HomeMy WebLinkAboutOrdinance No. 3353-2023KENAI
CITY OF KENAI
ORDINANCE NO. 3363-2023
Sponsored by: Administration
AN ORDINANCE ADOPTING THE ANNUAL BUDGET, SALARY SCHEDULE AND EMPLOYEE
CLASSIFICATION PLAN FOR THE FISCAL YEAR COMMENCING JULY 1, 2023 AND ENDING JUNE
30, 2024 AND COMMITTING $5,648,285 OF GENERAL FUND, FUND BALANCE FOR FUTURE
CAPITAL IMPROVEMENTS.
WHEREAS it is a requirement of the Code of the City of Kenai, Alaska, that the City Council, not later
than the tenth day of June, adopt a budget for the following fiscal year and make appropriation of the
monies needed; and,
WHEREAS, pursuant to Kenai City Charter section 2-4, the City Council has the power to adopt a budget,
raise revenue, and make appropriations; and regulate salaries and wages and all other fiscal affairs of
the City; and,
WHEREAS, adoption of this Ordinance constitutes Council meeting its obligation to adopt a budget, raise
revenue, and make appropriations; and,
WHEREAS, through adoption of the document entitled "Annual Budget for the City of Kenai, Alaska July
1, 2023 — June 30, 2024", which includes the City Manager presented table of Authorized Personnel
Staffing and Salary Schedules, Council meets its obligation to adopt the Salary Schedule of the City for
fiscal year 2024; and,
WHEREAS, adoption of the document entitled "Annual Budget for the City of Kenai, Alaska July 1, 2023
— June 30, 2024", which includes the City Manager presented Employee Classification Plan satisfies the
requirement of KMC 23.50.010; and,
WHEREAS, committed fund balance represents resources whose use is constrained by Council self-
imposed limitations at its highest level of decision making, an Ordinance, and that remain binding unless
removed in the same manner; and,
WHEREAS, in recognition of deferred and ongoing maintenance needs of City facilities and in support of
the City's Fiscal Year 2024 — 2028 Capital Improvement Plan (The Plan), Council commits $5,648,285
towards funding of The Plan for fiscal years 2025-2028.
NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, as
follows:
Section 1. That certain document entitled "Annual Budget for the City of Kenai, Alaska July 1, 2023
— June 30, 2024" which is available for examination by the public in the Office of the City Clerk, the City's
website and is incorporated herein by reference is hereby adopted as the budget for the City of Kenai for
the fiscal year commencing July 1, 2023 and ending June 30, 2024.
Section 2. The following sums of money are hereby appropriated for the operations of the City of
Kenai for the fiscal year commencing on the first day of July, 2023, and ending the 30th day of June,
2024, to be expended consistent with and subject to the restrictions, procedures, and purposes set forth
in the Code of the City of Kenai and to be expended substantially by line item in the manner shown in the
budget adopted by Section 1 hereof:
New Text Underlined; [DELETED TEXT BRACKETED]
Ordinance No. 3353-2023
Page 2 of 6
General Fund $ 19,477,237
Enterprise Fund —
Congregate Housing Fund 727,271
Internal Service Funds:
Equipment Replacement Fund 206,907
Fleet Replacement Fund 62,268
Employee Health Care Fund 3,016,689
Total Internal Service Funds 3,285,864
Special Revenue Funds:
Personal Use Fishery Fund 494,446
Water & Sewer Fund 3,898,005
Airport Fund 3,871,870
Senior Citizen Fund 1,023.501
Total Special Revenue Funds 9,287,822
Permanent Funds:
Airport Land Sale Permanent Fund 1,053,635
General Land Sale Permanent Fund 138.209
Total Permanent Revenue Funds 1,191,844
Capital Project Funds:
Park Improvement
125,000
Kenai Recreation Center Improvement
75,000
Kenai Public Safety Improvement
100,000
Kenai Multipurpose Facility Improvement
100,000
Kenai City Hall Improvement
50,000
Municipal Roadway Improvement
180,000
Congregate Housing Improvement
150,000
Airport Operations Facility Improvement
50,000
Airport Terminal Improvement
50,000
Water & Sewer Improvement
400,000
Waste Water Treatment Plant
300.000
Total Capital Project Funds
1.580.000
Debt Service Fund — Library Expansion Bonds 130.625
Total All Funds $35,680,663
Section 3. Council hereby commits $5,648,285 of Unassigned General Fund, Fund Balance for future
renovations and improvements to City facilities.
