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HomeMy WebLinkAboutORDINANCE 2107-2005Suggested by: Administration ~, l CITY OF KENAI ORDINANCE N0.210?-2005 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA INCREASING ESTIMATED REVENUES AND APPROPRIATIONS IN THE SENIOR CITIZEN SPECIAL REVENUE FUND AND THE SENIOR CENTER KITCHEN CAPITAL PROJECT FUND FOR KITCHEN REMODEL. WHEREAS, it is in the best interest of the City of Kenai to remodel the Senior Center kitchen; and, WHEREAS, grants and donations totaling X215,892 have been received toward the total estimated cost of X416,285; and, WHEREAS, ~ 100,363 is available in the Senior Citizen Special Revenue Fund for transfer to the Senior Center Kitchen Capital Project Fund; and, WHEREAS, the City received notification of a X290,000 State grant for any public project; and, WHEREAS, a portion of this grant can be used to fund the remaining ~ 100,000 needed to complete the project. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, that estimated revenues and appropriations be increased as follows: Senior Center Special Revenue Fund Estimated Revenues: Appropriation of Fund Balance X100,393 Appropriations: Transfer to Capital Project Fund 100 393 Senior Center Kitchen Capital Project Fund Estimated Revenues: Transfer from Special Revenue Fund ~ 100,393 Transfer from General Fund 100,000 200 393 Appropriations: Construction 200 393 General Fund Increase Estimated Revenues: Appropriation of Fund Balance Increase Appropriation from Capital Project Reserve 100 000 Appropriations: Transfer to Capital Project Fund 100 000 Ordinance No. 2107-2005 Page Two PASSED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this third day of August, 2005. PAT PORTER, MAYOR ATTEST: r Carol L. Freas, City Clerk Approved by Finance: Introduced: July 6, 2005 Second Hearing: July 20, 2005 Postponed to: August 3, 2005 Adopted: August 3, 2005 Effective: August 3, 2005 1 MEMORANDUM To: City Council From: Larry Semmens, Finance Director , Through: Linda Snow, City Manager Date: July 13, 2005 Subject: Ord. 2107-2005 Senior Center Kitchen Project The construction bid on the senior center kitchen project came in substantially higher than expected at $361,000. The total project cost is $416,285. The estimate was $281,704. Funding sources for the project are: Rasmuson Grant $140,892 State Grant $ 40,000 Senior Connection $ 10,000 Mental Health Trust $ 25,000 Total $215,892 We need an additional $200,393 to complete the project. Originally we expected to fund the project from the above grants along with $65,812 from the Senior Citizen Fund fund balance. The Senior Citizen Fund is expected to have about $173,000 in fund balance at June 30, 2005, so there is not enough money in the fund to do the project. We have at least two options: 1. Delay the project and re-bid it later. This would require requesting extensions from the Rasmuson Foundation and the Mental Health Trust because their grants expire by the end of the calendar year. This would be a good option if we think the project will cost less later, and if the extensions are granted. Construction costs are very high right now, but we do not know when, or if, they will moderate. If the costs are not going to change and assuming we need the project, this may not be the best option. 2. Fund the project from other sources so that it can be done on schedule. The Senior Citizen Fund could comfortably fund $100,393 of the project leaving $100,000 to be funded from other sources. The City has been notified that we have a grant from the State for $290,000 for any public improvement. This project is eligible for funding from this grant. Recommendation; Our recommendation is to review the project with the contractor to determine if there are any items that can be modified to achieve cost savings and do the project now. The attached memo from the Senior Center Project Director outlines the need for the project. Ordinance 2107-2005 would need to be amended to reflect the increased amounts. A substitute ordinance is included. Although we do not have a signed grant agreement from the State, we do have confirmation that this project is eligible for funding from the above mentioned grant, so the substitute ordinance appropriates the grant revenue. If Council does not want to use grant funds for this project the only other funding option that I am aware of is the General Fund. KENAI SENIOR GENTER Helping People Age with Dignity CITY OF KENAI MEMORANDUM TO: Kenai City Council CC: Larry Semmens, Finance Director FROM: Rachael Craig Senior Center Director DATE: July 15, 2005 REFERENCE: Senior Center Kitchen Renovation Project The Kenai Borough population as of July 2003 was said to be 51,220. Seniors 55 and over made u 9 565 or 