MEMORANDUM

TO: Gary Superman, Assembly President

Members of the Kenai Peninsula Borough Assembly

THRU: Dale Bagley, Borough Mayor

Scott Holt, Finance Director

FROM: David Gibbs, Emergency Manager

Steve O'Connor, Acting Chief CES

COPY: Bonnie L. Golden, Grants Manager

Walter Robson, Capital Projects Director

Kevin Lyon, Project Manager

DATE: November 24, 2004

SUBJECT: Ordinance No. 2004-19-29: Appropriating funds for the construction of a new Emergency Response Center

Earlier this year the Assembly approved the concept of a multi-use facility to house the E-911 Dispatch, Central Emergency Services (CES) Administration, and the Borough Office of Emergency Management. In addition, $100,000 was appropriated to conduct a site evaluation and development of a schematic design. The site evaluation has been completed; the design work will be completed before the end of the year.

The attached ordinance is presented to the Assembly for approval and appropriation of funding for construction. There are three funding sources for the project: a grant from the U.S. Department of Justice COPS program, Central Emergency Services, and Borough general funds. After completion of the design phase, and when the user groups can determine the appropriate allocation of costs, if a change is needed the assembly will be presented with an ordinance reappropriating the local funds to reflect the percentage of costs for each occupant of the facility.

Accounting for inflation and equipment costs, the total amount for the project is nearly $5.3 million. A breakdown of the project costs are shown below in the Grant Project Cost Estimate, prepared by the Borough Capital Projects Department on June 21, 2004. Funding from the 2004 Technology COPS grant will be used only for the construction portion of the project, estimated to be $3,539,765, including contingencies. CES funds and general funds will be used to cover other project costs. Grants awarded to the Borough for communications will be used for some of the equipment costs. As the total amount of borough funds committed to this project is less than $1,500,000, voter approval is not required by KPB 5.04.110.

At its meeting on November 18, 2004, CES approved the expenditure of up to $1 million for this project. The DOJ grant and CES funding should be sufficient to complete a usable facility. The following chart indicates the various funding sources for each portion of the project.