MEMORANDUM

TO: Pete Sprague, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

FROM: Jeffrey Sinz, Finance Director

DATE: May 20, 2003

SUBJECT: Ordinance 2003-19-01, Appropriating Solid Waste General Obligation Bond Proceeds

The attached ordinance appropriates $7,040,000 in bond proceeds to the borough's bond capital projects fund for costs associated with phase I expansion of the Central Peninsula Landfill.

As provided in Resolution 2003-042, the bonds were issued through a competitive bid by the Alaska Municipal Bond Bank. Bids were received on May 8, 2003. The winning bid was submitted by Huchinson, Shockey, Erley & Company. The true interest cost to be paid by the borough over the ten-year life of the bonds will be 3.07%. The bonds are scheduled to close on May 22, 2003 at which time the bond proceeds will be deposited into the borough's account.