MEMORANDUM
TO: Timothy Navarre, Assembly President
Members of the Kenai Peninsula Borough Assembly
THRU: Dale Bagley, Borough Mayor
THRU: Jeff Sinz, Finance Director
FROM: Bonnie L. Golden, Grants Manager
COPY: Tina Herford, Executive Director for Boys and Girls Club
Todd Syverson, Assistant Superintendent - Administrative Services
DATE: September 26, 2002
SUBJECT: Ordinance No. 2002-19-22: Authorizing receipt of a grant from State Department of Community and Economic Development for construction of a community education center in Seldovia and appropriating the grant award and matching funds
Quite some time ago, the City of Seldovia and the Boys and Girls Club approached the Borough with the possibility of transferring a State community development block grant ("CDBG") to the Borough. The grant was for the construction of a community education center. Originally the facility was to be constructed on city property. After investigation, that city parcel was determined to be unsuitable for construction. A more suitable site was identified on school property. Therefore, the city requested that the Borough accept the grant on behalf of the Boys and Girls Club. That action was formalized through adoption of KPB Ordinance 2001-10 (Sub.).
Since that time, the Borough has conducted an environmental review of the subject parcel and initiated negotiations for a grant agreement with the State Department of Community and Economic Development. In addition, the borough entered into a Cooperative Agreement with the School District and the Boys and Girls Club.
All three parties have executed the Cooperative Agreement, and a copy is attached. As stated in Paragraph 3 of the Agreement, the Boys and Girls Club is responsible for providing all matching cash, in-kind contributions, or additional funding that may be necessary. Paragraph 4 goes on to state that "neither the Borough nor the School District shall be liable for any funding." The parties have agreed that the Borough will own the building, the School District will have management authority, and the Boys and Girls Club will have responsibility for full operation and maintenance of the center. The School District and the Boys and Girls Club intend to enter into a long-term lease for a minimum of 15 years to provide youth educational programs and community activities.
The facility will be approximately 2,400 square feet with 20-foot high ceilings. Generally, the space will include a large open area for activities, a computer lab, small office, and restrooms. The project is expected to cost a minimum of $430,000. The Boys and Girls Club has received a letter from Sean M. Boily, Architect, stating that $430,000 is adequate to build the facility. See attached letter and drawings from Mr. Boily.
The CDBG is for $200,000. The Boys and Girls Club will provide the remaining $230,000 needed for the project. It has commitments from CIRI and the Rasmuson Foundation for $100,000 each. The Seldovia Village Tribe has committed $10,000 to the project. In addition, the Boys and Girls Club has a pledge of $20,000 from a private donor. However, the pledge has a $15,000 match requirement. The Seldovia Native Association is planning to host a fundraiser prior to December 2002 to obtain the $15,000. If the fundraiser brings in less than $15,000, the Boys and Girls Club has funds in its bank account to cover the remaining matching requirement. The City of Seldovia has committed to provide the materials and labor to install service lines for water and sewer. See attached letters from CIRI, Rasmuson Foundation, Seldovia Village Tribe, Mr. and Mrs. Keith Swayne, and the City of Seldovia.
The Boys and Girls Club would like to have the project completed before the next school year begins. There is sufficient time to accomplish this, if it is begun as soon as possible. Under normal circumstances, the attached ordinance would not be set for public hearing until November 19th. Therefore, a shortened hearing date of October 22nd is requested, which would allow the project to begin a month earlier.
Attachments as stated