MEMORANDUM

TO: Pete Sprague, Assembly President

Members, Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Mayor

FROM: Colette Thompson, Borough Attorney

Holly B. Montague, Assistant Borough Attorney

DATE: April 8, 2004

SUBJECT: Ordinance 2004-11, repealing KPB Chapter 14.32 and amending KPB Chapter 14.31 relating to road improvement assessment districts

This ordinance raises the maximum borough match for road improvement assessment districts ("RIAD") from 25 percent to 50 percent for the majority of RIAD projects.  In the case of a paved collector road project, however, the borough match may be up to 70 percent.  While the lot owners abutting collector roads are clearly benefited by a RIAD project, a collector road is also subject to much greater use than a local or internal subdivision road justifying a greater match by the borough.  RIADs for pavement projects help resolve drainage issues, decrease maintenance costs by substantially lessening the need for summer maintenance, and promote the convenience of traveling public and borough residents.  Pavement of collector roads is particularly advantageous to the road service area ("RSA") because the heavy traffic a gravel collector receives causes more rapid deterioration of the roadbed and increased maintenance costs. 

The borough's current 25 percent match program has resulted in only one pavement RIAD.  Other municipalities have had a greater RIAD participation rate by providing much larger matches.

The proposal to have a different match level for collector and local roads originated at an RSA board subcommittee meeting.  The full RSA board should have an opportunity to comment and make recommendations regarding the ordinance at its May meeting, prior to the public hearing before the assembly.

Currently, the match program is funded at $150,000. The increased matches justify increasing the match fund.