HomeMy WebLinkAboutOrdinance No. 3172-2020011
jC-_
KENAI
CITY OF KENAI
ORDINANCE NO. 3172-2020
Sponsored by: Administration
AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, WAIVING THE $5,000
LIMITATION IN KMC 7.25.020 (A) FOR ALLOCATING CARES ACT FUNDS TO ALLOW THE
CITY MANAGER TO ALLOCATE THE FUNDS TO THE PROPER ACCOUNT AS NEEDS ARISE
AND TIME TO UTILIZE THE FUNDS EXPIRES, AND DECLARING AN EMERGENCY.
WHEREAS, Governor Mike Dunleavy issued a Declaration of Public Health Disaster Emergency
on March 11, 2020, and the President of the United States issued a Proclamation Declaring a
National Emergency on March 13, 2020; and,
WHEREAS, in response to the COVID-19 pandemic, on March 18, 2020, the City Manager
declared a local disaster emergency that was extended the same day by the City Council; and,
WHEREAS, emergency declarations on the state and local level have been extended through at
least December 31, 2020; and,
WHEREAS, the City has received federal funding through the CARES Act to help offset impacts
from COVID-19 to our local community; and,
WHEREAS, the City Council has approved funding and allocated CARES Act funds to help offset
impacts from COVID-19 to meet food and shelter needs, assist businesses and nonprofits,
provide mental health services, and cover payroll for incident managers and first responders; and,
WHEREAS, one of the limitations of the CARES Act funding under current federal guidance is
that it must be utilized by December 31, 2020; and,
WHEREAS, Kenai Municipal Code 7.25.020 — City Budget Control, limits the City Manager's
authority to allocate funds in amounts $5,000 or greater; and,
WHEREAS, the City Manager needs increased authority beyond the previously authorized
authority of $20,000 approved by Ordinance 3130-2020 to allocate CARES Act funds between
Council approved programs as the December 31, 2020 deadline for expenditure of CARES Act
funds draws nearer, and some programs need further funding while others are less utilized; and,
WHEREAS, increasing the City Manager's authority will provide the flexibility to ensure CARES
Act funds are fully utilized to maximum benefit for the City of Kenai and its residents, businesses
and nonprofits; and,
WHEREAS, pursuant to KMC 1.15.70(f) an emergency ordinance may go into effect immediately
upon passage; and,
Ordinance No.3172-2020
Page 2 of 2
WHEREAS, state law and City Charter allow for emergency ordinances when necessary to
preserve public, peace health and safety and this Ordinance is needed to ensure maximum
CARES Act resources are available to meet the needs of City Residents, business, non -profits,
incident management and first responders.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA,
as follows:
Section 1. Classification: that this Ordinance is not of a general and permanent nature and
shall not be codified.
Section 2. Declaration of Emergency: That the COVID-19 public health emergency has
created an emergency recognized on the federal, state and local level and that this Ordinance is
necessary to immediately preserve public peace, health and safety.
Section 3. That the limitation of transferring less than $5,000 within each department in KMC
7.25.020 is waived to allow the City Manager to allocate funds to the correct accounts as
expenditures arise. Further, the limitation in KMC 7.25.020 to move less than $5,000 between
departments is increased to $100,000 with transfers of more than $100,000 requiring a resolution
by the City Council. This authorization will terminate upon final reporting of the City's currently
appropriated CARES Act funds to the State of Alaska.
Section 4. Severability: That if any part or provision of this ordinance or application thereof to
any person or circumstances is adjudged invalid by any court of competent jurisdiction, such
judgment shall be confined in its operation to the part, provision, or application directly involved
in all controversy in which this judgment shall have been rendered, and shall not affect or impair
the validity of the remainder of this title or application thereof to other persons or circumstances.
The City Council hereby declares that it would have enacted the remainder of this ordinance even
without such part, provision, or application.
Section 5. Effective Date: That pursuant to KMC 1.15.070(f), this ordinance shall take effect
immediately upon enactment.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 16' day of December,
2020.
BRIAN SR., MAYOR
ATTEST:
Heinz, CMC, City Clerr,
v 1dJh
U:
Introduced: December 2, 2020
O •'•.., ••..•• " Enacted: December 16, 2020
DEp X10 Effective: December 16, 2020
New Text Underlined; [DELETED TEXT BRACKETED]
�v
k�av K I N A I
City of Kenai 1 210 Fidalgo Ave, Kenai. AK 99611-7794 1907.283.7535 1 www1enaixity
MEMORANDUM
TO: Mayor Gabriel and Council Members
FROM: Paul Ostrander, City Manager
DATE: November 24, 2020
SUBJECT: Ordinance No. 3172-2020 — Waiving the $5000 Fund Transfer Limit
As we near the deadline of December 31, 2020 for the expenditure of CARES Act funds,
administration is closely tracking the utilization of the funds in the various accounts that have been
authorized by Council. Any funds that are not expended by December 31, 2020 must be returned
to the granting agency.
There is still uncertainty regarding the amount of funds that will be needed in several of the
accounts, including the AHFC program providing rental and mortgage relief, the PCHS Mental
Health Services Program, and the CARES Act Administration and Non -Payroll account.
Additionally, administration estimates that an additional $94,000 would need to be allocated to
the First Responder and Incident Management Team Payroll to fully cover those costs through
the end of 2020. The authority to re -allocate these funds is necessary to facilitate transfers that
likely will exceed $20,000 between accounts during the last several weeks of 2020 to assure that
all of the CARES Act funds are utilized appropriately and to the maximum benefit of the City.
Your consideration is appreciated.