New Text Underlined; [DELETED TEXT BRACKETED]
Ordinance No. 3353-2023
Page 3 of 6
Section 4. Council hereby adopts the Salary Schedule presented by the City Manager and included
in the "Annual Budget for the City of Kenai, Alaska July 1, 2023 - June 30, 2024"•
Classified employees excluding those engaged in fire protection activities.
Range
A
B
C
D
E
F
AA
BB
CC
Step
1
$14.11
$14.46
$14.82
$15.17
$15.52
$15.87
$16.23
$16.58
$16.93
2
14.82
15.19
15.56
15.93
16.30
16.67
17.04
17.41
17.78
3
15.56
15.95
16.34
16.73
17.12
17.51
17.89
18.28
18.67
4
16.34
16.75
17.16
17.57
17.97
18.38
18.79
19.20
19.61
5
17.15
17.58
18.01
18.44
18.87
19.29
19.72
20.15
20.58
6
18.02
18.47
18.92
19.37
19.82
20.27
20.72
21.17
21.62
7
18.91
19.38
19.86
20.33
20.80
21.27
21.75
22.22
22.69
8
20.25
20.76
21.26
21.77
22.28
22.78
23.29
23.79
24.30
9
21.27
21.80
22.33
22.87
23.40
23.93
24.46
24.99
25.52
10
22.32
22.88
23.44
23.99
24.55
25.11
25.67
26.23
26.78
11
23.42
24.01
24.59
25.18
25.76
26.35
26.93
27.52
28.10
12
24.62
25.24
25.85
26.47
27.08
27.70
28.31
28.93
29.54
13
25.86
26.51
27.15
27.80
28.45
29.09
29.74
30.39
31.03
14
27.15
27.83
28.51
29.19
29.87
30.54
31.22
31.90
32.58
15
28.48
29.19
29.90
30.62
31.33
32.04
32.75
33.46
34.18
16
29.91
30.66
31.41
32.15
32.90
33.65
34.40
35.14
35.89
17
31.44
32.23
33.01
33.80
34.58
35.37
36.16
36.94
37.73
18
32.98
33.80
34.63
35.45
36.28
37.10
37.93
38.75
39.58
19
34.64
35.51
36.37
37.24
38.10
38.97
39.84
40.70
41.57
20
36.35
37.26
38.17
39.08
39.99
40.89
41.80
42.71
43.62
21
38.18
39.13
40.09
41.04
42.00
42.95
43.91
44.86
45.82
22
40.09
41.09
42.09
43.10
44.10
45.10
46.10
47.11
48.11
23
42.07
43.12
44.17
45.23
46.28
47.33
48.38
49.43
50.48
24
44.19
45.29
46.40
47.50
48.61
49.71
50.82
51.92
53.03
25
46.40
47.56
48.72
49.88
51.04
52.20
53.36
54.52
55.68
26
48.75
49.97
51.19
52.41
53.63
54.84
56.06
57.28
58.50
27
51.14
52.42
53.70
54.98
56.25
57.53
58.81
60.09
61.37
28
53.72
55.06
56.41
57.75
59.09
60.44
61.78
63.12
64.46
29
56.48
57.89
59.30
60.72
62.13
63.54
64.95
66.36
67.78
Classified employees engaged in fire protection activities
Range
A
B
C
D
Step
18
$23.56
$24.15
$24.74
$25.33
19
24.74
25.36
25.98
26.60
20
25.98
26.63
27.28
27.93
21
27.27
27.95
28.63
29.32
22
28.65
29.37
30.08
30.80
Department head service employees
Range Minimum Maximum
23
$87,542
$115,545
24
89,782
121,306
25
96,527
127,428
26
101,386
133,833
27
106,386
140,424
28
111,739
147,507
29
117,469
155,056
E
F
AA
BB
cc
$25.92
$26.51
$27.09
$27.68
$28.27
27.21
27.83
28.45
29.07
29.69
28.58
29.23
29.88
30.53
31.18
30.00
30.68
31.36
32.04
32.72
31.52
32.23
32.95
33.66
34.38
New Text Underlined; [DELETED TEXT BRACKETED]
Ordinance No. 3353-2023
Page 4 of 6
Temporary employees excluding those engaged in fire protection activities.
