MEMORANDUM

KENAI PENINSULA BOROUGH

FINANCE DEPARTMENT

To: Tim Navarre, Assembly President

Members, Kenai Borough Assembly

Thru: Dale Bagley, Mayor

From: Jeffrey Sinz, Finance Director

Date: February 28, 2002

Subject: Resolution 2002-029, Approving the Borough Interest Earnings Allocation Policy and Retroactively Allocating Interest Earnings to Fund 241, School Fund, for Fiscal Years 1999, 2000 and 2001

The attached resolution if approved, would approve an update of the borough's interest allocation policy and retroactively allocate interest earnings to fund 241, the school fund, for years 1999, 2000 and 2001. The assembly was briefed on the basis for the proposed change during the budget work session with the school district on February 19^th. The background and analysis surrounding the proposed policy as related to the school fund is described in more detail in the two attached memorandums dated February 19, 2002 and February 18, 2002.