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HomeMy WebLinkAboutOrdinance No. 2711-2013Suggested by: Administration CITY OF KENAI NO. 2711 -2013 AN ORDINANCE OF THE COUNCIL OF THE CITY OF KENAI, ALASKA, APPROPRIATING $370,590 IN THE AIRPORT FUND AND CITY SHOP CONSTRUCTION CAPITAL PROJECT FUND, ALL FOR THE NEW CITY SHOP CONSTRUCTION PROJECT. WHEREAS, the City is in the process of constructing a new City Shop and maintenance facility for the maintenance of all City vehicle and equipment including the equipment of the Kenai Municipal Airport; and WHEREAS, Federal Aviation Administration (FAA) regulations allow FAA participation in the construction costs of facilities that will be used for maintenance of airport related equipment; and WHEREAS, the FAA participation is determined by a formula using the square footage required for maintenance of the largest piece of airport equipment to be serviced; and WHEREAS, upon approval of the project by the FAA and using the FAA's funding formula the City's Shop Construction project is eligible for FAA participation of $347,428, the accompanying State of Alaska matching funds of $11,581, and will require local contribution from the Airport of $11,581; and WHEREAS, participation by the FAA, State of Alaska, and the Kenai Municipal Airport in the construction costs of the new City shop is appropriate given the maintenance activity performed on airport equipment by the City Shop and is in the best interest of the City, its citizens, and the Kenai Municipal Airport; and, WHEREAS, upon approval of the project and issuance of a grant by the FAA and the State of Alaska $359,009 will be refunded to the Airport. NOW, THEREFORE, BE IT ORDAINED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA: Section 1. Form. That this is a non -code ordinance. Section 2. That estimated revenues and appropriations be increased as follows: Airport Fund Increase Estimated Revenues: Appropriation of Fund Balance $370.590 �.. Increase Appropriations: Transfer to City Shop Construction Capital Project Fund $370.590 Ordinance 2711 -2013 Page 2 of 2 City Shop Construction Capital Project Fund Increase Estimated Revenues: Transfer From Airport Fund $370.590 Increase Appropriations: City Shop Construction $370.590 Section 3. That pursuant to KMC 1.15.0700 this Ordinance shall take effect immediately upon adoption. ENACTED BY THE COUNCIL OF THE CITY OF KENAI, ALASKA, this 3rd day of July, 2013. I PAT PORTER, MAYOR ATTEST: a , Sandra Modigh, City Clerk Approved by Finance: 7 Introduced: June 19, 2013 Enacted: July 3, 2013 Effective: July 3, 2013 New Text Underlined; [DELETED TEXT BRACKETED] M "Villaye with a Past Ci� with a Future" 210 Fidalgo Avenue, Kenai, Alaska 99611 -7794 Telephone: 907 - 283 -7535 / FAX: 907 - 283 -3014 tlllll 1992 MEMO: TO: City Council FROM: Rick Koch, City Manager DATE: June 19, 2013 SUBJECT: Ordinance No. 2711 -2013 The purpose of this correspondence is to respectfully request that a lay -down for the above referenced ordinance for introduction be added to your agenda. By introducing this ordinance at this meeting, the award of the contract for construction of the City's new shop will be able to be considered at the next City Council meeting. Administration believed that FAA share of project funding would have been available by this time. This ordinance will allow the City to move to accelerate by two weeks the construction contract award. Given the scope of this project, the erection of the building will take place in the fall /winter time frame and two weeks of tenting and heating is potentially an expensive undertaking. Thank you for your attention in this matter. If you have any questions, please contact me at your convenience.