Range
A
B
C
Step
T1
$14.11
$14.46
$14.82
T2
14.82
15.19
15.56
T3
15.56
15.95
16.34
T4
16.34
16.75
17.16
T5
17.15
17.58
18.01
T6
18.02
18.47
18.92
T7
18.91
19.38
19.86
T8
20.25
20.76
21.26
T9
21.27
21.80
22.33
T10
22.32
22.88
23.44
T11
23.42
24.01
24.59
T12
24.62
25.24
25.85
T13
25.86
26.51
27.15
T14
27.15
27.83
28.51
T15
28.48
29.19
29.90
T16
29.91
30.66
31.41
T17
31.44
32.23
33.01
T18
32.98
33.80
34.63
T19
34.64
35.51
36.37
T20
36.35
37.26
38.17
T21
38.18
39.13
40.09
T22
40.09
41.09
42.09
T23
42.07
43.12
44.17
T24
44.19
45.29
46.40
T25
46.40
47.56
48.72
T26
48.75
49.97
51.19
T27
51.14
52.42
53.70
T28
53.72
55.06
56.41
T29
56.48
57.89
59.30
Temporary employees engaged in fire protection activities.
Range
A
B
C
Step
T18
$23.56
$24.15
$24.74
T19
24.74
25.36
25.98
T20
25.98
26.63
27.28
T21
27.27
27.95
28.63
T22
28.65
29.37
30.08
Section 5. Council hereby adopts the Employee Classification Plan presented by the City Manager
and included in the "Annual Budget for the City of Kenai, Alaska July 1, 2023 - June 30, 2024":
Class
Code Class Title
Range
(A) Supervisory and Professional
101 City Manager**
NG
102 City Attorney**
NG
103 City Clerk**
NG
104 Finance Director*
29
105 Public Works Director*
28
New Text Underlined; [DELETED TEXT BRACKETED]
Ordinance No. 3353-2023
Page 5 of 6
106
Police Chief*
28
107
Fire Chief
27
112
Airport Manager*
25
117
Planning Director*
23
118
Information Technology (IT) Manager
23
119
Assistant to City Manager/Special Projects Coordinator
23
120
Library Director*
23
121
Senior Center Director*
23
122
Parks and Recreation Director*
23
123
Human Resources Director*
23
124
Controller
25
(8) Administrative Support
203
Administrative Assistant 1
13
204
Accounting Technician 1
15
205
Accounting Technician II
16
207
Desktop Support Technician
13
210
Administrative Assistant II
14
211
Administrative Assistant III
15
214
Library Assistant
11
218
Library Aide
8
219
Data Entry Clerk
1
(C) Public Safety
302
Fire Fighter
18
303
Police Lieutenant
27
304
Police Sergeant
24
305
Police Officer
21
306
Public Safety Dispatcher
14
307
Fire Engineer
20
311
Fire Captain
21
312
Fire Marshal
22
313
Communications Supervisor
17
314
Police Trainee
21/1
315
Deputy Fire Chief
25
316
Chief Animal Control Officer
17
317
Animal Control Officer
14
(D) Public Worksl Airport Operations
400
Capital Project Manager
23
401
Building Official/Manager
22
402
Shop Foreman
21
403
Street Foreman
21
404
Utility Foreman 1/11
21/22
405
Utility Operator 1/11
15/18
407
Equipment Operator
16
New Text Underlined; [DELETED TEXT BRACKETED]
Ordinance No. 3353-2023
Page 6of6
408
Shop Mechanic
19
409
Equipment Lead Operator
19
412
Building Maintenance Technician
17
413
Utility Lead Operator
19
417
Airport Operations Specialist
16
418
Airport Operations Supervisor
21
419
Building Maintenance Lead Technician
