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HomeMy WebLinkAboutOrdinance No. 2814-2015Suggested by: Administration CITY OF KENAI NO. 2814 -2015 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, INCREASING ESTIMATED REVENUES AND APPROPRIATIONS BY $130,000 IN THE WELLHOUSE 4 CAPITAL PROJECT FUNDS FOR A STATE OF ALASKA MUNICIPAL MATCHING GRANT FOR THE TIE IN OF THE NEW WATER PRODUCTION WELLS TO THE CITY'S WATER TREATMENT FACILITY. WHEREAS, the City has received a $1,557,000 Municipal Matching Grant (MMG) from the State of Alaska for replacement of a 10" AC water main from the City's production well three to approximately Swires Road, construct a 10" HDPE water main along Swires Road from Kenai Spur Highway to Lawton Drive, and construct approximately 350' of 10" HDPE water main, furnish and install a well pump and related appurtenances to tie the City's new production well into the City's water treatment facility. The grant requires a 30% match ($667,286) that will be provided by Water and Sewer funds or State of Alaska Department of Commerce, Community & Economic Development (DCCED) grant funds; and, WHEREAS, the City Administration is seeking appropriation of funds for costs associated with drilling and tying in new production wells to the City's water treatment facility; and, WHEREAS, $130,000 is available in the MMG for this purpose and sufficient funds are available from a 2013 DCCED grant that has already been appropriated to the project for the required local match; and, WHEREAS, upon completion of this appropriation, MMG fund in the amount of $590,500 will remain unappropriated for the construction of a 10" HDPE water main along Swires Road from the Kenai Spur Highway to Lawton Drive; and, WHEREAS, the tie in of the new production wells to the treatment facility will increase the reliability of the City's water system which is in the best interest of the utility's rate payers and the citizens of Kenai. New Text Underlined; [DELETED TEXT BRACKETED] Ordinance No. 2814 -2015 Page 2 of 2 NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA: Section 1: Form: That this is a non -code ordinance. Section 2: That estimated revenues and appropriations be decreased as follows: Water and Sewer Capital Project Fund Increase Estimated Revenues: State Grants $130,000 Increase Appropriations: New Production Well - Water Treatment Facility Design & Engineering $130,000 PASSED BY THE COUNCIL OF THE CITY February, 2015. ATT ` OAK SandKa odlkh, Ci lerk Approved by Finance: -1�- O� A %� / �A nA, thi/`Z/ 18h day of PAT PORTER, MAYOR Introduced: February 4, 2015 Adopted: February 18, 2015 Effective: February 18, 2015 New Test Underlined; [DELETED TEXT BRACKETED] "Villaye with a Past, C# with a Future ff To: Rick Koch, City Manager FINANCE DEPARTMENT 210 Fidalgo Avenue, Kenai, Alaska 99611 -7794 Telephone: 907 - 283 -7535 / FAX: 907 - 283 -3014 From: Terry Eubank, Finance Director Date: January 28, 2015 Re: Ordinance 2814 -2015 The purpose of this memo is to recommend passage of Ordinance 2814 -2015 that will appropriate $130,000 of a State of Alaska Municipal Matching Grant (MMG) to the New Water Production Well and Water Treatment Facility Project. MMG 47552 was awarded to the City for $1,557,000 with an amended scope of work to replace a 10" AC water main with 10" HDPE water main; construct a new 10" HDPE water main along Swires Road to Lawton Drive; and to construct a 10" HDPE water main, furnish and install a new production well pump, and related appurtenances for the City's new production wells and water treatment facility. To date $836,500 has been appropriated, $521,500 to the 10" AC Water Main Replacement Project and $315,000 to the New Water Production Well and Water Treatment Facility Project. The 10" AC Water Main Replacement Project is projected to be fully funded at this time and the Swires Road to Lawton Drive 10" HDPE Water Main Project is projected to require approximately $590,500 leaving $130,000 available for the New Water Production Well and Water Treatment Facility Project. Upon passage of the ordinance, total MMG funding to the New Water Production Well and Water Treatment Facility Project will be $445,000. The required 30% ($55,714) grant match for this new appropriation will be provided by a State of Alaska Department of Commerce, Community and Economic Development grant which was previously appropriated to the project.