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HomeMy WebLinkAboutOrdinance No. 3428-2024Sponsored by: Administration New Text Underlined; [DELETED TEXT BRACKETED] CITY OF KENAI ORDINANCE NO. 3428-2024 AN ORDINANCE INCREASING ESTIMATED REVENUE AND APPROPRIATIONS IN THE AIRPORT OPERATIONS FACILITY CAPITAL PROJECT FUND, ACCEPTING A GRANT FROM THE FEDERAL AVIATION ADMINISTRATION AND AWARDING A CONSTRUCTION AGREEMENT FOR THE KENAI MUNICIPAL AIRPORT AIRCRAFT RESCUE AND FIRE FIGHTING FACILITY REHABILITATION PROJECT. WHEREAS, the Kenai Municipal Airport Operations and Aircraft Rescue and Fire Fighting (ARFF) Facility was built with Airport Improvement Program (AIP) funds in 2002; and, WHEREAS, the HVAC system has reached the end of its lifecycle due to it being obsolete and a boiler heat exchanger cracking and being temporarily sealed; and, WHEREAS, the facility has Snow Removal Equipment (SRE) and ARFF housed inside; and, WHERAS, the ARFF Facility rehabilitation project is Federal Aviation Administration (FAA) eligible for grant funds comprised of 65% Airport Improvement Program funds and 35% City funds; and, WHEREAS, the initial grant offer is for $_____ with $____ Federal Aviation Administration share and $____ as the City share; and, WHEREAS $557,447 previously appropriated in the Airport Operations Facility Capital Project Fund for the project will be utilized for the City’s 35% share; and, WHEREAS the remaining balance from the previously appropriated $557,447 will be transferred back to the Airport Special Revenue Fund by a subsequent ordinance; and, WHEREAS, the Airport agrees to the grant condition that ARFF and SRE equipment and vehicles will be housed and maintained in a state of operational readiness on and for the airport; and, WHEREAS, completion of this work will improve and stabilize the efficiency of the facility, reduce utility costs, and safeguard the HVAC system for years to come; and, WHEREAS, the City advertised an Invitation to Bid on July 23, 2024 with bids due on August 13, 2024; and, WHEREAS, the following bids were received: Bidder Price __________ $ __________ __________ $ __________ WHEREAS, _____ bids were received and __________ was the lowest responsive bid; and, WHEREAS, the recommendation from City Administration is to award the contract to __________ for the total cost of $__________; and, AMENDED BY SUBSTITUTION Ordinance No. 3428-2024 Page 2 of 2 New Text Underlined; [DELETED TEXT BRACKETED] WHEREAS, award of the bid to __________, is in the best interest of the City. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, AS FOLLOWS: Section 1. That the City Manager is authorized to accept a grant from the Federal Aviation Administration in the amount of $_________ and to expend grant funds in accordance with the provisions of the grant. Section 2. That estimated revenues and expenditures be increased as follows: Airport Operations Facility Capital Projects Fund: Increase in Estimated Revenues – Appropriation of FAA Grant Funds $XX,XXX Increase Appropriations – Construction $XX,XXX City Administration XX,XXX $XX,XXX Section 3. That the City Manager is authorized to enter into a construction agreement with __________ for $__________. 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 21ST DAY OF AUGUST, 2024. ___________________________________ Brian Gabriel Sr., Mayor ATTEST: ___________________________________ Michelle M. Saner, MMC, City Clerk Approved by Finance: _________________ Introduced: August 7, 2024 Enacted: August 21, 2024 Effective: August 21, 2024 MEMORANDUM TO: Mayor Gabriel and Council Members THROUGH: Terry Eubank, City Manager FROM: Derek Ables, Airport Manager DATE: July 28, 2024 SUBJECT: Ordinance No. 3428-2024 - Increasing Estimated Revenue and Appropriations in the Airport Operations Facility Capital Project Fund, Accepting a Grant from the Federal Aviation Administration and Awarding a Construction Agreement for the Kenai Municipal Airport Aircraft Rescue and Fire Fighting Facility Rehabilitation Project. The purpose of this memo is seeking the approval of the City Council to accept a grant offer for the Airport Improvement Program, from the Federal Aviation Administration (FAA) replace the HVAC equipment at the Kenai Municipal Airport ARFF Building. The FAA will cover 65% of the costs with the other 35% covered by the City with funds previously appropriated in the Airport Operations Facility Capital Projects Fund. The HVAC equipment, including two boilers and associated controls, needs replacement at the Kenai Municipal Airport ARFF Building. This project is grant eligible. Federal guidance requests a grant application based on hard bids, with a grant application being requested as soon as possible to meet the Federal Aviation Administration’s year end on September 30th. In order to meet the deadline, the City issued the Invitation to Bid on July 23, 2024 with bids due on August 13, 2024. The City will review the bids and Airport Administration will submit a grant application with the lowest responsive bid by the FAA deadline. A substitute ordinance will be included in the August 21, 2024 Council packet with the results of the Invitation to Bid filling in the blanks on this ordinance. Thank you for your consideration.