19
(E) General Services
502
Assistant Parks & Recreation Director
19
503
Recreation Center Worker
3
504
Parks and Recreation Maintenance Technician
14
505
Parks and Recreation Laborer
6
506
Cook
8
508
Driver
4
509
Kitchen Assistant
4
511
Janitor I/II
4/5
* Department Head Service
** City Manager, City Clerk, and City Attorney are Council -appointed administrative offices
Section 6. 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 7. Effective Date: That pursuant to KMC 1.15.070ft this ordinance shall take effect July 1,
2023.
ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, THIS 7T" DAY OF JUNE, 2023.
ATTEST:
Mice,M. ane , MMC, City Clerk
Approved by Finance: L
rian Gabriel Sr., Mayor
Introduced:
Enacted:
Effective:
May 17, 2023
June 7, 2023
July 1, 2023
New Text Underlined; [DELETED TEXT BRACKETED]
CAI
City of Kenai ( 210 Fidalgo Ave, Kenai, AK 99611-77941907.283.75351 www1enai.city
MEMORANDUM
TO: Mayor Brian Gabriel and Kenai City Council
THROUGH: Terry Eubank, City Manager
FROM: Larry Semmens, Interim Finance Director
DATE: May 5, 2023
SUBJECT: Ordinance 3353-2023 Adopting the FY2024 City of Kenai Annual
Budget
The purpose of this memo is to recommend enactment of Ordinance 3353-2023, Adopting the
Annual Budget, Salary Schedule and Employee Classification Plan for the year commencing July
1, 2023 and ending June 30, 2024.
The City Council held the following work sessions relating to the budget:
November 16, 2022 to discuss the Fiscal year 2024 — 2028 Capital Plan. The Capital Plan was
approved by Resolution 2023-05 on February 1, 2023,
December 21, 2022 to develop the FY 2024 Budget Goals. The Council established the FY 2024
Budget Goals with the approval of Resolution 2023-02 January 4, 2023.
April 29, 2023 for the Administration to present the draft FY 2024 Annual Budget including the
Salary Schedule and Employee Classification Plan. The draft budget document is available for
public review on the City's website on the Finance Department page.
Since the last budget work session some changes were made to the budget related to a reduction
of $80,000 in General Fund Non -Departmental transfer to capital projects due to deferring the
Clerk Department Records Vault project; salary adjustments for the City Clerk and Attorney
positions; and a $2,500 increase in the Water Department to correct the amount needed to
purchase machinery and equipment. Since the General Fund Budget decreased from the prior
presentation, the amount available for future capital improvements increased by $69,210. The
attached are the summary pages for the General Fund and the Water and Sewer Fund showing
the revised budgets for each fund.
The Administration will be available to answer questions regarding the FY 2024 budget during,
or any time prior to, the public hearing on Ordinance 3353-2023.
