MEMORANDUM

TO: Tim Navarre, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

FROM: Gary Davis, Roads Director

Jeff Sinz, Finance Director

DATE: April 4, 2002

SUBJECT: Ordinance 2001-19-40, An Ordinance Appropriating $46,200, From The Kenai Peninsula Borough Road Service Area Capital Projects Fund For Local Match On The Spruce Creek Bridge Project

The Kenai Peninsula Borough has been awarded a Federal Highway Administration (FHWA) grant of $231,000 to make improvements to the Spruce Creek Bridge at Lowell Point near Seward and requires a local match of $46,200.

The Road Service Area Board (RSA Board) has identified funds within its capital project fund to meet this match. As part of the FY2002 budget, $286,000 was appropriated from the RSA operating fund to its capital project fund for the estimated local match requirement for its state capital improvement grant. The actual match requirement was $212,078. The RSA Board authorized that $46,200 of the unused balance previously appropriated to be used as the match for the Spruce Creek Bridge project.

In addition, this bridge must meet specific standards and the ADOT has the expertise in this area to more appropriately and efficiently administer the project. The RSA Board requested Alaska Department of Transportation (ADOT) to administer this project and ADOT approved this request.

These funds are expected to address the environmental and design phases of the project. The construction funds are yet to be identified and are expected to be in excess of $1,000,000.

Your consideration of this request is appreciated.