FROM: �en Smith, Project Manager
RE: Projects Status Report
CURRENT PROJECTS STATUS:
NEW KODIAK POOL
Janssen Contracting is currently approx 75% complete and the pool remains on schedule to open in
August. The concrete tank was filled with water to
check for leaks. Having found and repaired a few, the
pool will be filled again starting Monday and the
process repeated as necessary until the leaks are
controlled. Only then will the tank receive the tiled
finish. There remains a small amount of interior
concrete work to be completed and the floors in the
natatorium and locker rooms will be ready for tile. Tile
crew will be here and ready to start on Monday. Interior
walls are mostly complete including paint. Glazers are
working on interior storefront windows in the reception
and lifeguard stations. Mechanical rough -in is complete
and the plumbers are de- mobing the site. Final prep for
siding is ongoing and the siding crew will be starting
actual installation of siding on Monday. The upper lot is being cleared so that Twin Peaks can begin final
grading of the upper parking lot. They will also be grading and contouring the alleyway shared with the
Armory in preparation for paving in the summer.
KODIAK MIDDLE SCHOOL SEISMIC UPGRADE
Phase HA of the Middle School Seismic Upgrade was completed last summer. Phase BB includes the
remainder of the 2 story portion excluding the gymnasium and will be completed this summer under the
same contract with Brechan. Work is to begin June 1 and be completed this summer.
Z:\Admin\Bond Project Status\Project Status Report 090430.docx
KODIAK ISLAND BOROUGH
ENGINEERING/FACILITIES DEPARTMENT
710 Mill Bay Road
Kodiak, AK 99615
(907) 486 -9341 Phone (907) 486 -9394 Fax
ksmith@kodiakak.us
MEMORANDUM
4
OUZINKIE GYM RENOVATION AND
SEISMIC UPGRADE
The seismic portion of the work was completed within
the FEMA performance period. The gymnasium and
locker rooms were turned over to the school for their use
today. Final startup, testing and commissioning of
mechanical and electrical fire safety systems are
scheduled in the coming week. The final coat of exterior
paint and a little touch up is all that remains to complete
the project.
CHC ADDITION TO PKIMC
Brechan Enterprises began work on the project last May. The building is very nearly complete including
interior paint, finishes, floor covering, fixtures and
cabinets. Remaining work includes final installation
and coordination of fire alarms and IT systems. The
building may be completed and turned over to the CHC
a bit early if the remaining challenges with the fire
alarm system can be conquered. Final landscaping and
site work is underway now that the ground is clear of
snow and thawed. The entire project is currently just
over 85% complete and on schedule to be completed in
June of 2009 with the possible exception of paving the
west parking lot if the pending change order for this
much needed work is approved..
BAYSIDE FIRE STATION ADDITION
Construction of the new addition to the existing fire station will begin mid May. The construction contract
was awarded to Dowland Construction. The project is scheduled to be completed in late October 2009.
EAST ELEMENTARY WINDOWS SEISMIC UPGRADE/HVAC UPGRADES
This work is pending award to Wolverine Construction and scheduled to start June lwith substantial
completion in late August 2009.
KHS UNDERGROUND FUEL TANK REMOVAL AND REPLACEMENT
Approximately 1,600 cubic yards of contaminated soil must be removed from stockpiles on site. We are
currently investigating a method of relocating and in -situ treatment of the fuel contaminated soil on
island. If successful, this alternative should be much less costly than burning or disposing of the material
off island.
OLD HARBOR GYM ADDITION
Design is nearing completion and with approval of 95% drawings by the ARB, the project may be
advertised for bid late next week. With luck, a construction contract can be awarded and construction can
be started in June.
OLD POOL ROOF AND VENTILATION UPGRADE
This work is currently being advertised for bids and if approved, should be completed after the opening of
the new pool in August.
Z:\Admin\Bond Project Status\Project Status Report 090430.docx
KODIAK ISLAND BOROUGH
ASSEMBLY WORK SESSION
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KODIAK ISLAND BOROUGH
ASSEMBLY WORK SESSION
Work Session of:
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