HomeMy WebLinkAboutORDINANCE 0775-1982In
CITY OF KENAI
ORDINANCE :00. 775-82
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA,
AMENDING KMC 7.10.030 BY DEDICATING ALL SALES TAX REVENUES TO THE
GENERAL FUND AND AMENDING KMC 7.10.010.
WHEREAS, KXC 7.10.030 (a) provides for the dedication of the 1%
sales tax levied under KMC 7.10.010 (a) to retire the general
obligation bonds authorized by the special election held on May
25, 1971, and
WHEREAS, unreserve fund balance in the debt service fund that
retires those bonds will be approximately $1,360,000 at June 30,
1982, and remaining debt will amount to approximately $3,001,000
at June 30, 1982, and
WHEREAS, it is the City Administration's recommendation to
service this debt by an annual transfer from the General Fund
financed by interest earnings on City investments, and
WHEREAS, the financing plan set out in the above paragraph will
allow the related debt service fund to accumulate an unreserved
fund balance that will be adequate to repay all remaining debt
without further General Fund contributions by the end of the
1987-88 fiscal year, and
WHEREAS, this financing plan will also allow for the dedication
of all revenues from sales tax to be made to General Fund
operations.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF
KENAI, ALASKA, as followss
Segtion_1s That KMC 7.10.010 is hereby amended as followss
7,10,010 LByy.of.,Tags ((A)] There is hereby levied a
consumers' sales tax of 31 11%] on all retail sales,
rents, and services made or rendered within the City
limits measured by the gross sales price of the seller.
((B) EFFECTIVE OCTOBER 1, 1975, THERE IS HEREBY
LEVIED A CONSUMERS' SALES TAX OF AN ADDITIONAL 2% ON
1
775'
I
ALL RETAIL SALES, RENTS AND SERVICES MADE OR RENDERED
WITHIN THE CITY LIMITS WITHIN THE CITY OF KENAI,
NEASURFED BY THE GROSS SALES PRICE OF THE SELLER,j
Section 2 s That KMC 7.10.030 ( a) is hereby
repealed.
Beation-It That KMC 7.10.030 (c) is hereby
amended as followss
(c) All revenues of the consumers' sales tax
levied by Section 7.10.010 [(B)j are dedicated to
be applied against current G€OMj_jYII$ operating
expenses,"
1982. Section At This ordinance shall be effective July 1,
PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this
19th day of May, 1982.
VINCENT O'REILtMAYOR
ATTESTs
net Whel&nr City Clerk
First Readings May S. 1982
Second Readings May 19, 1982
Effective Dates July 1, 1982
Approved by Finance ega
/%W,
CITY OF KENAI
G;aral al 4"„
F. O. SOX MO KENAI, MASMA "0I
TRIPHOWE 282 • 7M
MEMO TO: Kenai City Council.
FROM: Charles A. Brown, Finance Director.
SUBJECT: Ordinance No. 775-82
DATE: May 11, 1982
Upon introduction of Ordinance No. 775-82 on :.ay 5,
1982, Cvunciiman
Wise asked how I arrived at the estimated amount of
unreserved fund
balance in the Debt Service Fund that retires the General Obligation
Bonds that were authorized at the 1971 special cleetion.
This is
the 1974 Refunding nevi. Service Fund.
My estimate of that fund balance is "approximately
$1,360,000 at
June 30, 1982," as indicated in the second "whereas"
of -the ordinance.
This estimate wao arrived at as follcwas
Fund Balance, per 6.30-81
Financial Statement, p.65
$ 1,147,377
1981-82 Principal Payment
(220,000)
1981-82 Interest Payment
(136,680)
1/3 of Sales Tax (1981-82 Budget)
500,000
1981--82 Special Assessments (Estimated)
_ 64,000
Fund Balance, 6-3042, estimated S 1,.354.697
Rounded to $ 1.IkQ.MQ
CIF
i
G
,
rJ
4