18.7% increase from the 2000 census of 7,737. Kenai Senior p~ Services service area is designated by our Peninsula Borough funding. Our Service area includes the City of Kenai, Salamatof, Kalifornsky Beach, Chohoe, Kasilof, and Clam Gulch. Our service area is 26% of the total population aged 60 and above on the Peninsula. Our challenge today and in the years to come is how do we meet our growing population within bud et restraints but also within the space we currently occupy; specifically our kitchen space. Our meal rogram has been existence since 1972 when the program was housed in Fort p Kena in the center of "Old Town" Kenai. In 1982, the State of Alaska awarded to the Y . City of Kenai a grant to provide congregate and home delivered meals. During 1983, the State of Alaska awarded a grant to the City of Kenai to build the present day Kenai Senior Center. Since receiving the grant from the state Office on Aging to support services to the tar et age group of 6U and older, the City has continued to expand its program and g services. Our congregate meals are served five days a week Including most holidays. Our home meals are delivered five da s a week with two frozen meals being delivered for the Y weekends, and two meals, if necessary to our Choice Waiver clients. On Tuesday and Thursda a driver delivers meals to the Kasilof area. The Kasilof seniors received a hot y 361 SENIOR COURT •KENAI, ALASKA ~96~ ~ TELEPHONE: (907) 283.456 • FAX: (907) 283.3200 • EMMAIL: senior@ci.kenai.ak.us meal for the day and frozen meals to compensate for the days when we do not deliver. Since the inception of our NT S program our meals program has continually grown. } We have grown in number of people served but our kitchen has not changed. In 1982 the dining room of 1,760 square i eet and the kitchen of 660 square feet was built. Then in 1990, an additiona12,000 squ ire feet was added to the dining room and the kitchen remained the same, We have outgrown our kitchen in relation to the number of meals we serve daily as well as the num ber of frozen meals prepared. The senior population is the fastest growing population in cur state with Kenai Peninsula being no exception. These are concerns of additional den lands as seniors age in place and the "Baby Boomers" reach their senior years. As the seni or population increases in age, preparing and delivering more meals is ,anticipated. Th e following statistics have been gathered: July 1994 -June 1995 July 1995 -June 1996 ~ Congregate Meals 12,835 ~ Congregate Meals 13,676 Home Meals .9,678 Home Meals 9,027 Total .22,513 Total 22,703 Frozen Meals not recorded Frozen Meals not recorded July 1996 -June 1997 July 1997 -June 1998 Congregate Meals 12,623 Congregate Meals 12,922 Home Meals .7,027 Home Meals 71696 Total x.9,654 Total 18,897 Frozen Meals not recorded Frozen Meals not recorded Ju~98 -June 1999 July 1999 -June 2000 Congregate Meals 14,403 Congregate Meals 14,874 Home Meals _ 5,135 Home Meals 6,932 Total ~ 9,538 Total 21,806 Frozen Meals 1,017 Frozen Meals 1,627 July 2000 =June 2001 July 2001-June 2002 Congregate Meals l 5,172 Congregate Meals 13,879 Home Meals l 0,010 Home Meals 12,684 Total X5,182 Total 26,563 Frozen Meals x,051 Frozen Meals 2,923 July 2002 -June 2003 J>>lv 2003,.- Jung ~~Q4 Congregate Meals 12,044 Congregate Meals 16,533 Home Meals 15,903 Home Meals 13,423 Total Z 7,947 Total 29,956 Frozen Meals 3,837 Frozen Meals 4,254 1 July 2004__--June 2005 Congregate Meals 16,802 Home Meals 13,437 Total 30,439 Frozen Meals 4,118 Note: Home meals are deliv gyred hot or frozen. However, the frozen meals are shown above since these meals are prepared hot but an added step of sealing and freezing takes place with space needed in the freezer. Areas of concern regarding the kitchen as it is today are as follows: 1. Storage a. Inadequate free. per and refrigeration space 2. Inadequate and ineffic .ently located storage of dry goods, cleaning supplies and dishes for service. a. Addition of a `'bus station" that would allow for an efficient and sanitary method of post sere: ce dish handling. 3. Inadequate counter/prey ~ space for current demand of meals being served. 4. Inadequate power sourc es in and around center prep island. 5. The kitchen range exh~ .ust hood has a very low head clearance that currently is a liability issue needing immediate attention. 6. Inefficient equipment l~.yout and inefficient working space. 7. Lack of appropriate spy ce for food delivery, laundry needs, and storage of service items. With a new larger walk in freezer and cooler we will be able to purchase food in bulk for a savings, have an area design{ ~ted for frozen home meals, and more workable space for kitchen staff and volunteers. This will not only enhance our serviceability for our program but also provide a mor Buser-friendly and efficient facility to our community. Once our project is complete v ~e hope our kitchen will sustain us through many years of continued service to our senior ~s and our community. 