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HomeMy WebLinkAboutResolution No. 2022-097 11 KENAI CITY OF KENAI RESOLUTION NO. 2022-09 Sponsored by: Administration A RESOLUTION OF THE CITY OF KENAI, ALASKA, AUTHORIZING BUDGET TRANSFERS WITHIN THE KENAI RECREATION CENTER IMPROVEMENTS CAPITAL PROJECT FUND. WHEREAS, Resolution 2022-06 passed by Council at the January 19, 2022 meeting awarded a Design Services Agreement to K+A Architecture for the Recreation Center Improvements Project; and, WHEREAS, this Project is intended to resolve several ongoing issues at the facility including replacement of the existing roofing, and repairs and replacements associated with mechanical systems at the facility including but not limited to air handling systems, boilers, and water heaters; and, WHEREAS, this Resolution combines several previously authorized projects for the facility into one to simplify our accounting process during the project; and, WHEREAS, the following projects shall be transferred within account 119-450-8098: Activity Code 240 Roof Repairs $39,989.42 Activity Code 274 Water Heater Replacements $60,000.00 Activity Code 282 Rooftop HVAC Replacements $279,883.48 and, WHEREAS, funding from the three projects above totaling $379,872.90 will be transferred into account 119-450-8098 Activity Code 285 and be labeled Recreation Center Improvements; and, WHEREAS, Activity Code 285 currently has an existing balance of $750,343.32 for roofing replacement, and with the additional transfer of $379,872.90 the new account balance will be $1,130,216.22; and, WHEREAS, approval of this Resolution will simplify management of this project for the Capital Projects team and Finance Department. NOW, THEREFORE, BE IT RESOLVED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA Section 1. That the following budget revisions are authorized for the recreation center: Recreation Center Improvements Capital Project Fund Decrease Appropriations: Activity Code 240 Roof Repairs $(39,989.42) Activity Code 274 Water Heater Replacements $(60,000.00) Activity Code 282 Rooftop HVAC Replacements $(279,883.48) Increase Appropriations: Resolution No. 2022-09 Page 2 of 2 Activity Code 285 Recreation Center Improvements $379 872.90 Section 2. That this Resolution takes effect immediately upon adoption. ADOPTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 16' day of February, 2022. BRIAN GABRIEL SR., MAYOR ST: Michelle . S MMC, City Clerk Approved by Finance: V KENAI City of Kenai 1 210 Fidalgo Ave, Kenai, AK 99611-7794 1907.283.7535 1 wwwkenaixity MEMORANDUM TO: Mayor Brian Gabriel and Kenai City Council THROUGH: Paul Ostrander, City Manager FROM: Scott Curtin, Director of Public Works DATE: February 8, 2022 SUBJECT: Resolution 2022-09 Budget Transfers The purpose of this memo is to request Council's approval to consolidate funding for the Recreation Center Improvements Project. Several smaller projects had been previously approved to address the immediate needs of the facility. As those items were further investigated it became clear that a larger project would be necessary to comply with building codes and to avoid the likelihood of having to revisit completed work. Design work to address replacement of the aging roof and mechanical systems is now underway. The Project is expected to bid late spring with construction beginning this summer. I would also like to bring to Council's attention, within the current draft Capital Improvement Plan FY2023-2027, I have included an additional $280,000 request to supplement the now anticipated costs associated with mechanical improvements at the recreation center. This will be above the funding addressed within this resolution. As design work proceeds, more refined cost estimates will be provided. Council will be kept informed through the Department's midmonth reports and as new legislation may be brought forth. Completion of this work is necessary to provide for the continued operation of the facility. Council's consideration is respectfully requested.