MEMORANDUM

TO: Timothy Navarre, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

FROM: Colette Thompson, Borough Attorney

Bonnie Golden, Grants Manager

DATE: July 26, 2001

SUBJECT: Ordinance 2001-27, transportation funding powers

In response to a funding request from the Central Area Rural Transportation System, Inc. (CARTS), the assembly enacted Ordinance 2000-19-06, which adopted areawide transportation funding powers and established KPB Chapter 13.10. KPB Chapter 13.10 provides mechanisms for funding grants or contracts for transportation purposes.

Section 4 of Ordinance 2000-19-06 provides that the ordinance will automatically expire on September 12, 2001, unless extended by ordinance. It also provides that the ordinance would continue in full force and effect until June 30, 2002 for any transportation grants or contracts awarded before September 12, 2001.

When it adopted the fiscal year 2002 budget in Ordinance 2001-19, the assembly appropriated $50,000 for transportation funding purposes. Because Ordinance 2000-19-06 continues in effect for awards made before September 12, 2001, this second $50,000 appropriation to CARTS would remain in effect even if the assembly does not extend the sunset clause.

This proposed ordinance would extend the sunset clause for a full year in order to allow additional time for the assembly to decide whether it intends to continue funding transportation systems for the next fiscal year.