City of Kenai
Fiscal Year 2024 Operating Budget
TAXABLE VALUES (000-S)
MILL RATE
REVENUES
Property & Sales Taxes
Property Tax
Sales Tax
Total Property & Sales Taxes
Intergovernmental Revenue:
PIERS Funding
Community Assistance
Fish Tax
Other
Total State/Federal Revenue
Other Revenue
Licenses and Permits
Ambulance Fees
Interest
Other
Total Other Revenue
Total Revenues
Transfer From Other Funds
Charges to other funds
Capital Projects / Special Revenue
Enterprise
Trust Fund
Total Transfers
Total Revenues and Transfers
EXPENDITURES/APPROPRIATIONS
General Government
Public Safety
Public Works
Parks, Recreation & Cultural
Total Operating Expenditures
Transfers or Non -Operating
Total Expenditures/Appropriations
Total Surplus (Deficit)
Projected Lapse - 5%
Adjusted Surplus (Deficit)
Beginning Fund Balance
Ending Fund Balance
Restricted
Committed
Assigned
General Fund
Budget Projection
Original
Actual Actual Budget Projection Proposed Projection Projection
FY2021 FY2022 FY2023 FY2023 FY2024 FY2025 FY2026
$ 899,743 $ 894,277 $ 961,718 $ 969,225 $ 987,136 $ 995,557 $ 1,012,312
4.35 4.35 4.35 4.35 4.35 4.35 4.35
3,906,981 3,989,661 4,207,803 4,313,500 4,321,161 4,394,059 4,465,486
8,560,985 9,191,637 9,307,808 9,696,824 9,999,729 10,299,721 10,608,713
12,467,966 13,181,298 13,515,611 14,010,324 14,320,890 14,693,780 15,074,199
611,708 575,270 216,490 216,490 255,735 263,407 271,309
77,374 153,319 80,000 201,915 75,805 75,805 75,805
78,883 61,709 50,000 20,000 50,000 51,500 53,045
115 546 2,078,149 _ 994.775 94.840 52.500 55.125 57,881
8 33.511 2,868.447 1,341,265 533.245 _ 434.040 445-637 458.040
213,168 152,642 191,500 143,460 155,100 159,753 164,546
348,562 437,490 500,000 967,400 875,000 901,250 928,288
20,528 (242,890) 200,000 200,000 461,788 476,368 406,382
790.143 858.628 819,011 884.951 770.700 793,821 817,636
1,372,401 1 205 870870 1,710,511 2.195.811 2,262,588 2.331.192 2.31&852
14,723,878 1717 555.615 16 567.387 16,739,380 17.017.518 17,470,809 17,849,091
1,643,800 1,620,500 1,798,600 1,798,600 1,757,300 1,810,019 1,864,320
92,393 188,266 75,000 103,266 75,000 75,000 75,000
37,300 42,700 47,000 47,000 40,600 41,818 43,073
145.750 157.043 160.109 138,209 140.973 143.792
1,919,243 2.008.509 2,080.709 1,948.866 2.011.109 2,067,810 2,126.185
16.643,121 19.264.124 18.648:096 18,688,246 19,028 627 19,538.619 19, 975.276
4,169,206 3,654,595 3,844,487 3,915,011 4,141,290 4,343,240 4,473,537
4,654,653 7,906,368 8,697,890 8,781,787 9,073,300 9,526,965 9,812,774
2,315,653 2,133,864 2,650,912 2,706,133 2,788,266 2,927,679 3,015,509
2,095,823 _2_183.732 2.423.655 2508,259 2,521,185 2.647.244 2,726,661
13,235,335 15,878,559 17,616,944 17,911,190 18,524,041 19,445,128 20,028,481
2,256,676 2,281,910 1,809841 1.824.841 944780 3.39&606 1,127.004
15,492,011 18,160,469 19,426,785 19,736,031 19,468,821 22,843,734 21,155,485
1,151,110 1,103,655 (778,689) (1,047,785) (440,194) (3,305,115) (1,180,209)
880847 895.560 926.202 972256 1,001.424
1,151,110 1,103,655 102,158 (152,225) 486,008 (2,332,859) (178,785)
13.290,392 14,441,502 14,043,661 15.545.157 15,392.932 15,878.940 13 546,081
