MEMORANDUM

TO: Pete Sprague, Assembly President

Members of the Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Borough Mayor

Scott Holt, Finance Director

Max J. Best, Planning Director

Bonnie L. Golden, Grants Manager

FROM: Daniel Bevington, Coastal District Coordinator

DATE: July 22, 2004

SUBJECT: Ordinance No. 2004-19-06: Accepting and appropriating a $40,450 grant from the State of Alaska for the Borough's Coastal Management Program

The Alaska Department of Community and Economic Development has awarded the Borough $40,450 to carry out Coastal Management Program tasks and permit reviews. This ordinance accepts and appropriates the grant funding and authorizes the mayor to sign the Grant Agreement to effectuate the ordinance. The Finance Department staff has verified the information provided below. The grant will be appropriated to the following accounts:

Account No.                         Description                                 Amount

257.22140.22140.40110     Regular Wages                               $25,580

257.22140.22140.40210     FICA                                             $1,956

257.22140.22140.40221     PERS                                             $3,276

257.22140.22140.40321     Health Insurance                             $4,863

257.22140.22140.40322     Life Insurance                                 $59

257.22140.22140.40410     Leave                                             $2,066

257.22140.22140.43210     Travel                                             $650

257.22140.22140.43011     Contract Services                            $2,000

TOTAL GRANT BUDGET                                                    $40,450

As indicated above, most of the grant funds will be applied towards personnel costs. However, the grant specifically provides funding for travel for staff to attend the statewide conference and other travel needs. The grant also identifies $2,000 to be used for plan evaluation of the district plan. The Planning Department intends to enter into a contract to conduct the evaluation.

The grant requires a local match of a minimum of 50% of the grant amount, or in this case, $20,225. The FY2005 approved budget includes funding to meet this match requirement.

The grant is for operational costs during fiscal year 2004/2005. Therefore, a shortened hearing date has been requested to make the grant funds available in a timely manner.