HomeMy WebLinkAboutOrdinance No. 2939-2017Suggested by: Administration
CITY OF KENAI
ORDINANCE NO. 2939 -2017
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, DECREASING
ESTIMATED REVENUES AND APPROPRIATIONS BY $35,000.00 IN THE PARKS
IMPROVEMENT CAPITAL PROJECT FUND AND BY $20,000.00 IN THE KENAI
RECREATION CENTER IMPROVEMENTS CAPITAL PROJECT FUND FOR POSTPONED
CAPITAL PROJECTS AND AUTHORIZING BUDGET TRANSFERS IN THE PARKS
IMPROVEMENT CAPITAL PROJECT FUND, THE CEMETERY IMPROVEMENTS
CAPITAL PROJECT FUND, THE COMPREHENSIVE PLAN CAPITAL PROJECT FUND,
THE CITY HALL IMPROVEMENTS CAPITAL PROJECT FUND AND THE TRAIL
CONSTRUCTION CAPITAL PROJECT FUND FOR THE TRANSFER OF REMAINING
BALANCES FROM COMPLETED OR POSTPONED CAPITAL PROJECTS TO THE
GENERAL FUND.
WHEREAS, as a result of changes in General Fund revenue projections, the
administration recommends postponement of the $35,000 schematic design project for
the Kenai Event Park; and,
WHEREAS, preliminary estimates of mechanical upgrades needed at the Kenai
Recreation Center indicate the current year $20,000 funding from the General Fund
and remaining grant funds will be insufficient to complete the project and the available
grant funds are sufficient and will be utilized to prepare design documents and detailed
cost estimates; and,
WHEREAS, with design documents and detailed cost estimates the administration will
be better able to prioritize the needed repairs and recommend the funding needed to
complete the work; and,
WHEREAS, $124,303.37 of funds originally transferred from the General Fund remains
in various completed or postponed capital projects; and,
WHEREAS, the completed capital projects include the following:
Municipal Park playground improvements - completed
Convention Center feasibility study- completed
Beaver Creek Park playground improvements- completed
Leif Hansen Memorial Park fountain design - postponed
Municipal Park picnic shelter construction - completed
Kenai Cemetery columbarium construction - completed
except purchase of benches estimate at $3,350
New Text Underlined; [DELETED TEXT BRACKETED]
$ 31,626.45
15,000.00
201.96
8,000.00
5,889.29
17,334.39
Ordinance No. 2939 -2017
Page 2 of 3
Kenai Comprehensive Plan update - completed 6,869.71
City Hall roof replacement - completed 49.47
City trail construction - completed 39,332.10
$124.303.37
; and,
WHEREAS, budget transfers are needed to transfer available balances back to the City's
General Fund; and,
WHEREAS, the administration is working on a new capital project priority list and
consolidating all available funding will provide a clearer accounting of funds available
for future capital projects or General Fund operations.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI
ALASKA, that:
Section 1. Form: That this is a code ordinance.
Section 2. That estimated revenues and appropriations be decreased as follows:
Parks Improvement Capital Proiect Fund
Decrease Estimated Revenues:
Transfer from General Fund $35.000.00
Decrease Appropriations:
Professional Services
$35.000.00
Kenai Recreation Center Improvements Capital Proiect Fund
Decrease Estimated Revenues:
Transfer from General Fund $20.000.00
Decrease Appropriations:
Construction
Section 3. That the following budget transfers be authorized:
$20.000.00
Parks Improvement Capital Proiect Fund
Professional Services ($15,000.00)
Construction (45,717.70)
Transfer to General Fund 60.717.70
C
Cemetery Improvements Capital Project Fund
Construction ($7,334.39)
Transfer to General Fund 17,334.39
Comprehensive Plan Capital Proiect Fund
Overtime $ 102.69
New Text Underlined; [DELETED TEXT BRACKETED]
Ordinance No. 2939 -2017
Page 3 of 3
Medicare
1.42
PERS
9.36
Workers Compensation Insurance
0.20
Health /Life Insurance
26.79
Professional Services
(6,893.36)
Administration
(116.81)
Transfer to General Fund
6.869.71
City Hall Improvements Capital Project Fund
Construction ($49.47)
Transfer to General Fund 49.47
$ 0.00
Trail Construction Capital Proiect Fund
Salaries
$ 4,228.95
Overtime
45.92
Medicare
61.99
FICA
265.06
Workers Compensation Insurance
120.08
Construction
(44,054.10)
Transfer to General Fund
39.332.10
Section 4: That pursuant to KMC 1.15.0700 this Ordinance shall take effect upon
enactment.
