HomeMy WebLinkAboutOrdinance No. 2896-2016Suggested by: Administration
CITY OF KENAI
ORDINANCE NO. 2896 -2016
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA,
AUTHORIZING BUDGET TRANSFERS WITHIN THE GENERAL FUND AND
APPROPRIATING FUNDS IN THE NEW CITY SHOP AND CITY HALL
IMPROVEMENTS CAPITAL PROJECT FUNDS.
WHEREAS, construction of offices for the Street and Building Departments is ongoing in
the City's new Warm Storage Facility; and,
WHEREAS, fire code requirements are necessitating the use of non - combustible
materials in the build -out which are more expensive that traditional building materials;
and,
WHEREAS, without supplemental funding communications, casework and appliances
will have to be eliminated from the project; and,
WHEREAS, purchase and installation of these items is needed to complete the space and
during construction is generally the most cost effective time to make these type of
purchases; and,
WHEREAS, due to low fuel costs and below average snowfall funds are available in the
Street and Building Departments budgets for transfer; and,
WHEREAS, during completion of the City Hall reroof project the contractor found
damaged materials that required replacement and project funding was insufficient to
cover the unanticipated costs; and,
WHEREAS, an additional $6,000 is needed to complete a change order to the contract
for this additional work and is available in the City Manager's Contingency account.
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 the following budget revision be made:
General Fund
Decrease
Streets - Operating & Repair Supplies $20,000
Buildings - Operating & Repair Supplies 5,000
Buildings - Repair & Maintenance 5,000
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Ordinance No. 2896 -2016
Page 2 of 2
Non - Departmental - Contingency 6,000
3 00
Increase
Non - Departmental - Transfer to New City Shop
Capital Project Fund $30,000
Non - Departmental - Transfer to City Hall Improvements
Capital Project Fund 6,000
36 000
Section 3: That estimated revenues and appropriations be increased as follows:
New City Shop Capital Proiect Fund
Increase Estimated Revenues:
Transfer From General Fund $300 00
Increase Appropriations:
Construction $30.000
City Hall Improvements Capital Proiect Fund
Increase Estimated Revenues:
Transfer From General Fund $6.000
Increase Appropriations:
Construction $6.000
PASSED BY THE COUNCIL OF THE CITY
2016.
Approved by Finance:
OF KENAI, ALASKA, this 15th day of June,
PAT PORTER, MAYOR
Introduced: June 1, 2016
Adopted: June 15, 2016
Effective: June 15, 2016
New Text Underlined; [DELETED TEXT BRACKETED]
/ 210 Fidalgo Avenue, Kenai, Alaska 99611 -77944
Telephone: (907) 283 -7535, Ext. 236 / FAX: (907) 283 -3014 tlll�t
lVillage with a Past Gc'� with a Future" 1991
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- ` MEMORANDUM
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KENAI, ALASKA
r TO: Rick Koch, City Manager
FROM: Sean Wedemeyer, Public Works Director S/((
DATE: May 25, 2016
SUBJECT: Ordinance transferring funds to the Warm Storage Capital Project
Rick,
This memo is in support of the ordinance transferring funds from the Streets and
Buildings operating accounts to the Warm Storage project account.
The City has been fortunate this fiscal year in that we have benefited from low fuel prices
and a mild winter. This has resulted in considerable savings in both the Buildings and
Streets operating accounts.
When we requested $250,000 for the office / work area build out we based our estimates
on using wood to construct. This decision was based on the contracted building
inspector's advice. Once we brought an architect on board it was determined through a
more detailed code analysis that noncombustible materials must be used. This
significantly increased the cost to construct. I removed a number of scope items to bring
the cost within budget. This additional $30,000 will be used to provide for some of the
things previously removed from the scope, e.g. communications infrastructure and
equipment, appliances, casework.
Thank you for your attention to this matter.
w;
"Villaye with a Past, C# with a Future"
210 Fidalgo Avenue, Kenai, Alaska 99611 -7794
Telephone: (907) 283 -7535, Ext. 236 / FAX: (907) 283 -3014
MEMORANDUM
TO: Rick Koch, City Manager
FROM: Sean Wedemeyer, Public Works Director -S/r' U
DATE: May 24, 2016
SUBJECT: Budget transfer to cover City Hall Roof Change Order
Rick,
This memo is in support of a resolution transferring funds into the City Hall Roof capital
project account.
As with all projects, during the design stage we took every effort to generate a detailed
scope of work and anticipate issues that could result in change orders. We tested for
asbestos which surprisingly we found present. We analyzed the roof structure to ensure
the existing joists could handle the additional load. And we cored holes in the roof in the
areas we have been patching over the last five years to determine if any of the existing
insulation was saturated and would therefore need to be replaced as part of this project.
We did not discover any wet insulation at that time.
After opening bids we felt comfortable funding this project with 1.85% contingency (less
than $3,000 - see Ordinance 2858 -2015) as we felt comfortable there would not be any
change orders. During construction we found saturated insulation that was necessary to
replace. This transfer will allow us to fully fund the resulting change order.
Thank you for your attention to this matter.