14,441,502 15,545,157 14,145,819 15,392,932 15,878,940 13,546,081 13,367,296
(640,115) (673,494) (716,115) (713,494) (749,494) (785,494) (821,494)
(10,836,929) (11,172,914) (10,384,587) (11,644,010) (12,104,633) (9,353,586) (9,301,797)
�2,964,4581 (3,007,753) _(,045,117j {3,035,4M ^;3,024,813., i3,407,0011 i3.244,005i
Unassigned Fund Balance $ - $ 690,996 $ - $ - $ - - $ - $ -
Revenues
PERS Grant
Usage Fees
Service Hook-up
Residential Water
Commercial Water
Residential Sewer
Commercial Sewer
Total Usage Fees
Miscellaneous Revenues
Penalty and Interest
Interest Earnings
Other
Total Miscellaneous Revenues
Transfer In, Capital Projects
Total Revenues
Expenditures
City of Kenai
Fiscal Year 2024 Operating Budget
Budget Projection
Fund: 010 - Water and Sewer Fund
Original
Actual Actual Budget
Projection Proposed
FY2023 FY2024
$ 52,403
$ 45,630
$ 18,950
$ 18,950
$ 22,525
4,141
7,762
3,926
3,928
4,125
858,205
874,085
942,637
942,617
989,748
332,906
343,557
373,492
363,167
381,325
1,214,219
1,235,894
1,336,215
1,322,444
1,388,566
474,577
480,088
523,246
490,729
515,265
2,884,048
2,941,386
3,179,516
3,122,885
3,279,029
(19)
32,856
30,462
39,000
40,950
5,702
(69,134)
5,000
5,000
35,000
5,665
19,810
3,000
5,000
5,000
11,348
(16,468)
38,462
49,000
80,950
23,496 147,303
2,971,295 3,117,851 3,236,928 3,190,835 3,382,504
Water Department
773,024
783,101
914,495
963,284
1,270,822
Sewer Department
406,204
389,368
486,022
489,740
680,809
Wastewater Treatment Plant Department
1,028,490
1,031,021
1,272,280
1,532,489
1,260,194
Total Expenditures
2,207,718
2,203,490
2,672,797
2,985,513
3,211,825
Transfers
Capital Projects
Total Expenditures & Transfers
Contribution To/(From) Fund Balance:
Projected Lapse (6%)
Adjusted (Deficit)/Surplus
Beginning Fund Balance
Ending Fund Balance
1,770,615 1,520,000 500,000 500,000 679,970
3,978,333 3,723,490 3,172,797 3,485,513 3,891,795
(1,007,038) (605,639) 64,131 (294,678) (509,291)
142,146 146,509 175,982
206,277 (148,169) (333,309)
2,958,696 1,951,658 987,486 1,346,019 1,197,850
$ 1,951,658 $ 1,346,019 $ 1,193,763 $ 1,197,850 $ 864,541
K-1 N A
City of Kenai 1 210 1-idalgo Ave, Kenai, AK 99611-7794 1907.283.7535 1 wwwkenaixity
MEMORANDUM
TO: Mayor Gabriel and Council Members
THROUGH: Terry Eubank, City Manager
FROM: Stephanie Randall, Human Resources Director
DATE: June 5, 2023
SUBJECT: Ordinance 3353-2023 — Requested Amendment to FY24 Budget
Document
The purpose of the memo is to request an amendment to the FY24 Budget Document. In March
and April, the two Airport Operation Specialist positions became vacant after being filled for less
than one year. This represents an unusually high turnover in Airport Operations, with positions
taking approximately three months to fill and the Airport Operations Supervisor being the sole
employee responsible for the daily operations of the Kenai Municipal Airport, including the general
maintenance and repair of grounds, facilities and equipment. Due to the high recent turnover at
the Airport, the City Manager requested Human Resources review the Airport Operations
Supervisor classification to ensure the range of pay was commensurate with existing duties and
responsibilities.