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 15th day of February,
2017.
A ST
San" h, City Clerk
Approved by Finance;
U \ �w
P
�Ci
�VNDEO
BRIAN GABRIEL, SR, MAYOR
Introduced: February 1, 2017
Enacted: February 15, 2017
Effective: February 15, 2017
New Text Underlined; DELETED TEXT BRACKETED
To: Mayor Gabriel
Council Members
"'Villaye with a Past, C# with a Future
FINANCE DEPARTMENT
210 Fidalgo Avenue, Kenai, Alaska 99611 -7794
Telephone: 907 - 283 -7535 / FAX: 907 - 283 -3014
Thru: Paul Ostrander, City Manager
Jf From: Terry Eubank, Finance Director
Date: January 26, 2017
Re: Ordinance 2939 -2017
The purpose of this memo is to recommend passage of Ordinance 2939 -2017. Ordinance 2939-
2017 will accomplish three things. First, the ordinance will reduce appropriations in the Parks
Improvement Capital Project Fund by $35,000 resulting from postponement of the project to
schematically design a new City event park. Postponement of this project was discussed at the
December 13, 2016 Council work session. Reducing the appropriation will eliminate the
authorization to spend and the transfer from the General Fund to fund the expenditures will not be
made.
Secondly, the ordinance will reduce appropriations in the Kenai Recreation Center Improvements
Capital Project Fund by $20,000. The FY17 Budget included $20,000 for mechanical
improvements at the facility. The Public Works Director has indicated the $20,000, even when
combined with $82,481.39 of remaining State of Alaska grant funds, will be insufficient to address
needed heating and hot water system upgrades. Grant funds will be utilized to complete a design
and cost estimate for the project. Once design is at 65% and cost estimation completed, the project
will be reevaluated for inclusion and prioritization in the City's capital improvement plan. Design
and cost estimation services are estimated to cost $45,000.
Finally, the ordinance will authorize the transfer of remaining balances from completed or
postponed capital projects that were funded in prior years. These projects include the following:
Municipal Park playground upgrade. $31,626.45 of General Fund Funding remains in this
project. The project began in FY2012 and has included construction of a new parking area
and the purchase and installation of new playground equipment. Total project expenditures
were $601,379.38 with funds being provided from State of Alaska grants totaling
$362,130.83, local donations totaling $30,875.00, a $10,000 safety grant from the City's
insurance company, and $198,373.55 from the City's General Fund.
2. Convention Center Feasibility Study. A feasibility study was completed for the design and
construction of a City of Kenai Convention Center. $50,000 from the City's General Fund
financed the project which cost $35,000. $15,000 remains and is available to be transferred
back to the City's General Fund.
3. Beaver Creek Park playground upgrade. $40,000 from the City's General Fund financed
the purchase and installation of $39,798.04 of new playground equipment for the park. The
remaining $201.96 is available to be transferred back to the City's General Fund.
4. Leif Hansen Memorial Park fountain design. The FYI budget included $8,000 for design
of a upgrade to the park's fountain. The Parks & Recreation Department is recommending
postponement of the project for reevaluation of the department's capital priorities.
$8,000.00 is available to be transferred back to the City's General Fund.
Memorial Park picnic shelter construction. $40,000.00 was provided by the City's General
Fund in FY 16 for construction of picnic shelters in the City's Municipal Park. Two shelters
were constructed, one during the summer of 2015 and the second during the summer of
2016. The City utilized the funding to construct foundations for the shelters and provide
materials for their construction. Members of Salmon Frenzy, a local volunteer group which
visits Kenai annually to assist in the Personal Use Fishery and other community projects
provided the labor for construction of the shelters. $5,889.29 of funding remains but is
insufficient for construction of another shelter and is available for transfer back to the
City's General Fund.
6. Cemetery Improvements. The City's General Fund beginning in FYI has provided
$115,000 for cemetery improvement including construction of a columbarium.