8% of the total Kenai Peninsula population is "baby-boomers." A majority of them have not retired yet and. many more beyond. With that in mind, w+; will continue to see the accelerated increase of a senior population living longer and n ceding the services which only a properly managed and equipped support system can rf ,nder. These necessary improvements to our Center will allow us to better serve our ex: sting members and leave us better prepared for the even larger population of deserving s ~niors in our future. 1 CITY OF KENAI 210 FIDALGO AVE., SUITE 200 KENAI, ALASKA 99611-7794 TELEPHONE 907.283.7535 FAX 907-2$3.3014 II II +. ~~~ MEMORANDUM T0: Charles M. Kopp, Acting City Manager FROM: Jack. La Shot, Public Works Manag QATE: J u 127 2005 `~~~~? Y SUBJECT: Kenai Senior Center Kitchen Addition/Renovation As you know, the referenced project construction bids came in considerably higherthan our estimate used to secure grant funds. In an effort to help everyone better understand the extent of the project, I would like to include this memorandum and the attached plan sheets in the packet for the August 3, 2005, City Council meeting. The first plan sheet is the demolition plan showing the existing kitchen layout with items to be removed or changed. The second sheet is the renovation plan showing the new kitchen configuration with newwalls shaded. Changes are briefly discussed as follows: ^ The existing walk-in freezer will be removed and the area converted toadish receiving/washing center separate from food preparation areas. Currently, prepared food items leave the kitchen over the same counter used dishes return over, causing possible sanitation problems. Existing dishwashing equipment will be relocated to the new area. ^ Existing dry storage will be relocated to the new pantry/storage area of the new addition, and a new walk-in cooler will be installed where the dry storage was. ^ An existing compressor unit serving the existing cooler will be removed resulting in additional storage area. ^ Anew walk-in freezer using an external-mounted compressor will be added within the addition. This will approximately double the available freezer space. ^ Anew bake counter, new storage cabinets, a new mop closet, a new pantry, along with an existing icemaker will be located in the addition adjacent to the freezer. Memo to Charles M. Kopp, Acting City Manager Page 2 July 28, 2005 _, .~ ^ The existing food preparation area will have a new salad prep counter and sink, a new stainless food serving counter in front, and a relocated table. ^ The plans include a new refrigerator with remote compressor to reduce heat retention in the kitchen. We may consider using the existing refrigerator to reduce costs. An exterior improvement would expand paving and improve underlying soils in the area of the existing dumpster. This also is an item that can be looked at for cost savings. The construction estimate was prepared in February 2004, and was used to formulate an overall budget for grant requests. Eighteen months have elapsed since the estimate was prepared, in a time of higher than normal construction cost escalation. In talking with contractors, architects, and engineers familiar with building construction, it is obvious that all the construction trades are booming. Another factorthat probably adds to the higher bids is the number of available contractors in this area capable of bidding a public contract that can fit a project of this size into their current schedule. Some contractors were simply too busy to look at it. The City Council will decide the merits of the project based upon current and projected community needs and usage of the Senior Center. Rachael Craig, Director of Senior Center, has communicated these needs very well in the Rasmuson Foundation grant application. The Finance Director, Larry Semmens, has outlined funding options in his memorandum to Council dated July 13, 2005. We concur with the recommendation to go forth with the project now if council chooses to do the project. The way things are going with the construction industry at this time, it would be difficult to recommend re- biddingthe project at a later date with any confidence of receiving lower bids. Let me know if you have questions or need additional information. Kelly Keating of Blazy Construction will be at the meeting for questions. Bill Kluge has a previously scheduled trip out of state and will not be able to attend. 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