Human Resources has determined that to accurately reflect the minimum qualifications and to
fairly reflect the differences in duties and responsibilities within the City's Classification Plan
related to compensation for comparable positions in other places of public employment, and to
meet the City's objective to provide an appropriate compensation structure to recruit and retain
an adequate supply of competent employees, an amendment to the Classification Plan for the
Airport Operations Supervisor from a range 20 to a range 21 is appropriate.
This request is to increase the range and to provide funding for the position at range 21 on the
City's Salary Schedule.
Motion
Amend Ordinance No. 3353-2023, Section 5 as follows:
Class Code 418 - Airport Operations Supervisor
Increase the range from 20 to 21
Amend the FY24 Budget Document as follows:
Airport Airfield, Special Revenue fund on page 228
Increase the Salaries and Benefits section by an additional $7,156.
Thank you for your consideration.
VF. N A
F
City of Kenai 1210 Fidalgo Ave, Kenai, AK 99611-77941907.283.75351 www.kenai.oity
MEMORANDUM
TO: Mayor Gabriel and Council Members
THROUGH: Terry Eubank, City Manager
FROM: Lana Metcalf, Controller
DATE: June 2, 2023
SUBJECT: Ordinance 3353-2023 — Requested Amendment to the FY24 Budget
Document
The purpose of this memo is to request an amendment to FY24 Budget Document. The City has
a three-year agreement for general liability insurance coverage (Property, Liability, Automobile,
and Workers Compensation) with Alaska Municipal League Joint Insurance (AMLJIA), which
expires on June 30, 2023. As part of the renewal process, the City obtained quotes through its
insurance broker, including a quote from AMLJIA and Alaska Public Entity Insurance (APEI).
The quote from AMLJIA was $741,775 for FY24 which represents a 10.5% increase over the
FY23 rates and based on the analysis of the quotes received, the Finance Department, with the
assistance of our broker, has determined that the rates and the insurance offered by AMLJIA for
FY24 are best for the City. In addition, AMLJIA has provided the City's insurance coverage since
FY2021 and has provided satisfactory coverage.
The amounts included in the proposed FY24 Budget Document were based on the City receiving
an annual discount for entering into a three-year contract in the amount of 5%. Due to the variance
in insurance rates, AMLJIA and APEI declined to offer the City a three-year contract and the
associated discount. Because the City received late notice that the discount would not be offered,
the FY24 Budget Document requires amendment to reflect the increase in insurance costs.
The net financial impact to each fund is as follows:
General Fund $ 8,416
Water & Sewer Special Revenue Fund 6,210
Airport Airfield Special Revenue Fund 11,381
Congregate Housing Enterprise Fund 3,586
The following changes to the budget document are needed to include this amendment:
Motion
Amend the FY24 Budget Document as follows:
General Fund — Fire, page 134
Account Number 001-422-0700, Workers Compensation
Increase the proposed budget amount from $59,928 to $68,344
Water & Sewer Special Revenue Fund - Wastewater Treatment Plant, page 216
Account Number 010-467-4536, Insurance
Increased the proposed budget amount from $29,516 to $35,726
Airport Special Revenue Fund - Airfield, page 228
Account Number 008-462-0700, Workers Compensation
Increase the proposed budget amount from $5,785 to $5,995, and
Account Number 008-462-4536, Insurance
Increase the proposed budget amount from $113,016 to $124,187
Congregate Housing Enterprise Fund, page 280
Account Number 009-462-4536, Insurance
Increase the proposed budget amount from $18,886 to 22,472
For an overall increase of $29,593 to the FY24 Budget Document.
Thank you for your consideration.
Page 2 of 2
J
The City of Kenai I www.kenaixity