Construction of the columbarium was completed in this fiscal year at a total cost of
$88,995.61. Other improvements in the cemetery since FYI total $5,320.00 leaving
available funding in the amount of $20,684.39. The department has requested $10,000 be
available for the purchase of benches to be placed at the new columbarium leaving
$10,684.39 which is available for return to the City's General Fund.
Imagine Kenai 2030, City of Kenai Comprehensive Plan 2016 Update. The City has
completed an update to its Comprehensive Plan. The update began in FY10 and was
funded by a $50,000 grant from the Kenai Peninsula Borough and $124,970 from the City's
General Fund. Total expenditures for the plan update totaled $168,100.29 leaving
$6,869.71 available for return to the City's General Fund.
8. City Hall Improvements. Projects for the improvement of City Hall began in FY13 with
funding provided by State grants totaling $306,949.47 and City General Funds in the
amount of $82,500. Project completed included purchase of a new copier, $9,969.18,
renovations to the Clerk's Office, $19,200, entrance and sidewalk upgrade, $35,000, boiler
replacement, $142,366.83 and roof replacement, $182,863.99. Remaining funds of $49.47
are available for return to the City's General Fund.
9. City pedestrian trail construction began in FY12 with funding of $100,000 from the City's
General Fund. An additional $200,000 of state grant funds was since added to the project.
To date $204,241.96 has been spent constructing numerous new city trails and $56,425.94
was utilized for the purchase of equipment used during construction. The department is
evaluating the need for additional trails which funding may be requested for if determined
to be a community priority. The remaining $39,332.10 is available for transfer back to the
City's General Fund while future planning and prioritization takes place.
The combination of canceling the FY17 funded projects, $55,000, and return of funds from
projects funded in prior years that are now complete or canceled, $117,653.37, will provide
$172,653.37 which may be utilized for future city operations or capital projects. The
administration is currently working on a capital priority list. The list will be the product of
identifying all potential needs and ranking them in order of priority. The updated plan will be
presented to council in conjunction with the FY2018 Budget.
The canceling of projects and returning unexpended funds will provide a clearer picture of funding
available for city operations and future capital needs. Your support for Ordinance 2939 -2017 is
respectfully requested.
M
To: Mayor Gabriel
Council Members
"Villaye with a Past, Git with a Future"
FINANCE DEPARTMENT
210 Fidalgo Avenue, Kenai, Alaska 99611 -7794
Telephone: 907 - 283 -7535 / FAX: 907 - 283 -3014
Tbm: Paul Ostrander, City Manager -7 c7 -
pFrom: Terry Eubank, Finance Director
Z Date: February 8, 2017
Re: Requested amendment to Ordinance 2939 -2017
The purpose of this memo is to request amendment to Ordinance 2939 -2017. Since drafting of the
ordinance, the Parks & Recreation Department has completed ordering of pedestrian benches for
the new columbarium. The estimated cost for these benches was $10,000 when Ordinance 2939-
2017 was drafted. Actual cost are significantly less at $3,350 allowing for transfer of an additional
$6,650 from the completed project.
To accomplish this additional transfer the following amendments are requested (Note: Actual
changes to each section are in BOLD. The remainder of each section is unchanged.):
1. The fourth WHEREAS should be amended to read:
WHEREAS, $124,303.37 of funds originally transferred from the General Fund remains
in various completed or postponed capital projects; and,
2. The fifth WHEREAS should be amended to read:
WHEREAS, the completed capital projects include the following:
Municipal Park playground improvements - completed
$ 31,626.45
Convention Center feasibility study- completed
15,000.00
Beaver Creek Park playground improvements- completed
201.96
Leif Hansen Memorial Park fountain design - postponed
8,000.00
Municipal Park picnic shelter construction — completed
5,889.29
Kenai Cemetery columbarium construction — completed
except purchase of benches estimate at $3,350
17,334.39
Kenai Comprehensive Plan update — completed 6,869.71
City Hall roof replacement — completed 49.47
City trail construction - completed 39,332.10
$124,303.37
3. The Cemetery Improvements Capital Project Fund portion of section 3 should be amended
to read:
Cemetery Improvements Capital Project Fund
Construction ($17,334.39)
Transfer to General Fund 17,334.39
S 0.00